Investment gold / Regulations

Regulations

Investment gold is defined by article 1 of the law of January 17, 2000, No. 7:

Art. 1.
(gold trade)
1. For the purposes of this law, the term "gold" means:
a) investment gold, meaning gold in the form of ingots or plates with a weight accepted by the gold market, but in any case greater than 1 gram, with a purity equal to or greater than 995 thousandths, represented or not by securities;
Gold coins of a purity of 900 thousandths or more, minted after 1800, which have or have had legal tender status in the country of origin, normally sold at a price which does not exceed 80% of the free market value of the gold contained in them, included in the list prepared by the European communities commission and published annually in the European communities’ official gazette, series c, as well as the coins having the same characteristics, even if not included in the aforementioned list; the decree of the Minister of the Treasury, the Budget and Economic Planning establishes the modalities for transmitting information to the European Communities Commission on the coins traded in the Italian state that meet the aforementioned criteria;
b) Gold material other than that referred to in item a), for mainly industrial use, both in the form of semi-finished products with a purity of 325 thousandths or more, and in any other form and purity.
2. Anyone who arranges or carries out the transfer of gold to or from abroad, or the trade of gold in the national territory or other gold transactions, even free of charge, has the obligation to declare the transaction to the Italian exchange office if its value is equal to or greater than 20 million lire. The professional operators referred to in paragraph 3 are also required to declare, whether they operate on their own account, or on behalf of third parties. Transactions carried out by the Bank of Italy are excluded from this provision.

Thanks to law 7/2000, No. 7, the Italian exchange office’s monopoly of the gold market has been abolished and Italian residents can buy and sell investment gold without VAT. The purchase and sale, if not carried out professionally, but within an investment/asset protection strategy, are free. Any sales, pursuant to art. 1 paragraph 2 of the law 17.01.2000, No. 7 must be declared to the financial information unit (uif ex uic) of the Bank of Italy. Furthermore, the term "anyone" indicates that there is no distinction between economic and private operators, but that any operation greater than €12,500.00 must be declared.

The obligation to communicate takes place with deeds or transfer of gold

• To and from abroad
• gold trade in the national territory
• other gold transactions also free of charge

In case of non-declaration, the sanctions provided for by art. 4 of law 17.01.2000, No. 7 and in particular paragraph 2: “violations of the obligation of declaration referred to in article 1, paragraph 2, can be punished with an administrative sanction from a minimum of 10 percent to a maximum of 40 percent of the negotiated value.” The terms and modalities of the declaration are established by the uic provision of 07/14/2000