How is gold taxed?
Taxation of gold: how is it taxed?
The purchase of physical or paper gold is not taxed. However, on resale, physical gold is taxed via a flat-rate tax or capital gains tax. So you need to choose the most advantageous option to save money. How is gold taxed? How is gold taxed? Let’s take a moment to discover the rules governing the taxation of precious metals, and the different taxes that apply to gold!
Taxes on gold purchases
Generally, the French decide toinvest in gold physical gold, i.e. in the form of coins and bars. The purchase of coins minted after 1800 and bullion is exempt from VAT (value-added tax), unless the premium is greater than 80%. Collector gold coins, i.e. those minted before 1800, are subject to 20% VAT, as they are not considered legal tender. Gold is also excluded from the property wealth tax (IFI).
Investing in stock market gold
The definition of gold has been modernized to allow everyone to benefit from this safe-haven asset. L’buying and selling gold bullion is still the safest way to invest your savings in gold: you can also invest in paper gold (certificates, trackers, shares and equity funds). Here too, no tax is payable on purchase. However, you must take into account the transaction fees charged by the broker or financial platform. The exact charges depend on the intermediary chosen.
Gold taxation : what to remember ?
When considering investing in gold, it’s essential to understand the tax implications. Purchases and sales of gold for investment purposes are not subject to value-added tax (VAT), unlike other forms of gold. This rule is set out in article 298 sexdecies A of the French General Tax Code (CGI). Specific details concerning investment gold, which includes coins with a purity of at least 900 thousandths and ingots with a purity of at least 995 thousandths, are available in the Bulletin Officiel des Finances Publiques-Impôts (BOI) under sections BOI-TVA-SECT-30-10 and BOI-TVA-SECT-30-20 for industrial gold.
The did you know? The European Commission also publishes a list of gold coins intended for investment. Keeping these tax rules in mind will help you optimize your gold investments while minimizing tax implications.
Donation and inheritance: what tax on precious metals?
Gold taxation in the event of a gift
The tax treatment of gold donations depends on the family relationship. For donations of precious materials, an allowance is granted for a period of 15 years:
- 80,724 € between spouses or PACS partners;
- 100,000 € per child or ascendant;
- 31,865 per grandchild;
- 5,310 per great-grandchild;
- 15,932 between brothers and sisters
- 7,967 per nephew or niece;
- 159,325 for a disabled person.
Taxation of gold in the event of succession or inheritance
The taxation of gold also varies in the case of inheritance. In the event of resale of precious metals via an inheritance, it is possible to benefit from advantageous taxation on real capital gains. The notary provides you with a certificate proving that you are the owner of the gold. The attestation specifies the date and value of the metals at the time of sale, with a very precise description of the metals in question.
For your gold redemption or gold jewelry buybacktrust Les Métaux Précieux. Our experts welcome you to our Paris branches and will answer all your questions about the taxation of gold! So you know exactly where you stand.
Please note that all these explanations apply to French tax residents: if the seller does not have his tax domicile in France, he is exempt from tax. However, you need to find out how you are taxed in your country of residence.