Important info for all Coin,Bullion Collectors,Dealers, Businesses!

BrianKuszmar · June 23, 2008 11:11PM

One of the best and most important bills to come up for Coin & Bullion
Collectors EVER

Everyone from collectors, dealers, grading services and more needs to be supportive and act on

H.R. 5427

The proposed legislation, as outlined:

(a) In General- Notwithstanding any other provision of law–

(1) no tax may be imposed on (or with respect to the sale,
exchange, or other disposition of) any coin, medal, token, or gold,
silver, platinum, palladium, or rhodium bullion, whether issued by a
State, the United States, a foreign government, or any other person,
and

(2) no State may assess any tax or fee on any currency, or
any other monetary instrument, which is used in the transaction of
interstate commerce or commerce with a foreign country, and which is
subject to the enjoyment of legal tender status under article I,
section 10 of the United States Constitution.

(b) Effective Date- This section shall take effect on December
31, 2008, but shall not apply to taxes or fees imposed before such
date.

The bill has no cosponsors and has been referred to the following
committees:

* House Ways and Means
* House Judiciary

Ok folks, here is a chance to kill ALL taxes on all coins on a National level and never worry about the State taxing you on coins and bullion. I am in the midst of getting details on who in the industry is supporting this bill and will relay any info to you folks here. Sure would be nice to remove coin and bullion tax issues on a federal level, this would prevent states from putting sales tax on coins every few years after we get it knocked out.

Appreciate everyone passing this info around, keeping it alive and doing what you can to get this bill through.

Albeit it can be construed political in a political way (I hope it is not), This being a crucial message that needs to get out and is specific to the hobby I am sure CU wants this information heard and disseminated and will not ban me, if there is any discussion, please keep it on the bill itself. Thank you CU and CU members!

notwilight · June 23, 2008 11:31PM

This is not politics. This is a proposed new law.

The first person wo posts "well the democrats this..." or the "The republicans that..." will kill the thread.

--Jerry

nutz4coinz · June 23, 2008 11:35PM

This thread is one thread that should get locked at the top!! This is a great thing for all of us. I'll put in a call to my senators office, congressman's office...anyone that has ties to the government machine in D.C. Thanx for bringing this to our attention, BrianKuszmar!!!

edited to add: My reply was NOT a 'political' reply, as defined in Carol's thread. Simply posting who to call in support of a law that will benefit collectors. Ultimately, should it pass, it means , potentially, more money for more coins, ending with more coins to grade. It would help anyone that participates in this hobby, exactly what the OP said in the title.

Connecticoin · June 23, 2008 11:35PM

That would be nice. I would defintely go to more coin shows in NY, NJ, and MA if this law were passed.

BrianKuszmar · June 23, 2008 11:44PM

I am still looking to find where the bill stands. Believe it or not, I have never heard of the bill until I was reading some old copies of CoinWorld and found it in the March edition stuck in the back of the paper and maybe 1/4 page long. Shows you how on the ball this hobby/industry is when it comes to it's survival. Problem with many in this hobby/industry is that they cannot see past the short term profits to see whats best for the industry/hobby in the long term. Another problem is that when it comes to bad laws/regulations etc.. we have nobody going to bat for us and when we do, we spend more time fighting the fire and getting our arses 1/2 burned (and being happy about it!) instead of preventing the fire to begin with.

Time to change..

garsmith · June 24, 2008 12:12AM

Does this include the removal of state sales tax on bullion coins? I stopped buying my bullion from a good local dealer because they where charging an extra 7.25% that out of staters didn't have to pay.

BlindedByEgo · June 24, 2008 12:23AM

<< Does this include the removal of state sales tax on bullion coins? I stopped buying my bullion from a good local dealer because they where charging an extra 7.25% that out of staters didn't have to pay. >>

ALL tax.

gecko109 · June 24, 2008 12:29AM

When a person buys a stock, there is no sales tax. I never understood why some states have a sales tax on bullion. Numismatic items are a little more of a grey area because they can be construed as something completely independent of a "real" investment. That being said, i'd love to see all sales taxes lifted on all coin related items. Im in a weird position as although I live in Chicago, im just 5 minutes from Indiana. Illinois has no sales tax on numismatics/bullion....Indiana does, although all my regular contacts kindly waive the ridiculous tax.

