How the price is worked out
Metal value = weight × today's rate for the purity. 22K gold is 91.6% pure, 18K is 75%, so their rate is the 24K rate × purity.
Making charges are added as a percentage of the metal value or as rupees per gram. GST is 3% on the metal value plus making charges.
Since 2021, gold jewellery sold in India must carry a BIS hallmark with a 6-digit HUID code. You can check it in the BIS CARE app.
Frequently asked questions
Why is my old gold worth less than new gold?
Jewellers test the purity and deduct for melting loss, and you do not get back the making charges or GST you paid.