Emigrant Bank Fine Art Finance offers loans designed to help individuals pay for new art purchases over many years, fund new investments, expand their business, manage short-term cash needs, supplement their income, and achieve longer term asset allocation and estate planning goals. Financing can eliminate the significant transaction costs and taxes associated with the sale of works of art. Transaction costs can be as high as 30% of the value of the assets sold. The federal long-term capital gains tax on art and antiques is 28%. Adding state and local taxes, a sale can trigger a total tax bill of 40% or more on the gain, depending on the seller’s domicile(1).
- Purchase artwork
- Raise cash to expand a business
- Re-finance other debt
- Avoid the taxes and transaction costs associated with selling art
- Diversify wealth by using loan proceeds to invest in other asset classes
- Fund life events (e.g. divorce settlement, estate taxes)
- Supplement income and cash flow for lifestyle
1. You should consult your tax advisor.