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GST Council to weigh tax parity on gold imports by MMTC, STC at its October 8 meeting
Bringing MMTC under GST could end preferential treatment extended to certain agencies since 2017, as banks and certain nominated agencies already pay 3% on precious metal imports. The aim is to reduce classification and valuation disputes that caused prolonged litigation.
Why it matters to operators and investors
If you source gold through MMTC, STC or other nominated agencies, model landed-cost and working-capital scenarios before the October 8 GST Council meeting, because aligning their import tax with the 3% that banks and some agencies already pay could remove a channel advantage that dates to 2017, though the outcome is not yet decided.