S.C. seeks alternative currency

The headline effort to recognize gold and silver coins as an alternative currency to the U.S. dollar has moved on to South Carolina.

South Carolina’s House Judiciary Committee passed a bill that would open the door to using gold and silver coins to make payments.

Each element of this multimedia package provides a distinct educational opportunity for any coin collector.

However, individuals trying to use gold and silver coins can only do so if the business they are trying to pay agrees to it.

The South Carolina legislation also exempts the coins from state sales tax, but apparently does not exempt them from capital gains taxes, which is a tax that one pays when the value one receives from something exceeds the price paid.

As a consequence, individuals who find a business to deal with using gold and silver coins, will find that they will trigger a tax event if they receive value that exceeds their original cost.

Contributed by the Associated Press.