Buying silver in Columbia, SC
South Carolina does not charge sales tax on qualifying silver bullion and coins. Jewelry is taxed at the 6% state rate plus any local tax. The combined state and local sales tax rate in Columbia is about 8%.
Silver has one national spot price in US dollars: the prices on this page are the same as on the silver price in the United States page. What differs in Columbia is tax, explained below and on the South Carolina page.
Sales tax on silver in Columbia
Not on investment bullion. Gold, silver and platinum bullion, coins that are or were legal tender, and currency are exempt (S.C. Code 12-36-2120(70)). Dealer guides report palladium and collectible-priced items as taxable. Jewelry is taxed like other goods at the 6% state rate plus any local tax. The combined state and local rate is about 8% here.
Full state rules: silver price and tax in South Carolina.
Tax when you sell silver in South Carolina
Profits on silver are generally taxed by South Carolina like other investment gains, under its income tax rules. At the federal level, the IRS treats bullion and most silver coins as collectibles: long-term gains (assets held more than a year) are taxed at your ordinary rate, capped at 28%, and short-term gains as ordinary income.
Selling silver or silver jewelry to a dealer in South Carolina
- License: Dealers need a permit from the local law enforcement agency: the police chief inside city limits, the county law enforcement agency (sheriff) outside them (S.C. Code 40-54-20, 40-54-30). Sworn application; decision within 30 days; $50 a year; separate permit for each location (one fee). Must trade from a permanent place of business, not a vehicle, flea market, hotel room, home or short sublease. The state law overrides local ordinances on this business (40-54-90).
- Hold period: 21 days. Precious metals other than coins must be held 21 days from purchase at the place of business or within the county, and may not be resold, melted or altered in that time (40-54-50(B)).
- What the dealer records: Book entry for each purchase: date, amount paid, seller's name, sex, race, age, address and driver's license number, and item details (number, type, brand, size, weight, pattern, engraving or marks). Seller signs at purchase. Keep 3 years, open to police and courts (40-54-40). No routine reporting, photo or thumbprint in the statute.
- What sellers need: Seller must show a driver's license, or a DMV photo ID, passport, US military photo ID or SC photo voter registration card; no ID, no purchase. Seller signs the record. No purchase from a minor unless a parent or guardian with ID is present (40-54-50(A)).
- Who is exempt: Dealer-to-dealer sales where the selling dealer met the hold; coin trades between coin dealers and collectors at regular numismatic conventions; items bought from the manufacturer; bulk metals bought from commodity exchanges, banks, dealers or licensed brokers; coins used as legal tender (40-54-100). Coins are exempt from the hold.
- Jewelers: No retail jeweler exemption. Trade-ins count as purchases unless the item was bought from the same dealer.
- The law: Dealers in Precious Metals, S.C. Code Title 40, chapter 54 (40-54-10 to 40-54-100).
Dealers report a customer's sale to the IRS on Form 1099-B only for certain forms and quantities, such as 1-kilo gold bars, 1,000 ounces of silver bars or 25 or more Krugerrands or Maple Leafs; American Eagles and smaller lots are generally not reported. Any business that receives more than $10,000 in cash in one transaction or related transactions files IRS Form 8300. Bring a photo ID when you sell.
Tax and duty information last reviewed October 2026. Rules change — confirm with your dealer or tax authority before a large purchase.