VAT and precious metals
Investment gold, which meets the prescribed conditions, is not subject to value added tax. It is subject to a special investment gold scheme under Section 92 (CZ) of the VAT Act. Therefore, all the gold investment coins and ingots offered by our e-shop have a zero rate.
The silver is more variable in terms of VAT. Investment silver bars, ingots and some coins are subject to a basic tax rate of 21%. However, according to the harmonized European legislation, a special regime under Section 90 (CZ) of the VAT Act can be applied to selected coins. These coins are marked in our e-shop as "Special Regime". The current EU directive allows VAT to be paid at the point of entry into the European Union. In other member countries, in our case in the Czech Republic, only the differential part of the price (trader's margin) is already the local base rate of delivery. There is no VAT in the issued tax document. VAT cannot be deducted in this mode even by the taxpayer.
Differential taxation (special regime) is advantageous especially for non-VAT payers, ie a regular customer who does not buy silver in business. It allows him to buy at a lower price than in the classic mode.
However, the purchase of coins may not be advantageous for taxpayers, most often legal entities or tradesmen. The special regime does not allow the VAT payer to buy without VAT, or deduct VAT respectively. The VAT payers, on the other hand, often prefer to purchase in the classic tax regime, thus choosing silver ingots and bricks. For these goods, they can deduct or buy tax directly without tax (eg in the case of a transferred tax liability). Such a payer then actually invests in silver for costs without tax.
When the payer wants to sell silver, he offers it for the price including VAT. If the counterparty is the payer again, the VAT will be deducted and the tax will not be forfeited. If the counterparty is a non-payer, the tax cannot be deducted, but this does not mean an increase over the current current market price. Thus, for the payer, investing or speculation with silver is not subject to VAT and corresponds to the terms of investment gold.
If the payer is from abroad within the EU, the situation does not change. It only gets the goods directly without VAT and does not have to wait with the tax return to the end of the tax period, the customer will pay the input and output VAT as part of his tax return. A similar situation will arise in the case of a reverse charge application whose precise conditions are laid down by law.
Please use only the above information as general and non-binding. SILVERUM s.r.o. is not responsible for any damages caused by any different interpretation of tax issues in the place and specific context. Before purchasing, consult this matter with your tax advisor.