One for the law abiding citizens out there. If you were to buy for example 3, 20oz silver bars over a period of years. Say: Year 2000 Bar 1 - $200 Year 2005 Bar 2 - $400 Year 2010 Bar 3 - $800 And go and sell one bar in 2012 for $1500. How do you establish the gain that has occured? Would you take the gain as from the lowest cost original bar, or the highest? Or would it be an average of all 3?
either way your capital gain would be discounted through the 1 year ownership rule more great reading here http://forums.silverstackers.com/message-1141.html
I guess that makes sense. Allows you to keep more fiat assuming the $800 bar, and thus more interest before you sell the cheaper bars for a larger taxing.
I'm pretty sure* with like-for-like investments (where one 20oz bar is that same as any other 20oz bar) you get the option of either using the average purchase price or the date of purchase of a particular bar (in which case you would use the most recent purchase to pay less tax and protect future tax liabilities from falls in the spot price - no point paying loads of tax now and then losing more money if prices fall.) * I am not an accountant. I'm certainly not your accountant. Seek professional advice before making any decisions regarding investments or taxation.
I see your point but to me a $ in the hand now is worth $$ in the inflated future especially given all the variables/risks and potential opportunity costs. Again IMO.
No good asking me, I don't believe in CGT. Work out inflation etc on most items since you bought them and your purchasing power is still only the same so why would or should you pay CGT. Just my 2 bobs worth
Isn't inflation over the years deducted from the final value that you pay CGT on SS? If not then you're being severely ripped off. No surprise there I guess.
I think you can only adjust for inflation if the asset is pre-1999 or something. Yep double taxing lol.
Probably best not to talk about not paying CGT on a public forum so that the administrator doesn't get asked hard questions by the ATO as to who the users are :/
This forum like all others is documented and archived unfortunately. The only question is, is whether the information will be accessed one day in the future against us.
ATO was recently given the wiretapping powers of ASIO (ASIO now can share their info). However, wiretapping is almost exclusively only used for criminal matters. If you're small time then I doubt they would pay much attention here. If you are concerned then you should use proxies, VPNs, etc.
I know a bloke that only buys F2F, and pays cash, and NEVER tells anyone that he has bought physical silver. And would NEVER tell anyone when he sells it, F2F and for cash. Very naughty bloke he is. OC
Because we aren't as paranoid? Trade Feedback doesn't link to any particular item or trade, it just means there were past dealings with another person. Nobody has any idea how large or small the trades were. For example one of my trade feedbacks is: Good luck finding out what that was for LOL. Or this:
I didnt start this thread to discuss not paying CGT. I started it to discuss how to PAY CGT. Assuming silver goes to the moon, a reasonably small tax on a huge profit should be considered appropriate for a good nights sleep.
Best course of action is of course to 'sell your assets' to pay CGT when your income is low or you have capital loss offsets from previous year(s) . Actually have you considered seeing an accountant to ask them how to calculate CGT re precious metals? I'm interested to hear their views since the majority of articles online about CGT are property or real estate based.
Im not considering selling any time soon (only recently started stacking) so probably wont go see an accountant. Its just something I wanted to get an understanding of.
