Core Viewpoint - The new tax policy on gold, effective from November 1, represents the largest adjustment since 2002 and 2008, categorizing gold transactions into "investment" and "non-investment" uses, which will significantly impact the gold market and consumer behavior [1][5][11]. Group 1: Tax Policy Changes - The new regulation divides gold into two categories: "investment" (e.g., gold bars, coins) and "non-investment" (e.g., jewelry, industrial gold) [5][7]. - The tax rebate for retailers has decreased from 13% to 6%, increasing tax costs by approximately 7%, which is expected to be passed on to consumers, raising costs by about 60 yuan per gram [7][9]. - The announcement aims to guide gold trading towards more regulated and transparent channels, encouraging transactions through exchanges to benefit from tax exemptions [11][13]. Group 2: Market Reactions - On the first day of the new policy, the Shenzhen gold market saw a significant slowdown, with many retailers halting sales and prices for gold jewelry increasing by 61 yuan per gram to 1259 yuan per gram [3][9]. - The new tax structure is likely to shift trading from informal to formal channels, potentially reducing illegal trading and short-term arbitrage activities [13][18]. - Consumers are advised to consider the implications of the new tax policy on their purchasing decisions, particularly regarding the channels through which they buy gold [9][18]. Group 3: Consumer Impact - Ordinary consumers purchasing gold jewelry will not feel a significant impact from the new tax policy, as retail prices already include taxes [15][16]. - The market restructuring may lead to a preference for purchasing gold through official channels to ensure value retention, as the fluctuations in gold prices remain unpredictable [20].