Confused over proposed tax legislation and like-kind exchanges?

There is some misinformation floating out around the dealer community intermingling “like-kind exchanges” and three different sections of the tax code (1031, 1099-b and bartering).

The Industry Council for Tangible Assets (ICTA) has produced a white paper which goes into detail providing a comprehensive explanation of each section of the tax code. The purpose of the paper is to try and make it as simple as possible to understand.

The paper has been released to ICTA members to aid them in assessing the effects of these revisions if they engage in like-kind exchanges. To access the white paper, ICTA members log in at ictaonline.org and select Resources > White Papers > Broker Reporting > Like-Kind Exchange and Barter.

ICTA is also making the paper available to non-members for a limited time. For information to obtain the white paper, visit the ICTA’s website.

For more extensive information on the rules and regulations of filing a 1099-b, purchase the ICTA Broker Reporting Kit at the the website of the ICTA.

This white paper and the Broker Reporting Kit is provided to assist dealers and is not intended to be used by dealers as the sole guidance for compliance. Dealers should consult with their tax professional.

About ICTA

ICTA is a 501(c)(6) non-profit association that represents the rare-coin, currency, and precious-metals communities. ICTA is supported solely by dues and donations. To join or learn more about ICTA, please visit our website.

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Comments

  1. mgm says

    Gold went down $50 dollars on the 2017 Gold Proof Buffalo. Now $1590 and the lowest mintage of any year. Denver mint gift shop is out but the Philadelphia mint gift shop has eight. I bought two for xmas. Call them at 215-408-0233. They honored the lower price too.
    Good luck and let me know if anyone got any…

  2. earthling says

    Zena

    OMG, do they still make/sell the stuff !? I remember a couple years ago, someone was trying to push what I assume was vintage Boxes of Quisp and Quake , as ” investments/collectibles”.

    Maybe they resurected the Brands? Or did it ever stop ?

  3. cagcrisp says

    @ Joe M. “I fear my silver will go back down to 3.5 x face after reading Cagcrisps’ analysis”

    I’m not Bullish on Silver, however, I’m Not that Bearish on Silver.

    The Fed vote yesterday and the news conference that Yellen gave afterwards was Somewhat Bullish for Gold and Silver.

    Trump wants a Weaker USD and things that he is doing and things that the Fed is doing pointing towards a Weaker dollar…

  4. Sith says

    From previous thread

    @Joe M. – “Was it illegal to own US gold coinage, or??? I’m hoping someone here will clarify.” – Executive Order 6102, which made gold ownership—both in coins and in bars—illegal for all Americans and punishable by up to ten years in prison. Proclamation 6102 also prohibited the use of gold in contracts. All U.S. citizens were forced to sell their gold at a price of $20.67. Several months later, the new, official gold exchange price became $35.00. In effect, what FDR did was to devalue the USD by 70% overnight. This was an immediate government profit of $14.33 for each ounce of gold collected. This confiscation explains the American view on hoarding silver as a store of value (Hunt Brothers, LaVere Redfield, Ted Binion, …)

    Gold coins with numismatic value were exempt, as was gold used in manufacturing, dentistry and jewelry production. In addition the order further permitted any person to own up to $100 in gold coins (a face value equivalent to 5 troy ounces) . Then in 1954, the Treasury Department passed an amendment to the Gold regulations, to the effect that all gold coins minted prior to 1933 (including European gold, and fractional gold coins) would subsequently be presumed to be rare and of recognized special value to collectors, without the necessity of further specific determinations by the Treasury. Coins minted after 1933 were still subject to specific Treasury Department rulings, this is where the Semi-Numismatic pre-1933 gold bullion comes into effect

  5. Daveinswfl says

    Regarding the article – of course we are confused. Gee, thanks for the total lack of summary! One sentence would have done it – if in doubt, call your tax professional. (See disclaimer at the end!)
    BTW, your tax professional will probably be guessing, too. You need a tax court ruling , and even then you can’t be sure.
    And they’re claiming they are “simplifying “ the tax code. Ha! Never happen. What happened to Ryan’s postcard return?

  6. Xena says

    cag (or anyone that knows): is $1249.30 (-$100 ebucks) good for a $20 Liberty Gold Double Eagle XF (Random Year)? Looking for a graduation gift for my son. Thanks!

