The Art Gallery Tax Exemption Amendment Act of 2025 aims to enhance the property tax exemption for art galleries in the District of Columbia. Currently, art gallery buildings owned by non-profit organizations are exempt from real property tax, but many small galleries and museums have only received partial exemptions due to restrictions on the use of space for business operations. This bill seeks to address that issue by allowing full tax exemption for the entire building, provided that any business operations conducted do not constitute unrelated trade or business activities and support the cultural mission of the organization.

The bill specifically amends Section 47-1002(6) of the District of Columbia Official Code to include language that clarifies that portions of art gallery buildings used for business purposes that align with the organization's cultural mission are also eligible for tax exemption. This change is intended to support the financial sustainability of small art galleries and museums, thereby bolstering the District's cultural identity and economy.