Guide 1 of 16 in Tax and Self-Assessment
Allowable Expenses: What You Can Claim
Disclaimer: BeautyKiln gives general information, not legal, tax or financial advice. Talk to a qualified professional before making big decisions.
Allowable Expenses: What You Can Claim
Every pound you claim as a legitimate business expense reduces your taxable profit - which means less tax. This guide is an exhaustive list of what you can claim, broken down by specialism. If you're leaving expenses off your return, you're overpaying HMRC. Don't do that.
Quick rule of thumb: if you spent money on it because of your beauty business, it's probably claimable. Keep the receipt and check this list.
How expenses work
When you file your Self-Assessment tax return, you deduct your business expenses from your income. HMRC only taxes you on the profit.
Income - Expenses = Profit (what you're taxed on)
Example: You earn £28,000 and have £10,000 of expenses. You're taxed on £18,000, not £28,000. At 20% Income Tax, that saves you £2,000 in tax.
The rule is simple: an expense must be "wholly and exclusively" for business purposes. If something is partly personal and partly business (like your phone), you claim the business percentage.
Tip for new starters: Create a folder on your phone called "Receipts" and photograph every business purchase the same day. At the end of each week, log them in a spreadsheet or accounting app. This takes 10 minutes a week and will save you hours of stress at tax return time - and make sure you never miss a claim.
Expenses everyone can claim (all specialisms)
These apply whether you're a hairdresser, barber, beauty therapist, nail tech, or aesthetics practitioner.
| Expense | What it covers | Notes |
|---|---|---|
| Chair / booth / room rent | Weekly or monthly rent you pay to use space in a salon or clinic | Usually your biggest expense. Keep every receipt. |
| Insurance | Public liability, professional indemnity, treatment risk, equipment cover | Fully claimable. Typically £80-£300/year. |
| Phone | Business calls, texts, data | Claim the business percentage. If 50% of your phone use is business, claim 50% of the bill. |
| Accounting software | FreeAgent, Xero, QuickBooks | Fully claimable. |
| Accountant fees | Tax return preparation, advice | Fully claimable. |
| Professional body fees | ABT, BABTAC, NHBF, NHF, BACN, Save Face | Fully claimable. |
| CPD / training | Courses that update or improve existing skills | Must relate to your current trade. A hairdresser doing an advanced colour course = yes. A hairdresser doing a plumbing course = no. |
| ICO registration | Data protection fee | £40/year - fully claimable. |
| Stationery | Appointment cards, business cards, pens, receipt books | Fully claimable. |
| Cleaning products | Barbicide, surface cleaner, antibacterial spray, sterilising solution | Fully claimable. |
| Laundry | Washing towels, gowns, capes for business use | Claim a reasonable amount based on your washing costs. |
| Uniform / workwear | Branded tunics, scrubs, aprons - must be clearly work-specific | Everyday clothes don't count, even if you only wear them for work. |
| Marketing | Business cards, flyers, Instagram/Facebook ads, website hosting, Google Business listing | Fully claimable. |
| Bank charges | Business account fees (if any) | Fully claimable. |
| Card reader fees | SumUp, Square, Zettle transaction fees | Fully claimable - typically 1.69-1.75% of card payments. |
| Booking system | Fresha, Timely, Booksy, Acuity subscription | Fully claimable. |
| Postage | Sending products, client welcome packs | Fully claimable. |
Specialism-specific expenses
Hairdresser
| Expense | Claimable? | Notes |
|---|---|---|
| Hair colour, developer, bleach, toners | Yes | Keep receipts from wholesalers |
| Shampoo, conditioner, treatments (professional use) | Yes | Only the products used on clients, not personal use |
| Cutting tools (scissors, thinning shears, clippers) | Yes | Capital allowance for expensive items; consumables for disposable blades |
| Styling tools (hairdryers, straighteners, curling tongs) | Yes | Capital allowance |
| Brushes and combs | Yes | Replace regularly - keep receipts |
| Capes, gowns, towels | Yes | |
| Foils, meche | Yes | |
| Sectioning clips, grips, rollers | Yes | |
| Extension hair and fitting tools | Yes | |
| Colour mixing bowls and brushes | Yes |
Barber
| Expense | Claimable? | Notes |
|---|---|---|
| Clippers, trimmer heads, blades | Yes | Capital allowance for machines; consumable for blades |
| Straight razors and blades | Yes | |
| Shaving cream, hot towels, aftershave | Yes | |
| Lather machines / hot towel warmers | Yes | Capital allowance |
| Barber chair (if you own it) | Yes | Capital allowance |
| Barber cape and neck strips | Yes | |
