LONDON, 26 March 2015 – Gold coins are often promoted to UK investors on the strength of their tax-free status, reports City of London daily paper City AM, but that advantage is a "red herring" it says, quoting comment from BullionVault.
"The tax advantages could be useful," City AM says, noting that all gold bullion is exempt from VAT sales tax, and some British-minted coins are also exempt from UK capital gains tax.
But with "a sensible allocation of gold...used as a hedge, a diversifier," the paper goes on, citing comment from world-leading online metals exchange BullionVault, "a serious investor would expect any rise in the value of their gold to coincide with a loss elsewhere in their holdings" – a loss which would likely negate any capital gains tax liability from rising gold prices.
Read the City AM article here:
