Buying and Reselling Diamonds Taxfree
1. Are diamonds subject to vlaue added tax?
As with platinum or silver, the physical possession of diamonds is subject to value added tax. Therefore, we are obliged to add value added tax to our diamonds' prices when delivered to a member state of the European Union. The amount of the value added tax is determined by the place of residence and/or shipping address of the customer (e.g. 17% in Luxemburg, 16% in Germany (until 2020/12/31), 20% in Austria, 21% in Belgium). For deliveries to Switzerland and other countires that are not member of the European Union, we only charge the net value of goods as export price (without value added tax). Its local amount will then be charged upon arrival in the country of destination (e.g. 8% in Switzerland).
2. Is tax-free storage an option?
Yes, DIAMONDAS offers the option to store diamonds tax-free in Germany, Switzerland, Dubai, Hong Kong, and Singapore.
3. Is it possible to buy diamonds anonymously?
The purchase, possession and sale of diamonds does not need to be reported to authorities. DIAMONDAS offers so-called "cash businesses" with the possibility to buy diamonds anonymously up to a price of €9,999 without the need of identification. The option of an anonymous purchase is limited to one purchase per year per household. Money laundering legislation determines that from a purchase amount of more than €10,000, the customer's identity must be revealed.
4. Are profits from value enhancement of diamonds tax-free?
Yes, under the following condition: according to § 23 EStG, sale transactions of other economic goods that include diamonds are only subject to tax if the time between purchase and sale does not exceed one year. Therefore, sale and the resulting profits are tax-free if a whole year lies between the purchase and sale of the diamond. (Exemption: This does not apply in the course of another type of income, especially in the course of commercial activities.)
5. What do I need to consider when importing?
Nothing, actually. We will do all the import paperwork for you and you do not need to declare the goods at customs or pay import tax. We will deliver the ordered diamonds via insured valuables transport directly to the desired address.