Kentucky Bullion Sales Taxes

Kentucky Precious Metals Tax Information

The state of Kentucky requires the collection of sales tax on certain products sold by APMEX and delivered to a Kentucky address.

Please note: The information below is not a comprehensive description of sales tax laws and requirements in the state of Kentucky. It is intended only to provide a brief overview of Kentucky sales tax laws and requirements currently in effect that may relate to transactions with APMEX.

Sales tax is generally determined by the laws in effect on the date an order ships, not the date the order is placed. Because sales tax laws and product taxability rules can change, APMEX encourages customers to review applicable tax information before completing a purchase.

What Precious Metals Are Taxed?

Kentucky sales tax must be collected on certain products sold by APMEX and shipped to a Kentucky address.

Under current Kentucky law, qualifying currency or bullion is exempt from Kentucky sales and use tax. Kentucky exempts the sale, use, storage, or other consumption of “currency or bullion” under KRS 139.480(37).

For Kentucky purposes, exempt bullion generally includes qualifying bars, ingots, or coins made of:

1. Gold;
2. Silver;
3. Platinum;
4. Palladium; or
5. A combination of those metals.

To qualify as bullion, the item must be valued based on its metal content rather than its form and must meet the requirements of Kentucky law.

Qualifying currency may also be exempt when it meets Kentucky’s statutory definition. Kentucky law defines currency to include certain coins, currency, or paper money that is or has been used as legal tender and is sold based on collectible value rather than value as a medium of exchange.

Taxes must generally be collected on products that do not qualify for Kentucky’s currency or bullion exemption, including:

1. Jewelry;
2. Coins, medallions, or currency incorporated into pendants or other jewelry;
3. Sterling silverware;
4. Cutlery;
5. Other collectible or processed items made from precious metals that do not meet Kentucky’s exemption requirements;
6. Accessory items; and
7. Other taxable tangible personal property sold by APMEX and shipped to a Kentucky address.

All other products sold by APMEX that do not meet Kentucky’s exemption requirements may be subject to Kentucky sales tax.

Taxable Products in Kentucky

The following definitions apply to products that may be exempt or taxable depending on whether they meet Kentucky’s statutory requirements:

• Bullion. For Kentucky sales tax purposes, bullion generally means qualifying bars, ingots, or coins made of gold, silver, platinum, palladium, or a combination of those metals, valued based on metal content rather than form, and used or previously used as a medium of exchange, security, or commodity by a state, the United States government, or a foreign nation.
• Currency. Currency generally means qualifying coin, currency, or paper money made of gold, silver, platinum, palladium, other metal, or paper that is or has been used as legal tender and is sold based on collectible value rather than value as a medium of exchange.
• Jewelry and Jewelry-Incorporated Items. Kentucky’s exemption does not apply to medallions, coins, or currency incorporated into pendants or other jewelry. These items may be subject to Kentucky sales tax.
• Processed Items. Precious Metals that have been processed into items valued on more than their metal content, such as jewelry, statues, decorative items, sterling silverware, cutlery, or similar products. These items may be taxable when they do not meet Kentucky’s statutory definition of exempt currency or bullion.
• Accessory Items. Items such as holders, tubes, coin flips, storage products, or similar supplies. These items are generally taxable unless a separate exemption applies.

How Does Kentucky Calculate Precious Metals Taxes?

Taxes in Kentucky are calculated at checkout on the APMEX website based on:

1. The taxability of the products sold by APMEX and shipped to a Kentucky address;
2. Kentucky sales tax rules in effect at the time the order ships;
3. Whether the product qualifies as exempt currency or bullion under Kentucky law; and
4. The applicable Kentucky sales tax rate for taxable items.

Kentucky generally imposes sales and use tax at a statewide rate of 6% on taxable sales. Kentucky does not impose additional local sales and use taxes.

APMEX began collecting taxes in Kentucky in October 2018.

Kentucky Currency and Bullion Exemption

Qualifying currency and bullion shipped to a Kentucky address may be exempt from Kentucky sales and use tax when the products meet the requirements of Kentucky law.

This exemption does not apply to every item containing gold, silver, platinum, or palladium. Jewelry, cutlery, sterling silverware, coins or currency incorporated into jewelry, and other processed or collectible items may remain taxable when they do not meet the statutory definition of exempt currency or bullion.

APMEX calculates applicable Kentucky sales tax at checkout based on product taxability, the shipping address, and Kentucky law in effect when the order ships.