The Italian government is seeking to plug its budget gap by proposing a tax program targeting undeclared gold—long held by Italians as a traditional “last resort” asset. By paying a 12.5% tax, citizens would be able to legalize their precious metal. But will this persuade owners of “family silver” to step out of the shadows?
The government has put forward an unusual plan to rescue public finances: it wants to encourage citizens to disclose the gold they privately own and then tax it at a 12.5% rate. In return, the state promises formal “legalization” of bullion that has often been kept in families for generations as insurance for the worst of times. Rome hopes the program could generate up to €2 billion.
“It’s a controversial proposal—essentially encouraging Italians to pay a very high tax on the gold they own. On the other hand, the government is warning that if they don’t do it and fail to legalize the gold, they will have to pay more than 25%—specifically 26.5%—when they sell it. And that is an absolutely draconian penalty for all gold holders,” comments Michał Tekliński, gold market expert at Goldsaver and Goldenmark.
In Italy, gold has served for generations as a family’s “last line of defense.” Jewelry, family heirlooms and bullion bought during the days of the lira’s devaluation often have no documented history. As Salvatore Rossi, former deputy governor of the Bank of Italy, writes in his book Oro (2018): “Gold is like the family silver, like a grandfather’s treasured watch. It is the last resort in any crisis.”
Italy’s plan: declare your gold and pay 12.5%
The concept is straightforward: a citizen reports, values and declares their gold, pays a 12.5% tax, and in return the gold becomes formally “legal” and can be sold through official channels. Why would anyone do that? Because selling undocumented gold could result in a 26% tax on the full sale value. The government wants citizens to see early disclosure as the “softer option.”
“This is not a reform—it is a signal of desperation and an attempt to patch the budget. The government is looking for money everywhere, even in private safes, and tells citizens: ‘We have a gift for you—pay 12.5% tax, declare your gold, and we will let you sleep peacefully.’ But why would anyone do that? This project exposes the state’s financial weakness,” adds Tekliński.
Italy is one of the world’s largest holders of gold reserves—it has accumulated 2,452 tonnes, ranking third after the United States and Germany (fourth if including unofficial Chinese estimates). But the real unknown is Italy’s private gold holdings. Analysts believe they may be vast—decades of buying, inheriting and storing gold outside the banking system could amount to hundreds of tonnes. It is these private reserves that the government hopes to tap into.
How much gold does China really hold—and what will the Fed do?
Meanwhile, a global race for the number-one position is underway. According to estimates from ANZ Bank, China may actually hold around 5,500 tonnes of gold—twice as much as officially declared. The country is building massive reserves, expanding the Shanghai Gold Exchange and attracting foreign entities to trade bullion in renminbi. This is part of Beijing’s broader de-dollarization strategy. For China, gold is not a symbol—it is a geopolitical tool.
“Global markets, however, are focused on completely different issues: divisions among members of the U.S. Federal Reserve regarding the December rate-cut decision, the effects of the 43-day government shutdown in the United States, and possible changes in the role of Fed chair, as Trump has again put forward Scott Bessent—now Treasury Secretary—as his preferred candidate,” says Tekliński from Goldenmark Group.
Gold has reacted to all these developments with exceptional volatility. In 2025 alone, its price has already broken 50 records—and the year isn’t over yet. As of Monday, 24 November at 2 p.m., the price of an ounce of gold is nearing $4,100. For reference, the current all-time high, reached in mid-October, stands at $4,381.20 per ounce.
Source: https://managerplus.pl/wloski-rzad-kusi-amnestia-dla-zlota-zaplac-125-albo-26-przy-sprzedazy
