Gallerists go to the market to pay for VAT reduction like in the old countries

The Spanish art system issued an urgent request Leave the VAT rate in the industry. During the week, the door from more than 200 national galleys will remain closed in an unprecedented gesture of strength that the Consorcio de Galerías de Arte Contemporáneo defines as the cierre of “the largest free museum in Spain”. No, it’s just a huelga; It is the result of slow-boiled heartburn over decades of administrative paralysis and a comparative burden that has become unsustainable.

While our old Europeans are closing in on the market with rates ranging from 5 to 8% VAT, Spain continues to apply 21% in the wind of art and treat creation like a happy hour.

The complaint is clear: apply cultural VAT in this sectorbecause you like other disciplines like music, theatre, cinema or literature. “This is a lot of research in the galleries during the week. Little do we understand that indications lead to conversations, communication, encounters. when you have it all and you get absolute silence on the other side, you despair”Idoia Fernández, director of NF Nieves Fernández and president of Consorcio de Galerías de Arte Contemporáneo.

Therefore, at the last general meeting, the decision was made to lift the stone forward. The consortium, formed by searching 130 prisons, approved the remedy in unanimous cases. “We also have non-affiliated prisons, even if the calculation is difficult, we will be up to 200 as we wish,” announces Idoia Fernández.

This claim is not only listed with the back of the prison, but also received public support of ARCO directionof the contemporary art fair, which will be celebrated in Madrid from March 4 to 8, and Business clubwhich brings together more than 200 entrepreneurs and top managers from major Spanish companies. Its president, Juan María Nin Génova, assures that “fiscally penalizing art is equivalent to penalizing an industry with the ability to create economic value, qualified personnel and international projection”.

European anomaly

Spain has become an anomaly within the European Union. Country like Italy (5%), France (5.5%), Belgium (6%) or Germany (7%) protect yourself in the market while Portugal’s recent decision based on VAT from 23% to 6% has completed its rollout to the national sector.

“Collectors compare and pay more if it’s not absolutely necessary. This puts us in desventaja, mars ventas and disrupts traffic,” complains Jal Hamad, co-founder of the Sabrina Amrani Gallery.

“Collectors compare and don’t pay more unless absolutely necessary. That puts us in the red.” Jal Hamad, Sabrina Amrani Gallery

It is not just a matter of competence; the sector raises its voice against irrational incumplimiento, ya que Directive (EU) 2022/542 allows my Member States to use art-restricted types from 2025.

For Guillermo Carreras of the Carreras Mugica gallery in Bilbao, the problem stems from ignorance: “We really know our work and the services we provide completely free of charge, we understand how we help our artists with production or how we take them on holidays to Spain, international events, exhibitions and biennials around the world do not allow us to be satisfied with this event”.

Esa brecha fiscal translates into it shifting winds that affect the internal market. “ARCO is celebrated within a month. I work with artists such as Fernanda Fragateiro, Oriol Vilanova or Ignasi Aballí, who also have galleries in other countries. the comprador avoids the Spanish galley”warns Elba Benítez.

The example is real: the ING collection — consisting of more than 5,000 pieces — used the work of Oriol Vilanova in Belgium and in its purchase Please note that your own artist will issue the invoice avoid the additional cost of VAT on Spanish cuisine.

“I work with artists who have galleries in other countries as well. Buyers avoid Spanish galleries.” Elba Benítez

The explanation in this summary is provided by Nacho Ruiz, director of the T20 gallery: in 2014, the Minister of Agriculture, Cristóbal Montoro, approved Application of VAT reduced by 10% only at the point of direct sale by the artistwith the exception of the galleries of this city.

“We are not capable of international competition. The message that comes out is: buy from the artist and not the gallery“But we are the people who finance our spaces, catalogs and holidays,” he assures. This is what Elba Benítez says with the ad: “Hacienda must give you a bill, which is no longer generated with this VAT”.

Moisés Pérez de Albéniz, who represents artists such as Antoni Muntadas or Pello Irazu, visualizes the problem with another everyday example: photography. “It is produced in editions of 3 or 5 copies. I can keep the same photo as the Paris gallery, which also represents it in ARCO, it costs before it costs“. With a much higher VAT, the collector will buy it elsewhere. “This is a comparative burden and we cannot allow it to belong to the European Union,” he complains.

