I was told that the companies like Monex do not report when you buy/sell gold coins, but do report when you buy gold bullion. Is this legal and is this true?
To clarify, the point I’m making is that if you purchase coins you do not need to pay capital gains tax if there is a profit whereas on bars you do need to pay capital gains on profits. I was wondering if anyone can verify this.
not if you sold enough gold coins to cover the back taxes when uncle sam comes after you.
July 1st, 2009 at 6:43 pm
You only pay tax if you sell them for more than you paid.
July 3rd, 2009 at 11:51 pm
You have a taxable gain or loss with numismatics (coins) as well. Technically you are supposed to report any and all sales of goods and services to the IRS. There is a low limit of $433 dollars that is negligible.
July 7th, 2009 at 11:50 am
I don’t know under what circumstances companies like Monex like report capital gains or not.
I do know that it’s illegal to not claim capital gain income, whether or not a company is reporting on the transaction or not. If you sell a personal I-Pod for a capital gain you should claim it.
It would be easier to cheat if a company’s not reporting your transaction, but that doesn’t make it legal or something I’d recommend.
July 9th, 2009 at 12:44 pm