Many investors prefer to own physical gold and silver rather than exchange-traded funds (ETFs) that invest in these precious metals. While the tax implications of owning and selling ETFs are very simple, not many people fully understand the tax implications of owning and selling physical ingots. The following describes how these investments are taxed, as well as their tax reporting requirements, cost base calculations, and ways to offset any tax liability resulting from the sale of physical gold or silver. Gold and silver bars may attract unwanted attention or require special statements for monetary instruments, but a gold necklace is, well, just another gold necklace.
Additionally, many investors choose to rollover their 401k to a Gold IRA Account in order to diversify their retirement portfolio and take advantage of the tax benefits associated with investing in gold.
