Actor's Tax Return Explained

Self-employed Entertainers, Musicians & Actors; what expenses can I claim?

If you work as a self-employed actor, entertainer or musician, you'll need to file a Self Assessment tax return each year. One of the questions we get asked most often is "what expenses can I actually claim?" This guide covers exactly what HMRC allows, how your tax works if your income is mixed between PAYE and freelance work, and where a specialist actors' accountant can save you time and money.

Tax Returns prepared online for just £130

Are Actors Self-Employed?

Many actors, entertainers and musicians are self-employed for some or all of their income, taking on engagements, auditions and bookings the way any freelancer would. It's also common to have a mix of income types in the same tax year: PAYE earnings from a production company or agency, alongside self-employed fees from other engagements. If you have any self-employed income, you'll need to register with HMRC and file a Self Assessment tax return, even if you also have PAYE earnings taxed at source.

How Much Tax Do Actors Pay in the UK?

Actors pay Income Tax on their profits (income minus allowable expenses) in exactly the same way as any other self-employed person, at the standard UK Income Tax bands, plus Class 2 and Class 4 National Insurance on self-employed profits above the relevant thresholds. Rates and thresholds change each tax year, so check HMRC's current Income Tax rates for the figures that apply now. The key point for actors is that your taxable profit is your income after deducting all the allowable expenses below, which is why it's worth claiming everything you're entitled to.

Do Actors Need a Specialist Accountant?

Actors' finances often look different to a typical freelancer's: mixed PAYE and self-employed income, agent commission, touring costs, and wardrobe or grooming expenses that wouldn't normally be allowable for other trades. A specialist actors' accountant knows which of these HMRC will and won't allow, which matters both for maximising your claim and for staying on the right side of the rules. At Taxeezy, we prepare and file actors' and entertainers' tax returns for £130, making sure every allowable expense and relief is claimed.

What Expenses Can Actors Claim?

The general rule from HMRC is that you can claim any expense incurred wholly and exclusively for the purposes of your profession. Here's our full breakdown, grouped by category.

Wardrobe, Grooming & Appearance

• Hire, laundering and dry cleaning of professional dress wear
• Replacement of professional dress wear and specific gig costumes required by a producer
• Hairdressing, make-up, cosmetics and make-up remover for a role
• Fitness costs that relate specifically to a role
• Contact lenses or spectacles (only if you keep a separate pair for personal use)
• Dental work beyond your normal health needs, where required for a role
• Wardrobe replacement and renewal, including shoes, towels and props

Travel & Motoring

• Motoring expenses (car, van, motorcycle or bicycle), claimed either as actual costs (business-use proportion only) or HMRC's simplified mileage rates
• Fares to engagements, auditions, castings, festivals, music shops and libraries
• Hotel accommodation while on tour
• Subsistence: full meal costs on overseas engagements; evening meals only when touring in the UK, plus daytime meals on business travel
• Travel insurance, cancellation fees, visas and inoculations
• Bicycle repairs, maintenance and insurance (business-use proportion)

Auditions, Agents & Marketing

• Audition costs and competition entry fees
• Agent's commission and complimentary tickets provided to an agent or casting contact
• Advertising, photographs, brochures, business cards and flyers
• Coaching and rehearsals for engagements you already have in hand

Equipment, Instruments & Technology

• Recording equipment, batteries, blank tapes/CDs/DVDs for rehearsal and demos
• Instrument insurance, tuning, repairs, maintenance, strings, reeds and resin
• Software, web domain, hosting and computer consumables (USB drives, hard drives, annual licence fees)
• Metronomes, manuscript paper and music-specific supplies

(See the Musicians section below for full detail on instrument and performance equipment claims.)

Home, Studio & Office Costs

• A business-use percentage of rent, rates, insurance, cleaning and repairs where you work from home, calculated on floor area
• Redecorating a dedicated studio space
• Photocopying, postage, stationery and printing
• Landline (business proportion via your provider's call listing), mobile and internet costs
• Television licence, rental and repair costs where a significant part of your work is stage-based

Professional Fees, Subscriptions & Insurance

• Accountants' and bookkeeping fees
• Subscriptions to professional bodies (e.g. Equity)
• Legal costs, including contract fees and fee recovery
• Royalties paid to PRS
• Car and instrument insurance (business proportion)
• Private pupils' exam fees and prizes, where you also teach

Capital Allowances: Bigger Purchases You Can Claim

Items that last more than two years, what HMRC calls "fixed assets" used in your business, are claimed as Capital Allowances rather than as a straightforward expense. This includes:

• Computers, printers, cameras and photocopiers
• Instruments and associated equipment
• Motor vehicles (car, van or motorcycle) and bicycles
• Office furniture, furnishings and dedicated lighting
• Recording and playback equipment, including TVs, DVD/VCR players and hi-fi systems
• Music stands, shelving and piano stools
• Enduring scores and reference books

If you bought any of these items before you started your self-employed work, you can usually still claim capital allowances on them once your business begins. The purchase date doesn't have to fall within your first trading year.

Actor Tax Deductions Checklist

Use this quick checklist when pulling together your records each year:

• Wardrobe, dry cleaning and grooming costs for roles
• Travel, mileage and accommodation for engagements and auditions
• Agent commission statements
• Audition and competition entry fees
• Equipment, instrument and software costs
• Home working costs (floor-area percentage)
• Phone and internet bills
• Professional subscriptions (e.g. Equity) and insurance
• Accountancy fees
• Capital items bought this year (computers, instruments, vehicles)

Musicians: What Can You Claim on Your Tax Return?

Musicians and entertainers can claim everything above where it applies, plus these instrument and performance costs:

• Instrument insurance, overhauling, tuning and repairs
• Strings, reeds, resin and other instrument components
• Deputies and accompanists (excluding deputies covering an employment)
• Rehearsal studio or performance venue hire
• Music for pupils and for current engagements (not retained more than two years)
• Newspapers and music reports, read only for reviews or work-seeking purposes
• Microfilming, printing and digital archiving of rare music
• Royalties paid to PRS

As with actors, one-off instrument purchases likely to last more than two years (the instrument itself, cases, metronomes and other equipment) are claimed as capital allowances rather than as a standard expense.