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How Much Gold Allowed from Dubai To India?

By Saad Bin Shoket
  | Published: 09 June 2020 | Last Updated On: 11 February 2021

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Dubai is known for its exciting events and iconic buildings, but moreover, it is also considered to be one of the best places for shopping. Except for the luxury products, expats like to purchase gold from this UAE’s emirate. Whether it is for a wedding or a festival, or any joyous occasion in India, it can never be complete without any sort of gold or gold jewelry.

Another major reason behind the expats converting their savings into gold at the offered gold rate in UAE is because this precious metal offers the investor a hedge against inflation. A few years ago, the Indian Central Board of Indirect Taxes and Customs, imposed a limit on the amount of gold that can be brought from Dubai to India.

All about the Limit on Gold from Dubai to India

The low gold rate in UAE and the quality of gold are the main reasons why expats resort to buying gold in Dubai. There are many gold souks, such as the Deira Gold Souk that is one of the most renowned places where people go to purchase gold in Dubai. However, the restriction via the custom duty in India has had quite an impact on the gold imports from Dubai and other emirates to India. Let us see how much gold allowed from Dubai to India.

Duty-Free Allowance on Gold from UAE to India

As per the website of CBIC i.e. the Central Board of Indirect Taxes & Customs, any Indian passenger that is carrying a valid Indian passport, who has been living abroad for a period of more than a year is eligible to carry any gold jewelry in their baggage to India.

The following are the details for a gold duty-free import limit from Dubai to India.

Aggregate Weight

Maximum Monetary Value

Passenger

20 grams of Gold Jewelry

INR 50,000

Male

40 grams of Gold Jewelry

INR 100,000

Female

This duty-free allowance on Dubai’s gold jewelry is applicable for children as well, provided they have resided in Dubai or any other country abroad apart from India for at least one year. The quantity of gold brought to India from the city of gold (Dubai) should not exceed the limit of 20 grams for male passengers and 40 grams for female passengers.

Another thing to keep in mind for the Indian passengers is that this duty-free limit is only applied to the gold jewelry. The other forms of gold such as coins or bars are liable for the duty fee levied by the customs.

Limit on Carrying Gold

If the passengers that are traveling from Dubai to India are carrying gold jewelry more than the limit that is set, they are liable to pay the customs duty fee.

One common question amongst people is how much gold can I bring from Dubai to India on tourist visa?

All passengers holding a valid Indian passport, who have resided in Dubai or any other country abroad for a period of more than 6 months, are allowed to carry gold coins or bars that weigh up to 1 KG as an item in their checked-in baggage. However, if the limit of gold carrying from Dubai to India is exceeded by them they are liable to pay the fee charged as customs duty.

The customs duty in the year 2019 charged on gold brought to India from Dubai was raised to 12.5% from 10%.

Custom Duty Rates

The following are the custom duty charges for carrying gold to India from Dubai:

Details

Custom Duty Charges

Gold bars

INR 300 / 10 grams + 3% of Edu Cess

Other gold forms such as tola bars, coins, and ornaments

INR 750 / 10 grams + 3% Edu Cess

If an individual carrying gold within the mentioned limits comes to India from Dubai without staying for a period of up to 6 months, the individual is eligible to pay an additional customs duty of 36.05%.

Exceeding the Maximum Limit Allowed

As per the website of the UAE Embassy, when an individual is traveling to India the maximum limit of carrying gold to India from Dubai should not be more than 10kg per person. This is inclusive of all the gold that the person is carrying, even the ornaments.

The custom duty fee on bars and coins that exceed more than 1kg is 36.05%. So even if a larger limit is allowed, it is very uncommon for people to take gold that exceeds 1kg.

