• "Spreading the ideas of freedom loving people on matters regarding high finance, politics, constructionist Constitution, and mental masturbation of all types"

Signed by the Governor: West Virginia Law to Start Treating Gold and Silver as Money

Goldhedge

Moderator
Site Mgr
Sr Site Supporter
Joined
Mar 28, 2010
Messages
38,633
Likes
57,680
Location
Rocky Mountains
#1
Signed by the Governor: West Virginia Law to Start Treating Gold and Silver as Money
By: Mike Maharrey|Published on: Mar 27, 2019
|Categories: Federal Reserve, State Bills


CHARLESTON, W. Va. (March 27, 2019) – Today, West Virginia Gov. Jim Justice signed a bill into law that takes an important first step towards treating gold and silver as money instead of a commodity.

Sen. Craig Blair (R-Martinsburg) introduced Senate Bill 502 (SB502) on Feb. 1. The new law repeals sales and use tax on gold and silver bullion.

SB502 defines “investment metal bullion” as “elementary precious metal which has been put through a process of smelting or refining, including gold, silver, platinum, and palladium, and which is in such a state or condition that its value depends upon its content and not its form.” It defines investment coins to include numismatic coins or other forms of money and legal tender manufactured of gold, silver, platinum, palladium, or other metal and of the United States or any foreign nation with a fair market value greater than any nominal value of such coins.

The Senate passed SB502 by a vote of 33-0. The House concurred with a 90-9 vote. With Justice’s signature, the law will go into effect July 1.

Passage of SB502 eliminates a significant barrier to using gold and silver in everyday transactions, a foundational step for people to undermine the Federal Reserve’s monopoly on money.

“The sound money revolution continues as West Virginia becomes the 39th state to eliminate impediments to owning sound money. Thanks to the efforts of Senator Blair and other groups, there are now fewer obstacles in the way of West Virginia citizens protecting themselves from the inflationary practices of the Federal Reserve,” Sound Money Defense League policy director Jp Cortez said.

IN PRACTICE
With the passage of SB502, West Virginia takes a step toward treating gold, silver, platinum and palladium as money instead of a commodity. As Cortez testified during a committee hearing on a similar bill in Wyoming last year, charging taxes on money itself is beyond the pale.

“In effect, states that collect taxes on purchases of precious metals are inherently saying gold and silver are not money at all.”​
Imagine if you asked a grocery clerk to break a $5 bill and he charged you a 35 cent tax. Silly, right? After all, you were only exchanging one form of money for another. But that’s essentially what West Virginia’s sales tax on gold and silver bullion does. By removing the sales tax on the exchange of gold and silver, West Virginia will treat specie as money instead of a commodity. This represents a small step toward reestablishing gold and silver as legal tender and breaking down the Fed’s monopoly on money.

“We ought not to tax money – and that’s a good idea. It makes no sense to tax money,” former U.S. Rep. Ron Paul said during testimony in support an Arizona bill that repealed capital gains taxes on gold and silver in that state. “Paper is not money, it’s fraud,” he continued.

The law’s impact will go beyond mere tax policy. During an event after his Senate committee testimony, Paul pointed out that it’s really about the size and scope of government.

“If you’re for less government, you want sound money. The people who want big government, they don’t want sound money. They want to deceive you and commit fraud. They want to print the money. They want a monopoly. They want to get you conditioned, as our schools have conditioned us, to the point where deficits don’t matter.”​
Practically speaking, eliminating taxes on the sale of gold and silver cracks open the door for people to begin using specie in regular business transactions. This marks an important small step toward currency competition. If sound money gains a foothold in the marketplace against Federal Reserve notes, the people will be able to choose the time-tested stability of gold and silver over the central bank’s rapidly-depreciating paper currency.

BACKGROUND INFORMATION
The United States Constitution states in Article I, Section 10, “No State shall…make any Thing but gold and silver Coin a Tender in Payment of Debts.” States have simply ignored this constitutional provision for years. It’s impossible for a state to return to a constitutional sound money system when it taxes gold and silver as a commodity.

SB502 takes a step toward establishing gold and silver as legal tender in the state and that constitutional requirement, ignored for decades in every state. This sets the stage to undermine the monopoly of the Federal Reserve by introducing competition into the monetary system.

