IRS 1099 Gold Reporting - Private Gold? - Private Silver Bullion?

IRS 1099 Gold Reporting - Private Gold? - Private Silver Bullion?
GoldSilver.com
MAY 14, 2012

Before we begin, the following information covers aspects of investor privacy, not an investor's responsibility to pay income tax gains on any profits made from the purchase and sale of investment grade bullion products. For tax questions, please seek professional tax consul.

We know investor privacy is very important to physical silver and gold purchasers and confidentiality is one of the values we covet most along with our customers.

For some bullion investors, ensuring themselves a private sale is their most important objective and we understand the myriad of reasons as to why this is so.

That being said, we must always adhere to the rules of our industry.

Being a bullion dealer, we are often asked by customers questions like…

- Are my transactions private?

- When I sell my gold bullion or silver bullion, is it a private transaction, or is it reported to the IRS?


First, when a customer buys from our dealership, the transaction is private.

We have specifically designated the current payment method options on our website so that investors who buy bullion from us, do so in confidentiality.

Secondly, when an investor sells their gold bullion or silver bullion to a dealer like us, some of these trades are private while some are not.

Depending upon what you are selling will depend upon whether the powers that be require us as a bullion dealer to fill out something called an IRS 1099-B Form.


IRS 1099 Gold Reporting & Silver ReportingWhen you sell your bullion back to a dealer, the pertinent questions for a dealer are:

1) What form of gold and or silver bullion are you selling?

2) What amount of silver bullion and or gold bullion are you selling?



The following covers private investor sales of bullion products we currently offer at GoldSilver.com.


1099 EXEMPT PRIVATE SILVER BULLION

Private silver bullion ( IRS 1099 Form exempt ) consists of any quantity sold to a dealer of the following items:

- American Silver Eagle Coins

- Canadian Maple Leaf Silver Coins

- Austrian Philharmonic Silver Coins



1099 REQUIRED SILVER BULLION

Reported silver bullion ( IRS 1099 Form required ) consists of 1000 ounces or more sold to a dealer of the following items:

- .999 fine silver bullion bars (any sizes)

- .999 fine silver bullion rounds (any sizes)



1099 EXEMPT PRIVATE GOLD BULLION

Private gold bullion ( IRS 1099 Form exempt ) consists of any quantity sold to a dealer of the following items:

- American Gold Eagle Coins

- American Gold Buffalo Coins

- Gold Austrian Philharmonic Coins



1099 REQUIRED GOLD BULLION COINS

Reported gold bullion coins ( IRS 1099 Form required ) consists of 25 ounces or more sold to a dealer of the following items:

- Canadian Gold Maples (1 oz)

- South African Krugerrands (1 oz)



1099 REQUIRED GOLD BULLION BARS
Reported gold bullion bars ( IRS 1099 Form required ) consists of 32.15 ounces or more sold to a dealer of the following items:

- .999 fine gold bullion bars (any sizes)



These are the IRS 1099-B Form reporting requirements for the bullion products we offer at GoldSilver.com as of May 2012.

Stay tuned to GoldSilver.com for any future news or proposed changes to the current IRS 1099 gold and silver reporting requirements.

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benjamen said:

Having reread this article, I did notice that even for the types of gold/silver that gets reported to the IRS, it is only for larger sized sales.

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If I Buy More Than $10,000 Of Gold Or Silver Is My Order Reported?

JM Bullion respects the privacy of our customers and never discloses any of their purchases to the government. We are, however, under legal obligation to report any cash payments we receive for purchases that exceed $10,000 dollars. This policy also applies to payments we receive within 24 hours of each other whose combined total exceeds $10,000. Precious metal dealers who fail to file such transaction reports are subject to penalty fines, criminal charges and even the possibility of imprisonment.

8300 Form

When filing these cash payment reports, we are required to fill out a 8300 form with the details of the transaction. These details include some customer information, including name, address, license and social security number. ...

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ancona said:

So, now it becomes apparent and transparent at the same time. As I suspected, sovereign silver will be exempted from IRS reporting because it is to be treated as money, since it has a denomination pressed in to ti. As I suspected, tehy are afraid fo the inevitable constitutional challenge to requiring people to pay an excessive tax on something denominated in dollars.

I call this a big win, and will now add exclusively those types of silver not requiring reporting. Furthermore, I will dump all of my bulliuon not exempted and buy exempted silver.

Thanks IRS!!!

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