Italy’s biggest contemporary art fair, Artissima, opened its doors for its 32nd edition to VIPs on Thursday in Turin’s Oval Lingotto arena. Earlier this week, the fair’s director Luigi Fassi told ARTnews that “there are high hopes” after the Italian government this past July slashed VAT on art sales from 22 percent to just 5 percent.

“I am personally more positive than ever,” said Fassi, who is leading his fourth Artissima. “The drop is VAT is big news. We now have the lowest tax rate on art sales in the European Union, and this is the first international fair in Italy since the cut, so everyone is excited. It gives Italian galleries and collectors a solid foundation to compete on an international level.”

The government finally bowed after two decades of lobbying from galleries, antique dealers, and auction houses. A study published earlier this year by consulting and market intelligence company Nomisma estimated that cutting the VAT could see an additional generation of €1.5 billion (around $1.7 billion) over three years. It also predicted that the Italian economy could swell by up to €4.2 billion ($4.8 billion) as a result.

A total of 176 international galleries from 36 countries have set up shop in Turin ...