We were interested to read this article from accountingweb which shows that even celebrities are subject to tax reviews.
The article referenced an interview that ITV host Eamonn Holmes gave with the Mail on Sunday, where he revealed that HMRC has launched a “test case” against him, claiming unpaid taxes from the past seven years.
Whilst no verdict has yet been announced from the case, it’s an interesting discussion over freelance versus employment and how that can impact on tax bills.
In essence, HMRC is challenging the pay that Eamonn Holmes received through his limited company and if found to bein breach of IR35 rules, it is believed his company’s tax bill could be as much as £2m.
If you have any questions about IR35 or any other tax questions, please do get in touch.