Lesson 16 of 44Music BusinessIntermediate

Tax

1:28
Chris sets out the basics of compliance with HMRC and the tax system
Part of the courseMusic Business 101 for Artists44 lessons (2h 11m)

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Imogen HeapYour guruImogen Heap

What's in the course

44 lessons (2h 11m) · 1 free
    • 01. Accounting Basics

      1:20

    • 02. Tax

      You are here

      1:28

    • 03. Where to find accounting advice

      1:00

    • 04. How to choose your accountant

      0:59

    • 05. What counts as an allowable expense

      2:43

    • 06. VAT

      2:28

    • 07. Royalty Statements

      3:26

Lesson transcript

Understanding the Tax System for Musicians

You need to understand that we have a tax system here. You have to register with HMRC (Her Majesty's Revenue and Customs).

Registration Timeline

  • You have three months from the time that you start your business.
  • This period does not start from the first day that you receive an income.
  • It begins from the moment you think, "I'm going to be a professional musician," "I'm going to be a professional artist," or "I'm going to be a professional footballer."
  • It doesn't matter what your profession is; you have three months from that point to register with HMRC.

How to Register

  • You can do it online; it's the easiest thing in the world, actually.

After Registration

Once you've done that, HMRC will kick in and they'll send you your UTR (Unique Tax Reference number). Then every year, they'll send you a tax return that you need to complete.

Initial Stages

  • In the initial stages of your career, when there isn't going to be a great deal of volume in terms of income or expenditure,
  • The forms are not that difficult to complete.

As Your Career Develops

However, as your career develops and more money comes in from different avenues and sources, it becomes a lot more complicated. That's when people like me really should be brought in.

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Imogen Heap

Imogen Heap

Imogen Heap is a Grammy-winning English singer, songwriter, producer and technologist whose influence runs through two decades of pop, electronic and film music — and through much of the technology modern artists now take for granted.

Born in London in 1977 and classically trained on piano, cello and clarinet, she released her debut album 'iMegaphone' in 1998 before forming the duo Frou Frou with producer Guy Sigsworth, whose song 'Let Go' reached a global audience through the film Garden State. Her self-written, self-produced album 'Speak for Yourself' (2005) delivered 'Hide and Seek', the a cappella landmark that later powered Jason Derulo's chart-topping 'Whatcha Say' and Ariana Grande's 'Goodnight n Go', and continues to find new generations of listeners.

'Ellipse' (2009) won the Grammy Award for Best Engineered Album, Non-Classical — recorded and engineered in her own home studio — and she went on to co-write and produce 'Clean' on Taylor Swift's Album of the Year-winning '1989'. She also composed the score for the stage play 'Harry Potter and the Cursed Child'.

A relentless innovator, Heap developed the MI.MU gestural gloves — recognised with three honorary doctorates — and founded Mycelia and The Creative Passport, initiatives building a fairer data ecosystem for artists. In 2024 she returned with 'What Have You Done to Me?', created with her AI vocal alter ego Mogen, while a viral resurgence of 'Headlock' brought her music to millions of new fans.

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