Gold Rates In India Rise After Rs 57,300 Crash In Top Cities: Customs Duty, GST Rates Calculation On Gold

Gold rates in India jumped sharply by up to Rs 28,900 on February 7, after crashing for two consecutive days. The price of 10 grams of gold is above Rs 156,000 mark in major cities like Mumbai, Kolkata, Bengaluru, Hyderabad, Pune and others. Gold prices have witnessed an intensely volatile week since the Budget 2026, where market participants hoped for further relief in customs duty or GST rates. These tax rates, along with making charges, play a key role in deciding physical gold prices.

Gold Rates In India:

10 grams gold climbed by Rs 2,890 to Rs 1,56,600 in 24 carat, was up by Rs 2,650 to Rs 1,43,550 in 22 carat and higher by Rs 2,170 to Rs 1,17,450 in 18 carat.

Meanwhile, 100 grams gold price rose by 28,900 to Rs 15,66,000 in 24 carat, surged by Rs 26,500 to Rs 14,35,500 in 22 carat and jumped by Rs 21,700 to Rs 11,74,500 in 18 carat.

This comes after when gold prices slipped by Rs 7,100 in 100 grams of 24 carat on February 6th and was down by Rs 50,200 on February 5th. Taking into consideration the previous two days, 10 grams and 100 grams gold rates plunged by Rs 5,730 and Rs 57,300 in 24 carat respectively.

Hence, the latest price movement is a sharp recovery.

Gold Rates In Top Cities:

Gold Rates In Mumbai: 10 grams gold price is at Rs 1,56,600 in 24 carat, at Rs 1,43,550 in 22 carat and at Rs 1,17,450 in 18 carat.

Gold Rates In Bengaluru: 10 grams gold price is at Rs 1,56,600 in 24 carat, at Rs 1,43,550 in 22 carat and at Rs 1,17,450 in 18 carat.

Gold Rates In Kerala: 10 grams gold price is at Rs 1,56,600 in 24 carat, at Rs 1,43,550 in 22 carat and at Rs 1,17,450 in 18 carat.

Gold Rates In Delhi: 10 grams gold price stood at Rs 1,56,750 in 24 carat, at Rs 1,43,700 in 22 carat and at Rs 1,17,600 in 18 carat.

Gold Rates In Ahmedabad: 10 grams gold price is at Rs 1,56,650 in 24 carat, at Rs 1,43,600 in 22 carat and at Rs 1,17,500 in 18 carat.

24 Carat Gold Prices In Top Countries:

Gold Rate In Bahrain: 10 grams is at Rs 1,45,540.

Gold Rate In Qatar: 10 grams is available at Rs 1,46,700.

Gold Rate In Dubai: 10 grams gold here is priced at Rs 1,47,290.

Gold Rate In Singapore: In this city, 10 grams gold price is at Rs 1,50,650.

Gold Rate In England: 10 grams is at Rs 1,45,080.

Gold Rate In Australia: 10 grams is at Rs 1,55,520.

Gold Rate In China: 10 grams is at Rs 1,44,300.

Gold Rate In Nepal: 10 grams is at Rs 1,44,190.

Gold Rates In India Taxes:

GST Rates On Gold Prices:

- 24 carat, 22 carat and 18 carat gold value attracts 3% GST rate.

- Further, making charges on gold attracts 5% GST rate.

Customs Duty On Gold:

Two years ago, the government reduced customs duty on mported gold to 6% from 15%. This includes agriculture infrastructure and development cess of 1%.

Here's how tax rates impact gold prices in India:

1. Base Price of gold imported (assumed): Rs 90,000

2. Add Customs Duty (6% of base price): Rs 5,400

3. Add 3% GST on Gold (3% on 1+2): Rs 2,862

4. Add Making Charges (10% on 1+2+3): Rs 9,826.2

5. Add 5% GST on making charges: Rs 491.31 (5% of Rs 9,826.2)

6. Total Price of Gold Jewellery Purchase (1+2+3+4+5): Rs 1,08,579.51

The above-mentioned calculation is just an example.

In the budget 2026, Finance Minister Nirmala Sitharaman did not announce any changes to customs duty or GST rates on gold. What does this mean?

"Keeping the import duties unchanged for gold and silver will give the sector a much-needed stability, thus driving sustainable growth," said Colin Shah, MD, Kama Jewelry.

Gold Prices Outlook Ahead:

According to Hareesh V, Head of Commodity Research, Geojit Investments, gold and silver remain volatile as last week's steep plunge was driven by hawkish Fed expectations after Kevin Warsh's nomination, a stronger dollar, and sharp CME margin hikes that forced leveraged unwinding. Profit‑taking after record highs also amplified rapid swings, keeping market sentiment fragile.

What should investors do? In Hareesh's view, bullion investors should stay patient and avoid reacting to short‑term volatility triggered by margin hikes, profit‑taking and policy uncertainty. Gradual, staggered accumulation can help manage timing risks as long‑term fundamentals like geopolitical tensions, central‑bank demand and currency pressures remain supportive.

Monitoring the dollar and upcoming Fed signals is crucial, while keeping positions balanced to navigate heightened volatility.

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Credit: Goodreturns