Do I pay VAT on Gold and Silver Bullion?

Navigating the UK’s Gold and Silver Tax Landscape

Gold and silver have long been prized for their stability and value. In the UK, these precious metals can be a wise investment, but it’s important to understand the tax implications before you dive in. This blog post will guide you through the two main taxes you might encounter: Capital Gains Tax (CGT) and Value Added Tax (VAT).

Capital Gains Tax (CGT)

CGT applies to the profit you make when you sell an asset, including gold and silver. Here’s a breakdown of how it works:

Value Added Tax (VAT)

VAT is a tax added to the price of goods and services. Here’s what you need to know for gold and silver:

  • Investment-Grade Gold: Fortunately, investment-grade gold, including bars and coins meeting specific purity standards, is exempt from VAT. This makes it an attractive option for VAT-registered businesses and individuals. (
  • Silver: Unlike gold, silver is generally subject to VAT at the standard rate of 20%. However, there may be exceptions for certain types of silver, so it’s always best to check with the seller for clarification.

Official Resources:

Remember: This blog is for informational purposes only and should not be considered tax advice. For specific tax guidance, consult with a qualified accountant or tax advisor.

By understanding CGT and VAT, you can make informed decisions about investing in gold and silver in the UK. With careful planning, you can maximize your returns and navigate the tax landscape effectively.


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