High-value treatments, product stock to buy in, clinic room rent, insurance and training. Here's how Making Tax Digital for Income Tax applies to aesthetics practitioners, and when it starts for you.
MTD for Income Tax is measured on gross self-employed income before expenses. With high-value treatments, a full diary passes £50,000 quickly.
The price a client pays is your gross income, even though a chunk of it is the product you bought in. Recording your stock as an expense is what keeps your tax based on the profit, not the headline treatment price.
Your annual Self Assessment return is replaced by four short quarterly updates and a year-end final declaration, all through recognised software.
Record stock purchases against your treatment income so your margin, not just your turnover, is clear each quarter.
High-value products bought in are a real cost. Recorded against treatments, they keep your margin clear.
Renting a clinic room or chair is deductible. Record it against your income so your figures show the real margin.
Treatment insurance and ongoing training are business costs. Keep them recorded so nothing is missed at year-end.
Payment and booking-platform fees are deductible. Snap or import them so your expenses stay complete.
When product costs are a big part of every treatment, the margin matters. Clear Books keeps income and stock matched and gives HMRC exactly what MTD requires.
Record treatments and stock as you go, and send your first quarterly update in minutes.
