Do I pay tax buying 1oz Canadian Maples?

Heres what happened. I live in Ontario Canada, and I bought 2 2011 1oz Silver Maples from a well known dealer in Kitchener Ontario, and they charges me 9 bucks and change in taxes,,,HST.
Arent bullion items tax free? If this is legit then I got a good mind sending them back and shop right in a coin shop and pay cash.
Thanks

 

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Tax for bullion makes no sense!!! Especially in Canada/ WAY too high

 

Isn't there some kind of VAT tax on silver in Canada?

 

I dunno guys..I sent them an email earlier this evening...just want to get an idea what the rules are before they write back,

 

From internet search " Canada tax bullion coins"

Jim

 

I don't know... But, if thats the case... You basically lose any profits through taxes. :so-sad:

 

Silver and gold coins are taxable but bullion in the form of bars are not.Coins are not considered bullion even though they contain precious metals.
The store will most likely let you return them if the price of silver goes up,if it goes down don't expect them to take a loss.Next time buy some silver bars.

 

Thanks,,,ya know I'm amazed they dont include an advisory on their web site of this nature....lessons learned...buy from a brick and mortar pay cash and avoid that crap all together.
I paid over 40 bucks an ounce for this stuff now that these taxes look like they are a go.

 

Well..I got my response back..indeed they made an error and they will be refunding the entire taxes they initially charged me in error...$9.57....small amount I know but its the principal

 

Good thread.

 

Gold and silver bullion are NOT taxable in Ontario. (I think they have to be 97.5% pure or higher, for tax exemption but any of .9999 stuff is tax free). It doesnt matter what form it is. Bars, rounds, blobs, anything as long as it meets the purity requirements.

 

I got this from the mint website:

"

How will the Harmonized Sales Tax (HST) affect my purchase?
Following the implementation of harmonized sales tax (HST) regimes in Ontario and British Columbia on July 1, 2010, all gold and silver products meeting the following conditions will be HST exempt:

• Minimum purity must be 99.5% for gold and platinum and 99.9% for silver;
• Products must be in bar, ingot, coin or wafer form; and
• Coins satisfying minimum purity levels must have also been issued by a government authority as legal tender.

For further information, please visit the Canada Revenue Agency's website at http://www.cra-arc.gc.ca/gncy/hrmnztn/menu-eng.html

 

So it sounds to me like you can buy an American Gold Buffalo tax-free in BC and Ontario, but you would have pay tax on an American Gold Eagle.

 

If were talking about the same coin shop, they tried the same thing with me when I made an online purchase. When I received the invoice with tax, I complained via email and they said they manually adjust the invoices. Didn't matter in the end, by this time I lost my trust in them and bought instead from my local bank.
Pure silver bars and coins are non-taxable.
If you don't receive a refund, show them a piece of paper with the phone number of the Canada Revenue Agency. Back of a box of cornflakes will work fine.
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