Selling Gold in India
Where to Sell
Local jewellers
Convenient and immediate cash. But testing may be inconsistent and they may lowball on price.
Branded showrooms (Tanishq, Malabar, Kalyan)
Transparent Karatmeter testing, trusted. Usually offer exchange credit rather than cash. Tanishq deducts full making charges.
Licensed gold buyers (Attica Gold, IMG Gold Buyers)
Scientific XRF testing, best rates (97–99% of IBJA rate), immediate payment. May not be available everywhere.
Online platforms (CaratLane, Muthoot Gold Point)
Competitive rates and documented transactions. May require shipping your gold.
Banks
Very limited. Most banks only buy back gold coins they originally sold.
The Hard Truth About Gold Resale
Making charges, GST, and wastage are NOT refunded when you sell. Jewellers pay only for the gold weight and purity. A piece bought at ₹5L with 20% making charges + 3% GST may fetch only ₹3.9L — a 22% loss — even if gold prices haven't changed.
Real example (same gold price)
Jewelry vs Coins vs Bars — Resale Comparison
Jewelry
Lowest resale value. Making charges are completely lost, and purity may be disputed if hallmark is unclear.
Coins
Good resale, but some jewellers refuse to buy back coins they didn't sell. Keep the original packaging.
Bars (24K)
Best resale value. Standardized purity, widely accepted. Always keep the original packaging and invoice.
What Price Should You Expect?
Always check the live IBJA rate at ibjarates.com before visiting any buyer.
Documents Needed
Aadhaar or any photo ID
Mandatory for all gold sale transactions
PAN card
Mandatory for transactions above ₹2 lakh
Original purchase invoice
Helpful for better rates, but NOT required — you can sell without it
Inherited gold
No invoice needed — KYC (Aadhaar + PAN) is sufficient
Exchange vs Outright Sale
Exchange (old gold for new jewelry)
GST charged only on the price difference. May avoid a capital gains event. Convenient if you're buying new jewelry anyway.
Outright sale (for cash/bank transfer)
Capital gains tax applies on profit. You get cash or bank transfer. Better for liquidity or moving to a different investment.
Tips to Maximize What You Get
Get 3 quotes on the same day
Check IBJA rate before you go (ibjarates.com)
Sell hallmarked gold — avoids purity disputes
Sell bars/coins separately from jewelry
Prefer licensed gold buyers over pawn shops
Sell when prices are high (peaks near Akshaya Tritiya / Dhanteras)
Weigh your gold at home first with a digital scale
Insist on bank transfer (not cash) for amounts above ₹2 lakh
Cash limit warning: Cash payments above ₹2 lakh are illegal under Section 269ST. Insist on bank transfer for large transactions. The penalty falls on the receiver, but you lose your paper trail.