Rupert Grint, best known for playing Ron Weasley in the Harry Potter film series, has been ordered to pay £1.8 million in taxes after losing a legal battle with HM Revenue & Customs (HMRC).
The dispute originated from a tax return during the 2011-2012 tax year, when Grint received £4.5 million from a company of which he was the sole shareholder. The payment was described as “likely residual income and bonuses” from the Harry Potter films.
Grint’s legal team argued that the money should be taxed as a capital asset, which would have allowed him to pay capital gains tax at a lower rate of 10%. However, HMRC contended that the funds should be taxed as income, which would incur a top rate of 52% including national insurance.
In a tribunal hearing, Judge Harriet Morgan dismissed Grint’s appeal. The judge ruled that the money “derived substantially the whole of its value from the activities of Mr Grint” and should therefore be considered income rather than a capital asset.
This is not the first tax-related legal challenge Grint has faced. In 2019, he previously lost another court case involving a £1 million tax refund.
Grint’s acting career has been primarily defined by his role in the Harry Potter franchise, where he appeared in all eight films between 2001 and 2011. Since then, he has continued to work in the entertainment industry, appearing in films such as Into the White and Knock at the Cabin, as well as performing in television and theatre productions.
For the past four years, he has been a prominent actor in the Apple TV series Servant, demonstrating his continued presence in the entertainment world beyond his iconic Harry Potter role.
The tribunal’s decision highlights the complex nature of tax law, particularly for high-earning entertainers who may receive income through various corporate structures. By ruling that the payment was essentially income derived from Grint’s professional activities, the judge ensured that the appropriate tax rate would be applied.
This case serves as a reminder that even successful actors must carefully navigate tax regulations and ensure proper classification of their earnings. The significant financial implications – in this case, a £1.8 million tax bill – underscore the importance of accurate tax reporting and the potential consequences of disputes with tax authorities.
Grint, now 36 years old, continues to build his acting career beyond the Harry Potter series, with ongoing work in television and film demonstrating his versatility as an actor.
