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🇮🇳GST, TCS & RBI gold loan rules · BIS hallmark standards

Gold Jewellery Price Calculator — Making Charges, GST & Loan

Free tool — no login100% browser-based · privacy safe

Enter today's gold rate and your jewellery details to see the exact price including making charges, wastage, GST, and TCS. Also check old gold exchange value and gold loan eligibility.

Check today's rate on MCX.in or ask your jeweller. Rates change daily.

Jewellery Price Calculator

Pure gold value + making + wastage + GST (3% + 5%)

%
0% (gold bars)~12% typical40% (intricate)
%
0%~3% typical10%

Kadai / Bangle (heavy item)?

Adds 2% extra wastage for thick or heavy pieces

Pure Gold Value₹84,272
+ Making Charges (12%)+ ₹10,113
+ Wastage (3%)+ ₹2,528
Subtotal₹96,913

GST

3% on gold value+ ₹2,528
5% on making charges+ ₹506
Total GST+ ₹3,034

Total Price to Pay

₹99,947

10.0 grams · 22K / 916 Hallmark (91.6%)

Old Gold / Exchange Value

How much you'll receive against your old gold

%

Jewellers deduct 3–8% for melting losses and purity verification

Exchange Value You Get₹40,029
New jewellery total₹99,947
Less: exchange value₹40,029
Effective Price After Exchange₹59,917

Gold Loan Eligibility

Pre-filled from Section 1 — uses same weight, purity & rate

Market value of 10.0 grams (22K / 916 Hallmark (91.6%)) at ₹9200/g: ₹84,272

75% LTV

₹63,204

RBI max for NBFCs

65% LTV

₹54,777

Conservative banks

60% LTV

₹50,563

SBI / PNB typical

RBI allows max 75% LTV on gold loans. Banks typically offer 60–65%. Interest rates range from 7–29% p.a. depending on lender, tenure, and scheme. Gold loan tenures are typically 3 months to 3 years.

How Gold Jewellery Pricing Works in India

The final price of gold jewellery in India has four distinct layers. The pure gold value is the base — calculated as weight in grams multiplied by the gold's purity percentage and the day's market rate. On top of this, jewellers add making charges — a percentage that ranges from 8% for simple plain bangles and bars to 25% or more for intricate temple or antique jewellery requiring skilled craftwork. Wastage charges (typically 2–5%) cover gold lost during the manufacturing process due to filing, melting, and polishing.

GST on gold jewellery, introduced in 2017, has two parts: 3% on the gold value and 5% on making charges. This split recognises that gold is a commodity (lower rate) while making is a service (higher rate). For a ₹1 lakh piece with ₹12,000 making charges, total GST is approximately ₹3,600 — not a flat 3% on the whole bill.

TCS (Tax Collected at Source) of 1% kicks in on purchases above ₹2 lakh per transaction (Budget 2023 provision). The jeweller collects this and deposits with the government — you claim it as a tax credit when filing your ITR, so it's not lost money.

The 916 hallmark (22K) became the Indian standard for wedding jewellery because it balances purity (91.6% gold) with durability — the 8.4% alloy makes intricate designs possible. Pure 24K gold is too soft for most jewellery.

For gold loans, RBI caps NBFCs at 75% LTV of the gold's market value. Banks are more conservative at 60–65%. This calculator gives you all three benchmarks instantly — the most complete free gold jewellery calculator available for Indian buyers.

Frequently Asked Questions

How is GST calculated on gold jewellery?

GST on gold jewellery has two components: 3% on the gold value (pure metal cost) and 5% on making charges (labour/service). These are calculated separately and added to arrive at the total GST payable. For example, on ₹1 lakh gold value with ₹12,000 making charges, GST = ₹3,000 (3% on gold) + ₹600 (5% on making) = ₹3,600 total.

What is TCS on gold jewellery purchase?

TCS (Tax Collected at Source) of 1% applies when you purchase gold jewellery worth more than ₹2 lakh in a single transaction from a jeweller. The jeweller collects this from you and deposits it with the government. You can claim credit for the TCS when filing your income tax return, so it is not an additional tax — only an advance tax collection.

How much loan can I get against my gold jewellery?

RBI allows a maximum Loan-to-Value (LTV) ratio of 75% of gold's market value for NBFCs offering gold loans. Most banks are more conservative — SBI and PNB typically offer 60% LTV, while private banks offer 65%. The market value is calculated using the 30-day average gold price, not the daily spot rate, which can reduce eligibility slightly from what you calculate here.

What is 916 hallmark gold?

916 hallmark means 91.6% pure gold, equivalent to 22 Karat. The number 916 comes from 916 parts of gold per 1,000 parts total (the remaining 84 parts are alloying metals like copper or silver that make jewellery harder). BIS hallmark 916 is the most common purity used for wedding jewellery in India. 24K (999.9 hallmark) is pure gold but too soft for intricate jewellery designs.

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