High gold prices and steep taxes are driving more Indian buyers into under-the-counter cash sales, where bullion and jewelry change hands without invoices that can be traced by authorities.
Buying off the books with cash can shave as much as 6% from prevailing market prices for bulk buyers, according to five people familiar with the trade, asking not to be named discussing a sensitive matter. Dealers accepting cash can sidestep taxes and pass part of the savings on to customers.
