How to Get the Best Tax Free Gold Deals this Christmas
Christmas for the gold market, like in many industries, is a busy time. It’s a time of year when lots of people enter the market as investors for the first time, seeking gifts for friends or relatives, or even just personal investments.
There are a few things we always aim to highlight to give first-time buyers a hand in understanding what’s what. One of them is the fact that there are a variety of tax exemptions available on investment gold – giving you the opportunity to make substantial savings on both the initial investment and the eventual profit.
Here’s a quick overview of the different taxes, and which products are eligible for exemptions.
VAT free gold
Value added tax (VAT) is a flat tax rate added on to the price of most goods and services. For most products you buy, 20 per cent of the price will be VAT, though there are some exemptions.
Any gold that can be considered ‘investment gold’ is among these exemptions. It’s considered VAT free across the entire European Union. In reality, this applies to the majority of gold products above 90 per cent purity. Almost all of the gold coins and gold bars on our website are eligible for this VAT exemption but to keep things clear we’ve indicated where this is the case on the products themselves.
CGT free gold
Capital gains tax (CGT) is a tax on the eventual profits you make on the sale of a product. For most small time gold investors and dealers, this tax won’t affect you – since you’d generally have to make over £11,300 worth of profit on your investments that tax year before you’ll be eligible to pay CGT.
Even if you do eventually make profits over this tax free allowance, there are still some gold products that are eligible for CGT exemptions. Principally, these are gold coins produced by the Royal Mint – the most important being the Gold Sovereign and the Gold Britannia.
Get the best tax free gold at UKBullion
Most of the gold products available on our website are eligible for some form of tax exemptions. If you want to find out more about the exemptions you can secure on your Christmas gold investment, then have a look through the wide range of gold bars and gold coins on our website today.
Alternatively, click here to find out more about when we’re open this Christmas and the best deals we’re offering.
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