Art Auction Scene © Seoul Auction
The Ministry of Culture, Sports and Tourism
(MCST) announced that the ‘Art Service Industry Reporting System’ will take
effect on July 26, following the approval of the Enforcement Decree of the ‘Art
Promotion Act’ at a Cabinet meeting on July 21.
Applicable to six sectors,
including galleries, auctions, and appraisal services; imposes obligations such
as maintaining transaction records.
Failure to report or comply with regulatory
requirements may result in fines or business suspension.
The Art Service Industry Reporting System
was introduced to systematically foster and support the art distribution sector
while promoting a transparent and fair art market. Under the new system, any
person or entity seeking to operate an art service business must file a report
with the head of the relevant local government.
Art service businesses include galleries,
art auction companies, art advisory services, art leasing and sales businesses,
art appraisal services, and art exhibition businesses.
To enhance transparency in the art market
and strengthen consumer protection, the system requires art service providers
to fulfill obligations such as maintaining records of artwork transactions,
disclosing hammer prices, and using standardized appraisal report formats.
Those who operate an art service business
without filing the required report, or who fail to comply with the obligations
imposed on art service providers, may be subject to administrative fines,
business suspension, or other sanctions.
View of ‘Art Busan 2026’ © Art Busan
One-Year Grace Period to Run
Through July 25, 2027
As the *Art Service Industry Reporting
System* is being introduced for the first time, the Ministry of Culture, Sports
and Tourism will operate a one-year grace period through July 25, 2027, in
order to minimize confusion in the field and facilitate the successful
implementation of the system.
During this period, administrative fines
and business suspension measures will be deferred, while the ministry will work
closely with relevant organizations to provide guidance on reporting procedures
and regulatory requirements.
Jeong Hyang-mi, Director General of the
Arts and Culture Policy Bureau at the MCST, stated, “The Art Service Industry
Reporting System will help build consumer trust in the art market and serve as
a foundation for the continued growth of the Korean art market.”
She added, “Going forward, we plan to
actively develop tailored policies and support programs for each sector based
on the data collected through the reporting system.”
