the problem with selling silver, gold in the united states

[999magnum]

9 hours ago, blindguy said:

too bad you do not have a trusted friend who lives in that state.

I knew you were FULL OF IT!!! Oh but you yourself won't do it right? Virtue signaling gone BAD!!!

[Notafront4adragon]

9 hours ago, Seth said:

Yet the people in the U.K. who want to selll off their silver don't take the VAT that they paid on it when is was bought brand new off when they sell it on second hand, hand in fact they expect to not only recuperate the VAT that they paid on it when it was brand new, but also turn a proffit.  A member on here even complained when it was suggested that VAT be removed from silver that it would depreciate the value of his stack by 20%.

Not how VAT works.

Ask one of your dodgy accountants how VAT works.

[Seth]

On 19/02/2020 at 13:03, sovereignsteve said:

That's because in general goods get vat added to the price when purchased at retail and that value then becomes inbuilt. The tax element cannot be separated unless the original purchaser is a business. If the goods are then sold on to a business on the secondary market, the original tax cannot be reclaimed. This leads to the scenario you outline when silver is sold on the secondary market entirely within the uk.

 

That makes no sense, then what's the whole point of having a silver spot price listed on the stock exchange, or are there multiple spot prices for silver?

Currently as I type this the spot price of silver in US$ is US$18.37 an ounce or in £ it's £14.25 an ounce, what your saying would suggest that there isn't a single internationally recognised spot price for silver, and that it varies from country to countey, and state to state, too give you a few examples:

In Germany the spot price for silver would be US$21.86 per ounce or £16.95 since they have 19% VAT on silver

In Finland the spot price for silver would be US$22.59 per ounce or £117.52 since they have 23% VAT on silver

In Holland the spot price for silver would be US$21.86 per ounce or £16.95 since they have 19% VAT on silver

In Slovenia the spot price for silver would be US$22.04 per ounce or £17.01 since they have 20% VAT on silver

In Russia the spot price for silver would be US$21.67 per ounce or £16.81 since they have 18% VAT on silver

In Sweden the spot price for silver would be US$22.96 per ounce or £17.81since they have 25% VAT on silver

In Switzerland the spot price for silver would be US$19.84 per ounce or £15.39 since they have 8% VAT on silver

In Britian the spot price for silver would be US$22.04 per ounce or £17.01 since they have 20% VAT on silver

In Austria the spot price for silver would be US$22.04 per ounce or £17.01 since they have 20% VAT on silver

And the above is an over simplification, some countries have two different levels of VAT on silver, usually a higher lever of VAT on silver bars, and a lower level of VAT on silver coins.  I hate to break it to you, but no dealer in his right mind will pay you anything close to those prices on generic silver bars or coins, you won't even get the internationally recognised silver spot price, they will buy it off you for a little under spot price.

And before you say that you're only going to sell your silver to private buyers, are you really going to spend your twilight years selling silver online or in person one to a few coins or bars at a time, that's a hell of a lot of time and effort to chase down the right buyers willing to pay the prices you want.  Especially if you started stacking silver from a fairly young age, say staring at 20 you started buying 200 to 250 ounces every month until you retire at say 65, so stacking between 200 to 250 ounces every monh for 45 years, you would end up with between 108,000 ounces - that's one hundred and eight thousand ounces, to 135,000 ounces - that's one hundred and thirty five ounces, of silver, buying 200 to 250 ounces of silver a monh is no too expensive to be out of he reach of a number of forum members I'm sure, are you really going to chase down private buyers willing to pay the prices you want selling anying from 1 ounce at a time to maybe as much as a few kilograms at a time, hell you'd probably die of old age before you even managed to off load a third of it, or are you more likely to take you over 100,000 ounces of silver to somewhere you can sell it all of, or at least a good % of it off in one go to somebody who can afford it, like a bullion dealer?

 

On 19/02/2020 at 22:40, Notafront4adragon said:

Not how VAT works.

Ask one of your dodgy accountants how VAT works.

