Fortunately, there are no legal restrictions that limit the amount of gold an investor in the United States can purchase. If you can afford to buy and store your gold, you can buy everything you want. According to the instruction, income tax officials will not confiscate gold ornaments weighing up to 500 grams for a married woman. The same limit is 250 grams for a single woman.
For men, married or single, the CBDT has prescribed a lower limit of 100 grams for each male member of the family. During the Great Depression, the president issued Executive Order 6102, which effectively seized all of the ingots and gold coins from citizens. It's usually more difficult to withdraw gold from a bank, and they rarely offer insurance for your gold collection. Due to the lack of current regulation, gold bars are precious and cost much more than they did 90 years ago.
However, married women in India can keep up to 500 grams of gold jewelry and ornaments without any proof, according to an income tax notice dated May 11, 1994.The circular issued by the CBDT specifies that a married woman can keep up to 500 grams of gold jewelry, a single woman can store up to 250 grams and a male member of the family can keep up to 100 grams of gold ornaments and jewelry. Rajesh Shet, CEO and co-founder of SahiBandhu, a gold lending platform, says that lately he has noticed a new trend in which people are more eager to apply for gold loans with their gold assets to turn their dreams into reality. In India, we had the Gold Control Act of 1968, which prohibited citizens from owning gold in excess of a certain amount. Gold is difficult to reproduce, making it easy for an expert collector or investor in gold coins to detect a counterfeit piece.
However, this was abolished in June 1990 and therefore there are currently no restrictions on the amount of gold that can be stored in India. Since there are no restrictions on the amount of gold you can have in the United States, gold owners don't have to declare their precious metals to the government. However, gold owners with abundant gold ingots tend to store their gold in banks and other secure facilities. What this circular says is that income tax officials cannot seize gold jewelry up to the specified limit, even if family income and status in society do not justify the possession of so much gold jewelry and ornaments.
Knowing how much gold you can hold, how to store it and how to use it properly is vital if you want to get the most out of your investment. The CBDT instruction applies only to gold jewelry and not to gold in any other form or to jewelry of any other nature, such as diamond jewelry, precious stones, etc. Although few Americans today can imagine a government agent breaking into their house and confiscating the gold they are accumulating, the same occurred in 1933 under Franklin D.