Taxation-Physical-Precious-Metals-Germany

Last updated: 28 September 2026

Physical precious metals such as coins and bars are generally not subject to the German flat-rate withholding tax on investment income (Abgeltungsteuer).

However, precious metals held as private assets may be subject to the rules governing private disposal transactions under Section 23 of the German Income Tax Act (Einkommensteuergesetz – EStG).

If a precious metal is sold within one year of its acquisition, any resulting gain may generally be subject to income tax.

If more than one year has elapsed between acquisition and sale, the disposal of such a privately held asset generally no longer falls within the scope of Section 23 (1) no. 2 EStG.

In addition, an exemption threshold applies to taxable private disposal transactions: the total gain from private disposal transactions remains tax-free if it is less than €1,000 in a calendar year. If this threshold is reached or exceeded, taxation is not limited to the amount exceeding the threshold.

This information applies to precious metals held as private assets. Different tax rules apply to precious metals held as business assets or traded in the course of a commercial activity.

This information is provided for general guidance only and does not constitute individual tax advice.

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