Why Is Gold Vat Free

Certain items are subject to a reduced rate of 5 while other items such as gold are totally VAT. This means all of our gold bars and gold coins do not have any additional VAT charge on them.

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In the UK the majority of goods and services are subject to the standardVAT rate of 175 temporarily cut to 15 between 1 December 2008 and 31 December 2009.

Why is gold vat free. VAT is part of everyday life in the UK but why isnt it charged on Gold. However some are completely exempt from any VAT including gold. Value added tax rates are currently 20 with certain items such as home energy offered at a reduced rate of 5.

Changes in EU laws introduced an exemption which meant that for VAT purposes gold came to be treated the same as other investments such as stocks and shares. The exception to the rule is gold bullion which is VAT free - both in the UK and the wider European Union.

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