Rupert Grint, best known as Ron Weasley in the Harry Potter films, has been sentenced to pay £1.8 million in taxes after losing a legal struggle with HM Revenue and Customs. According to the tribunal verdict, Grint has faced his second big tax-related case in recent years.
Judge Harriet Morgan presided over the tax tribunal. She affirmed HMRC’s estimate of £4.5 million in income from the Harry Potter series. Grint’s legal team contended that the money should be taxed as a capital asset with a reduced 10% tax rate. HMRC contended that the earnings should be regarded as ordinary income and taxed at a higher rate of 52 percent.
In her decision, Judge Morgan concurred with HMRC, noting that the money “derived substantially the whole of its value from the activities of Mr. Grint” and thus must be taxed as ordinary income. This ruling comes after years of legal battles that began in 2019 when HMRC initially questioned Grint’s tax return for the 2011-12 fiscal year.
This is not the first time Grint has experienced tax issues. In 2016, he lost another case concerning a £1 million tax refund. In that case, he attempted to change his accounting dates to avoid paying a higher tax rate, but the tribunal denied his claim.
Grint, who acted in all eight Harry Potter films from 2001 to 2011, reportedly made roughly £24 million from the franchise. He is now 36 years old and has had roles in films like Into the White and Knock at the Cabin, as well as performances in television and theatre.
The case emphasizes the financial challenges actors and entertainers face, particularly those earning a significant residual income from high-grossing productions. While Grint’s legal team sought a more advantageous tax categorization, the decision highlights HMRC’s stringent approach to interpreting revenue sources.
Grint has not yet made any public comments about the decision. However, HMRC has praised the judgment as a significant success, underscoring the risks for those who employ aggressive tax methods.