03-28-2023, 02:54 PM
The FTT has released it decision in Gary Lineker and Danielle Bux T/A Gary Lineker Media v HMRC [2021] UKFTT 101 (TC), the first case to consider the applicability of IR35 to a general partnership.
Rejecting the taxpayer’s arguments that (1) the legislation did not apply to general partnerships as a matter of principle (para 70) and (2) there was no partnership as a matter of law (para 83), the FTT (Judge Brooks) nonetheless found that the services were provided under contracts directly between Mr Lineker and the BBC / BT Sport as he signed each contract as principal in respect of his own services (paras 91-94). As such, s.49 Income Tax (Earnings and Pensions) Act 2003 did not apply and the appeal was allowed.
Rejecting the taxpayer’s arguments that (1) the legislation did not apply to general partnerships as a matter of principle (para 70) and (2) there was no partnership as a matter of law (para 83), the FTT (Judge Brooks) nonetheless found that the services were provided under contracts directly between Mr Lineker and the BBC / BT Sport as he signed each contract as principal in respect of his own services (paras 91-94). As such, s.49 Income Tax (Earnings and Pensions) Act 2003 did not apply and the appeal was allowed.