While preparing for the introduction of the Resale Royalty Scheme on 9 June 2010, CAL has received many questions from art market professionals about the scheme, how it will affect them, and what they will need to do. We have included the most frequently-asked questions here, along with their answers. We expect more will be added in the coming days and weeks, so we suggest you check back here regularly.
- first read information sheet for art market professionals: click here
- download FAQs for art market professionals: click here
- FAQs addressed include:
- Can an art market professional find out in advance whether the royalty is payable?
- Is the royalty payable on a 'cancelled' sale?
- If a purchaser agrees to buy a work, but negotiates to pay in 30 days time, when is the royalty payable?
- If a gallery pays an artist an advance against a future sale, is the sale of the work by the gallery a commercial resale?
- What is a gallery's legal obligation to ensure that sellers provide accurate information about the sales history for an artwork?
- How much will CAL deduct from the resale royalties?
- Can the resale royalty apply to works in which copyright has expired?
- Is GST payable on the 5% royalty?
- What happens if CAL cannot locate the right holder entitled to the resale royalty?
- Will royalties be payable on foreign works?
- first read information sheet for artists: click here
- download FAQs for artists: click here
- FAQs addressed include:
- What about resales in other countries?
- What if there is more than one artist?
- How much money will CAL deduct from my resale royalties?
- Can I get access to the information CAL has about the sales of my works?
- What about online auction sales?
- What if I don't want to receive resale royalties?
- What if I want to collect my resale royalties myself?
- If a gallery pays me an advance against a future sale, is the sale of the work by the gallery a commercial resale?
- first read information sheet for buyers and sellers: click here
- download FAQs for buyers and sellers: click here
- FAQs addressed include:
- Can a buyer or seller find out in advance if the royalty will be payable on a future resale?
- How much will CAL deduct from the resale royalties?
- Is GST payable on the 5% royalty?
- Is the royalty paid by the seller or the buyer?
- Is the royalty payable on the hammer price or on the hammer price plus GST?
- Would the resale of a piece of jewellery be subject to the resale royalty?
- Will royalties be payable on foreign works?
- first read information sheet for indigenous art centres: click here
- FAQs addressed include:
- When an art centre purchases an artwork from an artist do we pay the resale royalty?
- Does the scheme apply to existing works?
- If a buyer agrees to buy a work, but negotiates to pay in 30 days time, when is the royalty payable?
- If an art centre pays an artist an advance against a future sale, or on consignment, is the sale of the work by the art centre a commercial resale?
- How much will CAL deduct from the resale royalties?
- Who has the legal obligation to pay the royalty?