Washington state sales tax on gold and silver coins

[Fermion]

Come Jan 1 2026, Washington state is going to start charging sales tax on gold and silver coin transactions. They were exempted from this previously in order to make state coin dealers more competitive with other states but it was decided to be unclear if this helped (I don't quite understand this logic but hey, its Washington state).

To me it is quite obvious that everyone will go to Idaho or Oregon to buy, but I am unable to figure out if you also pay a sales tax when you sell? If I took some coins to a local dealer and sold them to that dealer, would that dealer collect sales tax from me? My searching seems like maybe yes?

 

[Gallaher]

Now that is crazy! I know crazy I live in Oregon!
The logic is lost on me. Coins are fungible legal tender. You will get taxed on using legal tender?
I recognize the state is taxing the collectable value of rare coins.
However, the coins are “ storage of value”.

Don’t loose hope. In Oregon the legislature and governor passed a $4 billion depart of transportation tax a couple months ago. Did not send it to voters. This past Friday a citizen initiative submitted 3x the number of signatures required to get it on a ballot.
Largest citizens initiative in Oregon history.

 

[yakers]

It would look like more trips to Oregon to buy. I think that if you sell to dealers in the mail as they do not charge taxes on sales they probably don't on buying. DW wants to send in jewlery for gold recovery and tey never mentioned sales tax on the transaction.

 

[engineernerd]

When you sell to a dealer there should be no sales tax because the dealer is (presumably) buying for resale and is not the end purchaser. The same logic should apply as applies to building contractors' materials purchases at Home Depot. They don't have to pay Home Depot sales tax because they are incorporating the materials into something they will sell.

 

[pjigar]

In Texas, gold and silver bullions/coins/etc. are exempt from sales tax. However, jewelry is not exempt from sales tax.

 

[SnowballCamper]

Interesting. I guess the Costco gold bar sales will take a hit here in WA.

 

[Chuckanut]

The logic for the sales tax on coins is simple. The state has record revenues coming in. But, the state is also spending at a record rate. The state needs more of our money. Thus our elected representatives also gave us a record high tax increase. The coin tax is just a part of that increase.

 

[Koolau]

The logic for the sales tax on coins is simple. The state has record revenues coming in. But, the state is also spending at a record rate. The state needs more of our money. Thus our elected representatives also gave us a record high tax increase. The coin tax is just a part of that increase.

Speaking of coins and tax:

"Now my advice for those who die
Declare the pennies on your eyes."


George Harrison

 

[Fermion]

The logic for the sales tax on coins is simple. The state has record revenues coming in. But, the state is also spending at a record rate. The state needs more of our money. Thus our elected representatives also gave us a record high tax increase. The coin tax is just a part of that increase.

This state has a spending problem not a revenue problem. Unfortunately I don't see them making much money off of this sales tax on gold and silver. Literally nobody will buy from Washington state dealers now, not in any quantity, when you can drive an hour or three and pay $0.

 

[audreyh1]

Speaking of coins and tax:

"Now my advice for those who die
Declare the pennies on your eyes."


George Harrison

Is that from “Taxman”? - Yes

Let me tell you how it will be
There's one for you, nineteen for me
'Cause I'm the taxman
Yeah, I'm the taxman

 

[Koolau]

Is that from “Taxman”? - Yes

Yes, and if I recall the story, the "one for you and 19 for me" was accurate. George wrote the song IIRC because of 95% tax liability.

And we think we've got it bad! Returning you now...

 

[Chuckanut]

This state has a spending problem not a revenue problem. Unfortunately I don't see them making much money off of this sales tax on gold and silver. Literally nobody will buy from Washington state dealers now, not in any quantity, when you can drive an hour or three and pay $0.

There are two Costco stores in my area, one near my home and another 5 more miles away in the next county. Sales tax on the one near my home is now 10.3%. Sales tax at the Costco in the next county is 8. 2%. The last time i bought an expensive electronics device, I bought it at the store in the other county and saved about $30. That’s peanuts to many, but it made me feel like less of a chump.