The Canadian Guide to Selling Gold in 2026
Selling gold in Canada is simpler than in the US—we use grams exclusively, avoiding the "Pennyweight" confusion that trips up American sellers. However, Canadian pawn shops still rely on your lack of knowledge to underpay you. This guide will show you exactly how to calculate your gold's value in CAD and understand the GST/HST implications.
1. Why Grams Matter in Canada
Unlike the United States, where pawn shops often use "Pennyweight" (dwt) to confuse sellers, Canada standardized on the metric system decades ago. This is actually a huge advantage for Canadian sellers:
- Simple Math: 1 gram = 1 gram. No conversion tricks.
- Universal Scales: Any kitchen scale shows grams. Buy a $10 digital scale and you're set.
- Transparency: Easier to compare offers between shops when everyone uses the same unit.
2. The GST/HST Scrap Designation
Here's where Canada gets interesting. The tax treatment of gold depends on its purity:
Tax-Free Gold:
Pure bullion (99.9% or higher) is GST/HST exempt. This includes gold bars, coins like Maple Leafs, and investment-grade gold.
Scrap Jewelry:
Jewelry (10k, 14k, 18k) is considered "scrap" and may involve GST/HST complications for businesses. Pawn shops factor this into their offers.
3. Understanding the CAD Gold Price
Gold is priced globally in USD per troy ounce, but Canadian buyers quote in CAD. The conversion includes:
- USD to CAD Exchange Rate: Fluctuates daily (typically 1.25-1.35)
- Troy Ounce to Grams: 1 troy oz = 31.1035 grams
- Your Karat Purity: 14k = 58.3% pure gold
Our calculator handles all this automatically, fetching live CAD prices and doing the math for you.
4. Where to Sell in Canada
Option A: Pawn Shop (Lowest Price, Instant Cash)
Pros: Same-day cash. No shipping.
Cons: Lowest payout (40-60%).
Best For: Emergency cash needs.
Option B: Online Refiners (Better Price, Slower)
Canadian companies like Kitco or reputable refiners pay more because they have lower overhead.
Pros: Better payout (75-90%).
Cons: Mail-in process takes 3-7 days.
Best For: Maximizing profit on scrap jewelry.
Option C: Private Sale (Highest Price, High Effort)
Selling on Kijiji, Facebook Marketplace, or eBay.
Pros: Can get 100%+ of melt value for nice pieces.
Cons: Safety concerns, scams, time-consuming.
Best For: Designer jewelry that shouldn't be melted.
5. Negotiation Tips for Canadians
- Weigh it at home: Know your exact gram weight before you go.
- Check the stamp: Look for 10k, 14k, 18k markings.
- Run the numbers: Use our calculator to know the melt value in CAD.
- Get multiple quotes: Visit 2-3 shops. They'll compete.
- The magic phrase: "I know the spot price is $X CAD per gram for [karat]. I can't take less than [70% of melt]."
- Walk away: If they won't budge, leave. They often "find" a better price.
Ready to check your items?
Scroll back up to the calculator and enter your weight and karat to get started.