OKLAHOMA CITY – A new law signed by the governor makes gold and silver coins legal tender in the State of Oklahoma.
Organizers say it’s good news for investors of precious metals but it’s not intended to help people pay their day-to-day bills.
Officials say the goal is to eliminate a tax that some lawmakers called nonsensical.
“This is not something so people can buy a pack of gum or buy a car with a stack of gold coins. This is not that,” said Oklahoma Sen. Kyle Loveless.
Loveless supported the bill, which passed the legislature before being signed by Gov. Fallin.
The law specifically reads, “No person may compel another person to accept gold or silver coins, except as agreed upon by contract.”
However, it does eliminate a tax on precious metals for investors.
“This is a no-brainer. You wouldn’t tax a currency. You don’t tax the cash in your pocket,” said Loveless.
The law puts gold and silver on the same playing field as stocks.
For example, if you buy shares of Google, you wouldn’t be taxed on the purchase, only on the profits following a sale.
Lawmakers say the law could encourage more Oklahomans to invest gold and silver for long-term savings.
“When you buy real estate or buy any investment, there is no tax on the purchase of it, and that’s what etoro this is,” said Loveless. “It’s a nonsensical tax, I’m glad we were able to get rid of it.”
The law takes effect Nov. 1.
Several other surrounding states, including Texas and Louisiana, already have similar laws on the books.
Lawmakers say this puts Oklahoma on a level playing field with those states.
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