The Midwest state of Indiana, also known as the Hoosier State, has an enormous economy compared to its size and population. This is mainly due to its diverse economy, from machinery and transportation production to pharmaceuticals.
The state is also known for its investment opportunities, with residents choosing to buy precious metals for long-term growth. In Indiana, residents invest in gold, silver, platinum, and palladium as a way to diversify their portfolios.
Gold is one of the safest investments you can make because its price is relatively stable and negatively correlated with the U.S. Dollar. If you live in Indiana, you can buy gold online, such as gold coins and bars, and have them delivered directly to you.
As everywhere in the United States, residents of Indiana looking to invest in gold have to pay a federal capital gains tax on the sale of precious metals. This tax is levied on profits made from the sale of capital assets, such as stocks, bonds, precious metals, and jewelry.
The federal capital gains tax depends on the profit you make from a particular transaction. The amount you are taxed is either 0%, 15%, or 20%. However, the tax rate cannot exceed 28% of the profit you make from the deal.
Precious metal sellers will be taxed based on their filing status and income.
|Single||Up to $44,625||$44,626 to $492,300||Over $492,301|
|Head of household||Up to $59,750||$59,751 to $523,050||Over $523,051|
|Married filing jointly||Up to $89,250||$89,251 to $553,850||Over $553,851|
|Married filing separately||Up to $44,625||$44.626 to $276,900||Over $276,901|
If you are planning to invest in gold, the IRS has specific requirements for investment-grade precious metals. As a result, coins, bars, and bullion have to be approved by the IRS. These criteria must be met by reputable gold dealers and gold sellers:
This is the list of IRS-approved precious metal coins:
You have to report your income from the sale of precious metals to the IRS using Schedule D of Form 1040. You don’t have to do this immediately after the transaction is complete but must submit the form in your annual tax return.
For some types of deals, you must report the transaction to the IRS immediately after the sale is complete using Form 1099-B. This applies to the sale of the following products:
The price of gold coins is determined by their gold content and weight. For example, a one-ounce coin with 99.9% purity will generally cost more than a one-gram coin with 92% purity. However, if the coin has historical significance, is hard to find, and is in high demand, it may sell at a higher price than its face value.Gold bars, on the other hand, hold more than 99.9% gold and are solely priced based on their gold content and weight. The higher the gold content and the heavier the bar, the more it typically costs. Most gold bars do not have historical or artistic significance.
Gold coins come in different shapes and sizes. The gold coin price is often based on the size and gold content. However, some coins can cost more than the gold spot price based on rarity, demand, and design elements.
You can usually find four types of gold coins sold by dealers:
Gold bars produced by any of the U.S. mints have their weight, manufacturer’s name and fineness engraved on them and come with a certificate of authenticity. The gold bar price is most often based on purity, gold content, and size.
There are also four different types of bars you can purchase: