How Much Gold Can a Family Keep in India? (2025 Guide)
The Income Tax Department of India does not restrict how much gold you can own, but there are rules about what can be seized during tax raids. These rules differ for jewellery, gold bars, and coins. Here's everything you need to know to stay compliant.
📌 Safe Holding Limits for Jewellery (CBDT Instruction No. 1916)
During an income-tax search, officers shall not seize jewellery up to the following limits—even without any bills or documents:
| Family Member |
Jewellery Limit (grams) |
| Married Woman |
500 g |
| Unmarried Woman |
250 g |
| Male (Any Status) |
100 g |
Note: These limits apply to gold jewellery and ornaments only, not to gold bars or coins.
🏅 What About Gold Bars and Coins?
Gold bars and coins are not protected under the above CBDT instruction. If you hold them:
- You must have purchase proof or inheritance documentation.
- During a tax raid, gold bars/coins can be seized if the source is not justified.
- No safe-limit exemption applies to them like with jewellery.
🧾 Acceptable Proofs for Any Gold Holdings
- Invoice/Bill of purchase
- Gift deed (for gold received from relatives)
- Inheritance proof – will, succession certificate, etc.
- Income tax return (ITR) entries showing gold purchase
⚠️ Tax Treatment for Unexplained Gold
If you are found with excessive or undocumented gold, you may face:
- Tax under Section 69B (unexplained investment)
- Flat tax at 60% + surcharge + penalty under Section 115BBE
- Seizure of excess gold if documents aren't available
📜 Final Summary
- ✅ Jewellery up to 500g (married woman), 250g (unmarried), 100g (men) is safe.
- ⚠️ Gold bars & coins must be documented – no limit applies.
- 🔒 No overall ownership cap, but records are critical.
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