Gold Nuggets-Do I pay Taxes on my Finds?

[Sluicedog]

If I find ounces of gold nuggets-do I have to pay taxes on my finds? Or do I only pay when I sell them or trade them?-SD

 

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[bigfish31]

Not if you're smart.

 

[Needle]

Gold is considered a commodity, you can find a ton of it and you do not have to pay taxes on it, but every ounce you sell, your partner Uncle Sam, needs to get his share.
I do not know the exact percentage.
If you are an honest man you do the right thing, if not you do the other and eventually pay the consequences.

Needle

 

[Vodka1000]

If I find ounces of gold nuggets-do I have to pay taxes on my finds? Or do I only pay when I sell them or trade them?-SD

give them to me and I will pay taxes ---- and make sure you are OK.......

 

[bigfish31]

If I were a "professional business" I would. But if I found them recreationally I'd be prone to hide it

 

[kuger]

I may be wrong but I beleive if you melt it down it takes on a whole new box of worms,tax id, location of extraction ,etc.,etc.

 

[Sluicedog]

Great responses-Anybody sell their finds to a refiner for income....should be taxed like selling on E-bay. Hey most of us don't find ounces/week, all expenses could be claimed against income(if you were a business) hobbies don't count.-SD

 

[Needle]

If I were a "professional business" I would. But if I found them recreationally I'd be prone to hide it

bigfish31
I agree with you 100% about the professional business, for instance a - ( producing LODE Claim )
Recreational found Gold, I personally would never sell it anyway, unless
it was a large amount and I was desperate for money.

I am really curious about how much the Federal and State Tax would be anyway. I have never sold any and don't have any to sell, so I don't know what the percentage would be or if the rate is the same in every state.
I've been looking online and can't find any info. without having to pay.
Need to know this info. in case I ever do find any.

Needle

 

[jewelerdave]

When you send in gold to a refiner you do have to fill out a lot of paper work, most of it for anti money laundering, patriot act etc stuff and be a business.

And, when the refiner is done, they send you the amount its valued at minus there fees. They do not do your taxes, that is your responsibility. Just as if you were paid cash for a job, your responsible to do what you think is right.

If you are setting up as a business and finding enough gold to make it worth while and will need to sell it. All your expenses are tax deductible against what you find/make. This means your mileage, your tools, equipment, Gas, pans diving suite, dredge, permit fees, claim fees etc are all deductible.
In fact if you set it up as a business and dont find anything and dont make any money you can still wright it off against your taxes. Talk too an accountant is my advice based on what you make, and if its a good idea or not.

Otherwise, most smaller who sell a pinch of gold here and there dont worry about it. It would be like selling off your old junk at a garage sale...do you pay taxes on that and call it income? most dont.

Some states do have a tax on commodities removed from the land. If I recall in Wyoming the old law on the books I believe requires a dollar an ounce or maybe it was $1.50 on all gold recovered.
I only know of one prospector that ever did that, he gave them a check at the end of the summer for anywhere from $12 to $20 for the gold he found, but most dont bother as the amounts are so small for the weekend prospector for the gram or two they find they are not going to bother paying the state the 5 to 15 cents for what they found.

Most gold found is kept as a specimen or a keepsake. Its an unknown value as a commodity as its not refined. As it sits as specimen gold it is not income.
Do you pay taxes on that old baseball card in the attic that may be worth $500? One really can not asses a value unless its sold. And until then, you cant establish a value or income. If you pay taxes on that $500 baseball card and then find you can only sell it for $150...well. you see where this is going.

 

[Vodka1000]

If I find ounces of gold nuggets-do I have to pay taxes on my finds? Or do I only pay when I sell them or trade them?-SD

Keep it is all yours.
F---k the .......... you know what....
8)

 

[Needle]

Thank you for the advice jeweler & vodka. Needle

 

[RONC(OR)]

here in Oregon it is not reported to the IRS if the sale is less then 10,000 dollars at one sale that goes jewelry/ 1 0z gold rounds or nuggets HH

 

[Hoser John]

Thats state law,not fed--same as gambling $1,500 is the point of harrassment. Thank the Homeland security BS for more lost freedoms. Was the IRS out there planting your gold-LL NO!!Did they slave like a dog hauling in dozens a loads of equipment down that cliff-LL NO. Did they shiver for hours and chuck cobble and move massive boulders all day--LL NO!! Hobby income is taxable now folks-thank your corrupt local officials and corrupt Bushites for that. Can very easily be run as a biz,you get GREAT tax benefits,talk to your accountant and go from there.Tons a au 2 u 2-John

 

[nebraskadad]

Gold is an asset until you sell it. You don't have to declare jack until you sell it for the false currency.

Sell it, and then comes the IRS, State revenuers, Homeland Security, etc, etc breathing down your door.. I am guessing they have thresholds that pop up redflags you if sell it and are some how required to submit an SSN. Don't know what that threshold might be, but best guess would be $10000.

Onesy, twosy nuggets on Ebay isn't going to do it.

 

[RetRmy]

you only have to pay taxes when you (if you) sell them. otherwise, they are yours free and clear. Where did you get lucky enough to find "ounces of nuggets"?

 

[Lookin]

You found it, you sell it for a profit. Kind of like if you find a lawn mower for $25 at a yard sale, then sell it to your neighbor for $50. Do you put that on your tax return as income/capital gains? If you have found so much gold that you need to ask, maybe you need to consider incorporating and take advantage of the corporate taxes that are available out there.

Good luck with the IRS!

 

[bigalathenstn]

sell it for cash money to an individual, there are no receipts or papers to fool with, if you want to melt it down, melt it your self with a torch and a crucible,,, just my oppinion

 

[Newguy]

I've dredged for 8 years and I swear I have never found or sold any gold.....lol.

 

[Needle]

Hi newguy, That is some kind of bull headed determination you have to dredge for eight years and never to find anything.

You have to dredge where gold is in the creek or is known to be there at least
and make double sure your dredge will capture what your trying to get.

I could elephant for eight years here in Oregon and never get one, but if I Elk or Deer hunt then I at least have a chance.

With your kind of enthusiasm, you will find some, keep looking, but give yourself the best possible chance and dredge where there is GOLD!
LOL

 

[cali209]

Gold?

They found all the gold in the 1850's.