| Hair products (pomade, wax, clay, gel) | Yes | Used on clients |
| Barbicide and sterilising solutions | Yes | |
| Styptic pencils / powder | Yes |
Beauty therapist
| Expense | Claimable? | Notes |
|---|---|---|
| Wax (strip and hot), pre/post-wax products | Yes | |
| Skincare (cleansers, toners, serums, masks) - professional use | Yes | Products for personal use are NOT claimable |
| Tanning solution, barrier cream | Yes | |
| LED lamps, steamers, microdermabrasion machines | Yes | Capital allowance |
| Beauty couch / treatment bed | Yes | Capital allowance |
| Disposable items (couch roll, spatulas, gloves, headbands) | Yes | |
| Makeup (professional kit for clients) | Yes | Personal makeup is not claimable |
| Massage oils, body scrubs, body wraps | Yes | |
| Hot stones, paraffin wax bath | Yes | Capital allowance for equipment |
Nail technician
| Expense | Claimable? | Notes |
|---|---|---|
| Gel polish (all brands) | Yes | |
| Acrylic powder and liquid monomer | Yes | |
| UV/LED gel, BIAB, builder gels | Yes | |
| Nail tips, forms, guides | Yes | |
| Files, buffers, cuticle pushers, nippers | Yes | |
| UV/LED nail lamp | Yes | Capital allowance |
| Acetone, cleanser, dehydrator, primer | Yes | |
| Nail art supplies (foils, gems, stamps, chrome powders, transfers) | Yes | |
| Dust collector / nail vacuum | Yes | Capital allowance |
| Extraction / ventilation equipment | Yes | Capital allowance |
| Nail desk / table | Yes | Capital allowance |
| Cuticle oil (professional use) | Yes | |
| Drill / e-file and bits | Yes | Capital allowance for machine; bits are consumables |
Aesthetics practitioner
| Expense | Claimable? | Notes |
|---|---|---|
| Dermal fillers | Yes | If you purchase them (must be qualified) |
| Botulinum toxin (Botox) | Yes | Only if you're a prescriber who purchases it |
| Microneedling cartridges / heads | Yes | |
| Chemical peel solutions | Yes | |
| Numbing cream | Yes | |
| Cannulas, needles, syringes | Yes | |
| Sharps bins and clinical waste collection | Yes | |
| Sterile drapes and gloves | Yes | |
| Medical-grade skincare (professional use) | Yes | |
| Indemnity insurance (aesthetics-specific) | Yes | Often £300-£800+/year |
| PRP kits (if you're medically qualified) | Yes | |
| Thread lift supplies | Yes | Medical practitioners only |
Travel expenses
If you travel for business, you can claim travel costs. There are two methods:
Method 1: Simplified mileage rate (recommended)
| Miles per year | Rate |
|---|---|
| First 10,000 miles | 45p per mile |
| Over 10,000 miles | 25p per mile |
This covers everything - fuel, insurance, road tax, MOT, servicing, depreciation. You can't claim these costs separately if you use the mileage rate.
You must keep a mileage log: date, start point, end point, purpose, miles driven.
Method 2: Actual costs
Claim the business percentage of your actual running costs - fuel, insurance, road tax, MOT, repairs, finance payments. This requires much more record-keeping and is rarely worth it for beauty workers unless you drive a very expensive car.
What counts as a business journey?
| Journey | Claimable? |
|---|---|
| Home to client's home (mobile worker) | Yes |
| Client to client | Yes |
| Home or salon to wholesaler (e.g., Sally Beauty) | Yes |
| Home or salon to training course | Yes |
| Regular commute to same salon every day | No - this is commuting |
| One-off trip to a different salon or event | Yes |
Other travel costs
| Expense | Claimable? | Notes |
|---|---|---|
| Parking (at client's location, wholesaler, training) | Yes | Keep the ticket or receipt |
| Congestion charge / ULEZ charge | Yes | Business journeys only |
| Train or bus fares (business travel) | Yes | Keep the ticket |
| Hotels (for trade shows, overnight training) | Yes | Must be wholly for business |
Working from home
If you work from home - even if it's just admin, not treating clients - you can claim a portion of your home costs.
HMRC simplified rates (easiest)
| Hours worked from home per month | Flat rate you can claim |
|---|---|
| 25-50 hours | £10 per month |
| 51-100 hours | £18 per month |
| 101+ hours | £26 per month |
This covers heating, electricity, internet, council tax - everything. You don't need to work out the actual costs.
Actual costs method
Calculate the business percentage of your home running costs:
- Mortgage interest or rent
- Council tax
- Water rates
- Electricity and gas
- Internet
- Insurance
Work out what proportion of your home is used for business, and for how many hours. This can be more generous than the simplified rates but requires much more record-keeping.
Warning: if you have a dedicated room used exclusively for business, you could face Capital Gains Tax when you sell your home. Using a room partly for business and partly personal avoids this.
