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NWMO | I’m genuinely curious
I understand gold to be a store of wealth. I understand it to outperform the dollar pretty much all the time. I understand that it’s a hard asset that I can hold onto.
However, I don’t understand how to make it a viable asset to hold onto to later liquidate and use. If I have $300,000 (which was already taxed), and I want to turn that into gold. From my understanding, there’s no sales tax on gold in Missouri.
$300k gets me ~76 oz of gold today ($4200/oz). Let’s say 10 years from now, gold is $6000/oz. That would put my value at $456,000.
Then, a piece of land comes up for sale next door that I want. If I liquidate that gold that I bought, will I not still have to pay 28% capital gains tax? I can’t 1031 it obviously.
So, to avoid a higher tax, I buy a gold ETF, lowering my capital gains to 20%. Regardless, I’d have been just as well of to invest in the stock market, correct?
What am I missing? (Genuinely) | |
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Land prices have fallen in half.
