Carrying Gold to India: Duty Rules Explained
For Indian expats returning from Dubai, bringing gold is a tradition. Yet few understand how sharply customs duty depends not only on the weight and form of gold but also on how long you’ve been away. The difference between staying abroad for one year versus six months can decide whether you save money or face heavy charges at the airport.
If you’ve been outside India for over a year, you qualify for a small duty-free allowance — but only for jewellery. Men can bring up to 20g worth ₹50,000, while women can carry 40g worth ₹1,00,000. This exemption does not extend to coins, bars, or biscuits.
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Customs Duty Based on Stay Duration
For those abroad more than 6 months but under one year, gold imports attract a concessional duty of 13.75% (Basic Customs Duty + Social Welfare Surcharge). At this rate, you can bring up to 1kg of gold in any form.
If your stay is less than 6 months, the duty soars to nearly 38.5%. Worse still, there’s no duty-free allowance at all — not even for jewellery.
Extra Slabs Beyond Duty-Free
Even if you’ve stayed abroad for over a year, any jewellery above the free allowance is taxed on slabs:
- Men: 20–50g at 3%, 50–100g at 6%, above 100g at 10%
- Women: 40–100g at 3%, 100–200g at 6%, above 200g at 10%
Bars, biscuits, and coins do not qualify for exemptions and almost always attract duty.
Tips Every Expat Must Follow
Always declare excess gold at the Red Channel to avoid confiscation or fines under the Customs Act, 1962. Carry invoices that detail weight, purity, and price. While customs officers use daily international gold rates, receipts prove legitimacy.
When paying duties, use foreign currency or low-fee credit cards to cut transaction costs. Remember: only jewellery qualifies for duty-free rules, while other forms of gold are fully taxed.
Why Time Abroad Matters
These allowances stem from the Baggage Rules, 2016, set by India’s Ministry of Finance. They divide travellers into three groups:
- Less than 6 months: no benefits, high duty.
- 6–12 months: concessional duty on up to 1kg.
- Over 1 year: small jewellery allowance, men vs women.
Bottom Line for Expats
Carrying gold to India from Dubai can be rewarding if you understand the slabs. Stay longer, and you may qualify for exemptions. Bring too much, or skip paperwork, and you risk heavy penalties. Smart planning, receipts in hand, and full disclosure are the only way to avoid a costly surprise at customs counters.