The differences between investment gold and jewelry gold

Gold is a precious metal prized both for its use in investment and for the manufacture of jewelry. However, there are fundamental differences between investment gold and jewelry gold, in terms of purity, taxation, and resale value. Let's break down these key distinctions to better understand their implications in Belgium.

1. What is investment gold?

Investment gold refers to gold in the form of ingots, bars, or specific coins that meet strict criteria defined by tax legislation.

Criteria for investment gold:

• Minimum purity of995/1000for ingots.
• Minimum purity of900/1000for coins minted after 1800 and having been legal tender.
• Must be traded at a price close to the value of the gold it contains.
• Exempt from VAT in Belgium.

Advantages of investing in gold:

• VAT exemption, making it a tax-efficient option.
• Value linked solely to the weight and purity of the metal, without any labor costs.
• Liquid and easily exchangeableon international markets.

Disadvantages:

• Requires secure storage (safe, specialized storage facility).
• Sensitive to fluctuations in the price of gold.

2. What is jewelry gold?

Jewelry gold refers to gold items intended to be worn (rings, necklaces, bracelets, etc.), often alloyed with other metals to reinforce their strength.

Characteristics of jewelry gold:

• Purity often lower than that of investment gold (375/1000, 585/1000, 750/1000).
• Includesadded value related to design, branding, and labor.
• Subject to VAT in Belgium upon purchase.

Advantages of jewelry gold:

• Can be used on a daily basis, unlike ingots or coins.
• May havesentimental or artistic valuein addition to its gold value.
• Resale possible through jewelry experts or gold buyers.

Disadvantages:

• Potential loss of value upon resale, as only the weight of the gold is taken into account.
• Subject to VAT on purchase, unlike investment gold.

3. Resale and taxation in Belgium

Resale of investment gold:

• Always exempt from VAT on purchase and resale.
• New 10% tax on capital gains realized in relation to the reference price set on December 31, 2025.
• Annual allowance of €10,000 allowing part of the gains to be exempt.
• Proof of purchase recommended to verify the origin and date of acquisition.

Resale of jewelry gold:

• The price depends on the weight of gold, not on aesthetics.
• Often purchased at a price lower than the price of gold, as it must be refined.
• Some pieces of fine jewelry can retain or increase their value depending on their rarity.

4. Which option should you choose?

The choice between investment gold and jewelry gold depends on the buyer's objectives:

• For long-term financial investments, investment gold is ideal thanks to its VAT exemption and high liquidity.
• For personal use and possible resale, gold jewelry offers an attractive alternative, although it is less advantageous from a tax perspective.

How to recognize real gold: what you need to remember

Gold, whether for investment or jewelry, remains a highly valuable asset. In Belgium, differences in taxation and valuation influence the choice between these two forms of gold. It is therefore essential to fully understand their characteristics in order to make an informed decision.

Would you like to sell your gold jewelry or invest in gold bars? Contact us for a free estimate and personalized advice in Brussels!