Precious metals and bullion

From the 2024 DOR Tax Exemption Study

Det. No. 13-0144, 33 WTD 14 (February 3, 2014) 16 Currency which is no longer recognized as a medium of exchange or debt of the issuer is considered to be merely an article of tangible personal property. The gross income derived from the sale of such currency is subject to the retailing classification of the B&O tax. In addition, retail sales tax must be collected. ANALYSIS Washington imposes B&O tax upon the privilege of engaging in business activities in this state. The measure of the tax as well as the tax rate vary depending upon the nature (or classification) of the activity. RCW 82.04.220. RCW 82.08.020 imposes retail sales tax on each retail sale in Washington. The seller must collect sales tax from the buyer, and then remit the collected tax to the Department. RCW 82.08.050. If the seller fails to collect the tax, the seller must still pay the tax to the Department. RCW 82.08.050(3). RCW 82.04.050 defines the terms “sale at retail” and “retail sale.” These definitions apply to both Washington’s B&O tax and retail sales tax, and include “every sale of tangible personal property.” RCW 82.08.010(6); RCW 82.04.050(1)(a).5 The issue on appeal is whether Taxpayer sells collectibl