The German Culture Council announces great cultural success and thanks the Minister of Culture Claudia Roth. The reintroduction of the reduced VAT for galleries and the art trade after 10 years has succeeded.
Bundeskabinett adopted annual tax law 2024
Today the Federal Cabinet ceremoniously passed the annual tax law 2024 , a significant step for the future of the tax system in Germany. However, the German Cultural Council , as the highest representative of the Federal Culture Associations, drew attention to an important concern (see Design Annual Tax Act 2024: Great disappointment for art trade )
He critically commented in May that the original draft of the Federal Ministry of Finance did not provide for the introduction of a reduced sales tax rate for galleries and the art trade . This fact met with great lack of understanding and triggered discussions about the promotion of the art world in a tax context.
Finale engagement by Claudia Roth crowned successfully
The German Culture Council then asked Minister of Culture Claudia Roth to get involved in the final routes and to use the Federal Minister of Finance to reduce VAT for galleries and the art trade. This project was successful. The German Cultural Council would like to thank Claudia Roth for their commitment and congratulates this significant cultural success.
The head of the German Cultural Council, Olaf Zimmermann , commented in a press release from the Cultural Council as follows:
The reintroduction of the reduced sales tax rate for the art trade from January 1, 2025 is a significant success in cultural policy. It was debated for a long time. After the requirements were created at EU level, implementation in Germany was due. Claudia Roth is due to the fact that it has been possible to win a majority within the federal government until the cabinet. Thank you!".
Look back
Art is a cultural asset. And in Germany the reduced VAT of 7%applies. This measure is intended to promote the cultural landscape and to facilitate access to art for all citizens. Unfortunately, in 2014, the tax reduction for the commercial sale of works of art in Germany was abolished, contrary to the long -term political principle, to support the cultural area through tax reductions.
This decision was influenced by an EU guideline from 2006, which forced Germany to implement in order to avoid a violation procedure of the European Commission. This abolition led to considerable imbalances and stresses for galleries, which are now fully taxed.
Compared to artists: inside whose works are still taxed with a reduced sentence, as well as other cultural goods and events such as books, concerts and theater performances, which are also only taxed at 7%, are now disadvantageous.
The abolition of the reduced sales tax rate for the art trade in 2013 put galleries strongly under pressure photo by Jessica Pamp @Yessijes, via unsplash
This artificial competitive disadvantage put the German galleries under pressure, especially in an international comparison. In countries such as France, Switzerland, England and New York, lower VAT sets apply to art trade, which meant that German galleries were exposed to unfair competition.
The consequences of this decision were fatal: many small and medium -sized galleries had had to close since 2014, which was not only tragic for the gallery owners concerned, but also led to a lack of young people in the German art market.
Even before the outbreak of Covid-19, the German art trade associations vehemently called for the return to the reduced VAT rate of seven percent, which was valid until the end of 2013.
The considerable financial burdens and challenges for the art trade in Germany urgently needed a solution that was now found.
Owner and Managing Director of Kunstplaza. Journalist, editor, and passionate blogger in the field of art, design, and creativity since 2011. Successful completion of a degree in web design as part of a university study (2008). Further development of creativity techniques through courses in free drawing, expressive painting, and theatre/acting. Profound knowledge of the art market through years of journalistic research and numerous collaborations with actors/institutions from art and culture.
A fundamental need for every artistically creative person is likely to be the ability to live off their art.
In order to secure your own existence, it is essential to make money with art . In fact, contrary to the majority perception, many artists can live well from their creative work these days. Nevertheless, a vast majority of all freelance artists are dependent on further sources of income (e.g. giving courses, order work, part -time jobs, etc.).
Recognition as an artist often does not bring immediate financial security. Therefore, artists are often also life artists.
The opportunities to make a living from one's own art have, however, grown significantly due to the internet and social media. As an artist, however, you must be versatile and flexible to succeed. A certain degree of perseverance is also essential.
Customer care and self -marketing are also important pillars for success as an artist .
In this section, we compile numerous articles, information, tips, and advice to help you make a living from your art.
We use technologies like cookies to store and/or access device information. We do this to improve the browsing experience and to show (non-)personalized ads. If you agree to these technologies, we can process data such as browsing behavior or unique IDs on this website. The refusal or withdrawal of consent may adversely affect certain features and functions.
The technical storage or access is necessary for the legitimate purpose of storing preferences that are not requested by the subscriber or user.
Always active
Die technische Speicherung oder der Zugang ist unbedingt erforderlich für den rechtmäßigen Zweck, die Nutzung eines bestimmten Dienstes zu ermöglichen, der vom Teilnehmer oder Nutzer ausdrücklich gewünscht wird, oder für den alleinigen Zweck, die Übertragung einer Nachricht über ein elektronisches Kommunikationsnetz durchzuführen.
Vorlieben
Technical storage or access is required for the lawful purpose of storing preferences that have not been requested by the subscriber or user.
Statistiken
The technical storage or access that is used exclusively for statistical purposes. The technical storage or access that is used exclusively for anonymous statistical purposes. Without a subpoena, voluntary compliance by your internet service provider, or additional records from third parties, information stored or retrieved for this purpose alone cannot usually be used to identify you.
Marketing
Die technische Speicherung oder der Zugriff ist erforderlich, um Nutzerprofile zu erstellen, um Werbung zu versenden oder um den Nutzer auf einer Website oder über mehrere Websites hinweg zu ähnlichen Marketingzwecken zu verfolgen.
