Revealed: New HMRC Guidance On Rent-A-Chair Models And Employment Status

Fresh assistance from government comes as many salons consider changing their employment models to survive increasing costs

by AMANDA | INFORM

HMRC has unveiled new guidance in a bid to help hair businesses determine employment statuses for tax purposes.

The new guidance is focused particularly on those using the ‘rent a chair’ model, where hair professionals pay an agreed fee or percentage of their income to use a chair or space within a salon.

Developed in collaboration with “industry stakeholders”, the guidance includes information about common working practices and how they relate to employment status. Included is the HMRC’s Check Employment Status for Tax (CEST) tool, designed to help determine whether an individual is employed or self-employed for tax purposes.

HMRC has described its guidance as “user-friendly” and includes examples of common scenarios that indicate whether an individual might be employed (such as having set working hours determined by the salon) or self-employed (such as setting their own prices and maintaining their own client list). 

The new guidance responds directly to requests from the industry for clearer, sector-specific information at a time when an increasing number of salons are exploring the move to rent-a-chair and collective models, in part due to the increased costs associated with running an employment model following the Autumn Budget.

“We understand the hair and beauty industry operates with various working arrangements, and it’s vital that both salon owners and professionals get their tax status right,” said Kelvin Shorte, deputy director, Taskforces & Specialist Compliance, HMRC. “Whether you’re a salon owner with staff or someone who rents out chairs in your premises, this guidance will help you understand your obligations, so you can get your tax right first time.”

Included in the guidance is a new video, clarifying that employment status “isn’t a matter of choice and outlines the different tax obligations for employed and self-employed individuals”. It also includes information about VAT registration requirements and the importance of written agreements when renting salon space.  

Blondes Mean Business

Harness your salon’s superpower with exceptional colour education from L’Oréal Professionnel Paris

by AMANDA | INFORM

Inside your business is a superpower – professional colour – but are you making the most of it? And are your team members – the salon’s heroes wearing their colour aprons! – armed and ready with the skills they need to power up your blonde business this summer? Continuous learning is the key to unlocking true artistry and achieving unparallelled success, and education is at the very heart of everything L’Oréal Professionnel Paris do to support you as the professional.

From a stylist starting their exciting journey and building a strong foundation, to hairdressers seeking to refine existing skills, L’Oréal Professionnel Paris have a tailored career path designed for everyone. Programmes are meticulously crafted in collaboration with some of the most brilliant and respected hairdressers on the globe, ensuring everyone receives inspiration, cutting edge creativity and the very best the industry has to offer. From online training to IRL workshops, stylists enjoy an unparalleled learning experience that will not only elevate their skills but also empower them throughout their entire career… and help your business build colourists that can deliver specialised and beautifully bespoke colour, keeping clients happy and loyal.

Now the sun’s out, blondes will be driving a big chunk of your colour bookings – think expensive-looking, high shine, glossy golden finishes. L’Oréal Professionnel Paris have the education courses to deliver that professional difference, every time.

.Balayage Keys Featuring Foiliage
Online + one day practical

Clients love balayage! So, do you want to get comfortable with freehand balayage applications and understand when to use foil to create different effects? Welcome to your pure freehand painting foundation training!

This course covers sectioning patterns, different application shapes and methods and includes current trend techniques – and we’re learning just how big for business trends can be! Plus, discover your perfect lightening product pairing and whether you should leave your application open air or enclosed.

Be ready for basic to intermediate techniques with the perfect blend in mind… and the online course is taught by none other than L’Oréal Professionnel Paris global artist, Harriet Stokes!

Make sure professional colour is your salon’s superpower, with Hair Education by L’Oréal Professionnel Paris. Discover more at lorealaccess.com/uk and lorealaccess.com/ie