Give ‘bonus’ to people to buy gold

Gold prices tend to fluctuate depending on the international economic situation. However, since last September, gold prices have been on the rise on most days.
In this situation, yesterday, a sovereign of gold was sold for Rs. 94,600. One gram of gold rose by Rs. 245 to Rs. 11,825. A sovereign of 24-carat gold was sold for Rs. 1,03,200. With this, the price reached a new all-time high.
Gold prices are rocketing, frequently hitting new highs. There is no doubt that it will touch Rs. 1 lakh by the New Year.
There are only a few days left for the Diwali festival. Many people in Tamil Nadu have made it a habit to buy gold jewelry during this celebration. It is customary to buy gold jewelry in small quantities. But this year, buying gold jewelry for Diwali is a burden for the poor. People are struggling to buy gold jewelry for the Diwali festival.
At the same time, jewelry store owners say that Diwali sales are sluggish this year. Despite announcing various offers, they are struggling to increase sales.
As a solution to this, Muthu Venkatram, the president of the Coimbatore Gold Jewellery Manufacturers Association, has put forward a proposal. The Union Government should take steps to reduce the 6 percent tax imposed on gold imports to 2 percent and the 3 percent GST tax imposed on gold jewellery to 1.5 percent as a concession during the Diwali festival season. If this is done, the cost of a sovereign will be reduced by up to Rs. 3,500. The idea is that this will help people buy a small amount of gold jewellery during the festive season. The association has also requested the Union Government in this regard.
If an announcement is made accepting this request, it will be an indirect Diwali bonus provided by the Union government to the poor and middle-class people who want to buy gold, at least for the sake of tradition!