The buying and selling of gold is a practice as old as the history of global economies themselves. Both private investors and companies have long regarded gold as a safe haven or an investment asset.
Let’s take a closer look at how gold trading works in Italy, with particular attention to its tax regulation.
When referring to the buying and selling of gold, this may involve either physical gold (such as bars and coins) or financial products linked to gold (such as exchange-traded funds).
While physical gold is tangible and requires logistical handling and secure storage, financial products linked to gold allow investors to gain exposure to gold price movements without physically owning the metal.
The trading of investment gold involves buying and selling gold with the expectation that its value will increase over time, depending on market trends.
Although gold does not generate dividends like shares, it offers the undeniable advantage of helping to protect investments from inflation risks and stock market volatility.
In Italy, investing in gold is particularly attractive for another reason: investment gold is exempt from VAT under current regulations. In addition to understanding the dynamics of gold trading, it is therefore essential to clarify what is meant by investment gold.
Article 1 of Law No. 7 of 17 January 2000 defines investment gold as:
This definition clearly distinguishes investment gold from other consumer goods or investment assets, which are normally subject to VAT.
The buying and selling of investment gold may generate capital gains of a financial nature, which are subject to taxation under Italian law through the application of a substitute tax.
The 2024 Budget Law introduced significant changes to the previous legislation (Article 68 of the Italian Income Tax Code – TUIR). Where purchase invoices are available, any capital gain realised is subject to a substitute tax at a rate of 26%, comparable to that applied to financial transactions. This tax is settled through the tax return relating to the year in which the proceeds are received.
In the absence of purchase documentation, a 26% tax is applied to the total sale proceeds. For this reason, it is always advisable to retain all documentation relating to the purchase of the metal.
For a comprehensive, up-to-date and accurate overview of the tax regime applicable to investment gold trading, it is recommended to rely on industry professionals. Italpreziosi consultants are available to provide all the information you need, ensuring reliability and accuracy.
