Which precious metal products are explicitly exempt from IRS reporting and why?
Executive summary
A narrow class of bullion and coin products are effectively exempt from mandatory IRS Form 1099‑B dealer reporting because they are either not the type or quantity of metal that the Commodity Futures Trading Commission (CFTC) has approved for delivery under regulated futures contracts, or because they fall outside the IRS “Reportable Items List” that dates from the 1980s (examples commonly cited include fractional gold coins, American Gold and Silver Eagles, many foreign coins not on the IRS list, and certain large silver bars) [1] [2] [3]. The exemption arises from a technical regulatory framework—CFTC approval of deliverable forms and minimum quantity thresholds—not from a broad policy of secrecy for precious‑metal purchases, and cash‑transaction reporting (Form 8300) still applies when payment rules are triggered [1] [4] [3].
1. Which products dealers and industry guides say are exempt
Multiple dealer and industry guides consistently list fractional gold coins, American Gold Eagles and American Silver Eagles, most fractional and many numismatic coins, foreign coins not explicitly on the IRS list, U.S. coins minted after the IRS list was made, and some large-format silver products (e.g., 100‑ounce silver bars) as not subject to mandatory 1099‑B reporting by dealers in typical quantities [5] [3] [6] [2] [7] [8].
2. The legal/technical reason: CFTC approval and minimum‑quantity rules
The statutory and administrative basis for the 1099‑B reporting exception is that only precious metal products deliverable under CFTC‑approved regulated futures contracts (RFCs) and meeting specified weight/number minimums trigger the broker/dealer information return requirement; metals or forms for which the CFTC has not approved RFC trading, or sales below the CFTC‑defined minimum quantities, are excepted from the 1099‑B reporting rule [1] [9]. IRS instructions explicitly state a sale of a precious metal in any form not approved by the CFTC for regulated futures contract trading is not reportable, and even approved forms are not reportable if the quantity is below the RFC minimums [1].
3. Common concrete thresholds and gray areas
Practical thresholds cited by guidance and dealer analyses include numeric examples such as the need to aggregate sales in a 24‑hour period to determine reportability and historical rules like reporting only when sales meet certain counts (e.g., 25 one‑ounce gold coins or 1,000 US 90% silver dollars as illustrations used in industry summaries), though specific minimums can vary with the exact RFC definitions and have been the subject of evolving industry practice [10] [11] [9]. Industry sources emphasize that many everyday investor coins do not meet the RFC deliverable forms or quantity triggers and therefore commonly escape dealer 1099‑B reporting, while cautioning that dealers sometimes over‑report to be conservative [4] [9].
4. Cash reporting and other non‑1099 obligations remain in force
Even where a coin or bar is excepted from 1099‑B reporting, dealers must still comply with cash‑receipt reporting under Form 8300 whenever a transaction (or related transactions within 24 hours) involves more than $10,000 in cash or equivalent instruments—a rule that applies across businesses and is separate from the 1099‑B exceptions [4] [3] [5]. Dealers and consumer guides repeatedly note that lack of a 1099‑B from a dealer does not mean a transaction is invisible to other reporting regimes or that the seller’s tax reporting obligations are eliminated [4] [7].
5. How industry practice and ambiguity affect taxpayers
Because the exemption turns on product definition, CFTC approvals, and quantity aggregation, dealers sometimes classify products conservatively and file 1099‑B returns more often than strictly required; conversely, many dealers and exchanges assert that the vast majority of retail precious‑metal transactions are not reportable (one firm estimated nondisclosure in normal course about 99.998% of transactions) [4] [9]. Importantly, multiple sources stress that the absence of a dealer 1099‑B does not remove the taxpayer’s obligation to report capital gains on sales of precious metals—investors remain responsible for reporting gains and maintaining records even when no information return is furnished [4] [12].