Nominated agency rules amended for precious metal exemptions under central tax provisions

Notification 05/2026-Central Tax (Rate) amends existing rules concerning central tax exemptions applicable to the supply of precious metals such as gold, silver, and platinum. Starting 1 November 2026, eligibility for these exemptions requires nominated agencies to maintain explicit alignment with DGFT Appendix 4B specifications. Regulatory linking of tax exemptions to specialized trade appendices ensures that only authorized entities handle restricted commodity imports and preferential supplies without triggering heavy tax burdens.

This administrative control mechanism prevents misuse of tax privileges, contrasting with older frameworks that lacked direct cross-verification between tax authorities and foreign trade directorates. Compliance teams at bullion houses and nominated agencies must verify their registration status against DGFT Appendix 4B ahead of the 1 November 2026 implementation date.

Track further trade notifications regarding precious metals, and ensure all documentation accurately reflects the amended criteria to protect company operations from unexpected tax liabilities.