The National Democratic Alliance government at the Centre has rolled back the proposed 1% tax collection at source (TCS) on cash purchases of gold jewellery worth Rs 2 lakh or more, reported the Economic Times. The cess that was announced during the 2016 Budget session led to a 42-day strike called by jewellers across the country in April.
With the roll back, the limit stands at Rs 5 lakh or above, as was before. "Increase in TCS threshold limit is a major relief to those who would purchase wedding jewellery. Rs 2 lakh was a very small sum for wedding jewellery," Bachhraj Bamalwa, director at All India Gem & Jewellery Trade Federation told the newspaper.