Alabama numismatists and coin businesses are likely elated this week
after a sales-and-use tax exemption on U.S. coins and currency and
precious-metals bullion sales was signed into law.
Alabama became the 37th state with this exemption as Gov. Kay Ivey
signed Senate Bill 156 on March 6.
According to the Industry Council for Tangible Assets, the new law
exempts proceeds from the sale of gold, silver, platinum and palladium
bullion, and money, from sales and use tax for five years. The law
goes into effect June 1.
This achievement has been in the works since the summer of 2016,
when Phil Darby of J&P Coins and Currency (Helena, Ala.), Steve
Caiola of Alabama Gold Refinery, and ICTA representatives joined
forces. Darby and Caiola hired Graham Champion of Public Strategies,
based in Montgomery, Alabama, as the campaign’s lobbyist.
The first iteration of the legislation died in the House in May
2017, but the team didn’t stop. Champion gained Rep. Ron Johnson’s
support for the bill, who, along with the bill’s author, Sen. Tim
Melson, pushed it through, according to ICTA.
“We promoted the sales-tax exemption as a legitimate jobs and
economic-development issue with the legislators,” Champion said in an
ICTA release. “We were pleased with the unanimous support of our
legislation in both houses, recognizing the benefits to the state’s
revenue, to in-state businesses, and to in-state investors and
collectors from eliminating the sales tax.”
Exploring the source of a valuable hoard from
the American Gold Rush era reveals almost endless
possibilities. Also in this issue, what is a ‘full
torch’ designation as it relates to coins?
According to ICTA, this change means Alabama is now eligible to
host a national coin show. Show promoters tend to avoid conducting
shows and convention in states where coins and bullion items are
subjected to sales taxes.
“We have discussed the possibility of hosting a show in Alabama,
however, we have been reluctant because of the sales-tax obstacle,”
said Mary Burleson, president of Whitman Publishing. “The new law
allows us to once again give serious consideration to hosting a
successful show in Alabama.”
Whitman Publishing’s Coin & Collectibles Expo conducts coin
shows, including the Whitman Baltimore Expo.
Connect with Coin World:
up for our free eNewsletter
Like us on
us on Twitter