Rep. Craig Burt introduces H.711 to exempt investment bullion from Vermont sales tax

Representative Craig Burt introduced H.711 to the Ways & Means committee, describing the bill as a targeted exemption that would remove the state sales tax on investment-grade precious metals such as bullion and certain coins while leaving jewelry sales taxed. "This bill is about removing the sales tax from, precious metals, bullion, or exempting them from the sales tax," Burt said while explaining the draft language separates investment bullion and coins from retail jewelry.

Burt told the committee Vermont is "one of only 5 states that, have a sales tax on gold and silver," and argued the measure would align the state’s tax policy with most other states and could be a modest economic benefit. He described the estimated fiscal effect as small, noting he expected a "de minimis" impact on total state revenues but recommended department analysis to confirm that estimate.

Committee members asked operational questions about how bullion is bought and stored, whether purchases made out of state (for example in New Hampshire) would create use-tax obligations in Vermont, and how resale would be reported for capital-gains treatment. The Chair reminded the panel that "if someone buys gold in New Hampshire or silver in New Hampshire, they are still responsible for sales tax in Vermont," highlighting compliance and reporting issues the bill would need to address.

Burt and members agreed that testimony from tax and industry experts will be necessary to clarify enforcement, tracking of ownership and capital-gains reporting, and how many in-state businesses would be affected. The committee did not take a vote; members thanked the sponsor and requested additional materials and expert testimony before any committee action.

The committee indicated next steps: bring in experts on bullion sales/logistics and a fiscal estimate to determine revenue impacts and compliance implications.