What about your state sales tax laws?

This discussion arose on the NGC forum, and I thought it might be a good idea to discuss it here. Here is my post from that discussion. How about the rest of you? Do you know if the purchase of coins and bullion are exempt from sales tax in your home state?



In Florida, the purchase of coins and bullion are exempt from sales tax when the TOTAL purchase price exceeds $500.

Chris


Sales Tax Exemption Available for U.S. Legal Tender
and Certain Sales of Other Coins, Currency, or Bullion

Effective July 1, 1999, the sale of coins and currency that are U.S. legal tender is no longer taxable. The sale of any other coin and any other currency with a price of more than $500, and the sale of gold, silver, and platinum bullion with a price of more than $500, is exempt.

For coins and currency that are legal tender of the United States, no tax is imposed regardless of whether the sales price exceeds the face value. It does not matter whether the coins or currency are in circulation.

For coins and currency that are not legal tender of the United States, tax is imposed at the rate (unchanged) of 6% of the sales price, unless the coins or currency have a sales price that exceeds $500. When the sales price exceeds $500 for a single sale, the transaction is exempt from sales and use tax. Note: The present exemption for coins and currency of general circulation that are legal tender of another nation, when exchanged solely for use as legal tender at an exchange rate based on its relative value, is not affected by this change.

Sales of gold, silver, and platinum bullion are exempt if the sales price exceeds $500 in a single transaction. A single transaction could include a combination of gold, silver, or platinum bullion.

Dealers must maintain proper documentation to show that each sale, or that portion of each sale, is exempt from the tax imposed. Failure to keep proper documentation may subject an otherwise exempt sale to tax.

For More Information

References:
Ch. 99-337, L.O.F.
Ss. 212.05(1)(k), 212.08(7), F.S.

 

Log in or Sign up to hide this ad.

In CA everything is taxed. I think some taxes are taxed, no lie.
Guy

 

I am pretty sure PA exempts sales tax on bullion purchases, but not positive. There may be a threshold, IE; under $1500 or something, I don't really remember.

Doesn't matter, anyway, if I buy bullion, I pay cash and it's all under the table.

 

I have no idea what the rules are in my state but I pay cash. My local coin dealer prefers cash and if you buy bullion with a credit card he assesses the credit card fee.

 

All I can add to this is that here in MI, I have never pad any taxes for any coin show purchases. Not that it means I shouldn't be.

 

in ohio, it all gets taxed. some dealers will include the tax in your price if you use cash.

 

We here in Florida pay taxes on everything my friend. Let me not say what I would love to do the the IRS but I'll just say we don't need them around

 

What does the IRS have to do with state sales tax?

If you believe that we residents of Florida pay taxes on everything, who is collecting your state income tax? I'd like to turn him in for the reward.

Chris

 

Florida sales tax:
TIP # 99A01-13
DATE ISSUED: 06/30/99
Sales Tax Exemption Available for U.S. Legal Tender
and Certain Sales of Other Coins, Currency, or Bullion

Effective July 1, 1999, the sale of coins and currency that are U.S. legal tender is no longer taxable. The sale of any other coin and any other currency with a price of more than $500, and the sale of gold, silver, and platinum bullion with a price of more than $500, is exempt.

For coins and currency that are legal tender of the United States, no tax is imposed regardless of whether the sales price exceeds the face value. It does not matter whether the coins or currency are in circulation.

For coins and currency that are not legal tender of the United States, tax is imposed at the rate (unchanged) of 6% of the sales price, unless the coins or currency have a sales price that exceeds $500. When the sales price exceeds $500 for a single sale, the transaction is exempt from sales and use tax. Note: The present exemption for coins and currency of general circulation that are legal tender of another nation, when exchanged solely for use as legal tender at an exchange rate based on its relative value, is not affected by this change.

Sales of gold, silver, and platinum bullion are exempt if the sales price exceeds $500 in a single transaction. A single transaction could include a combination of gold, silver, or platinum bullion.

Dealers must maintain proper documentation to show that each sale, or that portion of each sale, is exempt from the tax imposed. Failure to keep proper documentation may subject an otherwise exempt sale to tax.

For More Information

References:
Ch. 99-337, L.O.F.
Ss. 212.05(1)(k), 212.08(7), F.S.

 

That is not correct.

Coins and bullion are taxed in California at the normal sales tax rate, but purchases totalling $1500 or more are exempt from the tax.

Additionally, if you buy $1500 or less in coins or bullion from an out of state seller who doesn't charge you CA sales tax, you still owe the tax to California as "use tax" which you pay on your annual indivdual income tax returns.

 

It's easy enough to check your state sales tax laws... sometimes it just seems like we pay tax on everything.

 

Thats why I don't "buy coins", I merely "exchange cash".

Why feed the bankruptcy machine?
Guy

 

No taxes on coins/bullion in Arizona.

 

5% Sales Tax in Virginia, no exemptions. I charge it on eBay and on my site, gotta pay if you want to play. Of course in practice all it does is prevent orders from in-state!

 

Way to go, poker face.

 

No sales tax on anything here, so I'm assuming that includes bullion.

 

Where?

 

No sales tax here where I live on anything ( New Hampshire) except rooms and meals tax

 

Actually, in Florida ANY coin or currency of the United States, including Eagle bullion, as it is 'legal tender', is non-taxable at ANY value.

The $500 tax ceiling only applies to non-US coins and bullion that is not US legal tender.

What kills me is that Florida eBay'rs often try to charge tax on US coins.
I guess when someone falls for it, which most probably do, they just pocket the "tax".

 

Huh???
We got it easy in Florida.
We don't pay tax on coins, food, or income!
MOST other states tax you on all those things.