The only Tax you pay on losses
For the collector looking to include new European Artists in his collection, the Artists Resale Rights are a deterrent.
A collector may purchase at £10,000 pay the 4% (£400) then later, when that artists 15 minutes are up, sell at £6000 . At which stage the artist's agents will claim another 4% (£240). The collector will have lost £4400 The second collector would have lowered his offer because of the additional 4% to be paid.
Without a steady increase in value within the secondary markets, new works by emerging artists fail to rise in value.
The result is that the more established an artist is the more he benefits, the new fresh, exciting artists remain unsupported.
If you believe Damien Hirst or Tracey Emin, really need the extra money, and that this Tax, benefits Art then you must be delighted with this widening of the scope of Artist's Resale Rights. Happy New Year
|" Interesting article thanks for posting it! " - 27-12-2011|