Government Reporting Requirements

GOVERNMENT REPORTING REQUIREMENTS

 

Grand Rapids Coins will go to the greatest possible extent to protect your privacy, but must report certain transactions, as noted below:

 

Cash Reporting Regulations

  • Form 8300 Report of Cash Payment Over $10,000 Received in a Trade or Business: Cash payments include straight cash, traveler’s checks, money orders, and cashier’s checks. The amount of $10,000 or more must be reported if the transaction takes place within a short time period, and includes one person, collectively related persons (spouses, other family members, friends, or even co-workers.
  • Form 109 Suspicious Activity Report by Money Service Businesses (SAR): Coin dealers are asked to file these reports with the Treasury Department’ in a variety of unusual situations. A criminal investigation is immediately launched. We expect never to have to file this report.

 

Anti-Money Laundering Regulations

 

Patriot Act of 2001, Section 352 requires coin dealers to have a formal anti-money laundering compliance program, a company compliance officer, and annual employee training program, and an annual audit of the coin dealer’s compliance program. This law is intended to detect potential terrorist activities.

 

To comply with these regulations, Grand Rapids Coins must obtain positive identification and a finger print of clients who buy or sell $3,000+ in bullion-related coins and/or ingots. We will only release this information if a certified IRS agent visits our office to request such information.

 

Bulk Sales to Dealers—Reporting Regulations

 

IRS Form 1099-B must be filed when we purchase larger quantities of the following specific bulk bars or coins from non-corporate sellers in a single/related transaction(s):                                                                                                                                                     

Bar/Coin Minimum Amount Triggering Report Requirement
Gold bars Any size bars totaling 1+ kilogram
Silver bars    Any size bars totaing 1,000+ troy oz.
Platinum bars  Any size bars totaling 25+ troy oz.
Palladium bars  Any size bars totaling 100+ troy oz.
Gold Maple Leaf  25 1-oz. coins
Gold Krugerrand  25 1-oz. coins
Gold Mexican Onza  25 1-oz. coins
US Silver coins, 90%  Coins totaling $1,000+ face value
(dimes, quarters, half dollars).

                   

If your sale to us is a combination these ingots or coins in a lesser quantity in any of these groups , the reporting requirement is not triggered. Be aware that the IRS still expects to see the transaction on your tax return.

 

Don’t let these reporting requirements sway your investments; also be aware that there are other bulk coins and ingots that can easily fulfill your commodity investment requirements.

 

Contact Grand Rapids Coins for your commodity investment purchases.