Hi Nick. I suspect that they do not levy the tax because "they need every penny" since central banks can create limitless money (and without any cost). VAT on silver is so small that this not even a pocket money for them. The purpose of VAT is not economical but political - to discourage investors and keep them out from the physical silver market. Only then can they rigg the silver market. The best way to fight the system in my opinion is to encourage people to "get physical". Maybe you can add this component to your silverpetition in some form. Great work with the petition - I signed up.
Hi Mr ******, its my opinion that everything is manipulated to some degree, a good example is Al jazera and Fox news, both have their own target audience and produce news for their audience, so is this an opinion, propaganda, or is this manipulation? And that depends from which standpoint you analyse it. There are a lot of opinions on silver manipulation, and once again it depends from which standpoint, is it manipulation, or is it just a trade by big powerful banks who trade a small market. I think that when the demand becomes too big to short they will switch sides; however it’s my opinion that they could be selling silver paper and converting into physical metal, so is this manipulation or just a trade from their point of view? And lets face it, the business of banking is a business, and there to make a profit. As for the VAT issue, in my view this is wrong, Canada, Australia and USA do not charge sales tax on silver bullion, and allow their citizens the freedom to own silver bullion unhindered, but in the EU the removal of VAT on gold should also be passed onto silver as it is a monetary asset, and the EU should consider their citizens where inflation is concerned, (for what is a productive nation when their citizens are broke). Its also immoral to levy a tax on a asset that throughout the history of over 5000 years has been considered and used as money, especially amongst the poor, and under our historical rights of our forefathers before us, placing sales tax on silver money in my opinion is un-lawful, thus denying the poorest of our society to have exposure to precious metals.
I don’t think it’s a conspiracy on behalf of the EU to keep silver investment demand down, and I think it’s more of a case that some bureaucrats somewhere has decided to classify silver to be only an industrial metal, and ignored the fact of its monetary aspect. If there was a conspiracy out there, im sure that the big banks would have lobbied their local governments to force VAT on Canada, Australia and the USA.
I have had long talks with friends of mine regarding the flight from fiat to precious metals, and the ramifications to any local currency, in my view the precious metals market is to small to make any impact, and being in a global system its far easier to exchange fiat for fiat, than fiat to metals.
As for governmental confiscation of metals from their citizens, I don’t think this will happen, in fact I think this is already happening right now as we speak, but this is being done through private companies like cash for gold, or got gold get cash etc, where vast quantities of metal is being soaked up by way of scrap, and if there was a confiscation by stealth, it would easy to just buy in the open market with QE money, its also worth noting that very little silver scrap is coming out of the public hands, as the public doesn’t have much to sell away, that went during the last bull market in silver (late 1970’s). However if the government did impose such a law, it would have to be by contract, or contractual payment, similar to how a parking ticket works, where the public wilfully gives up their metal believing it’s the law, it is also noting that during the great gold theft/confiscation in America, the law was directed at everyone, but only legally applied to government agents & employees, and gold held in America by foreign entities was untouchable as the law didn’t apply to them as foreign nationals, maybe this explains how the elite kept their gold holding in America.
It is also worth noting that some 30% of the global silver supply comes from scrap, mainly from film, “example” X Ray’s disposed by hospitals as they digitise their records, this cannot last for long and I estimate some 12-15 years supply from my contacts in the silver recycling business, after that we would be increasingly reliant on mining supply, and as you know it can take 8-10 years to get a mine into production, so we are very reliant on the exploration companies to keep finding new silver deposits. Should the silver supply become tight, we could see governments considering silver as a strategic metal, maybe even nationalising the mines or restricting export quotas, but I think we are many year’s way from that. So back to confiscation, would the government really take the time to take silver from the public? Even if silver was at USD1000 ounce, the work and effort involved in trying to collect that metal from the public would be huge, we should also consider that if silver was at $1000 oz you may be paying $80 for a regular Americano at Starbucks, its all relative in inflationomics.
The last point you made was that to beat the system is to encourage people to get physical on silver, the EU has the third largest population after China and India with 830 million as of 2009, opening up the market to 830 million would make a huge difference to the silver price, it would also make precious metals accessible to the less well off.
Any way, thank you for signing the Silver Petition, who knows, we might make a difference one day.
Don't Believe Anything Until It's Been Officially Denied .......... British Civil Service