How gold jewellery is priced
Price = gold value + making charges + hallmarking + 3% GST
Gold value = weight × rate for the karat. GST is 3% of gold value plus making charges.
For 10 g of 22K jewellery with 24K gold at ₹14,400 a gram, the 22K rate is about ₹13,204 a gram, so the gold is worth ₹1,32,036. Making charges of 12% add ₹15,844, and GST adds ₹4,436, for a total of about ₹1,52,370.
Tips before you buy
- Check the BIS hallmark and HUID code on every piece.
- Ask for making charges in writing, and compare them across shops.
- Watch for stone weight being charged at the gold rate.
- Keep the bill: it shows the weight, purity and charges you'll need when you sell or exchange.
Questions people ask
How is GST charged on gold jewellery?
GST of 3% is charged on the value of the gold plus the making charges. Hallmarking carries its own small fee with 18% GST.
What are normal making charges?
Usually 8% to 25% of the gold value, depending on design and the jeweller. Machine-made chains are cheaper; detailed handmade pieces cost more. Many jewellers quote a per-gram rate instead.
Why does 22K cost less per gram than 24K?
22K gold is 91.6% pure; the rest is other metals that make it strong enough for jewellery. 24K (99.9%) is used for coins and bars.
How do I check purity?
All gold jewellery sold in India must carry a BIS hallmark with a 6-digit HUID code. You can verify the HUID in the BIS CARE app.
How much do I get for old gold?
Jewellers value old gold at the day’s rate for its purity, often minus a deduction of a few percent for melting and wastage. Making charges and GST paid earlier are not returned.
Method
Karat rate = 24K rate × purity ÷ 99.9 (22K 91.6%, 18K 75%, 14K 58.5%). GST 3% on gold value + making charges. Hallmarking ₹45 per piece plus 18% GST. Old gold = weight × rate for its purity × (1 − deduction). Jewellers' rates and charges vary; this is an estimate.