Expert interpretation of the new gold tax policy: further distinction between commodity and financial attributes, new changes in the gold consumption market

Yesterday, the Ministry of Finance and the State Administration of Taxation issued a notice regarding tax policies related to gold, effective from November 1 and lasting until December 31, 2027, with the applicable time based on the actual delivery date. Professionals pointed out that the new gold tax policy distinguishes between the nature of transactions, specifically targeting investment and non-investment, applying different tax policies for each category for more precise management. Additionally, the policy limits tax incentives to on-exchange transactions at two major exchanges, encouraging trading through national-level platforms to further regulate the market. Industry insiders stated that the policy is an improvement of the existing gold market policies, allowing for a better distinction between the commodity and financial attributes of gold. Moreover, this policy adjustment mainly makes appropriate changes to the value-added tax policy for gold purchased on exchanges, and it is expected that the adjusted gold market consumption and investment environment will become more transparent and healthy