Photo by Ilia Zolas on Unsplash
In a historic move, the Artist Resale Royalty Scheme was launched in Aotearoa, New Zealand on 1 December 2024.
From 1 December, under the Resale Right for Visual Artists Act 2023 and the Resale Right for Visual Artists Regulations 2024, a 5% royalty will be collected for eligible artists each time there is a “qualifying resale” of an original visual artwork by that artist (provided the right has not expired at the time of resale).
Benefits of the scheme include the potential for longer-term financial stability and recognition, and an acknowledgement of the art’s ability to appreciate over time. As the value of your art rises, so too should the benefits to the creator (or their successor).
What you need to know as an artist/successor
Payment threshold:
The Artist Resale Royalty Scheme does not apply to resales where the resale value is less than $2000 NZD.
Who pays the royalty:
The following TWO persons are jointly and severally liable to pay the 5% resale royalty to RRA:
1) The seller.
and
2) The seller’s agent (usually an Art Market Professional). If the seller has no agent, then it is the buyer’s agent. If there are no agents, then it is the buyer.
Registering for the scheme:
You do not need to register to receive the royalty, but registering on our website will make it easier for us to make contact and distribute the royalty payment.
How does RRA factor into the equation:
RRA are a non-profit organisation who have been appointed to adminster, collector and distribute royalties on behalf of visual artists. We will be in touch if you or your successor are eligible for a royalty payment.
How long will payment take:
Once RRA has received the total royalty payment from the liable person(s) we are required to distribute to the right holder in a timely manner (provided the right holder can be found). RRA will retain 20% for the purpose of funding RRA operations and distribute the remainder of the royalty to the visual artist or successor.
Further Assistance
To learn more about which artworks may be considered eligible under the scheme, please visit our website.
This Scheme is an important part of protecting artists’ legacy over time and supporting the growth of Aotearoa New Zealand’s vibrant art community. We continue to work closely with key communities to support the smooth running of Artist Resale Royalty in Aotearoa New Zealand and look forward to its long-term success.