Swordsmyth
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Today, a law went into effect that exempts precious metals stored in the Texas Bullion Depository from certain taxes. Enactment of this law takes another step toward the everyday use of gold and silver in financial transactions in the Lone Star State and sets the stage to undermine the Federal Reserve’s monopoly on money.Rep. Giovanni Capriglione (R-Keller) sponsored House Bill 2859 (HB2859). Under the new law, “Precious metals are exempt from taxation if they are held in a commercial depository in this state.”
HB2859 serves as the enabling legislation for a state constitutional amendment that passed in November. The passage of Proposition 9 authorized the Texas legislature to “exempt from ad valorem taxation precious metal held in a precious metal depository located in this state.” Ad valorem taxes are levied on personal property.
Prop 9 passed by a 51.7 percent to 48.3 percent margin.
The House passed HB2859 by a 137-6 vote. The Senate passed the measure 27-4. With Gov. Greg Abbott’s signature back on June 5 and the passage of the amendment, the law went into effect Jan. 1.
Enactment of HB2859 takes another step forward in facilitating sound money in Texas.
Abbot signed a law creating a state gold bullion and precious metal depository in the summer of 2015. The depository received its first deposits in the summer of 2018.
Ultimately, private individuals and entities will be able to purchase goods and services, using assets in the vault the same way they use cash today. Exemption from taxation of precious metals stored in the vault will further facilitate the use of stored bullion as money. This will help incentivize the use of the Texas Bullion Depository. If they then start allowing checks and debit cards to be used in conjunction with the bullion accounts – likely the next step – it would essentially create a specie- and bullion-based bank introducing currency competition with Federal Reserve notes.
Constitutional tender expert Professor William Greene said when people in multiple states actually start using gold and silver instead of Federal Reserve Notes, it could create a “reverse Gresham’s effect,” drive out bad money, effectively nullify the Federal Reserve, and end the federal government’s monopoly on money.
More at: https://blog.tenthamendmentcenter.c...-law-to-facilitate-use-of-bullion-depository/
HB2859 serves as the enabling legislation for a state constitutional amendment that passed in November. The passage of Proposition 9 authorized the Texas legislature to “exempt from ad valorem taxation precious metal held in a precious metal depository located in this state.” Ad valorem taxes are levied on personal property.
Prop 9 passed by a 51.7 percent to 48.3 percent margin.
The House passed HB2859 by a 137-6 vote. The Senate passed the measure 27-4. With Gov. Greg Abbott’s signature back on June 5 and the passage of the amendment, the law went into effect Jan. 1.
Enactment of HB2859 takes another step forward in facilitating sound money in Texas.
Abbot signed a law creating a state gold bullion and precious metal depository in the summer of 2015. The depository received its first deposits in the summer of 2018.
Ultimately, private individuals and entities will be able to purchase goods and services, using assets in the vault the same way they use cash today. Exemption from taxation of precious metals stored in the vault will further facilitate the use of stored bullion as money. This will help incentivize the use of the Texas Bullion Depository. If they then start allowing checks and debit cards to be used in conjunction with the bullion accounts – likely the next step – it would essentially create a specie- and bullion-based bank introducing currency competition with Federal Reserve notes.
Constitutional tender expert Professor William Greene said when people in multiple states actually start using gold and silver instead of Federal Reserve Notes, it could create a “reverse Gresham’s effect,” drive out bad money, effectively nullify the Federal Reserve, and end the federal government’s monopoly on money.
More at: https://blog.tenthamendmentcenter.c...-law-to-facilitate-use-of-bullion-depository/