TwoSides2aCoin · June 24, 2008 12:33AM

I need a T shirt that says :
Pass this Bill

HR 5427

Coinsponge · June 24, 2008 12:33AM

Hard not to get "political" on this but considering the current occupants of Congress I would say this bill is D.O.A...

TwoSides2aCoin · June 24, 2008 12:57AM

PerryHall · June 24, 2008 1:02AM

Does this include no income tax on coins sold for a profit?

BrianKuszmar · June 24, 2008 3:42AM

<< Does this include no income tax on coins sold for a profit? >>

I believe it includes all taxes. However idealistic that it is to remove fed taxes,Capital Gains etc.. many bills get cut up and negotiated. Even if the fed taxes were cut out of the bill and just the federal exemption on the States ability to tax coins and precious metals were left in the bill, it would be a huge win for everyone.

Greeniejr · June 24, 2008 3:49AM

I may be wrong but I believe this only applies to sales tax. There is other legislation in the works (talk to ICTA people about it) that will change gains from sales of coins taxed at the long term capital gains rate and not the normal rate.

coolest · June 24, 2008 4:01AM

Do you think this law would apply to income tax?

ilikebuffaloes · June 24, 2008 4:17AM

If this is passed, I'm sure they would reword it slightly because it isn't clear about income tax on any capital gain (or loss) from a coin or bullion transaction.

I bet more people would invest in coins and bullion if there were no tax consequences (sales tax and income tax) on it!

BlindedByEgo · June 24, 2008 4:19AM

<< 

<< Does this include the removal of state sales tax on bullion coins? I stopped buying my bullion from a good local dealer because they where charging an extra 7.25% that out of staters didn't have to pay. >>

ALL tax. >>

By "all tax", I meant sales tax, state or federal. And sice I see the author of the bill is the same person who authored the bill to abolish the FRB, I think that this has roughly the same chances as a snowball has in Hades, sorry to say.

notwilight · June 24, 2008 4:23AM

<< Do you think this law would apply to income tax? >>

No

TwoSides2aCoin · June 24, 2008 4:28AM

HonoluluDude · June 24, 2008 4:29AM

Is Ron Paul behind this? I really doubt this will pass.

BrianKuszmar · June 24, 2008 4:43AM

I would not care if the Devil himself introduced the bill. It is good for the hobby. Remember not to throw baby out with the bathwater and please, keep it on getting the word out and the "how" of the bill itself, not who or why otherwise you will get a important message nixed..

BrianKuszmar · June 24, 2008 11:08PM

For a billion dollar industry we sure have some worthless organizations, Icta imo to name a few...

Apparently the Industry's supposed watch dog ICTA has imo has proved itself useless again and has done nothing. If anyone thinks that they are protecting the industry/hobby call me, I can tell you how much that is not true and how often they have actually helped Government entities bend us over...

I will be at table 202 this weekend at fun if anyone want to discuss this and some other things I have in mind...

SilverBaron · June 25, 2008 1:50AM

Link to text??........

!!!! EVERY MAJOR DEALER IN THE COUNTRY AS WELL AS ICTA SHOULD BE ON THIS EVERY DAY !!!

Aegis3 · June 25, 2008 11:26AM

I'm against having the federal government forcing all states to add increased regressivity into their tax structures. IF there is to be a general sales tax, numismatic transactions should be taxed the same way as any other luxury item with perhaps a bullion-at-near-bullion-prices exception.

BigE · June 25, 2008 11:34AM

Interesting that Rhodium is in there, at 10K an ounce the tax is quite hefty----------BigE

Important info for all Coin,Bullion Collectors,Dealers, Businesses!

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