HMRC victory in Alan Parry tax case raises uncertainty for freelance workers

Contracts between freelance workers and their employers will come under renewed scrutiny by HM Revenue & Customs after Sky Sports commentator Alan Parry lost an appeal against a £356,000 tax bill. Parry was contesting that the contracts his limited company, Alan Parry Productions Limited, held with BSkyB between tax years 2013/14 to 2018/19 reflected an employment relationship, rather than self-employment. Seb Maley, the chief executive of insurer Qdos, said the decision highlights the importance of IR35 compliance. “The sums alone in this case highlight the staggering cost of getting IR35 wrong . . . Alan Parry is the latest in a long line of high-profile presenters caught up in IR35 cases with huge tax liabilities.” He added:  “Whichever way you look at it, the £356,000 tax bill handed to Parry is a firm reminder of the importance of IR35 compliance – something that contractors and businesses must prioritise.”

Financial Times

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