One of the stars of the Harry Potter movies has discovered magic is no match for the taxman, after losing his case at a tribunal.
Rupert Grint had attempted to include two tax accounting periods in his filings for tax year 2009-10, which would have prevented a proportion of his income from being taxed at the additional 50 per cent rate.
While altering the length of accounting periods can be done for legitimate reasons, the tribunal in Grint's case decided the actor did not meet the necessary conditions. In particular, it was determined Grint did not split his accounting periods in the timeframe required for filing his return.
The case was heard in London between 27 and 29 June and a decision was handed down earlier this month, but a formal announcement was only made by HM Revenue & Customs (HMRC) today.
"The clear message with this case is that HMRC will not hesitate to go to court to protect long established tax rules," said Jennie Granger, director general of enforcement & compliance at HMRC. "We are committed to ensuring that everyone – including the wealthy – pays their fair and legal share of tax."
The additional tax rate of 50 per cent was introduced in tax year 2010-11 for individuals with a taxable income over £150,000, but it was reduced to 45 per cent in tax year 2013-14.