Are there exemptions for numismatic coins or bullion in Washington state taxes?

1. The old exemption: how numismatic coins and bullion were treated

For decades Washington’s Department of Revenue guidance and rules treated gross income from sales of precious metal bullion (bars, processed nuggets) and monetized bullion (coins used as legal tender) as generally exempt from retail sales tax and retailing B&O tax; that exemption was reflected in DOR publications and WAC guidance that distinguish bullion valued for metal content from manufactured items ^{[1] [4] [5]}.

2. What changed in 2025: the repeal and its effective date

The Washington Legislature passed Engrossed Substitute Senate Bill 5794 (Chapter 423, Laws of 2025), which explicitly repeals the long‑standing sales‑and‑use‑tax exemption for precious metals and monetized bullion; the law was signed and set to take effect January 1, 2026, removing the exclusion that previously kept these sales outside the definition of wholesale or retail sales ^{[3] [2] [6]}.

3. What is taxable now: definitions and scope

Under the new framework the Department of Revenue says gross income from sales of precious metal bullion and monetized bullion will be taxable as sales of tangible personal property and subject to retail sales tax and Retailing B&O tax; "monetized bullion" is defined to include coins or money manufactured from gold, silver or other metals that are used as legal tender, excluding coins sold to be manufactured into jewelry or works of art — though sales of bullion used to make jewelry were already taxable under prior law ^{[4] [2] [3]}.

4. Industry reaction and political context

Dealers, collectors and trade groups such as the National Coin & Bullion Association publicly opposed the repeal, warning of business displacement to other states and reduced market competitiveness; lawmakers and fiscal analysts, by contrast, framed the repeal as part of broader budget-reform measures and revenue-raising steps recommended amid a state budget shortfall that informed the 2025 tax changes ^{[7] [8] [9]}.

5. Practical effects and exceptions to watch for

Practically, buyers in Washington should expect state plus local sales tax on most bullion and coin purchases starting in 2026 — potentially pushing combined rates into the high single digits or around 10% in some jurisdictions — and dealers will face retailing B&O tax on gross receipts, a cost that may be passed to consumers; however, narrow pre‑existing distinctions remain relevant (for example, coins sold specifically to be manufactured into jewelry or works of art may be treated differently), and prior DOR guidance remains a useful baseline for transaction classification ^{[8] [10] [4]}.

6. Bottom line, uncertainties and limits of this reporting

The definitive answer is that exemptions that once applied to qualifying precious‑metal bullion and monetized bullion in Washington have been repealed and, effective Jan. 1, 2026, those sales are generally subject to retail sales tax and retailing B&O tax under ESSB 5794 and DOR notices ^{[3] [2]}; this summary is based on the cited legislative text, Washington DOR guidance and reporting from industry and local news outlets, and does not assert or analyze any post‑2025 legislative amendments or case law not covered in the provided sources ^{[6] [11]}.