The Supreme Court has ruled that the amount of gold jewellery that people often talk about in India will not necessarily be safe from seizure.
How much gold jewellery can I possess?
According to guidelines provided by the Central Board of Direct Taxes (CBDT) in 1994 the below amounts of gold jewellery will not be seized during Income Tax searches:
Married women – up to 500 grams
Unmarried women – up to 250 grams
Male family member – up to 100 grams
These are guideline amounts and not any limits you cannot go over. If you can show that you have obtained your gold legally then you can go above these amounts.
What did the Supreme Court Say?
In November 2026, the Supreme Court ruled in State of Bihar v. Phulpari Kumari that simply not exceeding these amounts will not prove that you obtained your jewellery legally.
The case was in relation to disproportionate assets being alleged against a former government officer. In its ruling, the Court said that ownership of gold and where it was obtained from are two different things.
Will tax officials seize anything over these amounts?
Having more than the permitted amount of gold is not automatically illegal. Tax officials could take into account family traditions, customs and your personal circumstances to decide whether to seize any jewellery. You may need to be able to show where you obtained your gold from.
What evidence should I keep?
Evidence such as purchase invoices, bank statements, gift deeds, inheritance documents and jewellery obtained through marriage can help prove that you obtained ownership legally.
Overall there is no set legal limit on how much gold jewellery you can personally own in India. However, you should be able to provide an explanation as to where you obtained your jewellery from.
