View Full Version : Use of PM's in contracts/Barter/ect

10-09-2011, 06:07 PM
a while back there was an article about how Trump sold some property for gold, and there was an article about someone who got into trouble that was indirectly involved in paying people in Silver....

so my question is, what sort of complications or legalities are there involved in bartering, paying, or receiving payment for something in PM's?

I mean regarding things like taxes and that sort of things?

for example:
Person A sells a car to person B for X.

what needs to be done differently, if anything, if X is say, three 1-oz gold eagles, vs if X is three times the gold spot value in cash.

or what about real estate? is it just as simple as selling for X cash in the form of Y <specific coins> at a rate of <specified value> each? and that for all the documentation it is the SAME as if it were cash? or what?

this seems like it could be either very complicated, or very simple...

10-09-2011, 06:37 PM
Have any links?

That "someone who got into trouble" was likely using the face value on bullion coins as the basis for taxation purposes.

Basically, afaik one can purchase or sell for just about anything (legal), however the various governmental or taxing authorities are going to want to be paid - in dollars.

I can sell you my pickup for 5 eagles, say. No problem there. When you go to register, they will want (depending on the state) dollars, for sales tax (why exactly, is unclear - taxes were paid when new, etc) license fees, registration.

One thing though - just like when paying cash - BE SURE TO GET A RECEIPT - always. Even people you know, and trust.
Modern times and all (ha!) people usually pay by check, bank draft, cashiers check, etc. This helps if there's ever a dispute about payment down the road - if you pay by cash or wampum or airline bottles of booze, they can come back after you someday and claim you didn't pay, or not full payment, etc. Contracters, esp., can apply what is known as a mechanic's lien against your property. Don't lose those receipt's!