§ Mr. Gerald HowarthTo ask the Chancellor of the Exchequer what changes there have been in the tax treatment of actors.
§ Mr. LilleyFrom 6 April 1990 theatrical employers were required by the Inland Revenue to operate PAYE on the emoluments of actors engaged under standard contracts based on terms agreed between Equity and theatre managements. The Inland Revenue's view that these are contracts of employment is based on decisions in the Courts, and has been the subject of discussions with the theatre industry for a number of years. There are, however, transitional arrangements which allow established actors, with a history of payment tax under schedule D, to continue to pay their tax under that schedule, and to receive their earnings without deduction of tax under PAYE.