Actors, musicians and some other performers can average their profits across two years for tax, and plenty never claim it. In a feast-and-famine career, that one rule can save real money.
What averaging relief does
If your trade is a qualifying creative one, you can average the profits of two consecutive years when they are very different. A big year sitting next to a lean one can push you into higher-rate tax on the good year alone. Averaging smooths the two, so you pay closer to what a steady earner on the same total would, rather than being punished for an uneven career.
Why it gets missed
It is not automatic. You claim it on your return, and the rules on who qualifies are specific, so a lot of performers either do not know it exists or assume their accountant handled it. Check your last two years before you assume it was done, because an unclaimed year can sometimes still be put right, and it is your money sitting with HMRC otherwise.
The qualifying trades and the method are set out in HMRC’s guidance on averaging for creators of literary or artistic works.
Written by Joe Rooney. General tax information, not financial advice; figures current for 2026.…