Gold Bullion Bars and Rounds
Gold bullion bars and rounds are a timeless, sound investment and universally transferable. They also make for smart gifts for family members and friends, offering your loved ones an evergreen resource that potentially appreciates and can be liquidated readily. The following are some questions and answers to consider when purchasing bullion.
What increments are gold sold in?There are no standard increments, which makes gold bars and gold coins even more attractive. You can buy gold, one of the great precious metals, by weight. Weights of one-tenth, one-fourth, and one-half ounce are not uncommon. You can buy gold by the gram, from half a gram to 250 grams or more. There's also gold by the kilo.
What are .999 and .9999 fine gold?Fine gold is 99.9% to 99.99% pure. This purity measurement corresponds to a grading system called millesimal fineness. Fine gold is also referred to as 24-karat gold. There are additional purity levels below .999, and they are perfectly acceptable for buying and selling. For example, 14-karat gold has a purity of .585, which is about 58.5% pure gold. The purity of 22-karat gold is .9167, making it 91.67% pure. Above .9999 is .99999, which is 99.999% pure. This rare gold is sometimes called ultra-pure or five-nines.
Many experts agree that .999 is essentially pure, and minted examples of .9999 and even .99999 are not uncommon. One minted example of .9999 is the American Buffalo coin, and many Royal Canadian Maple Leaf coins are .99999.
What are cast, minted, and CombiBars of gold?Cast, minted, and CombiBar are types of gold bars. Imagine you're preparing gold bars. To cast gold bars, you heat gold until it melts, and then you pour the liquid into a mold. To mint gold bars, you press and cut bars to a uniform weight, shape, and size. Then you reheat the bars and mint them, rather like a coin, so they emerge with your design, pattern, impression, or stamp.
The CombiBar is typically a credit card-sized bar consisting of 50 1-gram squares that you can break off by hand. It lets you liquidate small portions of your gold as needed. Gold is a highly liquid, non-perishable asset, meaning you can sell it for cash at any time, nearly anywhere.
Do you need to file a 1099-B after purchasing bullion?No, you can purchase all of the gold bullion, whether gold coins or gold bars, and silver you desire without having to file any IRS forms.