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Is treasure trove taxable?

In general, treasure troves are considered taxable income under the Internal Revenue Code. This means that the finder may be required to pay income tax on the value of the treasure trove.

Is jewelry considered a collectible for tax purposes?

Collectibles - Gold and silver coins and bullion are included on the IRSs list of collectibles. Unlike jewelry, the sale of collectibles can result in either a taxable loss or a taxable gain.

Do you have to pay taxes on treasure you find?

Both cash and tangible property are taxable, and the fair market value of the property should be reported. Its important to document the discovery of found property and keep detailed records of any subsequent sale or transfer of ownership for tax purposes.

Is a treasure trove taxable when sold or exchanged?

First, an IRS Revenue Ruling states, the finder of treasure trove is in receipt of taxable income, for Federal income tax purposes, to the extent of its value in United States currency, for the taxable year in which it is reduced to undisputed possession. Second, numerous Supreme Court cases recognize the broad

What states are treasure trove legal in?

State Laws For example, California law requires that anybody who finds property worth $100 or more, and the owner is unknown, must turn the property over to the local police. If the police can find the owner, they must notify him of the found property and return it to him.

Do you have to pay taxes on gold you find in the ground?

However, the IRS considers physical quantities of metal to be a collectible. For collectibles, such as coins, art and bullion, the standard tax rate is 28%. As a result, owning physical gold, or owning funds that themselves own physical gold, means that you can pay a higher maximum capital gains rate of 28%.

What are the rules for treasure trove?

Before an object could be declared treasure trove and be the property of the Crown it had to pass three tests: it had to be made substantially of gold or silver, it had to have been deliberately hidden with the intention of recovery, and its owner or his heirs had to be unknown.

What happens if you find treasure troves?

After a find is reported You will be contacted by either a local Finds Liaison Officer or museum curator to talk about how and where you made the find. Youll be given a receipt. The Finds Liaison Officer or museum curator will then write a report on the find.

Treasure Trove Reporting Form 2025

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