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Thursday, 17th March 2005 (5973 views)

Jewellers in India are reportedly confused by new legislation covering the taxation of branded jewellery.<br/><br/>In spite of a clarification from the Finance Ministry defining branded jewellery for the purpose of levy of two per cent excise duty, the Tamil Nadu Jewellers' Federation, Madras Jewellery and Diamond Merchants Association, and the Gold Club of Chennai have reportedly sought further clarifications of the new rules.<br/><br/>The notice said that hallmarking, markings made by goldsmiths/job workers and the sign/mark/initials of the jeweller for the purpose of identification would not be treated as branded jewellery.<br/><br/>Jewellers are now seeking a meeting with finance minister P Chidambaram to resolve the issue, as most jewellers, traditional and branded, advertise their stores and products. <br/><br/>While the jewellers say they are very clear that their products or business are not `branded', they are concerned that the notification is not being followed in the right spirit, according to Sify News. <br/><br/>The jewellers claim that some officials are taking a narrow view of the clarification and many appear to have stopped advertising until the issue is resolved.<br/><br/>A notice issued by the Central Excise department to some jewellery stores is also causing concern, as it places the onus on retailers to register with the department if their jewellery comes under a brand.<img alt="track" src="http://directnews.dehavilland.co.uk/dn.gif?feedid=196&itemid=8053011"/>

 

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