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Government to look into jewellers' demands at appropriate time
April, 28th 2012

The government today said it at an appropriate time will look into jewellers' demand, including roll back of excise duty on unbranded jewellery.

"The central government has held several meetings with the trade representatives/associations and assured them that the issues would be looked into at the appropriate time," Minister of State for Finance S S Palanimanickam told the Lok Sabha in a written reply.

He said jewellery dealers had observed protest against certain tax proposals relating to precious metals and jewellery announced in the Budget 2012-13.

The major demands were: roll back of one per cent excise duty on unbranded precious metal jewellery; reduction of import duty on gold and removal of the provision of tax collection at source (TCS) on cash sale of bullion or jewellery exceeding Rs 2 lakh or increase in threshold from 2 lakh to 10 lakh, he said.

"The representations received in this regard are under examination," Palanimanickam said.

Replying to another query, Palanimanickam said representations were also received seeking simplification of excise duty to convert the existing composite rate to fully specific or ad valorem without reference to MRP, reduction of basic customs duty on coal and withdrawal of exemption from basic customs duty on import of cement.

"There appear to be no import hindrances as imports of cement are fully exempt from basic customs duty and are free under the Foreign Trade Policy subject to conformity with BIS specifications," he said.

 
 
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