A new bill could pave the way to gold

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Another year, another bill to legitimize gold and silver as legal tender in Arizona.

For the past half a decade, Arizona State legislators have proposed bills stemming from concerns that the paper money printed by the Federal Reserve Bank is losing value. All of these bills do fairly well in both the House and Senate, but consistently get beaten down late in the process – usually with vetoes from the governor.

This year, the bill is a little different than it has been. It focuses more on the taxation of the gold and silver and less on the actual usage of gold and silver at your neighborhood market.

“This is merely removing a wrongly attached capital gain tax,” Doug Ardt, a vocal member of Arizona constitutional advocates who manages the website Arizona Sound Money Act, said. “The state isn’t ready for it. Because speaking the language of liberty is a foreign language for most citizens.”

House Bill 2014, introduced by Rep. Mark Finchem, R-Casa Grande, allows a tax deduction for the capital gains received from the exchange of one kind of legal tender, like paper money, for another, like gold coins. Today, if you own a $5 gold coin, it is worth exactly that – five dollars. And if you try to sell your gold coin (today, a gram of gold is about $39.75) your profit would be taxed. HB2014 removes that tax, which proponents say is the first step to legitimizing gold and silver as legal tender.

The Senate Finance Committee heard the bill today.

Read the full story at AZ Capitol Times

Corrie O'Connor