Question: are krugerrands illegal in uk?
Answer: Do I Pay Tax On Krugerrands? In the UK all investment gold is VAT free. However, as Krugerrands are not legal tender sterling they are eligible for Capital Gains Tax (CGT) in the UK - if and only if - your profit exceeds the CGT threshold for the tax year in which you come to sell them. Do not let the CGT put you off.