Taxation of Gold and Silver in Switzerland: VAT, Wealth Tax & Declaration
All about precious metals taxes in Switzerland: VAT exemption (Art. 18 LTVA), wealth tax reporting and zero capital gains tax for individuals.
Key facts
- Investment Gold VAT
- 0% VAT (Art. 18 LTVA) for bars (≥995‰) and official coins
- Capital Gains Tax (Private)
- Exempt from capital gains tax for Swiss private individuals
- Wealth Tax
- Mandatory reporting at official Dec 31 rate (Federal Tax Admin)
- Silver VAT
- 8.1% VAT in Switzerland (Exempt in duty-free bonded storage)
At a glanceThe taxation of precious metals in Switzerland is widely recognized as among the most investor-friendly worldwide. Nonetheless, navigating VAT exemptions, wealth tax declarations, and capital gains rules requires clear understanding of federal and cantonal tax codes.
1. VAT Rules: Gold vs. Silver and Platinum
- Investment Gold (Art. 18(2)(i) VATA): 100% exempt from VAT (0%). Covers bars with fineness ≥ 995‰ and legal tender gold coins.
- Silver, Platinum, Palladium: Subject to standard 8.1% VAT upon physical domestic delivery (VAT-free only within bonded freeports).
2. Capital Gains Tax: Switzerland's Massive Advantage
For private individuals domiciled in Switzerland managing personal wealth:
Capital gains realized from selling physical gold, silver, or coins are 100% TAX-FREE.
If you purchase gold for CHF 50,000 and sell it years later for CHF 90,000, the CHF 40,000 net gain is completely exempt from income and capital gains tax.
3. Cantonal Wealth Tax (Vermögenssteuer)
Precious metals must be declared annually on your December 31 tax return:
- The Federal Tax Administration (ESTV / FTA) publishes official year-end closing valuation tables for fine gold, Vrenelis, Krugerrands, and silver bars.
- Rates vary by canton and total net worth, typically ranging from 0.1% to 0.7% annually.
| Tax Category | Physical Investment Gold | Physical Silver (Domestic) | Silver in Bonded Freeport |
|---|---|---|---|
| Purchase VAT | 0% (Exempt) | 8.1% | 0% (Tax-Free) |
| Capital Gains Tax (Private) | 0% (Exempt) | 0% (Exempt) | 0% (Exempt) |
| Cantonal Wealth Tax | Yes (FTA official Dec 31 rate) | Yes (FTA official Dec 31 rate) | Yes (FTA official Dec 31 rate) |
| Inheritance Tax (Direct Heirs) | 0% across most Swiss cantons | 0% across most Swiss cantons | 0% across most Swiss cantons |
Frequently Asked Questions: Swiss Precious Metals Tax
Must gold in bank safe deposit boxes be declared?
Yes. Swiss residents are legally obligated to declare all worldwide assets on their annual wealth tax return.
Do heirs pay inheritance tax on gold?
In most Swiss cantons, inheritance tax between direct descendants (children and spouses) is 0%.
Buy Investment Gold in Switzerland (VAT-Exempt)
Buy and store physical gold in secure Zurich or Geneva vaults at direct live LBMA spot rates.
Swiss VAT impact
Swiss VAT Impact (8.1%)
Investment Gold
Considered a currency, it is VAT-exempt in Switzerland (purity >995 for bars, or >900 for coins).
Silver / Platinum / Palladium
Considered industrial metals, they are subject to the standard VAT rate (8.1%).