Capital Gains Tax
For UK residents, coins produced by The Royal Mint are considered legal British currency and are exempt from Capital Gains Tax. This means that all gold, silver, and platinum coins, such as the Britannia, Sovereigns, and Queen’s Beasts range, are classified as CGT-free.
Unlike other items, such as antiques, paintings, most shares, and property (except the main residence), buyers can make an unlimited tax-free profit on the sale of these coins due to their CGT exemption. This provides a unique advantage to investors seeking to invest in precious metal coins.
Capital Gains Tax (CGT) is a tax that you must pay on the profit or gain you make when you sell an asset, such as property, shares, or gold, that you own. Unlike Income Tax, which applies to your overall income, CGT is only charged on the gain you make from selling the asset. For instance, if you purchased a coin for £150 and then sold it for £600, you would pay CGT only on the profit of £450 that you made from the sale.
The rate of CGT varies between 20-28%, depending on your income tax band. However, if your total gains within a financial year are below the tax-free allowance of £12,300 (2021/22), you won't need to pay CGT. It's important to note that it's the individual investor's responsibility to report and pay any CGT owed.
It has been reported that CGT Allowances will change to £6000 in April 2023 and £3000 in April 2024. You should check with HMRC for up to date advice.
Visually similar to the gold Britannia, it has a face value of £2. Made of Pure Silver it is exempt from CGT but VAT is applicable. However you can get VAT free options with us.
Cardiff Gold have partnered with Cardiff Safe Deposit to offer customers a high security, insured, allocated storage solution. Our storage service includes free delivery to the vault, individually segregated and fully allocated & insured storage.
Captial Gains Tax Exempt