Northwest Territories Gold & Silver Exchange, Inc. v. Commissioner of Revenue

SIMONETT, Justice.

This is an appeal by a coin dealer of an assessment for a sales tax deficiency. Except as to 34 sales, we affirm the assessment and the Minnesota Tax Court’s finding that exemption certificates taken by the dealer in connection with its sales of gold and silver were not taken in good faith.

Relator, Northwest Territories Gold & Silver Exchange, Inc., is a Minnesota corporation engaged in buying and selling coins and precious metals. In 1977 the precious metals market became quite volatile, and, in an effort to meet competition, particularly from out-of-state dealers,…