HMRC attacking the use of Limited Companies by Actors
HMRC won a tax case against actor Robert Glenister; he was using a limited company for his acting income and expenses.
These are known as PSC or Personal service Companies.
Glenister faces a bill of £147,000 for National Insurance after a test case ruling decided the IR35 rules apply. Glenister wasn’t doing anything out of the ordinary here – simply billing for his services through a limited company.
We have advised our clients in similar situations not to use limited company structures for this reason, so ask advice from Red Tulips Accountants before taking any action