IR35 and Content Creators in the UK: What You Need to Know

IR35 is anti-avoidance legislation designed to prevent 'disguised employment.' It targets situations where someone works essentially as an employee but operates through a limited company to pay less tax.

The classic example: a software developer works full-time for one company, at their office, using their equipment, with no real autonomy over how they work. Instead of being on payroll (where they'd pay full income tax and NI), they invoice through their own limited company and pay themselves a low salary plus dividends, saving thousands in tax.

HMRC considers this unfair. If you're effectively an employee, you should pay employee-level tax. IR35 is the mechanism to enforce this.

For content creators, IR35 is rarely relevant. Here's why most creators fall outside IR35:
- You work for multiple clients/brands, not a single 'employer'
- You control how, when, and where you create content
- You provide your own equipment
- You bear financial risk (no guarantee of income)
- You can send a substitute to do the work (in theory)
- Brands hire you for a specific deliverable, not ongoing employment

These factors indicate genuine self-employment, which is exactly where most content creators sit. However, there are specific situations where IR35 could apply, and understanding them protects you.

While most creator work is clearly outside IR35, certain arrangements could trigger scrutiny.

Long-term exclusive brand ambassador roles: If a single brand pays you a retainer, dictates your content schedule, requires you to work specific hours, and effectively controls your working life, this could resemble employment. The key question is: does the brand have the right of control over how you do the work?

In-house content creation contracts: If you work through a Ltd company creating content for one company, at their premises, using their equipment, on their schedule — this looks like employment regardless of the invoicing arrangement.

Agency-arranged work: If a talent agency places you with a brand for an extended period and the brand controls the work, IR35 may apply. Since April 2021, the responsibility for determining IR35 status sits with the hiring organisation (if they're medium or large), not you.

How IR35 status is determined:
HMRC uses three main tests:
1. Control: Does the client control what you do, how you do it, and when? More control = more like employment.
2. Substitution: Could you send someone else to do the work in your place? If yes, that indicates self-employment.
3. Mutuality of obligation: Is the client obliged to provide work and are you obliged to accept it? Mutual obligation indicates employment.

Most content creation arrangements fail all three of these employment indicators — brands hire you for specific content, you decide how to create it, you could theoretically send another creator, and there's no ongoing obligation on either side.

Even though most creator work falls outside IR35, taking a few precautions provides solid protection.

Maintain multiple income sources. Working for multiple brands and platforms is the strongest indicator of genuine self-employment. If 80%+ of your income comes from one source for an extended period, the arrangement could attract scrutiny.

Use proper contracts. Every brand deal should have a written contract or agreement specifying: the deliverables, the timeline, your right to control how the work is done, your ability to provide a substitute, and confirmation that there's no ongoing obligation to provide or accept work.

Keep evidence of self-employment indicators. Document that you: use your own equipment, work from your own premises (or locations you choose), set your own schedule, bear financial risk (you invoice for completed work, not guaranteed hours), and work for multiple clients.

Be honest about your arrangements. If a brand effectively employs you — same hours every week, their office, their equipment, ongoing obligation — don't try to dress it up as self-employment through a Ltd company. It's not worth the risk. Either negotiate a genuine freelance arrangement or accept employment status.

Use HMRC's CEST tool. The Check Employment Status for Tax tool (available on gov.uk) lets you input your working arrangements and get an indication of whether IR35 applies. It's not perfect, but it's HMRC's own tool and demonstrates good faith if you rely on it.

Get professional advice for large contracts. If you're entering a brand ambassador deal worth £20,000+ or a long-term content creation contract, spend £200-£400 on specialist IR35 legal advice. The cost is trivial compared to the tax implications of getting it wrong.