The Maine Wire
  • News
  • Commentary
  • Maine Wire TV
  • About
  • Contact
Facebook Twitter Instagram
Trending News
  • Maine State Police Blindsided as Speaker Talbot Ross Claims They Support “Racial Profiling” Bill Written by ACLU
  • No Discipline for Social Worker Who Gave 13yo Girl Breast Binder Without Telling Mother, Says Maine State Board
  • State House Kills “Right to Work” Legislation Prohibiting Employment Conditional on Payment of Union Dues
  • Trump Indicted on Federal Charges in Classified Documents Probe as Biden Faces Bribery Allegations
  • Gov’s Late-Term Abortion Bill Heads to House Amid Acrimony [Podcast]
  • Maine Wire Podcast: Carroll Conley on Abortion, LGBT, and Religious Liberty in Maine
  • Dems Block Debate on Gov’s Late-Term Abortion Bill, Refuse GOP Questioning of Medical Experts
  • Partisan Vote Ends Brakey’s Bid for Welfare Work Requirements
Facebook Twitter Instagram
The Maine Wire
Login
Saturday, June 10
  • News
  • Commentary
  • Maine Wire TV
  • About
  • Contact
The Maine Wire
Home » News » Maine Could Embrace “Hard Money” With Gold and Silver Rule Changes
News

Maine Could Embrace “Hard Money” With Gold and Silver Rule Changes

Steve RobinsonBy Steve RobinsonApril 13, 2023Updated:April 13, 2023No Comments3 Mins Read
Facebook Twitter Email LinkedIn Reddit
Share
Facebook Twitter LinkedIn Email

The state of Maine could make it easier to buy, sell, and own precious metals like gold and silver if a series of bills from Sen. Eric Brakey (R-Androscoggin) can find support from the Democratic majorities in the Senate and House of Representatives.

Currently, Maine law makes it difficult and costly to own or transact in precious metals.

Anyone who purchases gold or silver in Maine must pay a 5.5 percent premium thanks to the sales tax.

Likewise, those who buy the precious metals at a low price and later sell them at a higher price must pay an income tax assessed against their capital gains.

Brakey has introduced legislation that would abolish the sales tax on gold and silver purchases and exempt bullion sales from the income tax.

[RELATED: Consumer Prices Up 5% in March…]

Another bill Brakey has introduced would restore both gold and silver as legal tender under Maine law.

Three other states — Utah, Wyoming, and Oklahoma — have rules that recognize gold and silver as legal tender.

“Practically speaking, [LD 1270] would allow Mainers to use gold and silver coins and bars as money rather than just as mere investment vehicles,” Brakey said, in his testimony for the bill.

“In effect, it would put gold and silver on the same practical footing as Federal Reserve notes,” he said.

A separate bill from Brakey would allow Maine’s State Treasurer to invest in precious metals as well. Brakey said allowing Maine’s state employee pension fund to invest in the metals would give the State Treasurer a tool to protect retirees against inflation.

All of Brakey’s proposals orbit one central idea: sound money.

Precious metals like gold and silver are considered “sound” because the growth in supply of gold and silver is physically limited. Historically, the supply of gold and silver mined in any given year has been limited by the practical constraints, like cost, of getting the metal out of the earth.

[RELATED: Beware the Digital Dollar and CBDCs…]

While the supply of precious metals is relatively fixed, the supply of fiat currencies, like the U.S. dollar, can fluctuate wildly according to the whims of politicians and the unelected members of the Federal Reserve.

The growth of the supply of U.S. dollars (FRED)

The danger of “soft” money, like the U.S. dollar, has become apparent in recent years as inflation rates in the U.S. have skyrocketed.

Those who held gold or silver prior to the surge in inflation that began in early 2020 would have seen the value of their savings increase rather than decrease.

In recent committee hearings, some Democrats have voted in support of Brakey’s hard money proposals, signaling a potential for a rare bipartisan vote when the bills come up for final roll call votes.

Previous ArticleMaine Dems Kill Bill That Would Have Prevented Lawmakers From Landing Cushy Taxpayer Funded Jobs
Next Article Migrant Crisis: Congolese Refugee Explains Why “Asylum Seekers” End Up in Maine
Steve Robinson
  • Twitter

Steve Robinson is the Editor-in-Chief of The Maine Wire. ‪He can be reached by email at Robinson@TheMaineWire.com.

Related Posts

Maine State Police Blindsided as Speaker Talbot Ross Claims They Support “Racial Profiling” Bill Written by ACLU

June 9, 2023

No Discipline for Social Worker Who Gave 13yo Girl Breast Binder Without Telling Mother, Says Maine State Board

June 9, 2023

State House Kills “Right to Work” Legislation Prohibiting Employment Conditional on Payment of Union Dues

June 9, 2023

Leave A Reply

Recent News

Maine State Police Blindsided as Speaker Talbot Ross Claims They Support “Racial Profiling” Bill Written by ACLU

June 9, 2023

No Discipline for Social Worker Who Gave 13yo Girl Breast Binder Without Telling Mother, Says Maine State Board

June 9, 2023

State House Kills “Right to Work” Legislation Prohibiting Employment Conditional on Payment of Union Dues

June 9, 2023

Trump Indicted on Federal Charges in Classified Documents Probe as Biden Faces Bribery Allegations

June 9, 2023

Gov’s Late-Term Abortion Bill Heads to House Amid Acrimony [Podcast]

June 9, 2023
Newsletter

News

  • News
  • Campaigns & Elections
  • Opinion & Commentary
  • Media Watch
  • Education
  • Media

Maine Wire

  • About the Maine Wire
  • Advertising
  • Contact Us
  • Submit Commentary
  • Complaints
  • Maine Policy Institute

Resources

  • Maine Legislature
  • Legislation Finder
  • Get the Newsletter
  • Maine Wire TV

Facebook Twitter Instagram Steam RSS
  • Post Office Box 7829, Portland, Maine 04112

Type above and press Enter to search. Press Esc to cancel.

Sign In or Register

Welcome Back!

Login below or Register Now.

Lost password?

Register Now!

Already registered? Login.

A password will be e-mailed to you.