Opinion: Remove Florida Sales Tax on Gold and Silver

“As inflation cuts into Floridians’ savings, individuals and businesses are actively seeking ways to protect their hard-earned money. Florida House Bill 7033 (HB 7033), the House budget bill supported by the Sound Money Defense League and Money Metals Exchange, includes language to eliminate sales tax on purchases of gold and silver,” stated Jp Cortez, Executive Director of the Sound Money Defense League, who has been working tirelessly to help all 50 states again recognize that gold and silver are constitutional money.

“The steady erosion in the value of the Federal Reserve note, i.e. the dollar, is rooted in irresponsible federal monetary and fiscal policies. Florida doesn’t have to stand by as the effects of federal policies harm citizens statewide. That’s why, as of this writing, 46 states, including Florida, have either fully or partially ended this tax on purchases of constitutional money.”

Current Florida Statute 212.08 applies sales tax to purchases of gold and silver below $500 but purchases above $500 are tax-free. “Most states recognize gold and silver as money and simply remove all taxes on their purchase. This regressive tax harms those most vulnerable to inflation: wage earners, savers, and those on fixed incomes, discouraging their participation in a transparent, free-market metals economy.”

During a discussion of this issue at the April 23rd meeting of the John Birch Society of Bay County, members reviewed Article 1, Section 10, of the Constitution of the United States which reads: “No state shall… coin Money; emit Bills of Credit; [or] make any Thing but gold and silver Coin a Tender in Payment of Debts…” In other words, gold and silver are “constitutional money”, or “real money.” Surprisingly, paper money is not “constitutional money.” Tho Bishop, Outreach Director of the Mises Institute, refers to paper money as “fiat money” because it “only has value because the government says it does. While it is the most common money in the world today, it’s a relatively modern creation that resulted from governments abandoning the gold standard.”

If a Florida Statute were passed to impose a sales tax on getting change from a $20 bill, would you be pleased? Likewise, if you had to pay sales tax when you took coins to the bank and exchanged them for paper money, would you be pleased? We need to eliminate the sales tax on the exchange of paper money for gold and silver since they are “real money” and should not be treated any differently than any other form of money.

(HB 7033 passed on April 25th, but the Senate version, SB 7034, has not yet passed.) Please call and/or email your Representative Griff Griffitts griff.griffitts@myfloridahouse.gov or Senator Jay Trumbull Trumbull.Jay.web@flsenate.gov today and tell them, in your own words, why they should retain the language to remove sales tax from gold and silver, as they negotiate and pass their final budgets!

In Liberty!