Finance

What States Collect Sales Tax When Buying Costco Gold

Gold has been in the news a lot since it’s shot up over 50% in value this year to the lofty price of over $4,000 an ounce.

It was already big news when Costco started selling gold a few years ago, the recent run up in price has only made it even more popular.

But one thing that isn’t discussed nearly as often is the role of sales tax. Some states collect it on gold, others don’t.

In the great state of Maryland, we now have to pay sales tax whenever we buy gold. Prior to July 1st, 2025, there was an exemption on precious metals purchases over $1,000. That exemption was repealed by House Bill 352 and now we must pay a 6% state sales tax on all precious metals purchases… unless you buy it at the Baltimore Convention Center. 🤔

If gold is $4,000 an ounce, I have to pay $4,240 to buy what would cost only $4,000 in nearby Delaware.

In some states, you are exempt if the purchase is for investment purchases, often determined by the difference in the sale price and the face value of the metal or in the purity of the precious metal being sold. In other states, all precious metals and legal tender coins are exempt from sales tax. And then, of course, there are those lovely states that don’t assess a sales tax at all (looking at you Alaska, Delaware, Montana, New Hampshire, and Oregon).

If you’re buying an ounce of gold from Costco (assuming it’s 24kt which means it’s 99.9%+ pure gold), here is a list of states and whether you will have to pay sales tax on your purchase (this table was built off great research by GR Reserve):

State Likely Taxed on 1 oz 99.9% Pure Gold Bar? Notes on Exemptions / Avoidance Official Source
Recent Changes
Alabama No Fully exempt; 99.9% pure bars qualify for exemption
Alaska Possible local tax No state sales tax; local taxes may apply
Arizona No Fully exempt; 99.9% pure bars qualify
Arkansas No Fully exempt; 99.9% pure bars qualify
California Maybe Exempt if purchase > $2,000; 99.9% pure bars qualify for exemption CA CDTFA Regulation 1599
Colorado No Fully exempt; 99.9% pure bars qualify
Connecticut Maybe Exempt if purchase > $1,000; 99.9% pure bars qualify CPMEX Connecticut Tax Guide
Delaware No No sales tax
Florida Maybe Exempt if purchase > $500; 99.9% pure bars qualify
Georgia No Fully exempt; 99.9% pure bars qualify
Hawaii Possible Excise tax applies; no known exemption for precious metals
Idaho No Fully exempt; 99.9% pure bars qualify
Illinois Maybe Exemption depends on purity & product type; 99.9% bars likely qualify
Indiana No Fully exempt; 99.9% pure bars qualify
Iowa No Fully exempt; 99.9% pure bars qualify
Kansas No Fully exempt; 99.9% pure bars qualify
Kentucky No Fully exempt; 99.9% pure bars qualify
Louisiana No Fully exempt; 99.9% pure bars qualify
Maine No Fully exempt; 99.9% pure bars qualify
Maryland Yes 6% sales tax after July 2025; no exemption except Baltimore Convention Center Maryland Legislation HB0357
Massachusetts No Fully exempt; 99.9% pure bars qualify
Michigan No Fully exempt; 99.9% pure bars qualify
Minnesota No Fully exempt; 99.9% pure bars qualify
Mississippi No Fully exempt; 99.9% pure bars qualify
Missouri No Fully exempt; 99.9% pure bars qualify
Montana Possible local tax No state tax; check local jurisdictions
Nebraska No Fully exempt; 99.9% pure bars qualify
Nevada Possible local tax No state tax; check local jurisdictions
New Hampshire No No sales tax
New Jersey No Exempt if qualifying investment bullion (99.9% bars qualify) NJ Division of Taxation
New Mexico No Fully exempt; 99.9% pure bars qualify
New York Maybe Depends on premium, purity, and product type; 99.9% pure bars often qualify
North Carolina No Fully exempt; 99.9% pure bars qualify
North Dakota No Fully exempt; 99.9% pure bars qualify
Ohio Maybe Exempt if meets purity standards (99.9% bars qualify)
Oklahoma No Fully exempt; 99.9% pure bars qualify
Oregon No No sales tax
Pennsylvania No Fully exempt; 99.9% pure bars qualify
Rhode Island No Fully exempt; 99.9% pure bars qualify
South Carolina No Fully exempt; 99.9% pure bars qualify
South Dakota Possible local tax No state tax; check local jurisdictions
Tennessee No Fully exempt; 99.9% pure bars qualify
Texas No Fully exempt; 99.9% pure bars qualify
Utah No Fully exempt; 99.9% pure bars qualify
Vermont No Fully exempt; 99.9% pure bars qualify
Virginia No Exemption extended through July 2026; 99.9% bars qualify Virginia Tax Ruling 23-117
Washington Yes Taxable starting Jan 2026 (~10% total tax); no exemptions for bullion bars WA Department of Revenue Notice
West Virginia No Fully exempt; 99.9% pure bars qualify
Wisconsin No Fully exempt; 99.9% pure bars qualify
Wyoming Possible local tax No state tax; check local jurisdictions

⚠️ Residents of Washington who are considering gold bullion, you have until January 2026 to avoid paying a sales tax of 10%!

NOTE: As always, confirm with a local expert or with local laws and ordinances on sales tax. There are too many jurisdictions for any single source to be definitive, especially given how laws and ordinances change, so check with yours first.

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About Jim Wang

Jim Wang is a forty-something father of four who is a frequent contributor to Forbes and Vanguard’s Blog. He has also been fortunate to have appeared in the New York Times, Baltimore Sun, Entrepreneur, and Marketplace Money.

Jim has a B.S. in Computer Science and Economics from Carnegie Mellon University, an M.S. in Information Technology – Software Engineering from Carnegie Mellon University, as well as a Masters in Business Administration from Johns Hopkins University. His approach to personal finance is that of an engineer, breaking down complex subjects into bite-sized easily understood concepts that you can use in your daily life.

One of his favorite tools (here’s my treasure chest of tools, everything I use) is Empower Personal Dashboard, which enables him to manage his finances in just 15-minutes each month. They also offer financial planning, such as a Retirement Planning Tool that can tell you if you’re on track to retire when you want. It’s free.

>> Read more articles by Jim

Opinions expressed here are the author’s alone, not those of any bank or financial institution. This content has not been reviewed, approved or otherwise endorsed by any of these entities.

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