The Covid-19 Pandemic to date has made economic survival very difficult for a number of artists.  However the coming Global Recession is going to make life difficult for a lot more artists - all around the world.

It's time to take stock and think about what this means - in the short term and the next 2-3 years.

​In this post I'm beginning to set out an overview of what I think are key issues for artists during The Pandemic Recession. It includes some background reading and covers
- the biggest drop in economic growth since records began
​- the impact on art sales and artists
- lessons for artists from the 2008 recession

The biggest drop in GDP in the UK since records began

PLEASE DO NOT post art if you're NOT a career artist whose livelihood is currently in jeopardy due to Coronavirus. There's way too much amateur art being posted by people who cannot possibly be paying their household and business bills through the sale of their art. That, to my mind, is just plain selfish and attention-seeking given the intention of this project is to support those self-employed professional artists who have lost their ability to earn their normal income e.g. from sales of exhibited paintings in art galleries and art fairs, teaching art to students and the normal sort of work which many professional artists engage in.

The one thing that is certain is that the virus is not going away any time soon. All that is happening right now is that the reproduction rate is being cut - but a very small percentage of the community has been infected and the virus is still in the community.

What is direct marketing?
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Direct marketing includes the promotion of aims and ideals as well as advertising goods or services. Any method of communication which is directed to particular individuals could constitute direct marketing. Direct marketing purposes include all processing activities that lead up to, enable or support the sending of direct marketing.
page 3 of Direct  marketing code of practice - Draft code for consultation | ICO

​Who needs to know what to do
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You will be caught by the direct marketing rules if you are using data with the intention to market, advertise, or promote products, services, aims or ideals.

Following the code along with other ICO guidance will help you to comply with the GDPR and PECR

Consultation: direct marketing-draft code of practice

This page reviews what trading legislation, regulations and consumer protection standards apply to all artists trading with UK consumers 

My website about Trading Law & Regulations for Artists in the UK

What are trading standards?
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What does this page cover?
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Who is it for?
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P.S. more regulations! E-Commerce for Artists
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Use our checklist to improve your understanding of data protection and find out what you need to do to make sure you are keeping people’s personal data secure. Once you have completed the checklist a short report will be created suggesting some practical actions you can take and providing links to additional guidance you could read that will help you improve your data protection knowledge and compliance.

More information on this website

What are the tax implications of selling art online?
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Dear Katherine,

Firstly, I owe you my sincerest gratitude for all the information you have presented on this website. It has answered many questions I had and for that I am grateful.

I am on the verge of launching an e-commerce online gallery and I was hoping you could answer a few questions for me. This my first time dealing with anything to do with e-commerce and selling online so there is still a lot I don’t understand. 

1)  Some of the artists who I represent do not reside within the UK or the EU, and there is no guarantee that any paying customer would reside within the UK or EU either. How would this affect me regarding tax?
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2)  When this business takes off, I plan on becoming location independent. ​How will this affect my tax status as I won’t be living within the UK but my business will be registered in Britain?

3)  How would it work when it comes to putting an address on my invoice if I’m only in the same location for a limited amount of time?

Thank you again,
Kind regards,

Mr Gallery Man ( a pseudonym)

Dear Mr Gallery Man

If you are setting up a business you need professional (i.e. paid) tax advice from an expert to make sure that:

1. -  you are aware of all your legal responsibilities tax wise
2. -  where you live and where you operate are tax efficient given who you expect your customers to be
3. -  you get to keep your house because the tax man doesn't come looking for the tax that you have avoided - with penalties and a possible prison sentence

This is serious. You need proper advice. That's not going to come from me.

The next point I'd make is that I have seen any number of people have the bright idea of setting up an online art gallery operating through ecommerce in the last 10 years. I'd say round about 95-99% of them no longer exist.

I think you need to do more research about the marketplace and what sort of investment you need to make in time and effort - and contacts / social media following - to make it work.

My one piece of advice for you is if you have never run a business before and if you have never been involved in the art market before, run away fast before you waste an awful lot of money for no return.

Regards

CHECKLIST:
​How not to get stung when setting up ecommerce!
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EU VAT rule change
From 1 January 2015, the rules around the European Union (EU) VAT place of supply of services will change. This will affect the sales of digital services (broadcasting, telecommunications and e-services) from a business to a consumer (private individuals and non-business entities for example, public authorities or charitable bodies). The place of taxation will be determined by the location of the consumer.
VAT: businesses supplying digital services to private consumers

More information about tax and vat for artists
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What this site does not do