Are you looking for a way to invest? Gold and silver may seem to be the surest and safest way to invest. You might think that the value of gold and silver always rises. Further, they are physical things that you can store for yourselves. Gold has been used as a way to save investments for millenniums. Moreover, gold and silver are some of the most precious metals that are available on the market. If you are looking to invest in gold and silver, then you should know about certain things. Further, you would also have to tax while filing for your income tax on the money you make from selling gold and silver. In this article, we will discuss Gold and Silver rates from 01.04.1981 to 31.03.2022.
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Gold and Silver as an Investment
Silver and gold are highly sought-after not only for their beauty but also because they are lucrative investment options.
Though, as an investment, silver is not as popular as gold. In India, where gold is adored and coveted. Further, thinking about investing in precious metals makes us think of gold. However, silver is also a very smart option. In fact, it is a more practical investment. Further, it has the potential to yield handsome returns. Due to its amazing features like high conductivity of electricity and heat, ductility, and malleability. Further, the fact that it is comparatively cheaper, silver has plenty of usage in trade as well as industries.
However, people are unaware of the trend in silver and its potential returns. Gold has given great returns in the past and is still maintaining the same. However, silver has taken a lead in the returns earned. Further, in 2010, gold gave a return of 25%. However, silver gave a return of 80-85% in the same financial year.
Taxes on Gold and Silver
Like every other commodity, there are certain taxes that are applicable for gold and silver. These taxes are,
- GST – As per the GST Act, the current GST that is applicable on precious metals( gold and silver) is 3%.
- Wealth Tax – As per the Wealth Tax Act, if you buy gold or silver for more than Rs. 30 Lakhs, you have to pay a tax of 1% of the value of gold that you buy
- Capital Gains Tax – If you hold the commodity for more than a year you have to pay a capital gains tax on the profits that you have made from the sales of the same. Short terms capital gains tax (less than 36 months) is 10%. Further, long term capital gains tax (more than 36 months) is at 15%.
Gold and Silver Rates
As on 01.04.1981, the rates of Gold and Silver were at Rs.167 and Rs. 2.715 per gram respectively.
Now, let’s look at the rates for Gold and Silver through the last 10 years. The following table contains the rates of Gold and Silver as on the 31st March of the mentioned year,
| Year | Gold (24 carats)(per gram)[Rs.] | Silver(9960 touch) (per gram)[Rs.] |
| 2012 | 2840 | 56.29 |
| 2013 | 2961 | 54.03 |
| 2014 | 2847 | 43.07 |
| 2015 | 2624.5 | 37.825 |
| 2016 | 2834 | 36.99 |
| 2017 | 2895 | 42 |
| 2018 | 3068 | 38.335 |
| 2019 | 3164 | 37.245 |
| 2020 | 4300 | 39.2 |
| 2021 | 4401.3 | 62.862 |
| 2022 | 5148.4 | 66.99 |
Conclusion
The value of gold has jumped 2982.9%. Further, the value of silver has jumped by 2367.4%. This shows the potential for gold and silver as an investment. However, in the chart it is noticeable that there was a drop in the value of gold between 2014 and 2015. Further, there was also a drop in the value of silver from 2015 to 2016 and 2017 to 2019. However, we can also notice the astronomical rise in the value of silver between 2020 and 2021. This goes to show that like any investment gold and silver are subject to market risks, You have to be patient with these commodities. Further, if you are able to be patient with them they can give you great returns.
