How can we help?


IR35: Eamonn Holmes found to be employed for tax purposes

TV presenter Eamonn Holmes has lost his appeal against a 2018 tax tribunal finding that income tax and national insurance was due on his earnings as presenter of This Morning because his contract with ITV amounted to employment for tax purposes.

ITV engaged Mr Holmes via his personal services company, and he argued that he was “totally freelance” and had “total control” over how he acted as a presenter on This Morning. However, in a Judgment of the Upper Tax Tribunal published on 21 February, the Judge found that “there was sufficient mutuality and at least a sufficient framework of control to place the assumed relationship between ITV and Mr Holmes in the employment field.

The Judge said that “On that basis and, having regard to all other relevant factors, my view is that overall, throughout all relevant tax years, the assumed relationship between ITV and Mr Holmes was one of an employment rather than self-employment.”

He argued that he was “totally freelance” and had “total control”.

In essence, the finding is that, if you took the intermediary out of the picture, it was work an employee would be doing.

This highlights how important it is for all businesses which engage consultants and contractors to understand how different working arrangements will affect their financials.

This is a case under law on IR35 as it is at present, meaning that Mr Holmes’ personal service company will have to pay the tax and national insurance due, which is estimated to be in the region of £250,000. Had this been decided under the new IR35 law which will apply from 6 April 2020, it would have been ITV picking up the tab.

About this article

This information is for guidance purposes only and should not be regarded as a substitute for taking legal advice. Please refer to the full General Notices on our website.

About this article

Read, listen and watch our latest insights

  • 10 July 2024
  • Employment

Redundancy : Back to Basics FAQs

Redundancy can be a scary and overwhelming time both for employees being made redundant, and for those that have to make the decision. It is important for both parties to know their rights and obligations in this time.

  • 09 July 2024
  • Public Procurement

Buyer Beware: Practical Guidance for Breach of Warranty in an SPA

Are you buying a business? Whether you are buying shares in a company or purchasing its assets… the general Latin common law principle “caveat emptor” applies.

  • 08 July 2024
  • Corporate and M&A

Navigating corporate transparency: ECCTA reforms series

This is the second article in a series exploring the changes brought by the Economic Crime and Corporate Transparency Act 2023 (ECCTA).

  • 08 July 2024
  • Immigration

Right to Work Check Guidance – Key Changes for Employers

This updated guidance introduces several significant changes aimed at streamlining the right to work verification process for employers.

  • 02 July 2024
  • Privacy and Data Protection

Data protection unlocked for HR: Introduction to data protection

Lucy Densham Brown and Sana Nahas from the data protection team will discuss data protection issues encountered by HR professionals in the first episode of the ‘Data Protection Unlocked for HR’ podcast series.

  • 27 June 2024
  • Employment

TUPE Podcast Series: What Transfers

In this sixth podcast in our TUPE Podcast Series, Amanda Glover will delve into the automatic transfer principle and what transfers to the incoming employer under TUPE.