Capital Gains Tax on Platinum
Platinum is a valuable precious metal that investors buy and sell like gold or silver. When you make a profit selling platinum, you face capital gains tax from the US government. The IRS treats platinum bullion, coins, and bars as collectibles. This means special tax rules apply, different from regular investments like stocks.
The tax depends on how long you hold the platinum. If you sell it after owning it for less than one year, it counts as a short-term gain. Short-term gains get taxed at your ordinary income tax rate, which can go up to 37 percent based on your total income. For example, if you are in a high income bracket, you pay more on these quick sales.
Hold the platinum for more than one year, and it becomes a long-term gain. Long-term capital gains on collectibles like platinum have a maximum tax rate of 28 percent. This cap applies no matter how high your regular income tax rate is. So even wealthy investors top out at 28 percent on long-term platinum profits. For details on this, see the guide at https://investingnews.com/daily/resource-investing/precious-metals-investing/gold-investing/tax-on-gold-silver-investments/.
Your exact tax bill also ties to your income level. Lower earners might pay less or even zero on long-term gains if their income stays under certain limits. High earners could face an extra 3.8 percent net investment income tax on top of the capital gains rate.
Most states follow federal rules and tax platinum gains as income, unless the state has no income tax at all. Those states include Alaska, Florida, Nevada, New Hampshire, South Dakota, Tennessee, Texas, and Wyoming. Check your state laws, as some offer breaks on buying platinum but still tax sales profits. Michigan, for instance, skips sales tax on platinum bullion over 90 percent purity. More on state rules here: https://blog.swissamerica.com/sales-tax-on-gold-and-silver-by-state/.
One way to handle taxes differently is through a precious metals IRA. Inside an IRA, platinum avoids the 28 percent collectibles rate. Instead, you pay ordinary income tax when you withdraw funds later. This can defer taxes or even make them tax-free in a Roth IRA. Physical platinum outside an IRA always faces the collectibles tax. Learn more from this overview: https://www.birchgold.com/blog/precious-metals/precious-metals-tax-guide/.
You must report all platinum sales on your tax return using IRS Form 8949 and Schedule D. Keep records of what you paid, sale price, and holding time to figure gains or losses accurately. Losses can offset other gains to lower your taxes.
Sources
https://investingnews.com/daily/resource-investing/precious-metals-investing/gold-investing/tax-on-gold-silver-investments/
https://blog.swissamerica.com/sales-tax-on-gold-and-silver-by-state/
https://www.birchgold.com/blog/precious-metals/precious-metals-tax-guide/
https://platinumteamproperties.com/real-estate-blog/selling-your-home-how-higher-capital-gains-can-save-you-thousands/
https://shopglobalcoin.com/blogs/blog/tax-implications-when-you-sell-gold-bullion-in-different-states
https://www.irs.gov/pub/irs-prior/i1040sd–2025.pdf
https://www.jmbullion.com/investing-guide/taxes-reporting-iras/gold-ira-vs-physical-gold/