Kelly plays Kelly – HMRC overruled

This is an interesting and sensible ruling in a case of freelance vs employed. A tribunal has ruled that TV presenter Lorraine Kelly “was not employed by ITV, but performs as her ‘chatty’ TV persona.”

From the BBC report:

Judge Jennifer Dean ruled that the relationship that Kelly had with ITV “was a contract for services and not that of employer and employee”.

The tribunal found that Kelly did not receive staff benefits such as holiday or sick pay and was allowed to carry out other work.

There are many of these cases chugging through the system. Many stem from the BBC’s decision to encourage some of its stars to switch from employee status to being freelance. The BBC avoided Employers’ National Insurance (an employment tax paid by employers) as a result.

In recent years, the tax man has been presenting these individuals with bills for “unpaid tax” as a result of the change in status.

Any final ruling in each case is likely to hinge on the issue in this case: whether the individuals received staff benefits and, importantly, whether they were free to carry out other work.

You can read the full report, here.

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