由 caicai8478 This paper discusses the double customs clearance problems faced by cross-border art circulation and its solutions. Cross-border art transactions involve complex customs procedures, including cultural relics tax, import and export licenses and other regulatory requirements, which often lead to customs clearance delays and increased costs. The study adopts a case analysis method to examine the actual operation process of customs clearance of art in different countries. The study found that the main challenges faced by cross-border art include: uncertainty in tax burden caused by differences in cultural relics tax systems in various countries, lengthy license approval processes, and mismatch between tight transportation time and customs clearance efficiency. In response to these problems, this paper proposes solutions such as establishing a green channel for rapid customs clearance of art, promoting international cultural relics tax coordination, and digital license management systems. The study provides practical references for art dealers, collection institutions and policymakers, and helps to facilitate the cross-border circulation of art.
Keywords Cross-border art; customs clearance problems; cultural relics tax; import and export licenses; customs clearance efficiency
Introduction
With the acceleration of globalization, cross-border circulation of art is becoming more and more frequent. However, as a special commodity, cross-border transactions of art face unique customs clearance challenges. Unlike ordinary commodities, artworks often have multiple cultural, historical and artistic values, and countries have set up strict regulatory measures for their import and export. Although these measures are aimed at protecting cultural heritage, they have objectively formed barriers to the cross-border circulation of artworks.
The core difficulties in cross-border customs clearance of artworks are reflected in three aspects: first, the difference in the tax system of cultural relics. There are significant differences in the tariffs and value-added taxes levied on artworks by different countries; second, the complexity of license approval, especially for artworks listed as cultural relics, which need to go through cumbersome administrative approval; finally, time pressure. Artwork transportation and exhibition usually have strict time requirements, and customs clearance delays may cause significant economic losses.
This study aims to systematically analyze these difficulties in cross-border customs clearance of artworks, explore their causes and effects, and propose feasible solutions. Through in-depth research, we hope to provide practical guidance for art transaction participants and provide reference for policymakers to optimize the regulatory framework.
- The particularity of cross-border customs clearance of artworks
Cross-border customs clearance of artworks has its own particularity that is different from ordinary commodities. First, artworks are often valuable and unique, which makes customs valuation complicated. Ordinary goods usually have clear market reference prices, while the valuation of artworks requires professional knowledge, and different appraisers may come to very different conclusions. This uncertainty in value poses a challenge to tariff calculations.
Second, the cultural attributes of artworks make them subject to special supervision. Many countries classify artworks of a certain age or importance as cultural relics and impose strict restrictions on their export. Even if exports are allowed, they require special approval from the cultural department. For example, Italy has a licensing system for the export of artworks over 50 years old, and the approval process may take months.
Third, artworks have special requirements for transportation conditions. Precious paintings, sculptures, etc. require a constant temperature and humidity environment and are sensitive to vibration. These special requirements make it impossible for artworks to adopt standardized processes like ordinary goods, but require customized solutions. Delays in customs clearance not only generate storage costs, but may also cause damage to artworks due to improper storage conditions.
- International differences and impacts of cultural relics tax systems
There are significant differences in the taxes and fees levied on artworks by countries around the world, which constitutes an important obstacle to cross-border transactions of artworks. The EU usually imposes a tariff of 5-10% on the import of artworks, plus the value-added tax of each country (usually 15-25%). The United States exempts artworks over 100 years old from tariffs, but sales taxes vary from state to state. China imposes a 12% tariff and a 13% VAT on imported artworks.
This difference in tax systems leads to two major problems: first, uncertainty in tax burdens, which makes it difficult for trading parties to accurately estimate the total cost of cross-border transactions; second, the complexity of tax planning, which may require trading parties to design complex transaction structures to optimize tax burdens. For example, some traders choose to transit through Hong Kong and use its art tax exemption policy to reduce the overall tax burden.
Another controversial point in the cultural relics tax system is the problem of double taxation. A piece of art may have paid relevant taxes and fees in the exporting country, and face new taxes when it is imported. This double taxation phenomenon inhibits the international circulation of artworks, especially for short-term exhibition transactions. Although some countries provide temporary import tax exemption policies, the application procedures are often cumbersome.
