Often a part-time or second income, with low overheads and a cash and card trade. Here's how Making Tax Digital for Income Tax applies to brow technicians, and when it starts for you.
MTD for Income Tax phases in by gross income before expenses. Many brow technicians work part-time or as a second income and sit under £30,000, so the £20,000 step is the one to watch.
If brows are a second income alongside a job, MTD only covers the self-employed side. Your employed work is handled through PAYE. Keeping tidy records of your brow income means you're ready if it grows past the threshold.
When you're in scope, your annual Self Assessment return is replaced by four short quarterly updates and a year-end final declaration, all through recognised software.
Low overheads mean simple records; a quick log per client keeps your quarter complete.
MTD counts your self-employed brow income; a job is handled through PAYE. Keep the two clear in your head, and one in Clear Books.
Both are income. Log cash treatments as you're paid, alongside card takings, so your quarter is complete.
Tints, waxes and consumables are deductible. Snap the receipts so your expenses stay complete.
Room rent or a share of home costs is deductible. Record whichever applies so your margin is clear.
A second income shouldn't mean second-guessing your tax. Clear Books keeps your brow income and costs tidy and gives HMRC exactly what MTD needs, whenever you're in scope.
Record treatments and costs as you go, watch your gross against the thresholds, and be ready to submit when your wave lands.
