Congressmen Press the U.S Mint for Action on Counterfeit Gold and Silver Coins Reply

By J P Cortez

Washington, DC (October 27, 2017) — Congressmen Alex Mooney (R-WV) and Frank Lucas (R-OK) today delivered a formal letter to the United States Mint and Secret Service, urging aggressive action on the growing problem of high-quality counterfeits of U.S. precious metals coins entering the country from China and elsewhere.

“Enclosed herewith is a 1995 1 oz. Gold American Eagle coin, carrying a face value $50 and ostensibly minted by the U.S. Mint,” Mooney and Lucas wrote.  “You are free to keep it, as it’s a worthless tungsten fake.”

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Arizona Ends Income Taxation on Gold & Silver Coins Reply

Arizona Governor Doug Ducey Greenlights House Bill 2014, Removing Income Tax from Certain Precious Metals at the State Level

 Phoenix, Arizona (May 23rd, 2017) – Sound money advocates rejoiced today as House Bill 2014 became the law in Arizona. HB 2014, which passed in the Arizona state Senate on May 10th by a margin of 16-13, removes all income taxation of precious metals coins at the state level.

Under House Bill 2014, introduced by Representative Mark Finchem (R-Tucson), Arizona taxpayers will simply back out all “gains” and “losses” on any precious metals that are in legal tender form and reported on their federal tax returns from the calculation of their Arizona adjusted gross income (AGI).

If taxpayers own gold or silver to protect themselves against the devaluation of America’s paper currency, thanks to the inflationary practices of the Federal Reserve, they frequently end up with a “gain” when exchanging those metals back into dollars. However, this is not necessarily a real gain in terms of a gain in actual purchasing power. This “gain” is often a nominal gain because of the slow but steady devaluation of the dollar.  Yet the government nevertheless assesses a tax.

Sound Money Defense League, former presidential candidate Congressman Ron Paul, and Campaign for Liberty helped secure passage of HB 2014 because it begins to dismantle the Federal Reserve’s monopoly on money.

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Time to Hedge State Reserve Funds with Gold Reply

By Jp Cortez

Financially prudent individuals set aside surplus funds to protect against unforeseen expenditures. This way, when faced with loss of income, house repairs, car trouble, or anything else, they will have a buffer against unanticipated downturns.

In the same vein, almost every state in the United States has established a “savings account” for government operations. Primarily to mitigate a decline in tax revenues that comes alongside economic slumps, states have created so-called budget stabilization funds – colloquially known as “rainy day funds.”

Every state takes a different approach to budget stabilization funds, from the mechanisms by which they are funded, to the caps placed on balances, to the manner in which the funds can be allocated. If a state can put funds aside during years of increased revenue and growth, said state will be better equipped to handle a decrease in tax revenue, an environmental incident, or some other surprise.

But simply plowing rainy day funds into Federal Reserve Notes (commonly referred to as “dollars”) or other paper instruments is taking an entirely new gamble – inflation.

It is unwise to store large amounts of cash for extended periods of time because of constant and intentional devaluation of the Federal Reserve Note. This tax on savings is known as inflation. It works on both the micro and the macro level. For the same reason an individual would be remiss to hold his or her entire life savings in cash for the duration of his or her entire life, a state would be remiss to hold large amounts of cash for extended periods of time.

One Tennessee lawmaker named Representative Bud Hulsey (R-Kingsport) understands the risk involved in long term storage of Federal Reserve Notes, and he has proposed to do something about it by introducing House Bill 0777. House Bill 0777 is a measure that calls for the treasurer to invest at least 40% of the reserve for revenue fluctuations in gold bullion or other precious metals bullion.

The Tennessee Department of Treasury’s stated mission is “to enrich the lives of Tennesseans as a national leader in public financial stewardship.” To hold only Federal Reserve Note instruments as financial insurance, particularly over long term periods of time, is both irresponsible and inherently at odds with Tennessee’s mission statement.

Unfortunately, most state governments, pension funds, and individual investors remain vulnerable to inflation risk.

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Make Money Great Again: Vote for Gold Reply

By Guy Christopher, Originally Published on Money Metals Exchange

Who could possibly have predicted the astounding results of the November 8th presidential election?

A lot of folks, it turns out. Better than 60 million at last count. But that doesn’t include highly paid, and obviously over-paid, pollsters.

And it doesn’t include “journalists,” who showered their elitist agendas on television screens, in newsprint headlines and across cyberspace during the 17-month presidential campaign.

In short, those posing as experts predicting the future blew it. And they blew it “big league,” both before and after the election.

“No question – markets are going to tank all over the world,” said top experts at Yahoo Finance, during online, streaming coverage election night.

Stock markets instead went straight up for two days before modestly retreating.

Yahoo was not alone with that post-election financial advice. True to form, every business reporter in town got it dead wrong.

Curiously, not one dared repeat Trump’s constant drumbeat to his supporters – “stay out of this dangerous stock market!”

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Diwali, Lord Rama, and the Return of Gold from Exile Reply

By J P Cortez

October 30, 2016 marks an important holiday in the Indian culture. Diwali begins.

Diwali is one of the biggest festivals for Hindus, Sikhs, and Jains. It is a lavish celebration of the victory of light over darkness.

Diwali celebrations entail gleaming candles, luxurious works of art, opulent feasts, and the observance of good over evil. Diwali is also characterized by gift giving. Buying and gifting gold is considered auspicious during Diwali.

Given the nature of the holiday and the number of people who celebrate it, according to CNBC, the past few years have seen a tendency for the price of gold to rise around Diwali. Mihir Kapadia, founder & CEO of Sun Global Investments, said, “As heavy consumers, the festive seasons always tend to surge the demand, and considering the current low prices, this should increase the market activity and thus push the prices a little.” Kapadia continued, “We do not expect it to boost prices significantly as the overall market is subdued due to the worries about rising interest rates.”

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$135,000 Gold-Backed Scholarship Fund Launched to Help Students Cope with Federal Reserve Induced Tuition Inflation Reply

By J. P. Cortez

A major national precious metals dealer announced today the creation of the first gold-backed scholarship fund to support outstanding students who understand that gold is money and can articulate the failures of the inflation-creating Federal Reserve System.

Money Metals Exchange, a national precious metals dealer recently ranked “Best in the USA,” teamed up with the Sound Money Defense League, setting aside 100 oz of physical gold, currently worth $135,000, to help outstanding students pay for ever-rising education costs.

“The Federal Reserve’s inflationary policies have jacked up education costs, and our company is proud to help students who understand this problem as they cope with this unfolding disaster,” said Stefan Gleason, president of Money Metals Exchange. “Because of abusive and ongoing devaluation of the Federal Reserve Note, we expect the gold that we have set aside to fund the scholarship program will grow in nominal value dramatically over time.”

This scholarship will be open to high school seniors, undergraduate students, and graduate students with an interest in economics, specifically the tradition of the Austrian school. However, one does not have to be an economics major to apply.

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