Gold Monetisation Scheme | Gold Jewellery Se Kamao Extra Interest? REALITY EXPOSED !  [WATCH VIDEO]

Social media is full of claims that you can earn interest on gold jewellery. But what’s the reality? Let’s break down the Gold Monetisation Scheme (GMS).

Under Gold Monetisation Scheme, you can deposit jewellery, coins, or bars in banks. The gold is melted into 995 fineness bars, and its weight is credited to your gold deposit account.

What Happens to Your Gold?

Your original jewellery is not returned. Instead, you receive gold bars or their equivalent value in cash at maturity. If your jewellery has emotional value, think twice before opting in.

Returns and Lock-in Period

You earn interest on your gold, and capital gains tax is exempt. However, there’s a lock-in period of 15-17 years, making it a long-term commitment.

Should You Opt for It?

Choose this scheme if:

• You have idle gold. 
• You want interest earnings. 
• You’re okay with not getting jewellery back. 
• You don’t need funds in the short term.

Conclusion

While GMS offers returns and tax benefits, it requires long-term commitment. Carefully weigh the pros and cons before investing.

Read More: CESTAT Weekly Flashback: 2 To 8 March 2025

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Mariya Paliwala

Mariya is the Senior Editor at Juris Hour. She has 5+ years of experience on covering tax litigation stories from the Supreme Court, High Courts and various tribunals including CESTAT, ITAT, NCLAT, NCLT, etc. Mariya graduated from MLSU Law College, Udaipur (Raj.) with B.A.LL.B. and also holds an LL.M. She started as a freelance tax reporter in the leading online legal news companies like LiveLaw & Taxscan.

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