Cheryl facing quiz on tax bill

CHERYL Tweedy could face legal action from HMRC over her tax affairs.

The pop star, 35, has been accused of using a scheme that allowed her to pay capital gains tax instead of national insurance and income tax – which are charged at higher rates. Company employees pay up to 45 per cent of their salaries through income tax and national insurance, while contractors paid via independent companies can legally pay as little as 19 per cent.

The controversy centres on the firm CC Entertainments set up in 2009, The Sunday Times reported. Miss Tweedy was previously known as Cheryl Cole, following her marriage to footballer Ashley Cole. The couple divorced in 2010.

Accountancy firm Grant Thornton, which marketed the tax scheme, said: ‘We have been open and transparent about this plan from the outset, including with HMRC.’