Maryland Bill to Expand Precious Metal Tax Exemptions Heads to Governor’s Desk

 

Maryland Bill to Expand Precious Metal Tax Exemptions Heads to Governor’s Desk

(Bullion News Network) – In Maryland, a bill that would expand sales tax exemptions for precious metal purchases is heading to Governor Wes Moore’s desk for final approval. The bill passed both chambers unanimously. If signed into law, SB309 would remove a previous stipulation that required tax-exempt precious metals to be sold exclusively at the Baltimore Convention Center.

Previously, a 2025 rule required dealers to collect sales taxes on all precious metal purchases totaling less than $1,000, as well as any precious metal purchases occurring outside of the Baltimore Convention Center. In other words, tax-free bullion purchases were only possible to make at the Baltimore Convention Center, which was operated by the City of Baltimore.

Numerous precious metal and rare coin advocacy groups praised the move, including the National Coin and Bullion Association.

SB 309 is expected to positively impact Maryland’s numismatic market by expanding access to tax-exempt transactions and improving the state’s standing relative to neighboring jurisdictions—pending final gubernatorial action.

The original version of SB309 would have also removed the $1,000 minimum for tax-exempt sales. This part of the bill was removed via a house amendment, but the elimination of the Baltimore Convention Center requirement remained for the bill’s final passage.

SB309 is widely expected to be signed into law by Governor Moore. If Moore decides to veto the bill, he will have thirty days to do so. Given the unanimous support SB309 received in both the Maryland House and Senate, a veto would likely do little to avoid the new tax rule becoming law. In Maryland, overriding a governor’s veto requires 3/5ths of the votes in both chambers.

The bill was originally introduced by Senator J.B. Jennings. According to Jennings, the legislation will boost the precious metals and rare coin industries in Maryland.

Restoring this exemption will encourage commerce, support Maryland businesses, and make our state more competitive.

While the final version of the bill passed does not remove the 2025 $1,000 requirement for sales tax exemption, industry leaders in Maryland believe the law will stimulate small businesses. Prior to SB309, the 2025 law exempted precious metal and rare coin sales totaling more than $1,000 from sales tax collections, but only if those sales occurred at the Baltimore Convention Center.

By removing the location requirement, SB309 is poised to make small coin shops in Maryland more competitive by eliminating a consumer incentive to only make large purchases at the Baltimore Convention Center.

Advocates for the precious metals market likely won’t stop fighting for sound money legislation in Maryland. Until 2025, Maryland bullion investors enjoyed decades of tax-free collecting and investing.

The bill is largely expected to be signed into law by Governor Wes Moore. If passed, it will go into effect on July 1st, 2026.