Dubai and gold are once again in the news after Kannada actress Ranya Rao was arrested with 14.8 kg of gold. Actually Ranya Rao arrived at Bengaluru International Airport (Kampegowda International Airport) from Dubai by Emirates flight. Officials say that she had allegedly brought gold hidden in her clothes. Her frequent international trips were under the surveillance of DRI (Directorate of Revenue Intelligence) and this time DRI arrested her after seizing gold bars worth Rs 12.56 crore from her.
Now the question is why do people bring so much gold from Dubai? Is gold cheaper in Dubai than in India? The answer is yes. Gold prices in Dubai are often lower than in India. That is why Dubai's gold market attracts gold buyers.
Why is gold cheap in Dubai?
Gold prices in Dubai are often lower than prices in India due to differences in import duty and tax policies. For example, Dubai has zero GST on bullion and gold jewellery, while India levies 3% GST on gold. Apart from this, the manufacturing cost in Dubai jewellery stores is quite reasonable, making 24 carat gold in Dubai about 5% to 7% cheaper than in India. Consumers save more money when buying gold in bulk from Dubai. But one should not forget the rules of custom duty when bringing gold from Dubai to India.
How much gold can you bring
According to the rules, if an Indian traveller returns to India after staying in Dubai for more than six months, he can bring up to 1 kg of gold in his baggage after paying custom duty. Talking about the limit of bringing duty free gold, male travellers can bring up to 20 grams (worth Rs 50,000) of gold from Dubai into the country without custom duty. Male travellers can bring gold coins or bars into the country. For female travellers, the limit for bringing gold from Dubai into the country without custom duty is up to 40 grams (worth Rs 1,00,000). Female travellers can bring gold in the form of jewellery, bars or coins.
If the gold brought from Dubai crosses these limits, then the passenger carrying the gold will have to pay custom duty, which can be 3 to 10% of the value of the gold. For verification, the passenger will have to show the bill of the gold purchased to the customs officials.
How much duty free gold can children bring
Children below the age of 15 can bring gold ornaments up to 40 grams from Dubai into the country without customs duty. This includes gold gifts given to children. But the child bringing gold from Dubai must have an ID proof showing his relationship with the adults accompanying him. This is so that the guardian can do the paperwork.
Ranya Rao sent to 14 days judicial custody
DRI says that after the seizure of gold from Ranya Rao at the airport, her house was searched and gold jewellery worth Rs 2.06 crore and Indian currency worth Rs 2.67 crore was also recovered. Rao is the stepdaughter of senior IPS officer Ramachandra Rao. DGP rank officer Ramachandra Rao is currently working as Chairman and Managing Director of Karnataka State Police Housing and Infrastructure Development Corporation. The total seizure in this case is Rs 17.29 crore. After her arrest on Monday night, Ranya Rao was produced before the Economic Offences Court, which sent her to 14-day judicial custody.
