<<Prev Rule

Texas Administrative Code

Next Rule>>
TITLE 34PUBLIC FINANCE
PART 1COMPTROLLER OF PUBLIC ACCOUNTS
CHAPTER 3TAX ADMINISTRATION
SUBCHAPTER OSTATE SALES AND USE TAX
RULE §3.336Gold, Silver, Coins, and Currency

(a) Sales tax is due on the sale in Texas of gold, silver, or numismatic coins or gold, silver, or platinum bullion unless sold to a purchaser in a single transaction in which the total sales price of all the items sold is $1,000 or more. Sales tax is not due on the sale of official State of Texas coins produced under the State Purchasing and General Services Act, §11.05. Sellers of gold, silver, platinum, or numismatic coins are required to hold a Texas sales tax permit and to collect sales tax on all taxable sales within the state. See §3.286 of this title (relating to Seller's and Purchaser's Responsibilities).

(b) Texas sales tax is due on a sale made by a seller in Texas when the purchaser takes possession of the item in this state even though the item may be taken outside the state by the purchaser. Texas sales tax is due if the Texas seller retains possession of the item in Texas as a service to the purchaser. The sale of gold or silver bullion within the State of Texas but which is being held in a repository outside the State of Texas at the time of sale is not subject to the sales tax.

(c) Texas use tax is due on any item purchased for use in Texas and brought into Texas from outside the state. The use tax is based upon the original purchase price regardless of the item's value at the time of entry. See §3.346 of this title (relating to Use Tax).

(d) Unless exempted as provided by subsection (a) of this section, sales or use tax is due on the sale of coins and currency when sold above face value or without a face value. The face value of United States coins and currency must be subtracted from the sales price before the tax is computed. Tax must be collected on the total sales price of foreign coins and currency. The face value of foreign coins and currency may not be subtracted from the sales price. The exchange of foreign currency at face value is not a taxable transaction.

(e) The sales tax exemption on the sale of gold, silver, or numismatic coins or gold, silver, or platinum bullion in a single transaction of $1,000 or more does not include jewelry or other items of adornment.

(f) The purchase of commodity contracts of gold or silver will not be taxable.

(g) Persons who use gold, silver, or other precious metals or diamonds or other precious stones in lieu of currency in acquiring taxable items for use will be considered to be bartering. Persons who use gold, etc., for bartering owe tax based upon the sales price of the taxable item.


Source Note: The provisions of this §3.336 adopted to be effective January 1, 1976; amended to be effective August 27, 1984, 9 TexReg 4344; amended to be effective June 7, 1987, 12 TexReg 1663; amended to be effective November 24, 1987, 12 TexReg 4198; amended to be effective August 10, 1990, 15 TexReg 4318; amended to be effective September 5, 2006, 31 TexReg 7133

Next Page Previous Page



Home TxReg TAC OM NewTac Public Footer Bar