Gold IRA Rules: What the IRS Allows and What It Doesn't

Rule 1: Only eligible metals

Federal tax law treats collectibles held in an IRA as a distribution. Bullion is excepted if it meets these fineness standards:

• Gold: 99.5%
• Silver: 99.9%
• Platinum and palladium: 99.95%

Certain US-minted coins, including the 22-karat American Gold Eagle, are specifically allowed. Rare coins, graded collectibles and jewelry are not. Our precious metals guide and gold coins guide have product lists.

Rule 2: A trustee holds the metal

The metal must stay in the possession of the IRA's custodian or trustee, which in practice means an approved depository. Keeping IRA gold in your home safe, a bank safe deposit box you control, or a company you own is treated as a distribution. Schemes marketed as "home storage gold IRAs" have run into trouble with the IRS and in tax court. See gold IRA storage.

Rule 3: No self-dealing

These are "prohibited transactions," and they can disqualify the entire IRA:

• Selling metal you already own to your IRA, or buying the IRA's metal yourself
• Using the IRA or its metal as collateral for a loan
• Letting a family member or your own business deal with the IRA's metal
• Taking personal possession of the metal before a formal distribution

Rule 4: Contribution and rollover limits

• New contributions for 2026: up to $7,500, plus $1,100 at age 50+, across all IRAs.
• Direct transfers and direct rollovers: no dollar limit and no frequency limit.
• Indirect (60-day) rollovers between IRAs: one per 12 months, and the money must be redeposited within 60 days.

Rule 5: Withdrawals

• Withdrawals before 59½ generally carry a 10% penalty on top of income tax, with some exceptions.
• You can withdraw cash (the custodian sells metal) or take the metal itself as an in-kind distribution, taxed at its market value that day.
• Traditional gold IRAs require minimum distributions from age 73. Plan ahead so you have enough liquid value to cover them without selling at a bad time.
• Roth IRAs have no required distributions for the original owner. See our Roth gold IRA guide.

Rule 6: Reporting is the custodian's job

Your custodian files the required IRS forms each year, reporting the account's value and any distributions. Keep your own records of purchases and sales too.

Frequently asked questions

Can I add gold I already own to my IRA?

No. IRA metal must be bought with money inside the account from an unrelated dealer.

What happens if I break a rule?

Depending on the rule, the affected metal or the whole account may be treated as distributed, triggering income tax and possibly penalties. Talk to a tax professional immediately if you think it's happened.