New Tax on Gold Is Hidden in Obamacare.

[Ponce]

New Tax on Gold Is Hidden in Obamacare.

Wednesday, 21 Jul 2010 03:34 PM Article Font Size
By: Julie Crawshaw

President Barack Obama’s healthcare reform legislation reportedly contains an added provision that would tax gold coin and bullion transactions.

The tax comes in an obscure section of the tax code that deals with purchases by self-employed people and small businesses, ABC News reports.

Starting Jan. 1, 2012, small businesses and self-employed people will have to issue 1099 forms, which are used to track and report the miscellaneous income associated with services rendered by independent contractors or self-employed individuals, for every vendor with whom they do more than $600 business in a calendar year.

The new regulation is designed to gain more tax dollars to finance some of the healthcare bill’s other provisions.

According to ABC News, dealers in gold coins and bullion are among those most rankled by the change. Unlike businesses with a comparatively small number of vendors, coin dealers frequently buy from members of the general public as well as from other dealers.

Pat Heller, who owns Liberty Coin Service in Lansing, Mich., deals with around 1,000 customers every week and estimates that he will be filling out between 10,000 and 20,000 tax forms per year after the new law takes effect.

"I'll have to hire two full-time people just to track all this stuff, which cuts into my profitability," Heller told ABC.

California congressman Daniel Lungren has introduced legislation to repeal the section of the healthcare bill that would trigger the new tax-reporting requirement because compliance would unduly burden small businesses.

Even though gold has outperformed all other core assets during the last 10 years, economist Nouriel Roubini, chairman of RGE Monitor, is advising against buying gold now. Spot market prices for gold are at nearly $1,200 an ounce.

"The concerns propelling the price of gold specifically are very real and should not be ignored,” Roubini wrote in a note to investors. “But is now the time for investors to jump the gold bandwagon? We wouldn’t encourage it."

http://www.moneynews.com/StreetTalk/New-Tax-Gold-Hidden-Obamacare-healthcare/2010/07/21/id/365283?s=al&promo_code=A5A3-1

[Liquid]

Pat Heller, who owns Liberty Coin Service in Lansing, Mich., deals with around 1,000 customers every week and estimates that he will be filling out between 10,000 and 20,000 tax forms per year after the new law takes effect.

"I'll have to hire two full-time people just to track all this stuff, which cuts into my profitability," Heller told ABC.


What's interesting, and very telling, is this is a direct attack on physical gold. They want to make selling the gold we hold...very inconvenient. What dealer is going to survive this? Dealers will sell gold, but in order to make a profit, buy it back at a low rate to cover this cost. That makes gold a "bad investment" to us buyers, which is what they want.

Just like the best way to get make guns useless, is to attack ammo. The best way to make gold investors look elsewhere...make physical gold hard to sell.

Sneaky bastards.

That is what they are trying to do.

[TLM]

It's not a "new" tax as many are reporting.
Just the paperwork to track you is new.

[Apparition]

Considering the dozens/hundreds of new boards and commissions created by the obamacare bill, I wouldn't be surprised.

Just think of what other rules and regulations these scumbags can create just because of their hidden existence.

[BabushkaLady]

This is actually bigger then it is being portrayed. I almost think the MSM is trying to point out the gold angle to divert the attention from this being ALL transactions over $600.

This will include anything, from a digital camera to a generator. How many people are going to give their SSN to a store? Not many, especially with all the Identity Theft / ID Vault commercials.

Non-compliance just may kill this one.

It also reminds me of the new rules in Greece from a few months ago. They implemented the same thing:

Greek FinMin Unveils Tax Reform (http://www.reuters.com/article/idUSLDE61824V20100209)

[Phoenix]

This is actually bigger then it is being portrayed. I almost think the MSM is trying to point out the gold angle to divert the attention from this being ALL transactions over $600.


I don't "almost."




This will include anything, from a digital camera to a generator. How many people are going to give their SSN to a store? Not many, especially with all the Identity Theft / ID Vault commercials.

Non-compliance just may kill this one.


