VAT On Scrap Gold

PLounge

Hi All

I have seen a few threads on scrapping old for cash.

I have a question about the cash you recieve for any scrap gold. I have been told by a friend that anybody buying scrap gold will deduct 17.5 VAT on any cash given for scrap gold.

Has anybody on here been charged this for selling their gold?

DiggerUK

PLounge wrote: »

I have a question about the cash you recieve for any scrap gold. I have been told by a friend that anybody buying scrap gold will deduct 17.5% VAT on any cash given for scrap gold.

If anybody deducts VAT then you can shoot them, (illegal) or go to another buyer,(legal)

Personally I would shoot them, then go to another trader, but I don't have a problem with breaking the law.

Hales

I don't know sorry Hun

dbarcl10

Sounds like a dodgy firm trying to up their profit to me.

As the seller you would be charging them (the buyer) VAT and passing this element of the sale price onto HM Revenues & Customs. I'll assume however that the gold won't be worth more than £64,000 and you therefore are not required to register for VAT with HMRC. Therefore there is no VAT on the sale price.

PLounge

Thanks for your comments. As I guessed it seems I was being had.

I have sent my scrap gold to Hatten Garden Metals yesterday after reading the HGM thread.

I will let you know how I get on