In 2026, the Spanish contemporary art market found itself in the spotlight—not because of sensational performances or provocative works, but due to strict tax policies. Galleries across the country were forced to suspend operations for six days to draw attention to the issue: the value-added tax on art sales in Spain remains at 21%. This rate is nearly twice as high as in most European countries, where reduced rates have long been the norm. As a result, Spanish collectors are increasingly opting to buy works abroad, while local galleries lose clients and face cutbacks in collaboration with museums and private foundations.
While authorities have yet to respond to the demands of the professional community, gallerists and artists are left searching for new ways to survive. The protests have taken a civil form: temporary closures, actions in museums, and withdrawal from state-sponsored projects. Yet for most Spaniards, this problem goes unnoticed—society does not see supporting the arts as a priority, and culture is viewed as secondary. Meanwhile, tax differences are causing absurd situations: the same artwork can cost less in Portugal or France solely because of lower VAT rates.
Scandals of the Past and Present
Just a few decades ago, Spain’s art scene often made headlines for sensational scandals at exhibitions and fairs. Today, however, even the most provocative works elicit little more than a lukewarm response from the public. Many recall the uproar in 2018 over Santiago Sierra’s piece ‘Political Prisoners in Contemporary Spain’ or how the closure of the Museum of Forbidden Art in Barcelona symbolized waning interest in artistic provocations. Now, even the boldest projects go largely unnoticed, and online debates quickly fizzle out.
A similar trend can be seen in other cultural spheres. Experts note that audiences have grown accustomed to flamboyance and no longer see it as something extraordinary. Even when exhibitions feature controversial works—such as mandalas made from underwear or sculptures with religious themes—the societal reaction is increasingly indifferent. As a result, the only genuine controversy remaining is tax policy, which directly impacts how accessible art is to the wider public.
Taste, traditions and new trends
The question of what constitutes good or bad taste in art remains open. Many collectors admit that it is often works that go beyond the conventional that spark their greatest interest. In recent years, the Spanish market has increasingly seen works that deliberately play with the theme of ‘bad taste’—from velvet paintings to provocative installations. This approach not only stretches the boundaries of perception, but also attracts a new audience, weary of classic forms.
A notable example in this context is the case of collector Gabriel Calparsoro, who received an award at ARCO Madrid in 2026 for his unconventional collection. He openly states that he does not follow traditional notions of taste, but selects works that create an inner conflict for him. Such a stance is gaining popularity among young collectors and gallerists seeking dialogue and experimentation.
The Spanish market in the European context
While Spain continues to maintain one of the highest VAT rates on art in Europe, galleries and artists keep losing ground in the international market. According to russpain, many buyers prefer to make transactions through foreign platforms in order to save significant amounts. This leads to capital outflow and declining interest in Spanish artists among foreign collectors.
At the same time, neighboring countries’ authorities actively support the cultural sector by lowering taxes and creating favorable conditions for market growth. In Spain, however, any attempts to change the situation are met with resistance from officials who fear losing budget revenues. As a result, not only galleries are affected, but the entire contemporary art ecosystem suffers, including museums, private collections, and educational projects. Against this backdrop, even discussions of celebrities’ personal stories, as in the article about Cristina Tárrega’s reaction to Rafa Sánchez’s song (details about the TV host’s controversial response), generate more public resonance than the issues facing the art market.
ARCO Madrid is Spain’s largest contemporary art fair, drawing leading gallerists, collectors, and artists from around the world every year. Founded in 1982, it has become not only a platform for showcasing new works but also an important barometer of the market. In recent years, the fair has faced serious challenges: competition from other European capitals, tightening tax policies, and declining interest from the general public. Despite this, ARCO remains a key event for the professional community and continues to shape trends in the world of contemporary art.
