There would currently appear to be disputes over whether aesthetic treatments are purely cosmetic (and as such would be subject to a charge of 20%, the standard rate of VAT), or are a VAT free ‘medical’ treatment and this has recently been commented upon and factors decided in case-law. How does it affect you!!
Over recent years with the widespread prevalence of aesthetic or cosmetic treatments being seen in salons, homes and clinics everywhere, a grey area has arisen and is being ...
Here in the UK the supply of goods and services is subject to VAT, with medical care always having been exempt where people are treated by medical professionals. But what constitutes medical care? And are those purely involved in the practice of injecting Botox and fillers etc under threat from HMRC? See my article here.
Why are online traders being targeted? In recent years the taxman deems everybody to be trading if you’re selling online, the word hobby doesn’t feature in their vocabulary!
We’re not talking about people selling a few old clothes or bits of furniture on eBay but we’re talking about what the Revenue call Badges of Trade – things that indicate that what you are doing is more than a hobby.