Readers’ forum: Does art club have any tax obligations?

One of my clients is an amateur artist. She is a member of a club of like-minded artists (as far as I can see the club doesn’t have any legal status and it is not a charity). The members pay a small monthly subscription which covers the costs of art materials used at their monthly meetings where they discuss painting techniques and try out different styles. It also covers tea coffee and biscuits. I am sure that this is a mutual concern and no tax arises.

The club is planning a summer exhibition. Individuals will be able to sell their paintings to the public but 5% of the proceeds will go to the club to cover running costs and perhaps the purchase of more art materials. It is possible that some members of the club will buy pictures from other members.

I don’t think that the club will...