Buying Gold and Silver in Tennessee

TAXES IN TENNESSEE

The basic sales tax in Tennessee is one of the highest in the United States. The rate is 7%, but this is only the state rate and there are extra local taxes applied on top of it. The lowest you can expect to pay in Tennessee is 7%, but the highest is considerably more. This sales tax applies to everything from precious metal bullion, including silver and gold bars and coins, to some collectible coins. It also applies to paper currency.

Federal Capital Gains Tax

In the entire United States there is a Federal Capital Gains Tax which applies to all of the profits you make from the sale of precious metals. Bear in mind that this tax only comes into effect when you actually sell those metals—not when you hold onto them. The total tax rate depends on your personal income, but there is a maximum federal tax of 28% across the country. For many income brackets, it is significantly less.

Tax Free Precious Metals

While many precious metals are subject to a sales tax in Tennessee, the same does not apply to coins that, as stated in the official tax law, are “traded for their intrinsic precious metal value” or for their “collectible value”. This law is not very clear and seems to contradict itself but, generally speaking, many precious metals are taxed and finding exemptions is not an easy task. There are many bullion dealers located in the state, but many investors choose to purchase their precious metals online in order to avoid state taxes, even while taking into account the extra shipping and handling costs to get those metals to their location.

Source: http://www.tn.gov/revenue/tntaxes/salesanduse.shtml

ABOUT TENNESSEE

The state of Tennessee lies to the east of the Appalachian Mountains. The capital is Music City Nashville, but the largest city, edging Nashville by just 50,000 people or so, is Memphis, which has its own legendary status.

Music and More

Tennessee has a rich history when it comes to country, blues and soul music, with cities like Memphis and Nashville considered to be at the very heart of the blues and country genres. Memphis is also home to Graceland, which is a must-see for all fans of The King, and indeed for all fans of early blues and rock n’ roll. Nashville is just as vibrant, just as interesting and just as rich in culture, with these two cities providing everything that a music lover could hope for.

Tennessee has a strong GDP, with companies such as FedEx headquartered here and with a powerful agricultural sector. But it is the tourism industry that props up the economy, making it one of the most visited states in the country, with close to 20 billion tourist dollars pumped into the economy in 2014 alone.

 

 

Note: GoldBroker cannot provide tax, legal, or other advice, so if you are not sure about the taxation to your personal circumstances, we recommend that you seek independent advice from a qualified professional.

All of these texts were accurate at the time of writing, but tax laws are constantly changing and it’s not easy to keep track of those changes. Because of this, we can not be held responsible for any false or out-of-date information.