Jewellers Seek Abolition of Purchase Tax

Destination-Kerala-Jewellers

Thiruvananthapuram: Jewellers of the State submitted a memorandum to Finance Minister Thomas Isaac the other day seeking repeal of purchase tax in the upcoming State budget.

Kerala Jewellers Association Coordination Committee representatives also met the legislators and raised their demand in this regard.

According to them, the tax was introduced during the previous UDF Government by mistake and it had imposed a heavy burden on gold buyers and sellers.

“Purchase tax over and above compound tax was a mistake and it was debated in the Assembly. But it was not repealed due to political reasons. We do hope that a change will be made in this year’s budget,” said Abdul Nazar, Coordinator of KJACC.

When a customer buys 1 sovereign gold he or she will have to pay Rs. 5,000 more as tax, and when the same gold is sold again the customer loses Rs. 1,250.

 

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