Investment Gold
Also: investment-grade gold, VAT-exempt gold, monetary gold
Investment gold is a tax-privileged category of gold (bars and certain coins) whose purchase is exempt from VAT across the EU, including Ireland.
Investment gold is a precisely defined legal category. Right across the EU — and therefore in Ireland — the purchase of investment gold is exempt from VAT. That treatment sets gold apart from silver, platinum and palladium, where VAT is charged on purchase at the standard Irish rate.
What counts as investment gold
The rules flow from EU Directive 2006/112/EC (Articles 344–356) and are transposed into Irish law through the VAT Consolidation Act 2010. Investment gold covers:
- Gold bars and wafers with a fineness of at least 995/1000, in weights traded on the bullion market.
- Gold coins that carry a fineness of at least 900/1000, were minted after the year 1800, are or were legal tender in their country of origin, and are normally sold at a price not more than 80 % above the open-market value of the gold they contain.
The European Commission publishes an annual list of coins that qualify as investment gold. Perennial favourites such as the Krugerrand, the Maple Leaf, the Vienna Philharmonic and the American Eagle appear on it reliably.
VAT-free on purchase — but on sale too?
Two separate taxes have to be kept apart:
- Value Added Tax: none arises on the purchase of investment gold in Ireland. In practice you pay essentially only spot plus the premium.
- Capital Gains Tax on gains: when you sell physical gold at a profit, that gain is chargeable to Irish CGT at 33 %, after the annual personal exemption of EUR 1,270. Ireland offers no holding-period relief — unlike Germany, where a gain becomes tax-free after one year under Paragraph 23 EStG. A first estimate can be produced with the tax estimator.
Investment gold versus collector coins
Not every gold coin is investment gold. Numismatic collector coins, whose price sits well above their metal content, fall outside the definition and can be liable to VAT. For pure wealth-building, investors therefore tend to favour bar-like products and common bullion coins carrying a low premium.
In brief
Investment gold pairs one clear tax advantage with a caveat: it is VAT-free on purchase in Ireland, but any profit on sale remains liable to Capital Gains Tax at 33 % with no holding-period escape. Knowing the rules lets you target the right bars and coins and sidestep unnecessary VAT. (This text is not tax advice; when in doubt speak to a professional adviser.)