While Congressman Ron Paul [R-TX] is running for President, he is also attempting to create new law. On February 13, 2008, Mr. Paul introduced a bill titled, the Tax-Free Gold Act of 2008.
Should the bill become law, it would eliminate taxes and fees on certain coins and bullion.
Although coin collectors and bullion investors would certainly relish the bill’s passage and subsequent signing into law, it would not be a good idea for anyone to hold their breadth on the matter. The odds of the bill moving forward would appear to be as likely as Mr. Paul’s current chances of becoming the Republican Presidential nominee.
Key bill elements and status: [H.R. 5427]
The proposed legislation, as outlined:
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(a) In General- Notwithstanding any other provision of law–
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(1) no tax may be imposed on (or with respect to the sale, exchange, or other disposition of) any coin, medal, token, or gold, silver, platinum, palladium, or rhodium bullion, whether issued by a State, the United States, a foreign government, or any other person, and
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(2) no State may assess any tax or fee on any currency, or any other monetary instrument, which is used in the transaction of interstate commerce or commerce with a foreign country, and which is subject to the enjoyment of legal tender status under article I, section 10 of the United States Constitution.
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(b) Effective Date- This section shall take effect on December 31, 2008, but shall not apply to taxes or fees imposed before such date.
The bill has no cosponsors and has been referred to the following committees:
As is the nature with many bills, there is no telling when or if it will ever see the light of day.