 

Actually I did that last month when I finally decided that I was going to add to the sack of silver I found last year.  Since I'm a company, and I do produce a product - in this case music, I buy it as a company and reclaim the VAT, which basically means I've gone all Billy Gibbons and Brian May, I now use silver coins as guitar picks - at least on paper, which has the benefit of me being able have their value depreciate since guitar picks, even those made out of stainless steel wear out, and silver is a hell of a lot softer than sainless steel or the delirium guitar picks that I actually use. It turns out if I'm just pracicing - not using them to make money or reherse for gigs but just to maintain my skill level and exercise my fingers, I can write off 1 to 2 ounces a day, if I'm recording I can write off an ounce for every take - every time the record button is pressed, and for live gigs or rehersals I can write off 15 ounces - if I don't accidently drop a pic, in an average 4 to 5 hour gig I'll wear out around 15 pics, as long as it's coins, I can't get away with doing this with bars.  You should see what a 20p looks like after I've used it to practice for 6-8 hours you couldn't spend it afterwards, it gets completely reshaped and almost worn down to 50% of it's original size

 

[ChrisSilver]

Might be best to start a separate topic to discuss UK VAT,

As this topic was intended by the author about USA tax. 

[sovereignsteve]

1 hour ago, Seth said:

That makes no sense, then what's the whole point of having a silver spot price listed on the stock exchange, or are there multiple spot prices for silver?

The spot price is what it is. It is not influenced by different tax regimes in different countries. What you can buy silver for in those counties is different from the spot price.
 

1 hour ago, Seth said:

 I hate to break it to you, but no dealer in his right mind will pay you anything close to those prices on generic silver bars or coins, you won't even get the internationally recognised silver spot price, they will buy it off you for a little under spot price.

We in the UK are fully aware of our difficult situation when it comes to selling silver
 

1 hour ago, Seth said:

And before you say that you're only going to sell your silver to private buyers, are you really going to spend your twilight years selling silver online or in person one to a few coins or bars at a time, that's a hell of a lot of time and effort to chase down the right buyers willing to pay the prices you want

Again, anyone in the UK who stacks silver is fully aware of this; it's what makes our lives difficult compared to you in the US

[RacerCool]

On 16/02/2020 at 08:16, Agnostic said:

You need to find a new CPA

An old friend of mine said that the best friend a business man can have is an unethical accountant. He's also ultimately your worst friend if you're not very careful because he'll rob you of whatever he can get away with.

In other news, many years ago there was this protest in Boston about people being sick of paying taxes on their tea. The tax man is not our friend.

Also, it wasn't that long ago that we didn't have to pay taxes on things bought over the internet. It should still be that way! 

Also, here in the Land of the Free we have four layers of taxes: federal, state, county, and city. 

[blindguy]

i also contacted the IRS and state department of revenue to make sure my cpa had it right.  She did. ebay also confirmed this on the phone..  if you do not believe me why don't you call the irs and tell them you are selling PM's without collecting the taxes. they will enjoy the call.

[Seth]

2 hours ago, RacerCool said:

An old friend of mine said that the best friend a business man can have is an unethical accountant. He's also ultimately your worst friend if you're not very careful because he'll rob you of whatever he can get away with.

In other news, many years ago there was this protest in Boston about people being sick of paying taxes on their tea. The tax man is not our friend.

Also, it wasn't that long ago that we didn't have to pay taxes on things bought over the internet. It should still be that way! 

Also, here in the Land of the Free we have four layers of taxes: federal, state, county, and city. 

Was it Ronald Reagan who said, ''The nine most terrifying words in the English language are "I'm from the government, and I'm here to help."

By the way, we're still waiting for the tax money for that tea, the fines for late payment far far exceed the original tax bill, now it's just a suggestion, but you might want to settle the tax bill sonner rather than later.

The American tax system was the reason I gave up my American passport, and all the benefits that come with it, for being the Land of the Free, it sure is expensive and has a lot of taxes - as in many levels of taxation, not necessarily the amount you pay.

[RacerCool]

13 hours ago, Seth said:

By the way, we're still waiting for the tax money for that tea, the fines for late payment far far exceed the original tax bill, now it's just a suggestion, but you might want to settle the tax bill sonner rather than later.

Go ahead and talk to the Bostonians about it. They may help the tax man reclaim his tea by giving  him a tour of where it is.