ESM4138H - Particular Occupations: Entertainment Industry: TV and Radio Presenters: Factors in Determining Employment Status for Tax: Examples for television presenters – quiz show host

Key Facts

Alex is engaged as the host of a panel quiz show. Alex enters into a contract with QZ Productions to provide his services to act as host for 12 episodes of the quiz show. Alex is paid a flat fee for the 12 episodes. Any material changes to the format would mean a renegotiation of terms.

The show will be filmed in over 6 days with 2 shows being filmed each day. The filming schedule and location has been mutually agreed between Alex and QZ Productions and they plan to film for 3 days a week in the first 2 weeks of July. QZ has first call over Alex’s services for these dates.

Alex is contracted to work within the format and rules of the game. Alex follows an autocue to prompt him and to read the questions for each round. Alex has input into the autocue script and interacts with the other contestants between questions which is not scripted. The show is filmed before a live studio audience by QZ Productions Ltd.

Alex‘s contract requires him to perform in line with the broadcasters’ code of conduct.

Alex is also a stand-up comedian and regularly performs in theatres and on other TV shows, he has written a number of books and earns other income from voiceovers and magazine features.

Alex is not subject to an exclusivity clause or an option to recommission the series. Alex does not do other work for QZ Productions.

Alex does not have management responsibilities.

Outcome – Alex is likely to be self-employed

Mutuality of obligation ESM4133

There is a work/pay bargain sufficient to establish that there is mutuality of obligation.

Personal Service ESM4134

The contract requires Alex’s personal service.

Control ESM4135

There is a scheme of control in place governing how Alex provides his services. Alex has some control over how he performs as a quiz show host but elements of his performance are controlled by the production company who control the scripted parts of the show and can hold him to broadcasting standards.

Although the contract stipulates the agreed location and dates of the filming, this was mutually agreed to fit around Alex’s other commitments.

The contract is specifically for filming this show, and Alex cannot be directed to provide any services outside of this, without negotiating another contract.

While QZ Productions has first call over Alex’s services for the scheduled filming days only. This means there is little interference with his ability to work elsewhere.

There is a sufficient a right of control to place the engagement in the employment sphere.

Other factors ESM4136

These are not consistent with an employment relationship. None of the factors below is determinative on their own– what is important is to use them to paint an overall picture and determine if they are inconsistent with employment and indicate someone in business on their own account.

In business on own account and economic dependency ESM4136A

Alex’s business is as a comedian giving performances on television, radio and on stage. He engages an agent to promote him through various channels such as voiceovers, magazine articles, broadcasting and live comedy and has multiple engagements, suggesting no financial dependence on this engagement.

Exclusivity ESM4136B

Alex does not have to notify QZ Productions of any other work engagements and is not restricted on who he could work for.

Financial risk ESM4136C and ESM4136D

Alex is paid a flat fee. There is limited financial risk involved and he is not required to provide any equipment and any preparation undertaken as part of the fee would not be seen as material.

Integration: Part and parcel of the engager’s organisation ESM4136E

Alex does not have a line manager or form part of the chain of management i.e. he is not responsible for employees, appraisals and wider operational tasks beyond delivery of the content. He presents himself as an independent party when promoting himself for other work.

Length and pattern of engagement ESM4136F

The length of the contracts is neutral. A longer engagement or an overarching longer-term commitment joining a series of short contracts tends to be associated with other factors pointing towards employment for tax.

Alex is engaged to provide his services for six days, in total. Alex has an itinerant working pattern with different engagers doing similar work. The other factors are consistent with a self-employed relationship.

If the engagements were longer or more frequent this would increase the likelihood of an employment relationship.

If Alex’s engager concluded a two-year deal with him for two seasons – but with each season amounting to six days of work, then although there is a further commitment and a re-engagement of Alex this would still not suggest an employment when looking at the engagement in the round. The work is still only a small part of his wider business activities.

However, if someone like Alex is engaged to provide a show over most of the year, his situation may change over time where that contract is renewed regularly and prevents him from pursuing other business interests over that prolonged period. Such a change in circumstances may mean the engagement ceases to be inconsistent with employment.

For other examples of TV presenter roles see ESM4138