{"id":14555,"date":"2025-05-04T01:22:33","date_gmt":"2025-05-04T01:22:33","guid":{"rendered":"https:\/\/finderica.com\/?p=14555"},"modified":"2025-05-04T01:22:33","modified_gmt":"2025-05-04T01:22:33","slug":"gold-etf-investors-may-be-surprised-by-their-tax-bill-on-profits","status":"publish","type":"post","link":"https:\/\/finderica.com\/?p=14555","title":{"rendered":"Gold ETF investors may be surprised by their tax bill on profits"},"content":{"rendered":"
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Akos Stiller\/Bloomberg via Getty Images<\/p>\n<\/div>\n<\/div>\n<\/div>\n

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Gold returns are shining \u2014 but investors holding gold exchange-traded funds may get hit with an unexpectedly high tax bill on their profits.<\/p>\n

The Internal Revenue Service considers gold and other precious metals to be “collectibles,” similar to other physical property like art, antiques, stamps, coins, wine, cars and rare comic books.<\/p>\n

That’s also true of ETFs that are physically backed by precious metals, according to tax experts.<\/p>\n

Here’s why that matters: Collectibles generally carry a 28% top federal tax rate on long-term capital gains. (That rate applies<\/a> to profits on assets held for longer than one year.)<\/p>\n

By comparison, stocks and other assets like real estate are generally subject to a lower \u2014 20% \u2014 maximum rate on long-term capital gains.<\/p>\n<\/div>\n

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Investors in popular gold funds \u2014 including SPDR Gold Shares (GLD