Gold Rate Today in Akola

Akola is Maharashtra's tenth-largest city and an important educational centre; it boasts clear gurgling rivers and enchanting forts with the most exquisite architecture. In Maharashtra, Akola ranks as the tenth-largest city and the third-largest city in Vidarbha after Nagpur and Amravati.

Like the rest of Maharashtra, gold is a much-revered metal in Akola. The people wear gold to mark various festivities and also see it as an investment option. Hence, the demand for gold in Akola typically increases during weddings and festival seasons.

The gold rates in Akola change daily, impacted by various factors. Anyone looking to buy or sell gold must know the current market rates.

So, continue reading as we dive deep into Akola's gold markets, explore the ongoing gold prices in the city, various forms of gold investments popular in Akola and more!

Investment Options for Gold in Akola

Here is a list of gold investment options preferred by the people of Akola:

• Digital Gold
  Digital Gold is a way to trade physical gold online, where the seller stores the gold bought in secure vaults free of cost.
• Gold Coins
  In Akola, people buy gold coins during festivals like Dhanteras. These can be bought from jewellers, e-commerce websites and financial institutions.
• Gold Exchange Traded Funds (Gold ETFs)
  These are open-ended mutual funds where each unit represents one gram of physical gold. Gold ETFs are traded on the country's leading stock exchanges.
• Gold Jewellery
  When it comes to buying gold, jewellery is a traditional choice in Ankola. Due to its ornamental value, the demand for jewellery surges during festivals.
• Gold Mutual Funds
  It is a type of fund that invests in gold bullion or gold ETFs. The underlying asset of each fund is physical gold.
• Sovereign Gold Bonds (SGBs)
  Government securities with gram-based gold values are known as SGBs. In place of holding actual gold, they serve as an alternative. At maturity, the bonds will be redeemed in cash, and investors must pay the issue price in cash. On behalf of the Indian government, the Reserve Bank issues the Bond.

How Does GST Impact Gold Rates in Akola

The implementation of GST has had an impact on gold rates in Akola because it has changed the way that taxes are applied to gold transactions. Prior to the implementation of GST, gold was subject to a value-added tax (VAT) of 1% and a sales tax of 1%. Under GST, these taxes were replaced by a single tax called the Goods and Services Tax (GST), which is levied at a rate of 3% on the value of gold.

In addition to the GST on the value of gold, a making charge of 5% is also applied to gold when it is made into jewellery. This making charge is in addition to the GST on the value of the gold itself.

Overall, the implementation of GST has resulted in an increase in the taxes applied to gold transactions in Akola, as the GST rate of 3% is higher than the combined VAT and sales tax rate of 2% that was applied prior to GST. As a result, the price of gold in Akola has increased due to the GST.

Gold Purity

The purity of gold can be verified through the hallmark provided by the Bureau of Indian Standards (BIS). If you purchase gold in Akola, do not do so without checking the hallmark. All registered jewellers must stamp gold items with the BIS hallmark and mention the purity level.

The purity of gold is measured in karats. 24-karat gold is the purest form, containing 99.9% pure gold. However, as it is soft, it is used to make electric and medical equipment and cannot be crafted into intricate jewellery designs.

Generally, 22-karat gold is used to make gold jewellery. It contains 22 parts of pure gold mixed with 2 parts of metals such as copper, silver, nickel and zinc. It is also called 916 gold, equivalent to 91.6% gold. The price of 916 gold is calculated by multiplying 0.916 by the price of 24 karat gold.

To buy precious stone jewellery, you could opt for 14K (58.5% pure) or 18K (75% pure) gold.

Understanding 916 Hallmarked Gold in Akola

916 hallmarked gold, also known as 22-karat gold, is a type of gold that contains 91.6% pure gold and 8.4% other metals. The term "hallmarked" refers to the fact that the gold has been certified by a government-authorized assayer to meet certain standards of purity and quality.

In Akola, as well as in other parts of India, it is common for gold to be sold in the form of jewelry, coins, or bars that are made from 916 hallmarked gold. The 916 hallmark is used to indicate the purity of the gold and to provide consumers with assurance that the gold meets certain standards.

The value of 916 hallmarked gold in Akola is determined by a number of factors, including the current market price of gold, the cost of refining and assaying the gold, and any applicable taxes or duties. Gold dealers in Akola typically display the price of 916 hallmarked gold in terms of the weight of the gold, such as in grams or ounces.

Taxes on Gold

The price of physical gold purchased by you in Akola includes the following taxes:

1. Import Duty: 12.5%
2. Agriculture Infrastructure Development Cess (AIDC): 2.5%
3. Goods and Services Tax (GST): 3%.
4. GST on making charges: When physical gold is made into jewellery, it attracts making charges. A GST rate of 5% is to be paid on these making charges.

What are the Factors Affecting Gold Prices in Akola?

Here are some factors that play a significant role in determining gold prices in Akola:

• Inflation
  Gold is often seen as a hedging tool against inflation. Hence, when inflation levels are high, people hold their wealth in the form of gold. With rising demand and short supply, the price of gold increases.
• Government's Gold Reserves 
  The Government of India owns gold reserves. It buys and sells gold through the Reserve Bank of India. The price of gold in Akola and the rest of India may change depending on whether the Government buys or sells gold.
• Interest Rates
  As interest rates decline, people do not get favourable returns on fixed-income instruments. In effect, they use their deposits to buy gold, driving up its demand and, consequently, the price.          
• International Movement
  India imports substantial quantities of gold from overseas markets. Hence, changes in import duties or currency exchange rates impact gold prices within the country, including Akola.
• Jewellery Market
  During the wedding and festival seasons, the gold rates increase. This is caused by increased demand for gold which the existing supply cannot meet.