Game, set and match for former tennis pro’s IR35 case

Barry Cowan, the former tennis professional turned TV pundit, has seen his latest IR35 appeal dismissed at an Upper-Tier Tribunal – after his representative initially missed the deadline to appeal.

The result offers some lessons for contractors and legal representatives alike, say IR35 compliance expert Qdos.

Cowan was investigated over alleged IR35 non-compliance, concerning contracts held with Sky between the 2013/14 and 2018/19 tax years. HMRC believed he operated in a manner reflective of employment during this time, and issued a formal decision in December 2021.

Cowan had 30 days to appeal against this, but his legal representative missed that statutory deadline to do so. Instead, a late application to appeal was made to a First-Tier Tribunal in April last year, but lost, with the judge ruling that there was “no good reason” for the “serious and significant delay” in filing for an appeal.

Now, a second appeal – heard at an Upper-Tier Tribunal in June this year – has failed, too. As it stands, the result means that Cowan will be liable for unpaid income tax and national insurance on the engagements in question – irrespective of whether the former tennis player was operating compliantly.

CEO of Qdos, Seb Maley, said, “As it stands, it’s game, set and match. Two failed appeals are the result of mistakes made by Cowan’s representative, who it seems was too caught up arguing over the technicalities.

“Meeting these statutory deadlines is a serious matter – one which can ultimately decide a case. It’s no secret that HMRC is cut throat about deadlines, but so is the tribunal system.

“Now, through no fault of his own, Cowan hasn’t had the opportunity to put forward his case – or demonstrate his compliance. To add insult to injury, he’ll ultimately also pay the price for his counsel’s mistake.

“In IR35 cases such as this, you need support you can rely on. With investigations covering several tax years, and carrying potentially hundreds of thousands of pounds in liability, it’s crucial that you can trust your legal team to get the details right.”