  7. Xena says

    earthling – yes! Hard to believe. It’s not cheap – at least last time I got it. Good use of the internet to be able to order something like this. I checked after your post yesterday, found it on Walmart.com cheaper than Amazon. It just went on my Christmas list!

  8. cagcrisp says

    @Xena, “is $1249.30 (-$100 ebucks) good for a $20 Liberty Gold Double Eagle XF (Random Year)? ”

    Yes. I would say that’s a good price.

    For that price, just be prepared for the Random year to be after 1900…

  9. Xena says

    cag – thanks! I don’t have anything like this, so the year won’t matter to me. I’ll let you know what I get. I am only collecting the QB .25 oz for me and small (.1-.25 oz) pieces for my son’s birthday and Christmas presents (stole the idea from you). Thought a 1 oz would be nice upgrade for his graduation next June. He’s a dragon and I’d like to get him a Lunar Dragon 1 oz, but the markup is crazy.

  10. cagcrisp says

    I see where an 1879 Gold $4 Stella Sold for “just over” $1 million.

    That’s why the $4 Gold will ALWAYS be the Only Gold denomination that I will Never own.

    …Oh well…

  11. Erik H says

    Dustyroads, that platinum / palladium spread keep’s getting bigger. I wish I would have bought some cheap $550 palladium earlier this year so that I could trade it for the Pd Eagle. Wish I would have bought $5 -$10 Bitcoin too. Oh well….

  12. Erik H says

    cagcrisp, never say never!

    If you could afford the carrying cost on a short term flip it could be worth it just for the bragging rights. Maybe you could make a few bucks too.

    (Maybe I just dream too big)

  13. Larry says

    @cagcrisp, maybe in 2029 the mint will make a 250th anniversary $4.00 Stella, like the 2009 UHR. If they did, you could get your $4.00 coin.

  14. cagcrisp says

    Two weeks for TODAY the 2017 commemorative program will come to an Merciful END (for 2017)…

    The Gold Proof Boys Town is on pace to be the ALL TIME LOW MINTAGE WONDER
    The Gold Uncirculated Boys Town is the ALL TIME LOW MINTAGE WONDER
    The Silver Proof Boys Town is on pace to be the ALL TIME LOW MINTAGE WONDER
    The Silver Uncirculated Boys Town is on pace to be the ALL TIME LOW MINTAGE WONDER
    The Clad Proof Boys Town is on pace to be the ALL TIME LOW MINTAGE WONDER
    The Clad Uncirculated Boys Town is on pace to be the ALL TIME LOW MINTAGE WONDER

    Does any of this matter? No

    There will be people that Chase these numbers that will end up with a coin that they do not want, that will be overpriced, had virtually No Interest Alive and will have virtually No Interest Dead.

    There will be a Few that Flip and make some money. A very Few.

    There will be a Few that Buy the Flip that will be stuck with a VERY overpriced coin that if they wanted said coin they could have purchased directly from the Mint 9 months ago.

    May the 2017 Commemorative coins RIP…

  15. cagcrisp says

    @Larry, I Hope to make the 150th anniversary of the Stella, Don’t have ANY Hope of making the 250th anniversary…(IF I do, I’ll be in the record books)…

  16. Larry says

    Oooops. Yah, 150. Still would be a neat coin. Next time put brain in gear before putting fingers in motion.

  17. Mintman says

    Collectors care about low mintage wonders
    Why is it that some are so dismissive about the “record” being beaten by a huge margin
    Could it be sour grapes?

  18. earthling says

    When mintage finally gets into the sub -1000 level I’ll be impressed – at least for a day or two. Before too long I’ll be looking for sub-100 mintage levels.

    The rise of the Bitcoin will take us there. Soon no one will want to buy anything but Bitcoin. They’ll want to sit and watch their fortune rise and fall by the minute.

    😍

  19. Sith says

    @Mintman – It would be sour grapes if they could not purchase the “low mintage wonder.” It is still for sale as such what is their to be sour about? This is an old discussion, low mintage vs demand. If nobody wants the coin, then who cares what the mintage is. It is possible that the Boys Town coins could pull a Jackie Robinson , and sky rocket in value, and if you believe that they are still available (except the UNC gold) from the mint.