A few "non-compliants" will have their businesses raided, and possibly seized with "civil forfeiture." Then all the government-sponsored businesses (those with business "licenses") will comply in full. You the consumer will have three choices: 1) provide your Mark; 2) not buy the merchandise; 3) find someone who has the desired merchandise that does cash or barter.

Compliance could be made "easy" by simply using a Driver's License swipe at transactions; the SSN is already embedded in the stripe on the back. Many businesses already swipe DLs for alcohol purchases.

We are not yet sure how the Mark of the Beast "that no man may buy or sell" system will be implemented, but things are shaping up to give us an idea. Imagine they get this 1099 system off the ground, and in a couple years or so, require everything to be reported?

[BabushkaLady]

This is actually bigger then it is being portrayed. I almost think the MSM is trying to point out the gold angle to divert the attention from this being ALL transactions over $600.


I don't "almost."




This will include anything, from a digital camera to a generator. How many people are going to give their SSN to a store? Not many, especially with all the Identity Theft / ID Vault commercials.

Non-compliance just may kill this one.


A few "non-compliants" will have their businesses raided, and possibly seized with "civil forfeiture." Then all the government-sponsored businesses (those with business "licenses") will comply in full. You the consumer will have three choices: 1) provide your Mark; 2) not buy the merchandise; 3) find someone who has the desired merchandise that does cash or barter.

Compliance could be made "easy" by simply using a Driver's License swipe at transactions; the SSN is already embedded in the stripe on the back. Many businesses already swipe DLs for alcohol purchases.

We are not yet sure how the Mark of the Beast "that no man may buy or sell" system will be implemented, but things are shaping up to give us an idea. Imagine they get this 1099 system off the ground, and in a couple years or so, require everything to be reported?


My main point is non-compliance from the Consumer. Everyone always assumes everyone will go along with Big Brother. I don't believe it will be that easy.

Businesses will be burdened with the 1099 requirement and have to pay big accounting fees.

The Real ID scam didn't take hold, not because states cared about privacy. The cost of implementing Real ID is what has delayed that law. Follow the Money.

[Twisted Titan]

Assimilation into "Digital Gia" is unavoidable.

You will comply

[Phoenix]

My main point is non-compliance from the Consumer. Everyone always assumes everyone will go along with Big Brother. I don't believe it will be that easy.


You assume the consumer has the discipline to not buy that new LCD TV.




Businesses will be burdened with the 1099 requirement and have to pay big accounting fees.


When was the last time that stopped government?




The Real ID scam didn't take hold, not because states cared about privacy. The cost of implementing Real ID is what has delayed that law. Follow the Money.


Real ID is stalled, but magnetic strips on the back of Driver's Licenses is FACT, today.

Real ID will be rammed through quickly after the next domestic "terrorist" attack.

[gunDriller]

Businesses will be burdened with the 1099 requirement and have to pay big accounting fees.


When was the last time that stopped government?

i have a friend in Finland ... we've been talking about the environment for small business.

besides the VAT tax, it sounds so much more small-business friendly than the US. so much less jack-booted-thug ish.


this is a very, very different US government. if you are a small farmer who uses precious metals to store wealth, not only have you had to deal with the Patriot Act like everybody else. in addition to the Obama-care laws - the law we're talking about that starts in 2012, and the forced health care/ individual mandate/ $700 fine that starts in 2016, there is now the Food Safety Act, which drops a boatload of paperwork on all farmers.

the fine for failing to comply is $1 Million.

Obama is signing every bill his Jewish handlers put in front of him. he might be smarter than Bush but he lets himself be used just as much as Bush.

[BabushkaLady]

My main point is non-compliance from the Consumer. Everyone always assumes everyone will go along with Big Brother. I don't believe it will be that easy.


You assume the consumer has the discipline to not buy that new LCD TV.



I assume the consumer is skiddish about giving out their Soc. Sec. number to stores.






The Real ID scam didn't take hold, not because states cared about privacy. The cost of implementing Real ID is what has delayed that law. Follow the Money.


Real ID is stalled, but magnetic strips on the back of Driver's Licenses is FACT, today.

Real ID will be rammed through quickly after the next domestic "terrorist" attack.


Magnetic strips are a far cry from the full Real ID implementation. I just checked my DL--No Magnetic Strip--issued this year, as a matter of fact.