Constitutional tender expert Professor William Greene said when people in multiple states actually start using gold and silver instead of Federal Reserve notes, it could create a “reverse Gresham’s effect,” drive out bad money, effectively nullify the Federal Reserve, and end the federal government’s monopoly on money.

“Over time, as residents of the state use both Federal Reserve notes and silver and gold coins, the fact that the coins hold their value more than Federal Reserve notes do will lead to a “reverse Gresham’s Law” effect, where good money (gold and silver coins) will drive out bad money (Federal Reserve notes). As this happens, a cascade of events can begin to occur, including the flow of real wealth toward the state’s treasury, an influx of banking business from outside of the state – as people in other states carry out their desire to bank with sound money – and an eventual outcry against the use of Federal Reserve notes for any transactions.”​
Once things get to that point, Federal Reserve notes would become largely unwanted and irrelevant for ordinary people. Nullifying the Fed on a state by state level is what will get us there.
 

anywoundedduck

Gold Member
Gold Chaser
Joined
Mar 31, 2010
Messages
3,309
Likes
4,339
Location
Kentucky
#2
Once things get to that point, Federal Reserve notes would become largely unwanted and irrelevant for ordinary people. Nullifying the Fed on a state by state level is what will get us there.
I agree that the States can pull the rugs out from the FEDs fiat money scam.
But it will take a hundred years at the current rate of the States making gold and silver money.
Trump needs to take bold action at the Fedreral level, citing all the States that have adopted this measure.
 

FunnyMoney

Silver Member
Silver Miner
Joined
Apr 1, 2010
Messages
3,756
Likes
2,315
#3
I agree that the States can pull the rugs out from the FEDs fiat money scam.
But it will take a hundred years at the current rate of the States making gold and silver money.
Trump needs to take bold action at the Fedreral level, citing all the States that have adopted this measure.
I agree completely.

Unfortunately, POTUS is instead interested in western bankers' rights in China. Criminals must be allowed to commit crimes internationally without boundary. His agenda is: Why should American bankers only be able to steal from American workers? Trump wants to even the playing field, an even playing field for all criminals.

Honest money, or anything honest, has never been part of his 70 year history. I'm not looking to the Feds, CONgress or the white house for any solution - since when has there been one from them. States rights, on the other hand, has potential.
 
Last edited:

hoarder

Site Supporter
Site Supporter
Platinum Bling
Joined
Mar 30, 2010
Messages
11,604
Likes
11,974
Location
Montana
#5
I agree that the States can pull the rugs out from the FEDs fiat money scam.
But it will take a hundred years at the current rate of the States making gold and silver money.
Trump needs to take bold action at the Fedreral level, citing all the States that have adopted this measure.
Ain't gonna happen. Trump is completely loyal to the banking elite.
 

Fatrat

Silver Member
Silver Miner
Site Supporter
Joined
Apr 15, 2018
Messages
2,072
Likes
1,625
#6
A nice start, but I lost mine scuba diving...
 

anywoundedduck

Gold Member
Gold Chaser
Joined
Mar 31, 2010
Messages
3,309
Likes
4,339
Location
Kentucky
#8
Ain't gonna happen. Trump is completely loyal to the banking elite.
Says you?
Doesn't look like it.
Didn't Trump start bad mouthing the Fed till they backed off raising the interest rates?
Or am I dreaming?
I could leave thousands of links of Trumps malevolence against the Fed.
How many thousand links can you give me of Trump being loyal to the banking elite.
Didn't he file bankruptcy a number of times leaving the banks holding the bag?
Give me a link.
 

hoarder

Site Supporter
Site Supporter
Platinum Bling
Joined
Mar 30, 2010
Messages
11,604
Likes
11,974
Location
Montana
#9

#48Fan

Silver Member
Silver Miner
Joined
Mar 14, 2014
Messages
509
Likes
398
#10
“reverse Gresham’s Law ": How do they figure this is going to happen? It's not, otherwise there would be a name for it, lmao.
 

gliddenralston

Gold Member
Gold Chaser
Joined
Apr 1, 2010
Messages
1,413
Likes
1,299
#13
Didn't Trump start bad mouthing the Fed till they backed off raising the interest rates?
Proof positive he's bankers best friend, do anything to save the stock market and fake great economy on the backs of savers.