Sales Tax Exemption for Purchase of Precious Metals

Prior to task force meetings, ALEC posts these legislative member-submitted draft model policies to our website. The draft model policies are then discussed, debated, and voted on by ALEC task force members. Policies that receive final approval by legislators on the ALEC Board of Directors become official ALEC model policy. Draft model policies that fail to become official ALEC model policy are removed from the website.

Policy Status

  • Type: Model Policy
  • Status: Draft
  • Date Introduced: July 24, 2026

Task Forces

  • Tax and Fiscal Policy Task Force

    • Tags

  • 2026 Annual Meeting

    • Summary

    This model policy exempts certain gold and silver products from sales tax.
    Draft

    Sales Tax Exemption for Purchase of Precious Metals

    Be it enacted by the Legislature of [state name]

    Findings and Purpose

    The purpose of this bill is to:

    • (a) Exempt certain gold and silver products from sales and use tax.

    Section 1. Sales and Use Tax Exemption:

    1. The sale, purchase, storage, consumption, or exchange of gold or silver coin and bullion are exempt from sales and use tax. The exemption applies to
      • (a) gold, silver, platinum, or palladium coins minted and issued by the Department of the Treasury; and
      • (b) refined gold, silver platinum, or palladium bullion, coins, bars, rounds, or ingots that are valued primarily based on their metal content and not their form.

    Section 2. Effective Date:

    This act shall become effective on [month,day, year].