How is gold priced by karat?
Karat is how many parts out of 24 are pure gold. 21k is 21 parts gold out of 24 (87.5%), 18k is 75% and 22k is 91.7%.
Price per gram = 24k price per gram × karat ÷ 24. Example: if 24k is SAR 400 a gram, 21k = 400 × 21 ÷ 24 = SAR 350.
To convert the world ounce price: an ounce is 31.1035 grams and a dollar is 3.75 riyals, so the 24k gram price = ounce price × 3.75 ÷ 31.1035.
Making charge and VAT
Gold shops add a making charge on jewelry, which varies by piece and shop. 15% VAT applies to the gold and making charge when you buy jewelry.
FAQ
Why is the shop price higher than the world price?
Shops add a making charge and their margin, plus VAT. The world price is for raw gold only.
Is there VAT on investment gold?
Investment bars and coins of 99% purity or more can be zero-rated in specific cases, while jewelry is taxed at 15%. Ask the seller about the invoice.
When is zakat due on gold?
When you own 85 grams of pure (24k) gold or its equivalent for a full lunar year. Use the zakat calculator.
We do not show a live gold price. Enter today's price from a gold shop or a trusted source.