New Regulation in Jewellery Trade: Gold and Silver jewellery to be under the ambit of E-Way bill from 1st October
For the first time, the government has brought precious metals and gems like gold and silver under the ambit of e-way bill. New government rules require an e-way bill for jewellery movement between states. While it adds a layer of process, it enhances regulation and transparency.
To whom this rule will apply
In the notification issued by the Central Board of Indirect Taxes and Customs (CBIC), it has been clearly stated that the new rule will apply to both shopkeepers and customers. Whether it is a businessman or a common customer, if he takes precious gold and silver jewellery from one place to another, then he will definitely have to have an e-way bill.
Is e-way bill necessary even within the state
CBIC has clearly said that whether you move gold and silver jewellery from one state to another or within the state from one place to another, it will be mandatory to generate the bill. Jewellery without E-way bill will not be authenticated.
How much jewellery will be applicable
According to the information given in the notification, no e-way bill will be required if jewellery worth less than Rs 2 lakh is moved from one place to another, but if the cost of jewellery is more than Rs. 2 lakh rupees, then e-way bill will be necessary for all.
When will the new rule be implemented?
Although this rule will be implemented from 1st October, but the states will be allowed to implement it as per their convenience. However, from the date the State Tax Commissioner issues an order to implement this rule, it will be considered applicable from the same day.
Jewellery for Repair
CBIC has clearly said that even if a trader is carrying jewellery for repairing or repairing breakage, still an e-way bill will be required. Traders, whether registered or unregistered, will need an e-way bill to sell jewellery worth more than Rs 2 lakh.
Exemption
CBIC has said in the notification that there will be an exemption in generating e-way bill for traders. Normally, the details of both the goods and the vehicle are given in the e-way bill. However, due to security reasons, traders will be exempted from entering the details of the vehicle carrying jewellery.
Online Jewellery Purchase
According to the notification, if someone buys gold and silver jewellery online, a special number will be generated along with it and e-way bill will also be generated. Hence, making it clear that e-way bill will be required even if buying gold or silver from e-commerce site.
Where the rule will not apply
E-way bill has been exempted from implementation in some places. For eg, it will not be implemented in places like port, airport, air cargo complex, customs station, container freight station. At present, under the GST law, e-way bill is applicable on all types of goods above Rs 50,000. In the case of jewellery, it has been increased to Rs 2 lakh.
Impact on Jewellery Industry
Yogesh Singhal, chairman of Bullionand Jewellers Association Delhi, says that this rule will unnecessarily increase compliance on the business. There are already so many existing rules and yet the hallmark system has not been fully implemented. The imposition of another rule in Ace will affect the business. Even the common man will now be required to get an e-way bill even for buying normal jewellery.