Jump to content
House Price Crash Forum
Sign in to follow this  
interestrateripoff

Royal Mint To Sell 1Kg Gold Bars

Recommended Posts

http://www.theguardian.com/business/2015/oct/07/royal-mint-to-sell-1kg-gold-bars

The Royal Mint is offering “serious investors” with around £25,000 to spare the chance to buy a fine gold bar weighing one kilogram.

The new gold bars have been produced to mark the first anniversary of a bullion trading website launched by the Mint last year, which aims to make it easier for people to invest in gold.

The website has attracted more than 12,000 customers from across the world since it launched in September 2014, from countries including the United States, India, China and Canada.

Up until now, the weight of the bullion bars on offer has ranged from one to 100 grams. Investors looking to just dip a toe in the water can also buy silver from the website at prices starting at about £20.

And in the mainstream news, luckily only open to "serious investors"!

Share this post


Link to post
Share on other sites

I am sure if you wanted to casually buy a dozen or so 1Kg units they would more than happy take your money.

The serious part is for most people 25K for a 1Kg lump of metal, that unless you are in an industry that uses gold is pretty much useless and will cost you a fortune to store is only really suitable for people with fairly deep pockets.

Share this post


Link to post
Share on other sites

If they price them competitively they'll sell, if not, they won't.

Presumably there is no point in reminding UK readers that if they purchase 1kg Au in the form of 32 1oz britannias then there is no CGT payable on sale (presuming any profit is made), whereas if you sell a single kg bar then you have to notify HMRC and pay CGT (well, you might choose not to, but the rules say you have to).

[not that I'd recommend gold at this point - but best to be aware of the options]

Share this post


Link to post
Share on other sites

Why not?

FWIW, I think there will be a bit of a deflationary spurt in gold before the next move up. Not sure of time-scales at the moment. But I'm usually wrong so don't base any investment strategies on my count.

Share this post


Link to post
Share on other sites

Presumably there is no point in reminding UK readers that if they purchase 1kg Au in the form of 32 1oz britannias then there is no CGT payable on sale (presuming any profit is made), whereas if you sell a single kg bar then you have to notify HMRC and pay CGT (well, you might choose not to, but the rules say you have to).

[not that I'd recommend gold at this point - but best to be aware of the options]

I haven't really studied the merits of buying coins over bars, other than the fact that there is the obvious CGT advantage. However, coins are corrupted with other metals, about 22 carat (22/24 gold) presumably for durability ? That kind of bothers me, though I guess no gold is 100% pure, even in the form of a bar.

Edited by crashmonitor

Share this post


Link to post
Share on other sites

I haven't really studied the merits of buying coins over bars, other than the fact that there is the obvious CGT advantage. However, coins are corrupted with other metals, about 22 carat (22/24 gold) presumably for durability ? That kind of bothers me, though I guess no gold is 100% pure, even in the form of a bar.

Pure gold...and if you buy ten you get a discount :))

https://www.thegoldbullion.co.uk/buy-gold-bullion/1kg-gold-bar/

You will get it cheaper elsewhere I reckon but just an example.

Pure gold coins.

https://www.bullionbypost.co.uk/gold-coins/canadian-maple-1oz-gold/2015-1oz-canadian-maple-gold-coin/

Edited by GinAndPlatonic

Share this post


Link to post
Share on other sites

How do they do it? VAT is payable on silver coins, on second hand coins VAT is payable on the dealer margin.

It seems to be legal because they are based in Germany and there is very little tax on silver there. So because we, and they, are in the EU we are charged their price. I am only guessing now but because very little tax is applied ( how much..I do not know) they just call it vat free silver. It surely is much cheaper than buying from any other site that I know of...

Don`t ask me if it has ever been challenged legally, but from what I have read many people use their services. I am one of them and buy from them in confidence. I have no affiliation with them. I just bought 25 one ounce Kangaroos...cheap compared to any other coin or round.

edit...delivered by UPS

An interesting read : http://www.regulatedbroker.co.uk/avoid-silver-vat/

Edited by GinAndPlatonic

Share this post


Link to post
Share on other sites

Interesting, next time I want to buy some silver coins I'll contact them. I've used Coininvest Direct in the past when there was no VAT if the coins were shipped to an address in Germany. VAT was introduced some time later at 19%, which it is at the present.

If they're selling second hand coins, then VAT is added to the dealer margin only. We have the same margin scheme in the UK. It applies to goods such as second hand cars purchased from a VAT registered dealer, works of art, collector's items, antiques.

Share this post


Link to post
Share on other sites

Interesting, next time I want to buy some silver coins I'll contact them. I've used Coininvest Direct in the past when there was no VAT if the coins were shipped to an address in Germany. VAT was introduced some time later at 19%, which it is at the present.

If they're selling second hand coins, then VAT is added to the dealer margin only. We have the same margin scheme in the UK. It applies to goods such as second hand cars purchased from a VAT registered dealer, works of art, collector's items, antiques.

Apolgies just seen someoen else has pasted the German site for coins.

Edited by bovinedealer

Share this post


Link to post
Share on other sites

Create an account or sign in to comment

You need to be a member in order to leave a comment

Create an account

Sign up for a new account in our community. It's easy!

Register a new account

Sign in

Already have an account? Sign in here.

Sign In Now
Sign in to follow this  

  • Recently Browsing   0 members

    No registered users viewing this page.

  • Next General Election   91 members have voted

    1. 1. When do you predict the next general election will be held?


      • 2019
      • 2020
      • 2021
      • 2022

    Please sign in or register to vote in this poll. View topic


×

Important Information

We have placed cookies on your device to help make this website better. You can adjust your cookie settings, otherwise we'll assume you're okay to continue.