Purchased gold during Dhanteras, Diwali puja done? Want to keep in bank locker? Rules, limits for keeping at home here

Precious metals such as gold and metal have traditionally been the choice of big purchase made by households during the Dhanteras and Diwali festivities, as they are regarded as auspicious days for prosperity and new beginnings.

However, beyond their festive significance, gold and silver attract investors looking to diversify portfolios, preserve wealth and hedge against economic uncertainty.

So, if you are among those who purchased or invested in gold coins, jewellery or biscuits this Dhanteras or Diwali 2026, here's all you need to know about how much of the precious metal you can keep at home legally, if there's a penalty for exceeding limits, rules about declaration and storage, if any, investments, what the tax requirement is, and more.

How much gold can you keep at home legally?

There is no particular law imposing a legal limit on the amount of gold an individual can hold, however, you should be able to justify the source of your assets, especially for tax purposes. Thus, if you hold gold over the below-specified levels, income tax authorities can demand to check the documentation and proof of income.

Now, there is a limit if you have purchased and are travelling with gold from abroad, and in case of raids, authorities can request proof of purchase above certain worth, as mentioned below:

— Men (married and unmarried) can hold 100 grams of gold.

— Unmarried women are allowed to hold 250 grams of gold.

— Married women keep 500 grams of gold.

Notably, these limits are a guideline for tax officials during raids to help them differentiate between legitimate and illegitimate gold holdings and not a legal restriction for how much gold you can individually hold.

Do you have to pay tax for family gold?

There is no need to declare gold stored at home unless it exceeds the prescribed limits. Gold can be stored in various forms, including jewellery, coins, and bars. You will, however, need proper documentation for tax purposes and to show in case of assessment by authorities.

As per the Central Board of Direct Taxes (CBDT), gold purchases made with revealed income sources, inherited from family, and within a reasonable amount, as specified above, are not to be taxed.