5kg bullion bar no vat, is it possible?

[Subspecies]

UK based so vat at 20% is chargeable on silver bars. Is it feasible to buy a silver 925 scrap and have it refined into 999 ingots, say for arguments  sake 5kg. You can buy  scrap silver at antique markets, car boots or w.h.y. If you then have it processed you will pay refining costs, will this be cheaper than the premium over spot for a 5kg bar and 20% vat. Just a thought from a newbie.

 

[sixgun]

If you consider it a hobby you enjoy it is possible.
If you have watched videos on silver refining, although it is pretty straight forward it has several stages and needs some equipment. For a one off 5 kg i would say it is not worth it. If you got it refined that is possible but when you add in the time and cost of getting the Sterling, getting it refined and then cast into a 5kg bar i would say it would be as cheap to buy the silver shot. Then you need to get it made into a bar. A 5kg bar is a big bar - i would question why you would want such a bar. These are not easy to sell on - people don't want to lumber themselves with such a massive bar. Then of course you have a bar which is an unknown bar. Big bars are treated with some suspicion - that they might have been drill and are fake.

All in all unless you are going to make this a hobby to refine silver and get the licence to use the nitric acid (not a big issue but you should get one), i would give it a pass.
If you want to get a kiln and make some bars again there is expense. For one off projects it is not viable.

[dicker]

It would be something interesting to do with a crowdsource…

People put in x amount of scrap and get a resultant share of 99.99 back….

Best

Dicker

[SilverLoaf]

unless it's on a massive scale, you're probably going to be better off buying heavily damaged 999/9999 privately if you really want to make a high purity bar.

[GoldStandardPartyUK]

Isn't there a test he could do on his new bar for purity? Wouldn't that assure the buyer? 

[CollectorNo1]

49 minutes ago, GoldStandardPartyUK said:

Isn't there a test he could do on his new bar for purity? Wouldn't that assure the buyer? 

Yes....cut it in half or, drill a whole throught it.... the only way you would know 100% that it is silver with no hidden surprises in the middle..🤔🤔🤔

[StackemHigh]

No i don't think it would work out cheaper. Most people these days with the internet and forums are well informed on the value of scrap. Buying enough at a cost effective price would be difficult and then all the overheads too. If it's a byproduct of something you already travel to or visit then maybe. 

I'd go for it and cast a huge monopoly style scottie dog to use as a door stop. Create a family heirloom that would be cool.

[Subspecies]

Was thinking of sending it to a precious metal refinery to get it cast. A couple of years ago my father left me a bag of old silver spoons,forks and general old battered scrap that he accumulated from his days as an antique dealer. I took this to Sheffield assay office and they melted it into an ingot and gave a cert of purity 92.6%. This cost about £70 from memory. Dont think they refine to 999 though as basically they test and hallmark. Hence my original question. I can get scrap from some of the antique dealers my father knew. Not looking to get rich just thought it would be fun to have my own silver bullion ingot, maybe 1kg might be easier to source.

[Arganto]

If you were going to refine it yourself or had a 'mates rates' deal with someone already doing it you may find it worthwhile. If it's for fun and a sense of accomplishing something then more power to you. If it's to have and hold a .999 investment grade bar then buying a kilo (or several) outright is likely to cost you much less in the long run. Don't buy new and avoid the VAT, people like @arshimo2012 sell kilo bars all the time at very competitive prices.