Taxation of precious metals
Precious metals are subject to taxation in most countries, because governments prefer to consider them as taxable goods or property (not money) and see these high-value items as a lucrative source of revenue. In most countries capital gains tax applies when precious metals are sold at a profit. Some countries also apply value added tax to precious metals.
In the European Union, the trading of recognized gold coins and bullion products is VAT exempt, but no such allowance is given to silver. Elsewhere in Europe though, Norway has exempted both gold and silver bullion coins with face value from VAT; Norway is part of the wider EEA (European Economic Area) and thus applies the same "intra-community transaction" rules to all of Europe on a bilateral basis resulting in legally tax-free silver coin availability throughout all of Europe.[citation needed]
Canada, and 41 of the 50 United States, do not apply tax to bullion-quality silver and gold.[1][2]
| Country | VAT for silver |
|---|---|
| Finland[3] | 24% |
| Germany | 19% |
| Netherlands[4] | 21% |
| Poland | 23% |
| Slovenia | 20% |
| Russia | 18% |
| Sweden | 25% |
| Switzerland | 7.7% |
| United Kingdom | 20% |
| Austria | 20% |
See also
[edit]- Gold as an investment
- Inflation hedge
- Palladium as an investment
- Platinum as an investment
- Silver as an investment