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View Full Version : Alabama Bill Would Encourage Use of Gold and Silver in Trade




Swordsmyth
01-31-2018, 02:09 AM
Legislation making its way through the Alabama legislature would exempt gold and silver from state taxes, thereby facilitating the use of precious metals in commerce while ending what supporters of the legislation say is unfair treatment of dealers and investors. The implications — even if unintended — could be huge (https://www.thenewamerican.com/usnews/constitution/item/20946-gold-and-silver-currency-bills-will-states-nullify-the-fed-s-money-monopoly), supporters say.
Similar bills in various states across America were specifically intended to gradually sideline the debt-based Federal Reserve Notes and to instead stimulate trade in metals (https://www.thenewamerican.com/usnews/constitution/item/20946-gold-and-silver-currency-bills-will-states-nullify-the-fed-s-money-monopoly), long viewed as “real money.” But while lawmakers and citizens involved in the Alabama legislation said that might be a “collateral benefit” of this particular legislation, it was not the original intent. Still, advocates of a sound monetary system celebrated the bill as a positive development.
Under the legislation, the proceeds from the sale of gold, silver, platinum, and palladium bullion would be exempt from state sales and use taxes — at least for the next five years, and possibly longer if the measure were renewed by the legislature. The exemption applies to bars, ingots, and coins, though not jewelry. The bill would add precious metals to a list of other goods and services that are statutorily exempt from such taxes.

In the State Senate, the legislation is known as SB156 (https://legiscan.com/AL/bill/SB156/2018) and was introduced by Senator Tim Melson (R-Florence). The next stop for the bill is the Senate Finance and Taxation Committee. If it gets out of committee by majority vote, it will move to the full Senate, officials at the legislature explained. Melson could not be reached for comment on his bill.

On the Alabama House side, HB19 (http://alisondb.legislature.state.al.us/ALISON/SearchableInstruments/2018RS/PrintFiles/HB19-int.pdf), the companion bill, was introduced by State Representative Ron Johnson, also a Republican. In a phone interview, Representative Johnson told The New American that sales taxes on precious metals and coins generate a measly $200,000 a year for the state, and that this measure could help bring in much more.
Already, Johnson said his office has received multiple calls from businesses that would like to host coin and metals conventions in Alabama, but would not be able to do so and remain competitive if the sales and use taxes remain in place. “We expect this bill would help bring in millions in increased revenues for state and local governments,” added Johnson, noting that some other states do not tax gold or silver.


More at: https://www.thenewamerican.com/economy/economics/item/28162-alabama-bill-would-encourage-use-of-gold-and-silver-in-trade

Zippyjuan
01-31-2018, 02:19 AM
thereby facilitating the use of precious metals in commerce


Similar bills in various states across America were specifically intended to gradually sideline the debt-based Federal Reserve Notes and to instead stimulate trade in metals, long viewed as “real money.”

27 states have no state sales tax on gold. silver. More have no tax if it is over a certain amount ($1000 for most). Has that encouraged the use of gold and silver as money in those states? Has it "facilitated the use of precious metals in commerce"? Do residents of those states use gold and silver in trade?

https://thecoinologist.com/sales-tax-state-by-state-breakdown/