Video Testimony: Texans Argue for the Elimination of Sales Tax on Gold & Silver, Committee Supports Rep. Simpson's HB78!Submitted by RobHino on Mon, 03/11/2013 - 22:20
Currently, there is a tax break for purchases over $1000. This bill would remove the $1000 threshold opening up the ability to purchase and save gold and silver tax free in smaller purchases, or exchanges rather, as you convert your dollars to silver or gold.
Here's the video testimony from today's Committee on Ways & Means. It starts about a minute in and lasts for about 20 minutes, though the video continues to other topics:
(Real Player required to watch)
Chris Howe's Speech:
Mr chairman, members,
Money acts as a store of value and we generally do not apply taxes when we exchange those stores of value.
If I go into a bank and exchange a roll of dimes for a five dollar bill, I'm not subject to a tax.
The US constitution says that no state shall make anything but gold and silver coin a tender in payment of debts.
While we are a long way from upholding that clause, this bill encompass the reasons why our founders thought gold and silver so important...that is as a store of value.
Allow me to demonstrate.
In 1964, these three dimes purchased one gallon of gasoline.
A year later ,In 1965, these three dimes purchased one gallon of gasoline as well.
Today, these three dimes can purchase about two gallons of gas.
While these three dimes can only purchase about twelve ounces of gas.
The difference? These three dimes are made of silver,
...while these are not.
This demonstrates the importance of being a store of value.
The median household income in Texas is just under 2000 dollars every two weeks.
Financial experts recommend saving about twenty percent of your after tax income. That ends up being about 340 dollars of the paycheck for that median household.
Under current law, the everyday family looking to be responsible and maintain the value of their savings is subject to taxation for their prudence. This is extremely regressive and completely unnecessary.
This bill is important to give everyday families access to that real store of value.
I'm grateful to see seven of the members of this committee among the 111 members who have already signed into this bill.
I encourage your continued support to its passage.
I'm trying to get Jorge's speech, and will update this post if he wrote it down! He might have just winged it!
Please follow the progress of HB78 and urge your Texas State Representatives to pass it!
I believe I heard 7 of 12 of the committee members are in favor of it so far! Is your rep on board?! Find out!