- The approval dilemma of import and export licenses
Artworks, especially those identified as cultural relics, usually require import and export licenses for their cross-border circulation. This approval process often becomes a bottleneck for customs clearance. The approval time ranges from a few weeks to several months, depending on factors such as the importance of the cultural relics and the level of protection in the destination country. For time-sensitive art exhibitions or auctions, this delay may undermine the entire business plan.
There is also the problem of opaque standards in license approval. Approval agencies are usually composed of cultural relics experts, and their decisions are somewhat subjective. The same artwork may have different review results from different experts at different times. This uncertainty increases transaction risks and discourages some trading parties.
In addition, the licensing systems of various countries lack a mutual recognition mechanism. After a work of art is licensed in the exporting country, the importing country may still require re-approval. This repeated approval is not only time-consuming, but may also lead to the embarrassing situation of inconsistent evaluation conclusions. Establishing internationally unified cultural relics identification standards and mutual recognition mechanisms is a potential direction to solve this problem.
- Conflict between time pressure and customs clearance efficiency
Art transactions and exhibitions usually have strict time requirements. The dates of events such as auctions and art exhibitions are fixed, and missing the deadline may mean huge economic losses. However, traditional customs clearance processes often cannot meet this timeliness requirement, causing trading parties to compromise under time pressure.
The reasons for the low efficiency of customs clearance include: the inspection of artworks requires the participation of professionals, who may not be on call at all times; customs are more cautious in reviewing high-value artworks; and cross-departmental coordination (such as customs and cultural departments) increases the complexity of the process. For example, a well-known painting was exhibited in China in 2019, but it almost missed the opening date due to delayed approval by the cultural department.
To solve this problem, some countries have established a fast customs clearance mechanism for artworks. The “art passport” system launched by the UK allows qualified artworks to pass customs quickly; the “temporary import” system within the EU simplifies the customs clearance procedures for short-term exhibition artworks. These experiences are worth promoting internationally.
V. Response strategies and solutions
In response to the cross-border customs clearance difficulties of artworks, this article proposes the following solutions: First, establish an internationally recognized “green channel” for fast customs clearance of artworks, and provide priority customs clearance services for transactions that meet the standards. This mechanism can refer to the existing ATA carnet system, but optimize it according to the characteristics of artworks.
Second, promote the coordination of international cultural relics tax systems. Reduce double taxation on cross-border transactions of artworks through bilateral or multilateral agreements. In the short term, the scope of application of the temporary import duty-free policy can be expanded; in the long term, unified tariff and VAT policies for artworks should be sought.
Third, implement digital reforms in license approval. Establish an online application platform to standardize application materials and make the approval process transparent. At the same time, explore international mutual recognition mechanisms to reduce repeated approvals. The cultural heritage digital platform launched by France in 2016 partially achieved this function.
Finally, strengthen the coordination between customs and cultural departments. Improve the efficiency of cross-departmental collaboration by establishing a joint office mechanism and sharing databases. Professional talent training should not be ignored, and compound talents who understand both customs practices and the characteristics of artworks are needed.
VI. Conclusion
Cross-border customs clearance of artworks faces multiple challenges such as differences in cultural relics tax systems, complex license approval, and mismatch between time pressure and customs clearance efficiency. These challenges are rooted in the incompatibility between the special attributes of artworks and the current regulatory framework. Solving these problems requires joint efforts by governments, international organizations, and the art industry.
The solutions proposed in this article include establishing a fast customs clearance mechanism, coordinating international tax systems, and digitalizing approval processes. The implementation of these measures will significantly improve the efficiency of cross-border circulation of artworks and promote cultural exchanges and the development of the art market. Future research can further explore the application of blockchain and other technologies in the customs clearance of artworks, as well as the new trend of cross-border flow of artworks in the post-epidemic era.
It should be noted that while facilitating the circulation of artworks, the fundamental purpose of cultural heritage protection cannot be ignored. The ideal solution should be to find a balance between effective protection and reasonable circulation. This requires continuous international dialogue and institutional innovation.