Rupert Grint, best known for his portrayal of Ron Weasley in the beloved Harry Potter film series, has been hit with a staggering $2.3 million tax fine following a legal battle with the United Kingdom’s tax authorities. The fine stems from a misclassification of income related to Grint’s residual earnings from the films that catapulted him to global fame.
Grint’s financial troubles began when H.M. Revenue and Customs (HMRC), the U.K.’s tax authority, initiated an audit of his earnings. The audit revealed that the actor had misclassified approximately £4.5 million in residual income, which includes royalties from DVD sales, television syndications, and streaming rights for the Harry Potter films.
HMRC argued that Grint had improperly categorized these earnings as capital assets rather than taxable income, a critical distinction due to the higher tax rates applied to income. After an extended investigation, the tax authorities determined that Grint owed millions in back taxes due to the misclassification.
The Court’s Ruling
This week, Judge Harriet Morgan sided with HMRC, affirming their position on Grint’s residuals. The tribunal concluded that the funds “derived substantially the whole of its value from the activities of Mr. Grint” and should, therefore, be treated as taxable income.
The ruling solidifies Grint’s $2.3 million tax bill and potentially sets a precedent for how residual earnings may be treated for other celebrities in the U.K.
Rupert Grint After Harry Potter
Rupert Grint’s role in the Harry Potter franchise earned him immense fame and a fortune estimated at around £24 million. However, his financial history hasn’t been without hiccups. In 2019, he unsuccessfully attempted to claim a £1 million tax refund.
Grint has since moved on to other acting projects, including a recent role in A Knock at the Cabin (2023), but his legacy remains deeply tied to the Harry Potter films. Residual income from the series continues to be a significant part of his earnings, which ultimately led to the multimillion-dollar tax fine.
J.K. Rowling’s Legal Troubles Loom
While Grint deals with his financial fallout, Harry Potter author J.K. Rowling finds herself embroiled in a separate legal matter. Rowling was recently named in a lawsuit filed by Olympic boxer Imane Khelif, who has accused several prominent figures, including Rowling, of participating in a targeted campaign of cyberbullying and harassment.
Khelif’s suit follows her victory in a boxing match, which sparked transphobic commentary online, including claims from Rowling that the boxer was “a man punching a woman.” The lawsuit, filed in France, seeks to hold social media users accountable for cyberbullying, with punishments potentially including fines or even prison time.
Despite the controversy, HBO has said that Rowling will still have a robust creative footprint in its upcoming Harry Potter remake series.
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