Tax for self-employed hairdressers and barbers (UK, 2026/27)
Renting a chair, tips, what you can claim and where it goes on the return, and the dates Making Tax Digital starts.
The short version. If you rent a chair you are usually self-employed, so you report your own income and costs. Tips from customers count as income, and so does every payment however you are paid. You can claim business costs, and the Self Assessment form has a box for each type.
Renting a chair: are you self-employed?
HMRC's Tax Confident site lists chair renters among the people who usually count as self-employed. Self-employed people decide when and where they work, find their own clients, set their own prices, and deal with their own tax and National Insurance.
Employment status depends on the facts of your arrangement, and we cannot decide it for you. gov.uk has a tool for this, Check employment status for tax.
Tips are income
If you keep tips that customers give you directly, gov.uk says you must report them to HMRC yourself, and you owe Income Tax on them. The Self Assessment notes say turnover includes all payments by cash, card, cheque or any other method, and tips, fees and commissions. So tips go into your turnover along with the price of the cut. Tips paid through an employer are different: those are employment income and are taxed through PAYE.
Costs you can claim, and the box for each
You can claim costs that relate to the business, and only the business share of anything you also use privately. The table shows common costs against the boxes on the Self Assessment self-employment (full) pages. Where the form names no box, pick the box that fits and stay with it.
| Cost | What gov.uk says | Usual box |
|---|---|---|
| Chair or booth rent | Rent for the place you work. gov.uk's box 21 wording is rent for business premises; it does not mention chair rental by name, so check with HMRC if unsure. | Box 21, Rent, rates, power and insurance costs |
| Products you use on clients | Goods used in your work, such as colour, shampoo and wax. Box 17 covers raw materials, direct costs of producing goods sold, and goods used. | Box 17, Cost of goods bought for resale or goods used |
| Aprons, capes and overalls | Allowable if they protect your everyday clothes while you work, and so is specialist clothing or a uniform that is not everyday wear. Ordinary clothing is not allowable, even if you wear it only for work. | No named box. Most people use box 30, Other business expenses |
| Training courses | Allowable if they improve the skills you use, keep you up to date or help you adapt to changes in your trade. Not allowable if they start a new business or move you into unrelated work. | No named box. Most people use box 30, Other business expenses |
| Card-reader and booking-app fees | The form names bank and credit card charges (box 26) and subscriptions (box 30) but does not name these fees. Pick the box that fits and keep to it. | Box 26, Bank, credit card and other financial charges, or box 30 |
| Insurance for your work | Professional indemnity premiums are named under professional fees. Other insurance for the business may sit in box 21. | Box 28, Accountancy, legal and other professional fees, or box 21 |
If you use the £1,000 trading allowance, you cannot also claim expenses. If you are unsure whether a cost is allowable, gov.uk advises contacting HMRC. The guide to all 14 expense categories has the full list.
Making Tax Digital dates
Qualifying income is your gross self-employment turnover before expenses, and turnover includes tips. It has to be more than the threshold:
| Starts | Qualifying income over | Return checked |
|---|---|---|
| 6 April 2026 | £50,000 | 2024/25 |
| 6 April 2027 | £30,000 | 2025/26 |
| 6 April 2028 | £20,000 | 2026/27 |
Once you are in, you send four quarterly updates a year, each a running total from 6 April, due 7 August, 7 November, 7 February and 7 May. Use the Making Tax Digital checker to see your own date. Separately, VAT registration is required once turnover passes £90,000 in a rolling 12 months.
Log takings, tips and costs in one workbook
The Hair, Beauty and Barber Self-Employed Record Book costs £12 as a one-off download. You log each service and tip by how you were paid, and each cost under the right HMRC box, and it totals them for each quarterly update.
Get the record book, £12Questions people ask
Am I self-employed if I rent a chair?
Chair renters are listed on HMRC's Tax Confident site as usually self-employed: they decide when and where they work, find their own clients and set their own prices. Your own arrangement decides it, so use gov.uk's Check employment status for tax tool if you are not sure.
Do I pay tax on tips?
Yes. If a customer gives you tips directly, you owe Income Tax on them and must report them to HMRC yourself, for example on your Self Assessment return. Tips paid through an employer are taxed through PAYE instead.
Can I claim the clothes I wear to cut hair?
Only protective clothing, such as aprons or overalls, and specialist clothing or uniforms that are not everyday wear. Everyday clothing such as shirts, trousers and ordinary shoes is not allowable, even if you wear it for work.
When does Making Tax Digital start for a hairdresser or barber?
It depends on your qualifying income, which is your gross self-employment turnover plus gross property income, before expenses. Over £50,000 on the 2024/25 return: 6 April 2026. Over £30,000 on the 2025/26 return: 6 April 2027. Over £20,000 on the 2026/27 return: 6 April 2028.
Free: the one-page MTD checklist
Every quarterly date, what to do before each update, and what happens if you miss one. Join the list and we email you a short reminder a week before each deadline. Unsubscribe any time.
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We will also email you the link, so you have it for later.
General information, not tax advice. Whether you are self-employed, and which box a cost goes in, depends on your own facts. Check with HMRC if you are unsure.
Checked against gov.uk on 8 November 2026. Sources: gov.uk, Tips and tax; HMRC Tax Confident, hair and beauty; gov.uk, Expenses if you are self-employed (clothing, training); HMRC notes to the Self Assessment self-employment (full) pages (SA103F); gov.uk, Making Tax Digital for Income Tax.