Silver has topped $120/ounce, and for the first time ever...

[LuckyCharms]

90% silver coins are not showing an offer price to buy on JM Bullions's website.

Too much supply in the market?

Refiners can't keep up with supply?

Is 90% silver difficult to sell now, without accepting a low ball offer vs. spot price?

Seems like everything is upside down...unchartered territory.

[Fiendish Thingy]

1. Likely sign of a bubble

Buyers don’t want to be caught holding silver they overpayed for after the bubble bursts.

[cachukis]

2. As a retired antiquer, my penchant for silver has been

aging in cabinets. I took a standard 8 piece setting to a travelling gold and silver group to see what they might offer.
I had 64 ounces. After trying to play with weights they came up with first, an offer of $663.00.
I told them I declined and started to pack up.
She came back with $1,364.00.
I showed her the spot price yesterday at $112.00 and presented a silver value calculater. Even taking a sizeable profit they should have offered considerably more. Her response was that they have expenses like travel, insurance, salaries and so on.
Were they trying to cover it all with my 64 ounces?
Fortunately, I have old friends still in the business who pay well.

[Mister Ed]

3. May I ask a question of you or of others knowledgeable about trading silver?

The question is about taxes. Those who sell silver today that they've owned for awhile will make a significant profit on it. What sort of taxes will they pay on that profit, and how do they calculate it?

[cachukis]

4. You are required to pay a capital gains tax on the

profit over your basis. If you paid $1,000.00 for the silver and sold it at $2,000.00 you would be responsible for the tax on $1,000.00. I think capital gains taxes top out near 30%.
Silver is classified as an asset like real estate.
When I had my shop I listed all my sales with basis and sales price.
Most people sell their purchases at yard sales and such at a loss. They are not often classified as assets.
I am not an accountant and would appreciate any correction to my response.

[Mister Ed]

5. Thank you so much! That's very helpful. n/t