Starting January 1, 2025, transporting gold worth more than ₹10 lakh in Kerala will require an e-way bill, as announced by State GST Commissioner Ajith Patil. This landmark rule aims to curb tax evasion in the gold trade and enhance transparency in the industry.
An e-way bill is a mandatory document for the movement of goods, ensuring proper compliance and tracking. This new regulation will apply exclusively to gold transported for commercial purposes and will not affect individuals carrying gold for personal use.
Kerala had initially proposed the implementation of e-way bills for gold transactions during a GST Council meeting, citing significant tax fraud in the sector. The council approved the proposal last year, enabling the state to implement this critical measure.
While the rule has sparked concerns among gold traders regarding increased administrative and financial obligations, tax authorities argue that it is essential for ensuring compliance and combating tax evasion. The government reassures traders that the process will be streamlined to minimize disruptions.
Kerala's proactive approach to regulating gold trade reflects its commitment to maintaining fiscal discipline and fostering trust within the business ecosystem.