Tax advantages
Compared with other investment products, gold is a capital investment inter-medium with low tax. Investment products with such tax advantages are rare. In the process of trading gold, apart from certain amount of import custody fees, there are no other tax charges. For example, if an investor purchases a physical gold bar, the seller the seller will not collect any additional fees except for a small processing fee. The transaction procedure of gold is simple, and the transaction is convenient. For other investment products, there are a large amount of tax expenses in the process of handing over and after the transaction.

The tax can be compared with the trading taxes of other investment commodities. In stock trading, the investor needs to pay a certain proportion of stamp duty to the relevant state departments in the trading procedure of stocks. If the investor has a large number of stocks, and they need to be traded many times, the accumulated total expenses are relatively large, and the final profit of the investor will be reduced. There is also another example. In the process of investing in real estate, corresponding tax income must be paid to relevant department when the property is purchased. A certain amount of land use tax should also be paid after the transaction is completed. When the owner of the property is changed or when the property is sold, the owner of the property needs to pay additional VAT. The procedures for the sale and purchase of real estate products are complicated and the tax is heavy.

Therefore, before choosing a financial product investment, sensible investors compare the returns on investment of various investment products. If the final investment income is greater than the initial investment amount, the commodity is worth investing. In the process of commodity trading, a large amount of tax expenses are involved. After making the investment, many investors think that the capital amount ultimately earned is often much larger than the initial investment amount. But once the tax expenses to be paid in the transaction process are subtracted, especially in some countries where taxes on the trading of financial products are very heavy, the final return of the investment is usually unsatisfactory after subtracting the necessary tax payments. Therefore, after choosing an investment product, the taxes must be calculated carefully. Otherwise, wrong investment choice can be made after obtaining wrong profit information.