    IMHO what cagcrisp is saying is that there will be a few people who will have missed the opportunity to buy the coin from the mint. They will see the low mintage, and buy it for a premium, and later when they go to sell the coin, they will not be able to sell it, for the amount they paid for it, because nobody else cares about the mintage, or the coin. In a nutshell cagcrisp is saying is don’t pay a premium for the coin, in a few months based on mintage, if you do you will be kicking yourself for not buying it from the mint.

  20. ClevelandRocks says

    Dying hobby. My kids don’t use coins every day. I do think gold will reach $2000 soon. SIlver will make a bull run too.

  21. Anthony says

    I believe that the Mint’s planned numismatic offerings is a great line up and will do quite well when all is said and done by the end of December 2018! Happy Holidays to everyone & a happy healthy 2018! 🙂

  22. Mintman says

    Sith
    Not in agreement
    Tell that to all the people who missed the 95w Proof ASE in the set format, and moaned all day long about it
    Then, when the Coin was being sold out of the set in the weeks after receipt by mail…. for 400 ish for the 95w Silver Proof—-again people dismissed it
    I think if you can secure a BT unc Gold for not much of a premium, you shouldn’t be just pulling the trigger- you should be firing off every round

  23. Barry says

    As far as the hobby goes people are buying more bullion coins than the 80’s or 90’s. There is less numismatic value to them than say Morgans but they are more than just generic bars. Modern clads in general haven’t done so well in holding their value so people will adjust their purchases. Has the hobby changed ? yes. So we are going in the direction back to where things were before the state quarters started in 1999 imo. I.don’t pretend to be a expert but, that is my 2 cents.

  24. Sith says

    @Mintman – Not arguing with you, you asked for an explanation, but apparently you could have simply stated your point, and disagreed with cagcrisp, without all the hoopla. I don’t have a dog in this fight. I’m curious, how many BT UNC coins have you purchased? Did you buy any of the NPS UNC gold based on their mintage lows last year? Again looking for insight.

  25. Mintman says

    I bought both issues. NPS and BT Unc Golds.
    I did well on the NPS issues, but they were upstaged by a significant margin this year by the BT Unc Gold.
    For all the years I’ve been active in this hobby, one would expect similar mintages to last year for the Unc Gold. Maybe you would shave off 500 pieces and go sub-5000. But to shave off 2000+ pieces, this was a significant downturn.
    I agree demand isn’t as high as even 10 years ago, but, this BT Unc Gold will do well for many years to come. Many believe it will be the King for quite a while. In other words, don’t expect a new King from next years issues.

  26. SmallPotatos says

    I agree with Mintman. The 1997 $5 Unc Jackie Robinson was king for many years at 5175, and commanded (and still does) even though there are now two lower mintage coins. 25 coins difference for NPS was not enough to sway that monemtum, but 2150, i believe, is…and for some time to come.

  27. mccam36525 says

    George Rogers Clark National Historical Park 2017 Uncirculated Five Ounce Silver Coin is currently unavailable!

  28. earthling says

    This nonsense with the 70 graded and “exclusive” labels has become pure horsecrap. We’re supposed to accept that a Coin is extremely valuable because it was submitted within a certain time period to one of those TPG’s?

    Bullshorts. What a load.

    😔

  29. Jerry Diekmann says

    Mintman – has Father Flanagan been promoted to King now? I’m not sure if the Catholic Church has promoted him to Saint yet.

  30. John Q. Coinage says

    BT UNc will sho IF there are evne 5,000 collectors of BU modern $5 commens left…….we will see, Father Mulcahey lives @ least, I passed & missed but you know what the mint essentially killed this golden goose! As Lt. Gerard said “I just don’t care” the NPS design was great the BT eh meh…..I missed Jackie & have a few of the the bi–mettalic LOC BU & Proofs, can’t sell for anywhere near graysheet bid, just saying……..date collecting is slowly gpoing the way of Scott Catalouge value for US Stamps, other than c3a or other stars, catalog value does not = reality @ THIS TIME Digital all /EVERYtHINGis king……

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