US Tax Basics for Scrap Gold and Silver Sales

This is educational content, not tax advice. Rules can change and your state treatment can differ.

Core concept

In the United States, physical precious metals are generally treated as collectibles for federal tax purposes.

Why this matters

• Short-term gains can be taxed at ordinary income rates.
• Long-term collectibles gains may be taxed at higher rates than many stock gains.

Better record-keeping means better estimates

Keep:

• Purchase records
• Shipping and insurance costs
• Refining invoices
• Sale confirmations

Calculator integration idea

A useful tax module usually asks for:

1. Original cost basis
2. Holding period
3. Sale amount
4. Estimated federal and state rate

Then it outputs gross proceeds, estimated tax, and estimated net proceeds.