GJF asks government to increase limit for PAN declaration

Following the unease which the Indian gem and jewellery industry is feeling for the mandatory PAN card declaration for purchase of above Rs 2 lakh, the All-India Gems and Jewellery Federation (GJF) made a representation to the Central government to increase the limit to over Rs 10 lakh, as per reports. The government’s mandate is made effective January 1, 2016.

The GJF feels this mandate would encourage business to be shifted to the unorganised sector, and give air to many illegal ways of business like smuggling, creating a backward trend for the industry, reports say.

The current jewellery demand is dominated from the rural sector which account for 70 percent, where many do not even poses a Pan card. According to reports the GJF believes the government should distinguish between bullion and jewellery purchases to curtail black money, as per reports.