Gold and silver prices are down

The profit is ordinary income (collectible), with no advantageous capital gains treatment ... the one pesky detail all PM brokerages leave out of their "about gold" articles.

You can gift more than the limit without triggering a taxable event, but you have to file IRS form 709 and the amount of the gift (or amount in excess of the limit, not sure which) reduces your lifetime tax free inheritance tax threshold.

Do they 1099 you, make you fill out a form, take your name and SSN or is this an honor system where you report it on your taxes. Is there a paper trail?
 
Do they 1099 you, make you fill out a form, take your name and SSN or is this an honor system where you report it on your taxes. Is there a paper trail?
If the gold takes a form that can be used to fulfill a commodities futures contract, yes - even if the gold is not being used to make good on such a contract.
 
Well, it was good while it lasted, but now Ebay is collecting MA tax on ALL gold and silver sales - including sales over $1000, and sites like MCM that weren't charging tax at all are now charging tax. I contacted a couple of favorite sellers but it's likely Ebay's fault not theirs.

I bought everything I could the last few years anticipating either the end of Ebay bucks for PMs or something like this. Now I'm done with Ebay PMs.

For NH buyers, here's a great Apmex deal with Ebay bucks, $80 below spot for gold Eagle after $100 Ebay bucks.

 
Bay Precious Metals on Ebay is not charging tax on sales over $1000, so it's not an Ebay thing, it's the individual sellers making the mistake. Hopefully Apmex and MCM will adjust their policy.
 
Bay Precious Metals on Ebay is not charging tax on sales over $1000, so it's not an Ebay thing, it's the individual sellers making the mistake. Hopefully Apmex and MCM will adjust their policy.

This is bad news, it was already getting to be annoying with the premiums built in over spot, with the tax it will definitely have me purchasing elsewhere
 
I just added a gold coin over $1000 to my cart on eBay and went to checkout. There was no sales tax added.

Is it possible the tax is because it is considered jewelry?

:-(

Well, it was good while it lasted, but now Ebay is collecting MA tax on ALL gold and silver sales - including sales over $1000, and sites like MCM that weren't charging tax at all are now charging tax. I contacted a couple of favorite sellers but it's likely Ebay's fault not theirs.

I bought everything I could the last few years anticipating either the end of Ebay bucks for PMs or something like this. Now I'm done with Ebay PMs.

For NH buyers, here's a great Apmex deal with Ebay bucks, $80 below spot for gold Eagle after $100 Ebay bucks.

 
I just added a gold coin over $1000 to my cart on eBay and went to checkout. There was no sales tax added.

Is it possible the tax is because it is considered jewelry?

:-(

Yes, that's exactly it, good catch, rich! They put it in jewelry so you can get the Bucks I assume.

Interestingly I bought this one a month or two ago and there was no tax, but not sure what category it was in.

So if you want $80 under spot, these gold coins gets $100 Bucks and no tax:



Cheapest per oz ($100 below spot) would be this, but even if you buy 4 they still charge tax for some reason:
 
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I'm afraid I'm not getting the 8% eBay bucks offer... I demand reparations!

Otherwise I'd buy one of these cool coins!

:)

Yes, that's exactly it, good catch, rich! They put it in jewelry so you can get the Bucks I assume.

Interestingly I bought this one a month or two ago and there was no tax, but not sure what category it was in.

So if you want $80 under spot, these gold coins gets $100 Bucks and no tax:



Cheapest per oz ($100 below spot) would be this, but you'd have to buy 4 to avoid tax:
 
The question was and "either or" proposition. Which part are you saying "yes" to?
I am saying if the gold takes the form that can be used to fullfill a commodity contract it is reportable.

If it does not, it is not reportable, but the IRS can access records of the transactions and you banking records if they care to look.
 
I just added a gold coin over $1000 to my cart on eBay and went to checkout. There was no sales tax added.

Is it possible the tax is because it is considered jewelry?