Tip for new starters: If you do any admin from home - booking clients, replying to messages, ordering stock - you can claim the simplified working-from-home rate. Even 25 hours a month gets you £10/month (£120/year) off your tax bill. Most beauty workers qualify but never claim it.
What you CAN'T claim
| Expense | Why not |
|---|---|
| Everyday clothing | Not "wholly and exclusively" for business - even if you only wear it to the salon |
| Speeding or parking fines | HMRC doesn't reward breaking the law |
| Personal grooming | Getting your own hair done is not a business expense (even if you argue it's marketing) |
| Client entertainment | Buying lunch for a client is not claimable for sole traders |
| Initial professional training | The cost of your original qualification (e.g., Level 3 NVQ) is not claimable. CPD and additional training IS. |
| Products for personal use | Only products used on clients count |
| Your own drawings / salary | As a sole trader, the money you take out of the business is not an expense - it's your profit |
The master table: can you claim it?
| Expense | Hairdresser | Barber | Beauty | Nails | Aesthetics |
|---|---|---|---|---|---|
| Chair/room rent | Yes | Yes | Yes | Yes | Yes |
| Insurance | Yes | Yes | Yes | Yes | Yes |
| Phone (business %) | Yes | Yes | Yes | Yes | Yes |
| Accounting fees/software | Yes | Yes | Yes | Yes | Yes |
| Professional body fees | Yes | Yes | Yes | Yes | Yes |
| CPD / training | Yes | Yes | Yes | Yes | Yes |
| ICO registration | Yes | Yes | Yes | Yes | Yes |
| Hair colour & products | Yes | - | - | - | - |
| Scissors / clippers | Yes | Yes | - | - | - |
| Styling tools | Yes | - | - | - | - |
| Shaving products | - | Yes | - | - | - |
| Wax & skincare products | - | - | Yes | - | - |
| Tanning solution | - | - | Yes | - | - |
| Nail products (gel, acrylic) | - | - | - | Yes | - |
| UV/LED lamp | - | - | - | Yes | - |
| Nail drill & bits | - | - | - | Yes | - |
| Fillers / Botox | - | - | - | - | Yes |
| Microneedling supplies | - | - | - | - | Yes |
| Clinical waste disposal | - | - | - | - | Yes |
| Disposables (gloves, couch roll) | Yes | Yes | Yes | Yes | Yes |
| Cleaning / sterilising | Yes | Yes | Yes | Yes | Yes |
| Laundry (business towels) | Yes | Yes | Yes | Yes | Yes |
| Travel (mileage) | Yes | Yes | Yes | Yes | Yes |
| Marketing | Yes | Yes | Yes | Yes | Yes |
| Card reader fees | Yes | Yes | Yes | Yes | Yes |
How to claim expenses on your tax return
When you file your Self-Assessment online, the self-employment section (SA103) asks for your expenses. You can enter them as:
- A single total - just add up all your expenses and enter one number
- Broken down by category - separate boxes for cost of goods, travel, phone, insurance, etc.
We recommend breaking them down by category. It shows HMRC you've kept proper records and makes your return look more credible. It also helps you spot where your money is going.
What to do next
- Go through this list and check you're claiming everything you're entitled to
- Set up a system to capture receipts - photo them on the day you get them
- Keep a mileage log if you travel for work
- Track your phone use - estimate the business percentage honestly
- Talk to your accountant if you're unsure about any expense - one missed claim could cost you hundreds
Who to Contact
- HMRC Self-Assessment helpline - expenses and general SA queries - 0300 200 3310 (Free)
- HMRC guidance online - gov.uk/expenses-if-youre-self-employed (Free)
- TaxAid - free tax advice for people on low incomes - taxaid.org.uk (Free)
- Citizens Advice - general guidance on tax and self-employment - 0800 144 8848 (Free)
- MoneyHelper - free financial guidance from the government - 0800 138 7777 (Free)
- An accountant - for advice on specific expenses (Paid)
Sources
- Income Tax (Trading and Other Income) Act 2005
- Capital Allowances Act 2001
- HMRC guidance: Expenses if you're self-employed, gov.uk/expenses-if-youre-self-employed
- HMRC guidance: Simplified expenses, gov.uk/simplified-expenses
Related Guides
- Self-Assessment for Beauty Therapists
- Self-Assessment for Hairdressers
- Tax-Saving Strategies
- Setting Up Record-Keeping
- VAT Registration: When and How
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Key Contacts
HMRC Self-Assessment helpline
expenses and general SA queries - 0300 200 3310Free
HMRC guidance online
gov.uk/expenses-if-youre-self-employedFree
TaxAid
free tax advice for people on low incomes - taxaid.org.ukFree