Chair rent & VAT

[Jess.l.r]

I'm desperate for advice, Iv recently become self employed at a salon and pay £420 + vat a month for the chair (£504) then on a weekly basis the owner then recieves 30% of my earnings + vat. I didn't realise she could add on the vat to the 30% as I thought that would be included in what I was earning. Does this sound correct to everyone? I also pay her for my colour products I use and she adds vat onto those as well.

 

[Tomme]

She is claiming vat back on the product. If I were you I would buy in your own stock and do your own tax return so you can claim it back. As for the chair rent, there is something about vat being added now. And the 30% should not have vat added. If I were you I would work out how much you owe her minus vat, then add the vat on so it comes to 30% xoxo

 

[Jess.l.r]

So everything sounds correct except for the vat being added onto the 30% of the earnings? She's telling me its all correct and done properly but vat added Onto the 30% sounds a bit dodgy to me

 

[Tomme]

Per £100, offer her £24, and explain its pre vat, and then give her £6 separate, this is the vat at 20% which in total is 30% of your takings. Otherwise you are giving her £36 xoxo

 

[Jess.l.r]

Rang hmrc and they told me that I don't pay vat on the 30% as I pay it on the monthly rental fee. The salon owner is still disputing it, she recons nhf have told her otherwise

 

[danni1984]

I've never heard of the owner charging you for the chair and getting 30% off your earnings too that seems abit much I thought It was usually one or the other. Xxx

 

[Tess Warwick]

Me neither. Grief! That comes to more than I rent my salon for per month!!!!

I've never heard of the owner charging you for the chair and getting 30% off your earnings too that seems abit much I thought It was usually one or the other. Xxx

 

[AmeliaR]

If your paying a fixed price and then 30% the 30% should cover the costs of the colours etc you shouldn't have to pay extra! Think you've not really got a fair deal there fix rent AND a percentage!!!

 

[claire@evolve]

Oh that sounds like she's taking the Mick ! Rent and a percentage and you buy your own colors ?! X

 

[Jess.l.r]

Apparently she doesn't make her money otherwise? Only did £750 last week and I paid out £540 to her, doesn't make it worth my effort really

 

[mm29]

Good grief! Run a mile.

 

[NailsXpress]

In my opinion she is definitely ripping you off deary!!!

 

[AmeliaR]

I would think ok far enough if you were making lots of money but she's really got a cheek!

 

[magentahair]

she is ripping u right off, u need to find somewhere else!is she even VAT registered????????

 

[kirk25]

I would run! I'm a salon owner and its disgusting she is charging you rental and a percentage.
It should be one or the other! X

 

[taggyboy]

I would run! I'm a salon owner and its disgusting she is charging you rental and a percentage.
It should be one or the other! X

Totally agree, pure greed I'm afraid.

 

[Jess.l.r]

Thanks for everyone's replies, think il need to have some words about it

 

[Tiffany Dee]

I have a salon and feel she is charging you too much. Speak to her and get a contract after negotiating a better deal. Otherwise maybe look to move x

 

[Victoriabar]

I've never heard of the owner charging you for the chair and getting 30% off your earnings too that seems abit much I thought It was usually one or the other. Xxx

I've been looking for this kinda advice for a few days now.
I've been told 10.00 a day and 30% of my takings if using my own gear and 40% if using salons gear.
I just need to work out if this is gonna be ok or not.. Numbers are so not my thing
Oh I do nails