Prevention of Money Laundering Act 2002

Dealers of Gems and Jewellery exempted from PMLA Requirements

Dealers of Gems and Jewellery exempted from PMLA Requirement

Press Information Bureau 
Government of India
Ministry of Finance
06-October-2017 21:35 IST

Government rescinds the Notification No. 4/2017 dated 23rd August, 2017 relating to Gems and Jewellery sector; Another notification will be issued separately in due course.

The Government has received representations from various Associations in the Gems and Jewellery sector with respect to certain incongruities in Notification No. 4/2017 dated 23rd August, 2017, wherein dealers in precious metals, precious stones and other high value goods were notified as person carrying on designated business and professions under the Prevention of Money-Laundering Act, 2002. After considering various aspects of the issue, the Government has decided to rescind the said notification

A separate notification after due consideration of points raised and wider stakeholder consultation in this regard, shall be issued in due course.

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DSM/SBS
Note: The Central Government vide its Notification No. G.S.R. 1058(E) dated 23 August 2017 had notified the dealer in precious metals, precious stones and other high value goods having a turnover of Rs. 2 crores or more in a previous financial year as a person carrying on designated business or profession.

Through a separate notification dated 23rd August 2017, it had been clarified that the Directorate General of Goods and Services Tax Intelligence would act as Regulator with respect to Gems and Jewellery Sector. As per the procedure prescribed dealers covered under the Act were obliged to obtain KYC, maintain a records of all transactions and submit periodic reports to the Authority within the prescribed due dates.

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