Gold has long been regarded as a safe-haven asset, prized for its ability to maintain its value during times of economic uncertainty. But when it comes to tax and legal obligations, many UK investors and heirs find themselves asking: What are HMRC’s gold rules?
In this article, we’ll explore whether gold is taxable, how it’s treated when inherited, and the rules around declaring and selling it. Whether you’re a collector or someone who’s come into possession of gold coins or bullion, here’s what you need to know.
Is Gold Exempt from Inheritance Tax?
One of the most common questions is: is gold exempt from inheritance tax (IHT)? Unfortunately, the answer is no. Gold is considered part of your estate when you die and, like any other asset, may be subject to inheritance tax.
HMRC does not treat gold differently from other personal possessions. This means if the total value of an estate—including gold—exceeds the current inheritance tax threshold (£325,000 for most people), the excess may be taxed at 40%.
Are Inherited Gold Coins Taxable?
Yes. Are inherited gold coins taxable? Absolutely—just like gold bars, jewellery, or bullion. You don’t pay tax immediately when you receive gold coins, but they become part of your estate and may incur inheritance tax if applicable.
If you later decide to sell those coins, Capital Gains Tax (CGT) may also apply if the profits exceed the annual exemption (£3,000 for individuals in the 2025/26 tax year, subject to confirmation).
However, note that UK legal tender gold coins—such as Britannias and Sovereigns—are exempt from CGT for UK residents. This can be a significant tax advantage.
Tax on Inherited Gold Coins: What You Should Know
The tax on inherited gold coins typically falls into two categories:
- Inheritance Tax – Based on the value of the coins at the time of death.
- Capital Gains Tax – If you sell the coins later and they’ve increased in value, CGT may apply unless the coins are exempt (e.g., Britannias).
Always have inherited gold professionally valued at the time of inheritance to avoid disputes or issues with HMRC later.
Do I Have to Declare Gold to HMRC?
Your decision depends on how you acquired the gold and what you plan to do with it.
- If you’re buying gold as an investment, you don’t need to declare it unless it produces income (e.g., gold-backed ETFs with dividends).
- If you’re selling gold, you may need to declare it to HMRC, especially if you make a profit and exceed your Capital Gains Tax allowance.
- If you inherit the gold, you must declare it for IHT assessment.
So, do I have to declare gold to HMRC? Yes—when it’s relevant to inheritance or disposal (sale). Keeping detailed records is essential.
How Much Gold Can You Own in the UK?
There is no legal limit on how much gold you can own in the UK. You’re free to buy, hold, or inherit as much gold as you like—whether in coins, bars, or jewellery.
However, you must still follow the relevant tax rules when buying, selling, or passing gold through inheritance. If you’re storing large quantities, consider secure storage options and adequate insurance.
How to Sell Gold Without Paying Taxes UK
Here’s a question many investors ask: How to sell gold without paying taxes UK?
There are a few legal ways:
- Sell UK legal tender coins – As mentioned, Sovereigns and Britannias are CGT-exempt for UK residents.
- Stay within your CGT allowance – If your annual gains from all assets, including gold, are below the exemption, no CGT is due.
- Use your spouse’s allowance – Married couples can transfer assets to make use of both CGT exemptions.
- Sell in small quantities over several tax years – To manage gains and avoid breaching the annual limit.
Important: You must always report gains that exceed the CGT allowance. Avoiding taxes illegally could lead to penalties.
Gold and Intestacy Rules
If someone dies without a will, intestacy rules apply. These legal rules decide who inherits the estate, including any gold assets.
Under UK intestacy law:
- Spouses/civil partners and children are first in line
- If no immediate family exists, more distant relatives may inherit
- Unmarried partners have no automatic right to inheritance
Suppose gold (coins, bullion, or jewellery) is part of an estate with no will. In that case, it may be sold or distributed according to intestacy laws, potentially triggering IHT or CGT depending on circumstances.
- Owning or inheriting gold in the UK can be both financially rewarding and legally complex. From declaring assets to HMRC to navigating intestacy rules and capital gains tax, understanding your obligations is crucial to staying compliant—and protecting your investment.
Whether you’re asking how much gold can you own in the UK, or wondering how to sell gold without paying taxes, the key is to stay informed, keep records, and seek tax advice if you’re unsure.
