Income and Sales Tax Exemptions for Precious Metals Act

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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 exempts certain gold and silver products from sales and use tax and provides income tax neutrality.  
    Draft

    Income and Sales Tax Exemptions for Precious Metals Act

    Findings and Purpose

    The purpose of this bill is to:

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

    Be it enacted by the Legislature of [state name]

    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 or silver bullion, coins, bars, rounds, or ingots that are valued primarily based on their metal content and not their form.

    Section 2. Income tax neutrality

    1. Gains or losses from the sale or exchange of certain coins and bullion are exempt from recognition for income tax purposes. The exemption applies to:
      • (a) gold, silver, platinum, or palladium coins minted and issued by the Department of the Treasury; and
      • (b) refined gold or silver bullion, coins, bars, rounds, or ingots that are valued primarily based on their metal content and not their form.

    Section 3. Effective Date:

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