- Knowledge Base
- My Taxes š§®
- General Taxes
How will my investment be taxed?
For US tax payers, your investment will be taxed at the collectible gains rate, which is your own ordinary tax rate capped at 28%.
Examples:
- If your ordinary tax rate is 18% for the year, then the gain on your Masterworks payout is taxed at 18%.
- If your ordinary tax rate is 32% for the year, then the gain on your Masterworks payout is taxed at 28%.
Exception for 10%+ US Holders (Not Common)
If you own 10% or more of a single painting investment, then you will be taxed at your ordinary tax rate. This may not apply for diversified products.
International Taxpayers