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Posts Tagged ‘Gold Coin’

Gold Coin Collecting

Friday, July 19th, 2013

Gold coin collecting is one of only legal ways to defer taxation on your investment. This is because you have a physical item, that is not “on the books”, so it is not collecting interest which is taxable. The only time you will have to pay tax on your investment is when you cash your gold in for paper money, which is known as a capital gain, which must be claimed on your tax return.

It is important to conduct a great deal of research before you make any investment. Every wise investor knows this. This way you will be able to determine which gold coins are the best investment and which will be the most valuable in the future. Although gold does not lose its value, minted coins are not nearly as valuable as bullion coins.

Minted coins may be difficult to sell if there is no collector that wants to purchase them. Supply and demand is the basic premise here. In other words, you will need to invest in coins that collectors find desirable so that there is always a market for them if you want or need to trade them for cash.

There are many avenues to explore if you are making a gold coin purchase. You can buy from a traditional bricks and mortar coin dealer, and probably get an earful of expert advice at the same time. Another great source for gold coins is auctions. You can generally view the items that are going to be sold at an auction at a special viewing before the auction is conducted. This will give you a good idea of what coins are being auctioned off, and possibly allow you to do some research before making a bid.

Another option is purchasing online, but you have to ensure that the website you are purchasing your gold coins from is a reputable website. Never allow a dealer to “hold” your coins for you, always ask for delivery so that you can physically hold your investment.