Many Non-Resident Indians (NRIs) returning to Kerala from Gulf countries purchase gold to bring home. However, Indian customs regulations govern the import of gold. We outline the duty-free allowances and customs duty rates for passengers arriving at Kerala's airports.
Duty-Free Allowance Limits
Under the current Central Board of Indirect Taxes and Customs (CBIC) rules, Indian passengers returning from abroad can bring in gold jewellery duty-free under certain conditions:
- Eligibility: The passenger must have resided abroad for a period of not less than one year.
- Gender-Based Limits:
- - Female Passengers: Allowed duty-free import of gold jewellery up to 40 grams (with a value cap of ₹1,00,000).
- - Male Passengers: Allowed duty-free import of gold jewellery up to 20 grams (with a value cap of ₹50,000).
Important: This duty-free allowance applies only to gold jewellery. It does not apply to gold coins, bars, or raw bullion.
Importing Beyond the Duty-Free Limit
If you bring gold exceeding the duty-free allowance, or if you bring gold coins or bars, you must declare it and pay customs duty:
Passengers Residing Abroad for Over 6 Months NRIs returning after a stay of six months or more can import up to 1 Kilogram of gold per passenger upon payment of customs duty in foreign currency.
Duty Rates Reference The duty rate depends on whether you meet the residency requirements:
- Standard NRI Rate: Lower rate for returning residents who meet the stay criteria.
- Standard Passenger Rate: Higher rate applied if you do not meet the stay criteria or carry un-declared gold.
Step-by-Step Custom Declaration Guide
- Obtain Purchase Invoices: Carry valid invoices for all gold purchases made abroad.
- Fill Out the Declaration Form: Complete the customs declaration form on the flight or at the arrival hall.
- Choose the Red Channel: If you carry gold exceeding the duty-free limit, go to the Red Channel counter.
- Declare and Pay: Declare the gold weight and pay the assessed duty at the customs bank counter.
Key Considerations
- Declaration is Mandatory: Always declare gold exceeding the allowance. Failing to declare can result in penalties or confiscation.
- Track Local Rates: Compare purchase prices abroad (including local taxes and duties) with the daily rates in Kerala on RateTracker.in to evaluate if importing gold offers savings compared to buying locally.
