Rep. Phil Hart, R-Athol, has introduced Larry Hilton, a lawyer who worked on the “Utah Legal Tender Act” that passed last year, declaring gold and silver to be “currency” rather than “assets” under the state's tax code, freeing them from capital gains taxes when exchanged for cash, to pitch his “sound money” bill, HB 578. “You cannot tax money and have it function as money,” Hilton told the committee. Hilton said another bill just passed the Utah Senate yesterday on the “sound money” issue.

Under last year's bill, Utahns haven't been able to use gold or silver coins for everyday purchases; the bill just changed their tax status. Hilton noted that there are pending court cases as well as pending legislation in Congress on the "sound money" issue.

Hilton called Hart's bill, “Very significant, very timely, very pressing.” Hart then asked the committee to send the bill to the amending order, saying it needs to address situations like the purchase of a car, where the sales tax may be paid later when registering the car. “We think … both the tax and the original purchase need to be done in the same medium of exchange,” he said, whether that's gold or silver coins or cash. “That's not really clear in this bill, so it needs to go to the amending order.”