Musicians in the UK face a unique set of financial hurdles—fluctuating income, touring costs, royalties, and the ever-changing demands of HMRC compliance. At Pearl Lemon Accountants We knows the score. Whether you’re a solo artist, band, DJ, or composer, we provide accounting solutions to keep your finances under control. From tour accounting to royalty management, we’ve helped countless musicians not just survive but thrive in an industry where every pound counts.
Managing Tax Chaos for Musicians
Taxes are already tricky, and when you add income from multiple sources like gigs, streaming royalties, and merchandise sales, the complexity skyrockets. Here’s how we simplify it:
- Expense Optimisation: We analyse your spending, identifying deductions for everything from instruments and equipment repairs to studio hire fees and travel costs.
- Self-Assessment Filing: Whether you’re a sole trader or running a limited company, we ensure your tax returns are accurate and submitted on time, avoiding costly penalties.
- Creative Industry Tax Relief Applications: If you’re eligible, we handle the paperwork to claim relief for costs associated with creating original works.
With our help, our clients typically save an average of £3,000 annually on allowable expenses.
Tour Accounting: Precision on the Road
Touring musicians face a unique financial labyrinth. Expenses pile up quickly—van hire, accommodation, meals, equipment transport, and crew salaries. Miss a receipt or miscalculate VAT, and your profits evaporate. Here’s how we help:
- Real-Time Expense Tracking: Using tools like Xero and QuickBooks, we track every penny spent on the road.
- VAT Filing for Touring Revenue: If you’re selling tickets or merchandise while touring, VAT compliance is critical. We handle this so you don’t have to.
- Post-Tour Financial Summaries: At the end of the tour, we’ll give you a clear breakdown of profits, expenses, and what’s owed to HMRC.
One client reduced their VAT liabilities by £4,700 last year simply by letting us handle their touring accounts.
Royalty Management: Every Penny Counts
If you’re earning royalties through PRS for Music, PPL, Spotify, Apple Music, or sync licensing deals, managing that income can get messy. Without proper accounting, you could miss out on payments or fail to report earnings correctly. We specialise in:
- Royalty Reconciliation: We ensure the figures from royalty statements align with your contracts, identifying any missing or delayed payments.
- Streamlined Reporting: We categorise royalties to ensure HMRC sees them as legitimate income, avoiding penalties.
- Unclaimed Royalties Recovery: Using data from PROs and other sources, we’ve recovered over £10,000 in unpaid royalties for clients.
Foreign Income from Tours and Collaborations
Did you know income earned abroad might be subject to double taxation? Without proper planning, you could lose a significant chunk of your hard-earned money. We take care of:
- Double-Taxation Treaty Relief Applications: Ensuring you’re only taxed once on earnings from countries like the US, Germany, or Japan.
- Currency Exchange Management: Converting income at favorable rates and accounting for fluctuations in your returns.
- International VAT Compliance: Filing VAT returns for merchandise and ticket sales overseas.
One touring client saved £6,800 in taxes on their international earnings last year with our guidance.
Why We Are Different
Many accountants don’t understand the intricacies of the music business. We do. Whether it’s tracking tour advances, managing merchandise royalties, or claiming tax deductions for gear purchases, we speak your language.
Real Success Stories:
- Problem: A band struggled to track gig payments and merchandise revenue.
Solution: We implemented a POS system integrated with their accounting software. They gained full visibility into their finances and grew their merch revenue by 20%. - Problem: A composer faced penalties for underreporting foreign royalties.
Solution: We reconciled their royalty statements, applied for tax relief, and recovered over £5,000 in overpaid taxes.
Our Services
Helping UK musicians manage taxes, royalties, and touring finances with precision and industry-specific expertise.
Tour Accounting
- Tracking costs for transport, meals, crew, and lodging.
- Filing VAT returns for ticket and merch revenue.
- Providing post-tour profit analysis and tax liability summaries.
Royalty Management
- Auditing statements from PRS, PPL, and streaming platforms.
- Recovering unpaid royalties.
- Categorising royalties for accurate tax reporting.
Self-Assessment & Tax Planning
- Filing self-assessments and corporation tax returns.
- Identifying deductions, including rehearsal space hire and promotional expenses.
- Advising on limited company vs. sole trader status for long-term tax efficiency.
Foreign Income Compliance
- Applying double-taxation relief for international gigs.
- Managing exchange rate discrepancies.
- Ensuring compliance with VAT rules for overseas merch sales.
What You Can Expect From Us
When you work with us, you’re not just hiring accountants—you’re gaining a financial partner who understands how your industry operates. We keep your finances structured, compliant, and ready for the next stage of your career. You’ll get:
- Clear advice for your career path.
- Access to modern tools for tracking and managing finances.
- Guidance that saves you money and reduces stress.
Let us handle the numbers while you focus on the music. You’ve got enough on your plate.
Frequently Asked Questions
At Pearl Lemon Accountants, we specialise in the music industry, offering customised solutions that address the unique financial challenges musicians face. From tour accounting to royalty management and self-assessment filing, we provide a full-service approach that keeps your finances in check while you focus on creating. We understand the complexities of the industry, including fluctuating income, international taxes, and VAT compliance, ensuring you’re always in control.
Touring can get expensive quickly, with costs for travel, accommodation, meals, and crew adding up. We help you track and categorise every expense using modern tools like Xero and QuickBooks. We also ensure VAT compliance for ticket and merchandise sales, and provide post-tour summaries that highlight your profits and liabilities. Let us handle the numbers so you can focus on your performance.
Absolutely! Royalty management is a core part of our service. We audit your statements from PRS for Music, PPL, and streaming platforms, ensuring the figures align with your contracts. If any royalties are unpaid, we work to recover them for you. Our goal is to ensure your earnings are correctly reported for tax purposes, saving you time and avoiding costly mistakes.
Yes, we can. Whether you’re a sole trader, limited company, or freelance musician, we’ll ensure your self-assessment is filed accurately and on time. We’ll also identify any eligible tax deductions—from rehearsal space hire to promotional expenses—so you can maximise your savings. Let us take the stress out of tax season and ensure you meet all HMRC deadlines.
If you’re earning from overseas gigs or collaborations, we can help you navigate the complexities of international tax. We apply double-taxation treaty relief to ensure you’re not taxed twice on foreign income and assist with VAT compliance for overseas sales. Our goal is to simplify your international earnings and help you save money on cross-border tax issues.
We’ll help you identify and claim every allowable deduction relevant to your music career. From the cost of instruments, equipment, and repairs to studio hire and travel expenses, we ensure nothing is missed. We’re here to optimise your finances so you can keep more of what you earn.
We specialise in identifying tax reliefs that many musicians overlook. Whether it’s creative industry tax relief, R&D tax credits, or other specific deductions for musicians, we’ll ensure you’re maximising your savings. Our personalised approach guarantees you’re taking full advantage of what’s available to you.
Don’t worry, we’ve got you covered. Whether you’re just starting your career or managing an established music business, we’ll provide clear, jargon-free advice to help you understand your finances. Our services include detailed financial reports and strategies that empower you to make informed decisions about your future.
Getting started is easy. Simply reach out to us, and we’ll schedule a consultation to discuss your unique financial needs. We’ll walk you through the process, answer any questions, and tailor our services to fit your specific requirements. Whether you’re looking for help with a one-off project or ongoing support, we’re here to help.
Our pricing is designed to be affordable and flexible, designed to the specific services you need. We offer competitive rates and transparent pricing with no hidden fees. During our initial consultation, we’ll discuss your requirements and provide a clear breakdown of costs, so you know exactly what to expect.
