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Business Taxes Law Guide—Revision 2024

Sales and Use Tax Annotations


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C


168.0000 Coins and Bullion—Regulation 1599

Annotation 168.0200

(b) Bullion

168.0200 Monetized Bullion. Several questions are asked relating to the section 6355 exemption on monetized bullion sold in a single transaction to total $1,000 or more in face amount.

(1) The purchase of a bag of silver having a face amount of $1,000 combined with 100 Mexican 50 Pesos is a nontaxable sale.

(2) Post-1970 clad coins are not considered monetized bullion since their primary purpose is as a medium of exchange.

(3) The purchase of two or more dissimilar coins on the same date is considered a single transaction if included in the original purchase contract.

(4) The delivery of coins at a single time but purchased under separate sales contracts is not considered a single transaction for the purposes of section 6355. Separate sales contracts constitute separate transactions notwithstanding one element of each execution occurring on the same day. Each transaction must have a face amount of $1,000 to be a bulk sale. 7/11/74.

(Note.—The bulk sale exemption threshold has changed; see Regulation 1599 for threshold amounts.)