Two years ago, demonetization and the implementation of GST had a mixed effect on the Indian bullion market. The jewelers had to provide KYC to the government for every sale. This was really tormenting and a tedious task. The bullion market noticed a fall in the statistics, due to this option tips providers are working effortlessly.
Finally, to give a lifeline to the bullion market, the Indian government practiced the exclusion of gem and jewelry from the ambit of the Prevention of Money Laundering Act. Under this, , jewelers need not verify the identity of their clients by a KYC process for every transaction of 50,000 or more made through a single or multiple transactions. This is being executed in order to boom up the gem and jewelry market in the rural areas. After all gold is the basic asset as well as the pride of Indians. It is cherished in all the festive occasions. Stay updated with the live gold tips at 24 Carat Financial Services.
Well, let me tell you that in August, the All India Gems and Jewelry Trade Federation directed dealers in precious metals, precious stones and other high-value goods having a turnover of 2 crores in a financial year to be notified as persons carrying on designated business and professions under the Prevention of Money Laundering Act, (PMLA) 2002. Hence, various compliances and KYC process had to be carried out by the gems and jewelry sector.
In the coming festive season, this exemption is looked with great joyous and the traders in the bullion market are looking forward to a great business. The relaxation for gem and jewelry industry would encourage free trading in the sector, without any apprehension of KYC compliances in the mind of the customer. This is one key sector which was adversely impacted post-GST and hopefully, the new decision should bring the smiles back to traders’ faces.
At 24 Carat, we endeavor to provide best bullion commodity tips to our customers and boost up their knowledge base to keep pace with the latest bullion market news.