Washington State Wants to Kill Precious Metal Investing

taxmad

https://komonews.com/news/local/tax-exemptions-for-precious-metals-bullion-to-be-repealed-other-new-taxes-in-2026#

If you think you can avoid the tax by purchasing from non-Washington stores, the State will be registering APMEX, Bullion Exchange, etc and EBay/Costco are already set up to charge tax. This will apply to bullion and monetized bullion (90% US Codes will now be taxed 10%). The selling company will owe .5% tax on the gross sales price.

GoldFinger1969

Don't pay it. Starve the SOBs.

TomB

So, somehow the Washington state Joint Legislative Audit and Review Committee (JLARC) came to the conclusion that tax exemption "may not be achieving the inferred public policy objective of making Washington coin and bullion dealers more competitive with out-of-state competitors...".

And, also somehow, the answer to that is to add a 10% tax to the purchase of all products? Why don't they just admit they're looking for low hanging fruit and think they can get away with this instead of insisting that a 10% tax upfront makes in-state businesses more competitive.

RedneckHB

@TomB said:

And, also somehow, the answer to that is to add a 10% tax to the purchase of all products? Why don't they just admit they're looking for low hanging fruit and think they can get away with this instead of insisting that a 10% tax upfront makes in-state businesses more competitive.

Sounds like a tariff.

jmski52

Didn't Washington State make hallucinogenic mushrooms legal? Maybe that explains why they think taxing PM dealers will make them more competitive.

cinque1543

Looks like the tax also will be applied to "monetized bullion", which the state defines as coins or other forms of money manufactured from gold, silver, or other metals and heretofore, now, or hereafter used as a medium of exchange under the laws of this state, the United States, or any foreign nation.

So if a gold sovereign, for example, was used as money in Britain in 1840, that coin also will be taxed if purchased from a dealer in Washington. Sound like a correct interpretation?

taxmad

@cinque1543 said:

So if a gold sovereign, for example, was used as money in Britain in 1840, that coin also will be taxed if purchased from a dealer in Washington. Sound like a correct interpretation?

Honestly it doesn't matter - if it isn't monetized bullion it is just bullion. Both are subject to retail sales tax. Buy a 1964 Kennedy for you album - pay retail sales tax. Buy a 1965 - purchase it tax free (unless it is 40%).

If this isn't flipped, no coin store in Vancouver or Spokane will be in business in a year. The Seattle coin shows will be ghost towns. However Washington needs money and they need it quick, so short term gain for long term pain

Morgan White

Reminds me of that stunt Minnesota pulled a few years ago. Major dealers quit shipping to MN residents because of it.

TomB

@Morgan White said:
Reminds me of that stunt Minnesota pulled a few years ago. Major dealers quit shipping to MN residents because of it.

I was thinking of Minnesota, as well, and how hard it was for folks to drag that through court.

MsMorrisine

unfathomable reasoning

blitzdude

No PM taxes over here in The Commonwealth. Other than the dealer's "premium" tax. RGDS!

MsMorrisine

silver proof sets? how does one figure the tax there all or not nothing seems like

JimTyler

That sucks. My daughter lives in Washington and I planned all along to leave her my gold coins.

MsMorrisine

this sounds like just a sales tax

Bochiman

@RedneckHB said:

@TomB said:

And, also somehow, the answer to that is to add a 10% tax to the purchase of all products? Why don't they just admit they're looking for low hanging fruit and think they can get away with this instead of insisting that a 10% tax upfront makes in-state businesses more competitive.

Sounds like a tariff.

Nope. It's WA State...it's all about taxes here. Just plain ol' simple TAX EVERYTHING taxes.

Bochiman

@taxmad said:

@cinque1543 said:

So if a gold sovereign, for example, was used as money in Britain in 1840, that coin also will be taxed if purchased from a dealer in Washington. Sound like a correct interpretation?

Honestly it doesn't matter - if it isn't monetized bullion it is just bullion. Both are subject to retail sales tax. Buy a 1964 Kennedy for you album - pay retail sales tax. Buy a 1965 - purchase it tax free (unless it is 40%).

If this isn't flipped, no coin store in Vancouver or Spokane will be in business in a year. The Seattle coin shows will be ghost towns. However Washington needs money and they need it quick, so short term gain for long term pain

It's because most of the elected, law making, individuals don't understand business. They have pet projects and want to fund them, but no accountability of the funds after they are taxed.
As for businesses...many have been taxed out of existence in certain WA cities (seattle, for example) and others have been moving out of state due to taxing policies happening.

The state's "leaders" truly do not understand business at all

SurfinxHI

@JimTyler said:
That sucks. My daughter lives in Washington and I planned all along to leave her my gold coins.

well, just leave them all to me. I don't live there, and I'll keep them safe and sound!

GoldFinger1969

@JimTyler said:
That sucks. My daughter lives in Washington and I planned all along to leave her my gold coins.

Not sure an estate gift would be taxable. But I am not a laywer or estate expert.

BLUEJAYWAY

For a 30% clip on a silver quarter does one only pay the tax on the remaining 70% of silver as bullion?😆

taxmad

@GoldFinger1969 said:

@JimTyler said:
That sucks. My daughter lives in Washington and I planned all along to leave her my gold coins.

Not sure an estate gift would be taxable. But I am not a laywer or estate expert.

Washington also has a very aggressive Estate tax (and capital gains tax).

taxmad

@JimTyler said:
That sucks. My daughter lives in Washington and I planned all along to leave her my gold coins.

My guess is a thriving black-market in gold will develop. Dealers will pay well back of spot, as they have to sell to wholesalers and will have the shipping/insurance costs to cover. She might do well selling private party as undercutting registered sellers by 10% will ensure at least spot

Dave99B

Washington State lawmakers are morons ... been that way for years. Short sighted to say the least.

Oregon coin dealers will be making an absolute killing.

Dave

Bochiman

One of the worst case scenarios for me would be, when my son moves to FL for his job next year, to use his address as needed.
I won't give much of anything to our corrupt lawmakers and their overtaxation in WA

TwoSides2aCoin

Tax break today.

softparade

@TwoSides2aCoin said:
(https://us.v-cdn.net/6027503/uploads/editor/oi/2fzdpby23b8d.jpeg
Tax break today.

STACK IT UP!