Rules of Gold in Washington

CURRENT STATE (2026-04-26): Washington TAXES sales of precious metal bullion and monetized bullion. Effective 2026-01-01, Section 105 of Chapter 423, Laws of 2025 repealed RCW 82.04.062's exclusion of bullion from "wholesale or retail sale" definitions. Bullion is now subject to: (a) retail sales tax at the state's 6.5% rate plus applicable local rates (typically 1-4% additional, totaling 6.5%-10.5% combined depending on locality); (b) Business & Occupation (B&O) tax on the dealer's gross receipts from such sales. HISTORICAL FRAMEWORK (1985-2025): Washington exempted qualifying bullion sales since 1985 under WAC 458-20-248 and RCW 82.04.062. The historical "precious metal bullion" definition reached refined Au/Ag/Pt/Rh/Pd (rhodium explicitly enumerated) where value depended on contents not form; "monetized bullion" reached coins or other forms of money manufactured from gold/silver/other metals used as medium of exchange under the laws of WA, the US, or any foreign nation. PENDING RESTORATION: SB 5894 (2025-2026 session) would reenact and restore former RCW 82.04.062 as originally enacted in 1985, "notwithstanding its repeal by section 105, chapter 423, Laws of 2025." Status pending. Operator must verify SB 5894 disposition and whether any other vehicle has restored the exemption before publication.

Washington has not enacted a statute recognizing gold or silver coins or bullion as legal tender for payment of debts. Historical attempt: HB 2197 (2015, Rep. Matt Shea) — the "Constitutional Currency Restoration Act" — would have recognized federal gold/silver specie and precious-metal-liquidator-backed transactions as legal tender; the bill did not advance. No active legal-tender bill identified in 2021-2026 sessions. Washington remains absent from the legal-tender state list as of 2026.

Washington has a UNIQUE long-term-capital-gains-only tax structure distinctive in the dataset. Washington has no individual income tax on wages/salaries/interest/dividends, but DOES tax long-term capital gains exceeding an annual threshold. Framework as of 2026: 7% state long-term capital gains tax on annual LT gains exceeding $262,000 (2026 threshold, inflation-adjusted; 2025: $261,000; 2024: $260,000; 2022-2023: $250,000). NEW for TY 2025+ via SB 5813 / HB 2082 (signed April 2025): additional 2.9% surtax on annual LT capital gains exceeding $1 million — combined effective top rate of 9.9% on LT gains above $1M. Critical scope details: (1) only long-term capital gains taxed (assets held >1 year); short-term gains face 0% state tax; (2) only gains EXCEEDING the threshold are taxed (the threshold is a $262K-floor exclusion, not a bracket transition); (3) the tax was upheld by the WA Supreme Court in 2023 (Quinn v. State) against state-constitutional uniformity-of-taxation challenges. For bullion investors specifically: if held >1 year before sale, gains exceeding $262K (2026) face 7% state tax, and gains exceeding $1M face 9.9% combined state rate. Held <1 year, no WA capital gains tax applies. Federal collectibles 28% rate stacks on top. Total effective top rate for >1M LT bullion gain in WA: 9.9% state + 28% federal = up to ~37.9% effective.

Washington has not enacted enabling legislation authorizing a state-administered or state-chartered bullion depository. Per Sound Money Defense League coverage, "Washington law does not currently allow for a state bullion depository." No depository-authorization bill identified in 2021-2026 sessions. The Washington State Treasurer has no statutory authority to operate a depository or hold physical bullion as a state asset.

The Washington State Treasurer (Mike Pellicciotti, D) does not hold physical gold or silver as a reserve asset. Washington statutes do not authorize state-treasury PM holdings. The State Treasurer's published priorities focus on debt administration and financial-management transparency — directionally opposite to the UT/NH/TN sound-money axis. The State Treasury / Trust Portfolio reflects standard institutional fixed-income / cash-equivalent / public-equity / alternatives mix without PM exposure.

The Washington State Department of Retirement Systems (DRS, ~$200B AUM) administers retirement benefits for all state employees, public school teachers, and most political-subdivision employees who participate. DRS assets are invested by the Washington State Investment Board (WSIB), one of the most respected and largest institutional investors in the US, managing approximately $200B+ across pension and other state portfolios. WSIB investment philosophy emphasizes long-duration, return-seeking diversification across public equities, fixed income, real estate, private equity, and alternatives. WSIB does not enumerate physical-precious-metals exposure as a discrete line item in publicly-available summary documents. Field marked `No-public-disclosure` rather than definitive `No` because the alternatives sleeve composition is not fully enumerated in summary disclosures — physical PM exposure is presumed minimal-to-zero (and likely strictly zero given WSIB's emphasis on private equity / private credit / real estate over commodities) but cannot be ruled out without ACFR-level review.