:-(
In MA sales $1000 and over are exempt from sales tax for numismatics and bullion, jewelry would be taxed


(ll) Sales of one thousand dollars or more of (i) rare coins of numismatic value; (ii) gold or silver bullion or coins; or (iii) gold or silver tender of any nation traded and sold according to its value as precious metal. The word ''bullion'' shall not include fabricated precious metal which has been processed or manufactured for industrial, professional or artistic uses.
 
In MA sales $1000 and over are exempt from sales tax for numismatics and bullion, jewelry would be taxed


(ll) Sales of one thousand dollars or more of (i) rare coins of numismatic value; (ii) gold or silver bullion or coins; or (iii) gold or silver tender of any nation traded and sold according to its value as precious metal. The word ''bullion'' shall not include fabricated precious metal which has been processed or manufactured for industrial, professional or artistic uses.

Apmex and mcm both are charging tax on multiple coins that total over $1000. They told me it's EBay charging tax not them. Single items over $1000 aren't charged tax.
 
Apmex and mcm both are charging tax on multiple coins that total over $1000. They told me it's EBay charging tax not them. Single items over $1000 aren't charged tax.
I've found that I often receive a better price buying from apmex directly rather than through eBay.
 
FYI Apmex direct purchases ding you about 3% for using a credit card, unlike eBay. You can send a check or do a wire transfer at no charge.

I've had nothing but good dealings with Apmex.

I've found that I often receive a better price buying from apmex directly rather than through eBay.
 
I've found that I often receive a better price buying from apmex directly rather than through eBay.

It's just the 10% Bucks deals that make me use EBay, and as rich said using a CC is nice too. With Bucks you can get a good coin for $80 under spot, just not possible anywhere else.
 
It's odd that increasing budget deficits, interest rate cuts, & "not QE" haven't been moving the PM markets much. Seems likes an obvious time to buy but what do I know?
 
Apmex and mcm both are charging tax on multiple coins that total over $1000. They told me it's EBay charging tax not them. Single items over $1000 aren't charged tax.
They are incorrect in charging you tax, the Commonwealth will gladly receive it from Apmex and Mcm. Another reason I prefer to go to local coin shows and conduct face to face transactions.
 
It's odd that increasing budget deficits, interest rate cuts, & "not QE" haven't been moving the PM markets much. Seems likes an obvious time to buy but what do I know?

Here's how I see it:
- gold/silver had a huge rally this fall breaking through the top end of a 6 year trading range at $1375 and going all the way to $1550, which is major resistance dating back to the 2011 rally to $1900. So when you have a huge rally like that you nearly always have a correction, usually back to test the top of the breakout level, $1375. But gold has stubbornly held onto the $1480-$1500 range, refusing to correct. Gold mining stocks have corrected however, and that's usually bearish for gold.

- Why is gold hanging around instead of correcting? Cause the Fed rate cuts and REPO program are very bullish for gold, and while there's been lots of talk of trade and Brexit deals, nothing has materialized yet.

- it seems unlikely that gold will break through $1550 without a solid correction - so I still expect a better buying opportunity around $1450, maybe if/when Trump signs a deal with China. It might go lower than that, maybe $1400 or $1375 but won't go any lower than that, unless the US and global central banks somehow turn hawkish - and that's about as likely as governments suddenly deciding to balance their budgets.
 
Here's an item that comes in slightly below spot (about 1%) if you get the 10% ebay bucks by using a mobile device.


However, they apply MA sales tax, so it only makes sense if you're from NH or another sales tax free state. :-(

I'm seeing rather large markups on most gold items. Feels like more of a sellers market right now...
 
OK, just got a eBay bucks offer. 6% online. 10% if I use a mobile device.

What's a good use of these offers today? Did you guys get the same offer?

@Varmint @Win @enbloc @samandglove1

The best deal would be a coin that avoids MA tax but qualifies for Bucks.

Here's one, about $70 under spot:

The problem is Apmex and MCM don't seem to understand that 3 coins totaling $1000 avoids MA tax. I emailed them about it and MCM is looking into it. Hard to find other vendors whose items qualify for Bucks. Those two are my go to sellers.
 
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