The private sector has gained a lot of weight in the last decades. financing of culture inside France. historically, auspices was almost non-existent in the neighboring country. The state had a dominant role in financing everything related to art and heritage. However, it is a model that has changed significantly over the past two decades, supporting the growing weight of corporations in financing cultural institutions and raising fears of industry privatisation.
Call “Law of the Aillagon”Enacted in 2003, it came under the auspices of the catapult in France. Prepared during the presidency of the conservative Jacques Chirac, it established a very favorable tax framework for corporations or large fortunes that give money to cultural institutions or projects. Every donation provides a benefit 66% tax reduction In the case of 60% for individuals and for private companies. So if a company finances an art project for 10,000 euros, the taxes it has to pay can be reduced by 6,000 euros.
Since then, the number of companies funding culture has increased. multiplied by tenIt goes from 6,500 to 68,500. 14% of private groups act as bosses. The entire CAC 40 – the Paris stock exchange – has its own “philanthropic” foundations. Major museums and some of the most prestigious universities have set up private organizations to raise private funds. In a way, the model of the great American patrons, for example Bill Gatessettled in France. Despite this, the French State plays a central role in the financing of culture. According to Eurostat data, the percentage of public expenditure allocated to this sector in France represents 1.5% of GDP; this is slightly higher than the European average and Spain (1.3%).
Expansion of private museums
This boom in patronage was reflected in the proliferation of great wealth. they set up their own museum: The Carmignac Foundation in Porquerolles, opened in 2018; Luma Foundation in Arles in 2013; Datris Villa; Bernard Magrez Institute near Bordeaux… A list worthy of a James Joyce or Roberto Bolaño novel could be made. A barrage of multimillion-dollar donation promises by multinational companies rebuilding Notre DameHe also painted this phenomenon a few hours after the gigantic fire.
While nearly every French president in the second half of the 20th century left his mark with the creation of a major museum in Paris—with Pompidou, the center of contemporary art of the same name, Mitterrand, D’Orsay or Chirac, Quai Branly—in the 21st year, major private institutions in the French capital marked its emergence. Louis Vuitton Foundation (in 2005) or Pinault CollectionIt opened in May last year.
The proliferation of patronage has served to diversify sources of funding, but has given rise to certain fears about the gradual privatization of the cultural sector. In addition, this model has caused criticism. high cost for public coffers. The SAI warned in 2017 that tax cuts for patronage are at a cost to the State. about 900 million euros. Luxury giant Louis Vuitton saved 518 million tax payments between 2007 and 2017 thanks to its “philanthropic” activities.
Therefore, the French Government slightly limit tax benefits cultural donations Only 40% of donations in excess of two million euros since last year are tax deductible. A gentle brake to this sudden taste of the great wealth of art.
Source: Informacion
Brandon Hall is an author at “Social Bites”. He is a cultural aficionado who writes about the latest news and developments in the world of art, literature, music, and more. With a passion for the arts and a deep understanding of cultural trends, Brandon provides engaging and thought-provoking articles that keep his readers informed and up-to-date on the latest happenings in the cultural world.