{"id":2371,"date":"2024-04-02T14:23:28","date_gmt":"2024-04-02T06:23:28","guid":{"rendered":"https:\/\/ehluar.com\/main\/?p=2371"},"modified":"2025-08-19T14:29:14","modified_gmt":"2025-08-19T06:29:14","slug":"iras-tightens-gst-concession-for-gold-jewellery-trade-ins","status":"publish","type":"post","link":"http:\/\/ehluar.com\/main\/2024\/04\/02\/iras-tightens-gst-concession-for-gold-jewellery-trade-ins\/","title":{"rendered":"IRAS Tightens GST Concession for Gold Jewellery Trade-Ins"},"content":{"rendered":"\n<p>The Inland Revenue Authority of Singapore (IRAS) has announced a significant change to the Goods and Services Tax (GST) administrative concession applicable to trade-in transactions within the gold jewellery industry, effective <em>1 January 2025<\/em>.<\/p>\n\n\n\n<p><strong>Current Concession:<\/strong><\/p>\n\n\n\n<ul class=\"wp-block-list\">\n<li>Ordinarily, GST treats a trade-in as two distinct supplies: the <em>sale of new goods<\/em> and the <em>purchase of used goods<\/em>. The GST-registered supplier must charge GST on the full value of the new goods supplied.<\/li>\n\n\n\n<li>Under an <em>existing administrative concession<\/em>, gold jewellers are permitted to charge GST only on the <em>difference<\/em> (or cash top-up) between the value of the new gold jewellery supplied and the value of the old gold jewellery accepted as trade-in.<\/li>\n\n\n\n<li>This concession applies <em>exclusively<\/em> to gold jewellery. It explicitly <em>does not<\/em> apply to:\n<ul class=\"wp-block-list\">\n<li>Trade-ins of other goods (e.g., gold bars).<\/li>\n\n\n\n<li>Transactions involving scrap gold consolidation or refabrication of old gold.<\/li>\n\n\n\n<li>The value of any materials other than gold (e.g., diamonds, rubies, other precious\/semi-precious stones, settings) incorporated into the jewellery. These materials&#8217; value must be excluded when calculating the gold supply value for concession purposes.<\/li>\n<\/ul>\n<\/li>\n<\/ul>\n\n\n\n<p><strong>Key Change Effective 1 January 2025:<\/strong><\/p>\n\n\n\n<ul class=\"wp-block-list\">\n<li>The administrative concession allowing GST to be charged only on the difference in a gold jewellery trade-in transaction <em>will now be contingent upon the customer&#8217;s GST registration status.<\/em><\/li>\n\n\n\n<li>Jewellers <em>may only apply this concession if the customer is not registered for GST at the time of the supply.<\/em><\/li>\n\n\n\n<li>If the customer is GST-registered, the standard GST rules apply: the jeweller must charge GST on the full value of the new gold jewellery supplied. The trade-in would be treated as a separate supply from the customer to the jeweller.<\/li>\n<\/ul>\n\n\n\n<p>Gold jewellers must implement systems to verify the <em>GST registration status of customers<\/em> engaging in <em>trade-in<\/em> transactions from <em>1 January 2025<\/em> onwards. Failure to apply the correct GST treatment based on the customer&#8217;s registration status could result in compliance issues. The change aims to align the concession more closely with standard GST principles, particularly in Business-to-Business (B2B) transactions where the customer is GST-registered.<\/p>\n\n\n\n<p><strong>Source: <\/strong>IRAS, 1 April 2024<\/p>\n","protected":false},"excerpt":{"rendered":"<p>The Inland Revenue Authority of Singapore (IRAS) has announced a significant change to the Goods and Services Tax (GST) administrative concession applicable to trade-in transactions within the gold jewellery industry, effective 1 January 2025. Current Concession: Key Change Effective 1 January 2025: Gold jewellers must implement systems to verify the GST registration status of customers [&hellip;]<\/p>\n","protected":false},"author":1,"featured_media":0,"comment_status":"closed","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"nf_dc_page":"","_et_pb_use_builder":"off","_et_pb_old_content":"","_et_gb_content_width":"","_jetpack_memberships_contains_paid_content":false,"footnotes":""},"categories":[7,9,6],"tags":[],"class_list":["post-2371","post","type-post","status-publish","format-standard","hentry","category-accounting","category-gst","category-techupdates"],"jetpack_featured_media_url":"","jetpack_sharing_enabled":true,"_links":{"self":[{"href":"http:\/\/ehluar.com\/main\/wp-json\/wp\/v2\/posts\/2371","targetHints":{"allow":["GET"]}}],"collection":[{"href":"http:\/\/ehluar.com\/main\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"http:\/\/ehluar.com\/main\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"http:\/\/ehluar.com\/main\/wp-json\/wp\/v2\/users\/1"}],"replies":[{"embeddable":true,"href":"http:\/\/ehluar.com\/main\/wp-json\/wp\/v2\/comments?post=2371"}],"version-history":[{"count":1,"href":"http:\/\/ehluar.com\/main\/wp-json\/wp\/v2\/posts\/2371\/revisions"}],"predecessor-version":[{"id":2372,"href":"http:\/\/ehluar.com\/main\/wp-json\/wp\/v2\/posts\/2371\/revisions\/2372"}],"wp:attachment":[{"href":"http:\/\/ehluar.com\/main\/wp-json\/wp\/v2\/media?parent=2371"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"http:\/\/ehluar.com\/main\/wp-json\/wp\/v2\/categories?post=2371"},{"taxonomy":"post_tag","embeddable":true,"href":"http:\/\/ehluar.com\/main\/wp-json\/wp\/v2\/tags?post=2371"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}