Physical gold or silver holds are subject to a capital gains tax equal to their marginal tax rate, up to a maximum of 28%. The following describes how these investments are taxed, as well as their tax reporting requirements, cost base calculations, and ways to offset any tax liability resulting from the sale of physical gold or silver. For individuals, sales of physical silver or gold are reported in Annex D as an attachment to Form 1040. They don't offer much guidance on what is considered an exact rate in terms of precious metals (except that trading silver for gold or vice versa is not considered a similar exchange).
Many investors prefer to own physical gold and silver rather than exchange-traded funds (ETFs) that invest in these precious metals.