Prices on some silver, platinum, and palladium on our website are displayed under the ‘Margin Scheme’ which means that the prices include VAT.
If you’re buying through a company, we recommend not to buy margin scheme bullion, as you won’t be able to claim the VAT back.
What is the Margin Scheme?
New and second-hand bullion can be sold under this special scheme because they’re classed as ‘collectibles’.
If a product is subject to VAT, there’ll always be some included in the price, even if the customer doesn’t see it.
When buying and selling bullion, VAT needs to be charged on the price.
The scheme is also used on second-hand cars.
The Margin Scheme allows us to avoid being charged VAT twice on the full price of the goods. Instead, the only VAT we pay on each sale is the profit on the difference between what we paid for the item and the price we sold it for.
We can’t display how much VAT we’ve paid for each item and we cannot claim any VAT back from the purchase.
If you sell an item for less than you paid for it, we wouldn’t have to pay any VAT on that sale.
Without the Margin Scheme, we’d have to account for full VAT on the full selling price of each item.
What about other precious metals?
Some other silver coins are exclusive of VAT. VAT is charged on silver rounds and bars as they are not classed as ‘collectibles’ and do not comply with the Margin Scheme legislation.
Silver bars and Silver coins under the Margin Scheme are a very attractive option for individual investors looking to add silver bullion to their collections. This is also the case for palladium bullion and platinum bullion.
Different silver passes through our vaults on a very regular basis. If you are buying through a VAT registered business, you won’t be able to claim the VAT back if you’ve purchased through the Margin Scheme.
If you’re stuck or looking for a particular type of coin, or a particular year, please contact one of the team for more information and we’ll be happy to help on 01769 618618, or email firstname.lastname@example.org.