Conditions for Above Limit Gold Import

  • The custom duty that is payable on the excess gold should be paid in foreign currency that is convertible.
  • The traveling individuals need to provide all the proof of purchases and any other documents to avoid any complications regarding the goods at the airport.
  • Failure to meet with the strict requirements along with declarations may lead to prosecution, confiscation, or detention until all the documentation and paperwork are completed.
  • There must be all necessary inscriptions on the gold bars. The information must include the total weight of the bar, serial number, and manufacturer.
  • There is a major condition involved in importing gold above the allowed limit of 1 KG – it is that the individual shouldn’t have brought to India gold or any other metals and gemstones in the last 6 months that exceeded the limit of maximum gold allowed from Dubai.
  • During any of the short visits made to the country, the individual should not have availed any sort of exemption from making payments of the customs duty in India on gold.
  • Any piece of gold jewelry that is studded with expensive pearls and gemstones is not permissible to be imported from Dubai to India.
  • An individual flying can bring gold either as an item in their checked baggage, or it can be imported within 15 days of his or her arrival in India in the form of a piece of unaccompanied baggage.
  • The passenger is allowed to obtain the permitted gold quantity from the warehouse that is Customs bonded of SBI – State Bank of India and Metals & Minerals Trading Corporation.
  • The individual that is traveling is required to file a declaration in detail in the form that is prescribed before the officer of Customs before arriving in India.
  • The intention of the passenger to obtain gold from the warehouse bonded by customs needs to be stated and the customs duty needs to be paid before the clearance.

There are various reasons for people buying gold from Dubai. The gold quality is authentic and the gold price in Abu Dhabi and other emirates is inexpensive. However, it is important for expats to be aware of the limit of gold allowed from Dubai to India 2020 when it comes to importing gold as it can be one of the commodities that are highly taxed.

When we talk about the gold import limit, it is essential for one to be aware of the latest policies of customs. You should make it a point to go through the banned list items at Dubai Airport before you are coming back home or arriving in Dubai. The various restrictions are set in place to discourage any gold smuggling and to improve the overall economic deficit.

Additionally, the CBIC aims to bring in place new gold import guidelines in order to facilitate the passengers in a better manner. The new guidelines once final aim to ease the custom clearance for people that are bringing in gold to India from Dubai and other countries.

Payment of Customs Duty on the Gold Imported from Dubai to India

According to the budget report of 2019, the custom duty charged on gold allowed from Dubai to India has been offered to be risen from 10-12.5%. The non-resident Indians who are visiting India post a minimum stay of 6 months outside the UAE and carrying above the gold limit from Dubai to India will have to pay a customs duty on the imported gold in the convertible foreign currency. If the passengers who are carrying gold have lived abroad for less than 6 months, they will have to pay 36.05% in the form of import duty.

Moreover, there will be a weight limit on the gold imported even after the payment of the import duty. The passenger can just bring with them gold bars and coins that weigh up to one kilogram while they travel from the Emirate of Dubai to India. Some time back, this limit was ten kilograms of gold for each passenger. However, now the gold limit from Dubai to India 2020 is one kilogram while travelling. The people who carry above this limit can get prosecuted with additional gold above the determined limit getting seized. The gold coins and bars must have details like serial number, weight, and the manufacturer’s name inscribed properly with the passengers.

How does the Customs Duty get Calculated in India?

The customs duty on golf in India is applicable in the following two ways-

Specific duty rate: This is on the basis of the weight or quantity of the gold.

Ad-Valorem duty rate: This duty rate is on the basis of the value of gold and not its weight.

Additionally, an education cess of 3% is charged on the applicable value of duty. Being a responsible traveler who brings gold to the country, you must be aware of the latest amount of customs duty for avoiding unnecessary inconvenience.

Declaration of Gold on Arriving India

It is compulsory to declare gold when you arrive in India and pay the customs duty in case the amount is more than the duty-free limit. The passengers who are carrying gold ornaments or jewelry beyond the limit permissible must not walk through that green channel, which for only those travelers who are not carrying any dutiable goods.

There is a red channel, which is designated for the passengers who are carrying dutiable goods. Importing gold without the declaration or by concealing it in the baggage may lead to the confiscation and a fine or penalty. The offender may be under the risk of being prosecuted under the Customs Act 1962.

Frequently Asked Questions

Q1: How much gold is allowed from Dubai to India for female passengers?

Answer: A female passenger is allowed to wear a maximum of 40 gms of gold, which must not cost above 100,000 in Indian rupees.

Q2: What is the amount of gold that a male is allowed to wear while traveling to India from Dubai?

Answer: All the male passengers who are traveling to India from Dubai are allowed to wear a maximum of 20 gms of gold, which must not cost above 50,000 in Indian rupees in the form of duty-free allowance.

Q3: How much import duty is charged on gold?

Answer: The import duty charged on bringing gold back to India is 12.5%.

Q4: What are the conditions for bringing gold to India with no restrictions?

Answer: In case you declare the gold jewelry at customs & are also making payment of the fixed import duty, then there will not be any limit charged on the gold amount that you are allowed to bring to India.