But it doesn’t just happen with photography, it also happens with unique pieces. Idoia Fernández provides another example in this context. “I called the French gallery to tell me about the possibility of selling the artist’s work from the gallery to the museum, but I wanted them to sell it to make it more affordable,” he says.

Penalty for talent

Fiscal violations not only stifle the bottom line of galleries, but also a coup against the artist. To maintain 21%, the system pressures the creator of a precarious mayor. “With the difference, what you call an artist is that he is not a professional and Telling an artist who doesn’t work with a gallery is like telling a writer who doesn’t publish a book or Rosalía who doesn’t know a record. A few pieces will be sold at the exhibition, but the whole project can be seen and the entire period of investigation is defined,” added Idoia Fernández.

“A young Spanish artist who only has a national gallery is the most vulnerable,” says Nacho Ruiz. It is, in the words of Guillermo Carreras, a greater barrier to the promotion of an artist and “comparatively in other countries these artists enter more collections to be more accessible, to have more representation and people to be more interested in their work and their exhibitions”.

“The young Spanish artist who only has a national gallery is the most vulnerable.” Nacho Ruiz, T20 Gallery

In this sense, Jal Hamad, who manages the careers of artists such as Carlos Aires, Gabriela Bettini, Joël Andrianomearisoa or Anastasia Samoylova, understood that “every time a work is not sold for a high tax amount, the artist as much as the gallery is abandoned”, which stems from possible silent “talent leakage”.. If this situation persists, it “will weaken the possibilities of a strong and sustainable art market in Spain”.

Without free cooperation

Another of the doctors who accepted the galleries is sector of free cooperation with public and private institutions in Spain within three months. “Gallery owners are always willing to help the institution in one way or another to ensure high-quality exhibitions,” says Guillermo Carreras.

In this context, it is important to highlight some of the works that galleries create in a pro bono way to promote their artists: the contextualization of emerging artists, Informal advice to conservators and curators, batch preparation, ready for displayaccess to the artist’s archive or coordination of transports are just some of them. “All this keeps the next steps of the work that help the artist’s career grow and develop,” emphasized Elba Benítez.

“With this type of desventajas, no artists, no galleries, less collections.” Guillermo Carreras, Galería Carreras Mugica

When you download these collaborators, the galleries are available Prove to management that your work is making money. “We did it because it is part of our work and we like to work with him. We are aware that museums and institutions are not our enemies,” admits Idoia Fernández. His professional companion Moisés Pérez de Albéniz added: “The power we have is small, but we have to do it. Museums should not suffer from this situation, but we must be safe”.

Art, is it necessary or necessary?

For Pérez de Albéniz, one of the obstacles is the government’s perception of art: “If you believe artists are Andy Warhol. and that everyone is a millionaire, but living off art in Spain is very complicated, there are very few people who should do it. Art is not a thing ricos”sentence.

Elba Benítez also reports another story: a collector or a person who wants to try to buy art first. “Art is not a luxury good bought by people with a high level of purchase. Art is bought by people who love it, and we make it easy for them to access options to pay by pieces so that they don’t keep money.”

“If you believe that artists are Andy Warhol and that everyone is a millionaire, but live art in Spain is very complicated.” Moisés Perez de Albéniz

“The market serves to overturn an artist’s career. When Oriol Vilanova goes to the Venice Biennale, you have to support her with travel, relationships, catalog production.” The Ministry does not remember the inversion that means maintaining the artist’s career”complains Benítez.

Nacho Ruiz concludes: “Let’s start with our money and go to every exhibition. We are patrons and we do not recognize our work”.

Horizon and middle plateau

What happens in color? If the silence persists, the sector is planning new actionsbut for Guillermo Carreras, the panorama is worrying: “You have a lot of talent, ability and intention to continue our work, but sometimes it will be more difficult, not only is it a problem of the art market, the problem is that with this type of desventajas no artists, no galleries, no collections and eventually public and private Spanish collections will become unpopular,” writes Guillermo Carreras.

Moreover, the value of art also lies in its ability to influence society. “It influences the interpretation of the world, and artists give us a vision that we don’t encounter in reality day after day. That’s why we have to respect and protect it,” says Elba Benítez.

Guillermo Carreras’ final reflection continues in the spirit of the protest: “Let’s think about where we want to be in 15 years, whether we want a country with artists, galleries and collections of high quality, whether we are internationally relevant or not”. Now the galleries will close and wait for a response.