Don't tax art collectors, incentivise them: GVK's Sanjay Reddy

Are Indian collectors missing out on some of the greatest art ever created because of an archaic tax provision? At a recent discussion on Indian classical art held in Mumbai, GVK vice chairman Sanjay Reddy seemed to suggest so. Reddy argued that the Indian government needed to scrap the import tax on artworks purchased outside the country. He justified this by pointing out that some of the best Indian art was abroad. "When you travel and see some of the dealers and collectors, they have such exquisite stuff," he said and added that this might be the result of The Antiquities and Art Treasures Act, 1972.

Reddy, who is a connoisseur and collector of Indian classical art, believes that instead of taxing collectors, the government should incentivise them. "The government should give a tax deduction. For instance, if you bring back Rs 1 crore worth of art, you should get a 10 per cent deduction in your tax. That will make a difference. Right now, you are being taxed to bring something of your own heritage. It's better than before. But it has to become zero," he said.