The trade of artworks in Bosnia and Herzegovina takes place within a complex legal, institutional, and cultural framework. Artworks, as specific cultural and intellectual goods, are subject to a number of regulations related to copyright, taxation, customs rules, as well as the country’s international obligations regarding the preservation of cultural heritage. Given that the art market in Bosnia and Herzegovina is not fully developed, the legal framework often remains misaligned with the needs of contemporary art trade, creating room for various challenges but also for potential reforms.
Copyright as the Fundamental Protection of Artists
The foundation of legal protection for artworks in Bosnia and Herzegovina is the Law on Copyright and Related Rights. This law regulates the rights of authors over artistic, literary, and scientific works, as well as the rights of performers, producers, and other rights holders. Authors have moral rights (the right to be recognized as the author, the right to protect the integrity of the work) and economic rights, such as the rights to reproduce, distribute, and publicly display their work.
In practice, this means that even after an artwork is sold, the author retains certain rights over it. A buyer, gallery, or collector may not modify, destroy, or publicly exhibit the work without respecting the author’s rights. Additionally, authors are entitled to a portion of the proceeds from any subsequent resale of the original work, a concept known in European law as “droit de suite” (resale right), although its systematic implementation in Bosnia and Herzegovina has not yet been fully established.
Industrial Design and the Boundary with Applied Arts
For certain artworks that lie at the intersection of art and design, such as sculptures integrated into interior spaces or functional artistic objects, the Law on Industrial Design of BiH may also be relevant. This law protects the external appearance of products, which can include artistic objects that have both esthetic and practical value.
This type of legal protection is especially important for contemporary artists working at the crossroads of art, design, and commercial production, as it allows for design registration and legal protection against copying and plagiarism.
Customs Regulations and Control of Cross-Border Movement
The import and export of artworks and antiques in Bosnia and Herzegovina are subject to customs regulations and special rules. Any work with cultural, historical, or artistic value may be subject to control, particularly antiques and works by old masters. There is an obligation to obtain export or import permits, issued by the competent authorities in accordance with the list of goods subject to restrictions when in international trade.
The Law on Customs Policy of BiH stipulates customs duties, VAT, and other taxes on the import of artworks, meaning that every trader must comply with strict documentation requirements during import. This includes invoices, certificates of origin, proof of ownership, and sometimes authenticity expertise.
Inadequate regulations and inconsistent practices across the entities and the Brčko District further complicate the process, creating opportunities for illegal art trade and smuggling of cultural property, which poses a serious threat to the preservation of cultural heritage.
Tax Obligations and Fiscal Treatment of Artworks
The trade of artworks in Bosnia and Herzegovina is subject to general tax regulations. The sale of artworks is subject to value-added tax (VAT), as well as potential customs duties in the case of imports. Although the art market in BiH is still relatively underdeveloped, fiscal obligations can place a significant burden on small galleries and independent artists, who are often not fully aware of their tax responsibilities.
An additional challenge is the informal sale of artworks through social media, online platforms, and private arrangements, where invoices are often not issued, VAT is not paid, and transactions are not officially recorded. This “gray zone” hinders the development of a professional art market and undermines the position of legitimate art traders.
International Obligations and Protection of Cultural Heritage
Bosnia and Herzegovina is a signatory to several international conventions concerning the preservation of cultural heritage and the fight against illegal trade in cultural goods, including the UNESCO 1970 Convention and the UNIDROIT 1995 Convention. In accordance with these agreements, BiH is obliged to prevent the illegal export and import of cultural property, to register artworks, and to establish mechanisms for the restitution of stolen or illicitly exported items.
However, in practice, these obligations are rarely consistently enforced. Many cultural institutions lack adequate records of their collections, and police and customs authorities are not always able to identify valuable works or distinguish forgeries from originals.
Conclusion: The Need for Reform and Professionalization of the Market
The trade of artworks in Bosnia and Herzegovina represents a complex legal and social issue that requires much more attention than it currently receives. Although a legal framework exists in principle, its implementation is fragmented, inconsistent, and often ineffective.
It is necessary to strengthen awareness of the importance of respecting copyright, to educate inspection and customs officers, and to simplify administrative procedures for legal art trade. Equally important is supporting the professionalization of the market through backing galleries, curators, experts, and legislators.
In this way, Bosnia and Herzegovina can not only better protect its cultural heritage but also promote the development of a legal and profitable art market that benefits both artists and society as a whole.
Author: Aleksandar Sajic, lawyer
E-mail: aleksandar@afsajic.com
