Should I grade a Krugerrand

One oddity here in North Carolina is that coins and bullion are exempt from sales tax, but jewelry is not.

So, want to buy a 1ozt AGE in a big heavy bezel that contains another 2/10ozt of gold? That'll be close to $4000 even if it's sold at melt, plusc another $300 for sales tax.

Pop the coin out of the bezel and sell the two separately? The coin's tax-free, and tax on the bezel (I think it's still counted as jewelry) will be $50.

Melt the bezel into a blob and sell it? Now it's completely tax-free. Not sure if you can make it "not-jewelry" by just pounding it into a lump.

If a dealer tried to sell that krugerrand-in-a-bezel here, sales tax on the coin-in-a-bezel would be more than the value of the bezel itself. It would absolutely make more sense to sell them individually, with a "free installation" service if the customer wanted them assembled.

 

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If I was buying something like that retail, I would argue that they separate the coin value from the bezel/chain value and ring them up individually. No need to remove the coin - you know how much it weighs and thus the bezel/chain weight. I mean, they did that calculation when they put a price tag on it, right?

 

Well the gentleman who bought it said that it wasn't in the bezel for very long cause it didn't have any marks on it at all and he said that he would grade it ms69+ to a ms70 with no obvious bezel shading or marks from the bezel. I watched one dealer buy it and sell it to another collector at the same time right in front of me and he made $140.00 selling it to the guy. And he only touched it 2 times and had possession of it for 3-4 minutes, it was pretty amazing how fast all the deals were going on all around.

 

He had some kind of a gun looking device that he shot a Lazer beam at it really close and he was surprised it came back at 18kt.

 

You should keep that Gentleman's contact information
He obviously saw something he liked in your coin, I went back and looked at your picture.
Not a Sharp enough picture to really tell the grade from where I sit my grading skills are a little tough MS 69/70 would be a stretch IMO but it Sounds like everyone involved did there part and found a good caretaker for the gold.

 

Not sure I'd trust the (presumably XRF) gun in those circumstances, but I'm also pretty sure that dealer had a LOT more experience with the gun than I do.