Rupert Grint hit with £1.8 million tax bill after Harry Potter star loses legal battle
30 November 2024, 06:45
Rupert Grint has been ordered to pay an extra £1.8 million in tax after losing a court battle with HM Revenue and Customs.
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Mr Grint, who played Ron Weasley in the franchise, was ordered to pay the sum in 2019 after HMRC launched an investigation into his tax return from the 2011-12 tax year.
The actor, 36, had received a £4.5 million sum from a company which managed his business affairs as "consideration for rights, records and goodwill" from his work, which he claimed was a "capital asset" and therefore the subject of capital gains tax.
But HMRC argued that the fee should have been classed as income, and following the investigation told Mr Grint he needed to pay an additional £1,801,060 in tax.
At a hearing in the First-Tier Tribunal, held in London in November and December 2022, lawyers for Mr Grint appealed against HMRC's decision, arguing that the right amount of tax had been paid.
Read more: Dame Maggie Smith dies aged 89: Tributes to legendary Harry Potter and Downton Abbey star
But in a ruling, Tribunal Judge Harriet Morgan dismissed the appeal, finding that the sum "is taxable as income".
She said that the money "derived substantially the whole of its value from the activities of Mr Grint", which was "otherwise realised" as income in the 2011/12 tax year.
Mr Grint starred in the first Harry Potter film in 2001 as a teenager and is calculated to have earned around £24 million from playing Ron Weasley.
He previously lost a separate court battle concerning a £1 million tax refund in 2019.
Mr Grint said in an interview in 2018 that he was unaware of the extent of his fortune.
"I actually don’t know how much I have," he told the Radio Times. "I couldn’t even really guess.”
He added: “It doesn’t really motivate me too much.
"It makes you comfortable, that’s the good thing about it, I think. I’m glad it’s there but I’m not really that focused on it.”
