You are here

New Indian rule backfires, boosts unofficial gold trade

If rule fails, it will thwart Modi's efforts to curb imports and stop the metal from being used to hide "black money"

India has made it mandatory for customers to disclose their tax code, or Permanent Account Number, for gold purchases above 200,000 Indian rupees (S$4,200) from Jan 1.


TRY as it might, the Indian government appears to be unable to curb the country's love for gold.

Its latest attempt - a rule forcing buyers of high-value jewellery to disclose their tax code - has boosted unofficial trading in the world's second-biggest gold consumer,