Selling is straightforward. You can sell your precious metals back to the custodian who is storing them for cash if you follow the advice in this book. This custodian is most likely the dealer you bought your metal from in the first place. They will either mail you a check or wire the cash to your bank account within a few days of the sale, on average. You'll see how simple this is when you buy metal from an online dealer and set up an account. Try it out and sell a small amount back to your dealer to see how effective their system is to see how well it works. If you have physical metals, you can sell some of them at your neighborhood coin shop or list them on a website like Craigslist (make sure to meet the buyer in a safe place like a parking lot for a police station).
Tax-Saving Sales Strategy
Consult Your CPA and Tax Attorney Before Trying This Strategy A "wash sale" is a term used in stock investing. If you sell your stock at a loss and then buy it back within thirty days, you typically cannot deduct your losses. Gold and silver bullion, on the other hand, are currently exempt from wash sale regulations. The process is as follows: You suffer a loss when you sell your gold and silver bullion for less than you paid for it. You buy back the gold and silver you sold after a few days. When you do this, you can claim the loss as a capital loss on your tax return, which can be used to offset gains from stocks, real estate, and other investments. Even better, you can use that loss year after year until you have gains to offset it! Your dealer must actually take ownership of the gold and silver you sell, pay you in cash, and provide you with a receipt. For more information, consult your CPA and tax attorney about this clever little plan.
Random Thoughts on Selling Your Metals:
If the price of gold or silver goes up a lot, I might buy put options or place a sell order on my ETFs.However, I am saving my physical metals for the day when the markets for gold and silver will absolutely explode. Everyone, including their mothers, will talk about gold and silver when that day comes. It will be utter chaos. Similar to the 2000 dot-com/tech stock bubble. Check out Charles Mackay's "Extraordinary Popular Delusions and the Madness of Crowds" at the library. He discusses financial manias and bubbles from history, such as the 17th-century Dutch Tulip mania and the South Sea bubble.
I really never sell my stack of physical gold and silver, as you probably guessed. I'll keep stacking until the crazy days I mentioned earlier arrive or until I absolutely need to cash out for an emergency.I will occasionally hedge my physical position by purchasing an inverse ETF that is designed to profit when the price of gold or silver falls if I am convinced that the two commodities may be trending downward. Sometimes I buy the ProShares UltraShort Silver ETF (ZSL) if I'm convinced that silver will fall soon.I might buy the ProShares Ultra Short Gold ETF (GLL) if I think gold will go down for a while. But be careful! You will lose money if you are wrong and the metal moves in the opposite direction.
Also, keep in mind that gold and a currency are very similar, but not necessarily the same thing. Therefore, you must exercise caution when determining its value or relative strength. For instance, gold's value may appear to decline when the US dollar strengthens. However, because an increase in the price of gold could be the result of a change in the value of the dollar, simply viewing gold in this manner does not provide you with the larger picture of how valuable gold is throughout the rest of the world. To determine the overall value of gold, you can compare its price to that of other currencies. For a better understanding of gold's actual value, keep an eye on the Kitco Gold Index (KGX). It will demonstrate the actual value of gold as well as the extent to which the gold price is currently influenced by changes in the value of the dollar.
Selling Silver in Europe
I believe you are being duped if you transport or sell silver in Europe. The Europeans appear to have a strong bias against silver bullion for some reason. As of this writing, when you buy, sell, take delivery of, or even transport your silver holdings, many European Union nations charge a value-added tax (VAT). Estonia may be the only European nation without a silver VAT. In some nations, this VAT can be as high as nearly 30%. Gold bullion is exempt from VAT. Before buying or selling silver in the European Union, be aware of the rules and do your research because taxes can vary by country and even by the kind of silver you are purchasing or selling.
