Cost basis on collectibles

Nov 28, 2007 1 Replies

Suppose I buy gold in a non-tax-advantaged way. I'm aware that gold is classified as a collectible and gains on this are taxed at 28%.



If I incur costs storing the gold (renting a safe deposit box or paying for third-party storage) or insuring it against fire/theft, can these fees be added to my cost basis when I sell?



I have searched for information online about this, but cannot find any guidance. The most I have found is that "improvements" to a collectible do work this way. Thanks for any info you can provide.



Those would be investment expenses, entered on your schedule A as miscellaneous deductions subject to reduction by 2% of AGI.

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