Gold in Massachusetts is rare, and almost all the gold found in the state is very fine and small. Nevertheless, gold and other precious metals remain attractive investment options for those looking to buy gold to grow their wealth long-term.
Massachusetts residents looking to buy precious metals can invest in silver, buy gold, and invest in platinum and palladium.
Before starting your gold investing process online in Massachusetts, ensure you're familiar with federal and state laws. Notably, the IRS imposes capital gains tax on gold purchases, and Massachusetts has its statewide sales tax. Then, when you're ready to start your investment, consider visiting a precious metal dealer's website to browse their products.
As is the case across the entire United States, the IRS will subject you to federal capital gains tax when selling physical gold or other precious metals. How much you owe depends on your personal income and the value of the gold sale. Nonetheless, the maximum rate is 28%, and capital gains are owed if the precious metals are sold after being held for at least one year.
The following is a breakdown of the capital gains tax rates for 2023:
|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|
The IRS has strict regulations regarding the types of precious metals you can hold in a gold IRA. Here is what you need to know when choosing your precious metals:
If you are planning to sell gold, investors are required to report the profits to the IRS. To report the income, you must complete Schedule D of Form 1040 on your annual tax return.
However, depending on the type of metal sold, the IRS can also require Form 1099-B. Form 1099-B is required at the time of sale if you sell:
Gold is sold in different denominations, including one-ounce, half-ounce, quarter-ounce, and tenth-ounce coins. Gold coins also come in varying qualities, with older coins holding 90% to 92% gold and newer ones carrying 99.9% gold. Some gold dealers also sell alloyed gold coins, which are made up of 91.7% gold and the rest of silver or copper.
The gold coin price will vary depending on the gold content and size. However, some coins may be worth more than the gold spot price due to demand, rarity, and design elements. There are four types of gold coins for sale: