Leasing, an attractive payment facility
But what exactly is leasing works of art? How to measure the amortization of a painting, a sculpture over time? And above all, can everyone use this type of service?
Galerie Joseph gives you the key points.
We can compare the leasing of works of art to a rental service. In other words, each month, according to a precise schedule, customers pay rent corresponding to the rental of an art work. The leasing of works of art allows the collector at the head of a professional activity to optimize the acquisition of the work for tax purposes, the rental of which gives access to a tax deductibility of all rents as charges. At the end of the rental period, a purchase option is offered for a residual value.
As soon as a client calls on the services of Bail Art (professional or private), the company takes care of everything. It goes from mounting the file to delivery, then hanging it. It is Bail Art which manages the entire process, from the relation between the client and the bank, to the valuation of the client’s assets. In other words, to be eligible for this type of service, the customer must be able to provide proof that he’s able to pay for what he commits over time. After this study and when the form is duly completed, Bail Art sends the entire file to the bank.
In the context of a professional or personal activity, the benefits of leasing art works are multiple.
Bail Art allows you to spread the settlement of acquisitions between 13 and 60 months.
At the end of the contract, there is the possibility of buying 7% of the original value of the work.
Finally, it’s possible to deduct from tax the purchase of a work. For an individual, the purchase of is exempt from tax and the money used for its acquisition is not taxable.
For businesses, the tax advantage is also attractive. They can deduct 20% of the purchase price of the work from corporate tax each year for 5 years.