Are Gold Coin Sales Reported to the IRS?

Gold coin sales follow the same tax procedures as any other bullion product, including capital gains taxes.

Precious metal dealers are legally required to disclose any purchases of $10,000 or more made using cash payments of $10,000 or more. Personal checks, debits and bank wires do NOT count as cash payments.

Dealers must file 1099B forms with the IRS to report profits, providing data that allows the IRS to categorize short and long-term gains, and apply an appropriate tax rate.

Purity or Fineness

Gold purity and fineness are frequently used interchangeably within the precious metals industry, yet each term refers to something distinct. Purity generally refers to the number of pure gold components present within an alloy used to craft coins, jewelry or bars while fineness refers to how much of this pure gold content there is within said alloy.

Purity of gold items can be measured using karats – a 24-part system which ranks their relative proportion of pure gold to any item; 24 karats represents 100% purity of an object. Fineness is expressed as either decimal fractions or percentages divided by 1000 parts to indicate how many are composed entirely of pure gold.

Dealers of gold bullion coins exceeding certain quantities must report customer sales of those coins to the IRS on 1099B forms, but this reporting requirement is distinct from any capital gains taxes due upon sale of items at a profit. The regulations surrounding this reporting requirement were set up in the 1980s as an attempt to prevent individuals from circumventing taxes on precious metal profits through structured transactions with non-corporate sellers and thus avoid capital gains taxes altogether.


Certain precious metals dealers must report sales that exceed specific amounts to the IRS under federal laws that resemble Know Your Customer regulations used by banks to prevent money laundering.

Example: A gold dealer that sells two coins that total more than $1,000 combined face value made from 90% silver must report this sale to the IRS. Furthermore, any customer purchasing and selling gold bullion within 24-hours constitutes related transactions which must also be reported.

Some precious metals are exempt from reporting according to IRS regulations, such as coins with face values under $1,000 and US coins made up of less than 90% silver. Before making a significant transaction that would necessitate reporting to the IRS, always consult a professional tax advisor beforehand.


Precious metal dealers are legally obliged to report coin sales when customers make cash payments of more than $10,000 in cash for 1 oz Gold Maple Leaf coins, 1 oz Gold Kruggerand coins or any US coin with 90% silver content – policies designed to combat money laundering activities.

Profits derived from selling precious metal coins are subject to capital gains tax, so keeping accurate records is of utmost importance in this process. Privacy considerations also need to be kept in mind, balancing transparency efforts against anti-money laundering efforts with protecting individual privacy rights.

Precious metals dealers must report coin sales on Form 8300 when a customer pays in cash exceeding $10,000, including personal checks, wire transfers and money market withdrawals; it does, however, include cashier’s checks or money orders as forms of payment.

Bars & Rounds

The IRS’ reporting rules for precious metal sales exist to protect individuals from using such transactions as an unreported source of income. Therefore, the government wants to know who and in what quantities precious metal sales transactions occur.

Dealers must file a 1099-B form when selling any coins or bullion pieces listed by the IRS as Reportable Items in cash for cash consideration, along with base metal value and fair market collectible value, plus seller information like name and contact.

Bars may offer investors who prefer avoiding higher markups on legal tender coins a more viable solution to store bullion due to their near spot-price premiums, yet even one large COMEX bar sold in bulk can cost over $15k and therefore requires reporting by its dealer; however, purchases made using personal checks, debit cards, bank wire transfers or credit cards do not need to be reported directly to the IRS.

Raymond Banks Administrator
Raymond Banks is a published author in the commodity world. He has written extensively about gold and silver investments, and his work has been featured in some of the most respected financial journals in the industry. Raymond\\\'s expertise in the commodities market is highly sought-after, and he regularly delivers presentations on behalf of various investment firms. He is also a regular guest on financial news programmes, where he offers his expert insights into the latest commodity trends.

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