All India Sarafa Association Vice-President Surinder Kumar Jain said most jewellery shops and establishmentsn have been closed since March 2 after Finance Minister Arun

Jaitley in his Budget speech on February 29 proposed 1 percent excise duty on jewellery.

Jaitley has proposed 1 percent excise duty on jewellery without input credit or 12.5 percent with input tax credit on jewellery excluding silver other than studded with diamondsand some other precious stones.

Meanwhile, the Finance Ministry has clarified that jewellers only with turnover of more than Rs 12 crore will be liable to pay 1 percent excise duty on non-silver jewellery items.

In 1981 and 2012 too, the Centre had introduced excise duty in the gems and jewellery sector, only to roll back the plan later.

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