Selling Gold and Taxes in Germany: Holding Period, Tax Office & Exemption Limits

The short answer first

Whether you pay tax when selling gold depends almost entirely on one question: how long have you owned the gold before selling it? After one year of ownership, the profit no longer matters for tax purposes at all. Within that year, the amount of the profit is what counts.

Looking to sell your gold? We explain the process and how to get the best price in our article Selling Gold: Where Do You Get the Best Price? You can find current purchase prices directly in our online shop; you can sell old gold and jewellery through our gold buy-back service.

The one-year holding period: why it decides your tax bill

The legal basis is Section 23 of the German Income Tax Act (EStG), which governs private disposal transactions ("private Veräußerungsgeschäfte"). Physical gold — bars, coins or jewellery — is treated for tax purposes as an "other asset" and therefore falls under this rule. The decisive period is twelve months between purchase and sale.

• Sale after more than one year: The entire profit is tax-free — no matter how large it is.
• Sale within one year: The profit is generally subject to income tax, provided the exemption limit described below is exceeded.

What matters for the start of the holding period is the purchase date shown on your invoice or purchase receipt — not the date you physically receive or collect the gold. For example, if you buy on 15 March 2025, you can sell tax-free from 16 March 2026 onwards.

The exemption limit: what applies if you sell before the deadline?

If gold is sold at a profit within the holding period, an exemption limit applies: if the total profit from all private disposal transactions in a calendar year stays below this limit, no tax is due. This exemption limit was raised from EUR 600 to EUR 1,000 per year effective 1 January 2024 under the German Growth Opportunities Act ("Wachstumschancengesetz") — a change that many older guides still fail to reflect. You can also look up the current amount directly in the Federal Ministry of Finance's official table.

An exemption limit is not the same as a tax-free allowance — an important distinction: with a tax-free allowance, only the amount above the threshold would be taxed. With an exemption limit like this one, it works differently: if the profit exceeds EUR 1,000 by even one cent, the entire profit becomes taxable — not just the portion above the threshold. Example: with a profit of EUR 1,050 within the holding period, you must pay tax on the full EUR 1,050, not just the EUR 50 above the limit.

It's also worth knowing that this exemption limit applies to all private disposal transactions in a year taken together — so not just gold, but also, for example, cryptocurrencies or other assets sold within a year. If you make several such sales in the same year, the profits must be added together.

Worked example

You buy gold coins for EUR 3,000 in January 2025 and sell them again as early as October 2025 — i.e. within the holding period — for EUR 3,900.

• Profit: EUR 900
• Result: Since the profit is below the EUR 1,000 exemption limit, it remains completely tax-free.

Had you instead achieved EUR 4,100, the profit would have been EUR 1,100 — above the exemption limit. In that case, the full EUR 1,100 would be taxed at your personal income tax rate.

Do I have to report the sale to the tax office?

Many people confuse two separate issues here that have nothing to do with each other:

• For tax purposes, there is no automatic reporting of the sale to the tax office. You are responsible for declaring a taxable profit yourself in your income tax return — typically under Anlage SO ("Sonstige Einkünfte" / other income).
• Under anti-money-laundering law, a separate rule applies regardless: if you sell precious metals worth EUR 2,000 or more to a dealer, that dealer is required to identify you under the German Anti-Money Laundering Act (GwG). This has nothing to do with your tax liability — it exists to combat money laundering and handling stolen goods. We explain this threshold and the difference to buying in our article Buying Gold Anonymously: Limits, Rules and Reporting Requirements.

So even though no active report is made, the obligation to declare remains once the exemption limit is exceeded — regardless of whether the dealer had to identify you or not.

Why keeping your purchase receipt matters

Without proof of the purchase date, you cannot demonstrate the one-year holding period to the tax office. The burden of proof lies with you as the taxpayer — otherwise, the tax office may assume a taxable transaction by default. For this reason, keep your invoices and purchase receipts permanently, even if the sale happens years later. A reputable dealer automatically issues an invoice showing the purchase date at the time of sale — for inherited holdings or older stock without documentation, however, providing proof can become difficult.

A brief look at Austria

Austria also applies a one-year holding period for physical gold (Section 31 of the Austrian Income Tax Act, EStG) — so the underlying principle is the same. The key difference: Austria's exemption limit is significantly lower, at EUR 440, compared with Germany's EUR 1,000. In addition, tax exemption after the holding period in Austria applies only to physical gold — "paper gold" such as certificates or ETCs is subject to a 27.5% capital gains tax regardless of how long it is held.

Germany and Austria at a glance

Summary

The tax question when selling gold comes down to one simple principle: if you wait a year, you pay no tax on the profit — regardless of the amount. If you sell earlier, keep the EUR 1,000 exemption limit in mind, and remember that exceeding it makes the entire profit taxable. In any case, keep your purchase receipts so you can prove the holding period if needed. A reputable dealer will automatically issue you a proper invoice showing the purchase date — feel free to reach out to us if you're unsure how your planned sale would affect you tax-wise.

Frequently asked questions

How long do I need to hold gold to sell it tax-free?
At least one year from the purchase date. After that, the entire sale profit is tax-free regardless of its amount.

What happens if my profit exceeds the EUR 1,000 exemption limit?
Because this is an exemption limit rather than a tax-free allowance, exceeding it makes the entire profit taxable — not just the amount above EUR 1,000.

Do I have to actively report the gold sale to the tax office?
There is no automatic reporting. You must declare a taxable profit yourself under Anlage SO in your income tax return. The identification requirement from EUR 2,000 at a dealer, by contrast, relates to anti-money-laundering law, not tax.

Does the same exemption limit apply in Austria as in Germany?
No. Austria also has a one-year holding period (Section 31 EStG), but the exemption limit there is EUR 440 rather than the EUR 1,000 that applies in Germany.

Do I have to report the purchase of gold to the tax office?
No, the purchase itself does not trigger a tax report — buying gold is not subject to income tax. What buyers often confuse: from an amount of EUR 2,000, the dealer is required to identify you — but that is a requirement under the Anti-Money Laundering Act, not a tax matter. The purchase only becomes relevant for tax purposes later, as proof of the purchase date, should you sell the gold again at a profit within the holding period. We explain the identification requirement for purchases in more detail in our article Buying Gold Anonymously: Limits, Rules and Reporting Requirements.