What Industry-Specific Expenses Can I Include in My Medical or Cosmetic Aesthetics Business as Costs?
Running a successful aesthetics practice comes with its fair share of costs, but the good news is that many of these expenses can be claimed back on your tax return.
For aesthetics practitioners, understanding which business expenses (also called allowable expenses) can be claimed is critical for managing finances optimally.
Whether you're running a full-time practice or providing treatments part-time, knowing what industry-specific costs you can deduct will reduce your taxable income (or profit for Ltd Companies).
From essential equipment to training and insurance, this article will guide you through the allowable expenses in the medical aesthetics field, helping you stay compliant and financially efficient.
The tax savings below will have you smiling from ear to ear.
How Business/“Allowable” Expenses Work
You deduct certain expenses directly related to your work from your taxable profit.
More allowable expenses = less taxable profit = less tax to pay.
Example: If you spend £3,000 on cosmetic injectables for treatments, that’s a business expense. If your turnover (gross sales) is £10,000 and you claim £3,000 in expenses, your taxable income becomes £7,000, meaning you’ll pay less tax on that lower figure.
This helps improve cash flow from lower taxes, whilst keeping you compliant with HMRC.
The principle of allowable expenses is the same for Sole Traders and Ltd Companies.
Common Business Expenses in Medical or Cosmetic Aesthetics
First off let’s list the main running costs that will apply to any kind of cosmetics, surgery or injectable business:
Premises and clinic costs
You could be renting a clinic space or transforming a room in your home, but the cost of maintaining your practice is a business expense. Rent, utilities, and even that fancy clinic decor you splashed out on can be claimed.
Equipment and supplies
Injectables, dermal fillers, machines, needles—you name it. Anything you need to perform treatments is appropriate here. Even the smallest items, like gloves and sanitising wipes, count.
Insurance
In medical aesthetics, insurance is highly recommended. From professional indemnity to public liability, your policies protect you and your clients. And yes, you can claim these costs.
Professional Development and Training
Staying ahead of the curve means continuous learning. Thankfully, many of the costs you incur while sharpening your skills can be claimed as business expenses.
Training courses
Even if you're just mastering the basics, or learning advanced techniques, the cost of any courses or certifications related to injectables, fillers, or other treatments can be deducted. And yes, those fancy diplomas on your wall count, too!
Conferences and workshops
Attending industry events to network and learn is not just good for business, it’s an allowable expense. Claim back on your conference fees, accommodation, and travel.
Membership fees
Staying connected with professional bodies like the GMC, NMC, or aesthetic associations isn't just good for credibility—it’s also tax-deductible.
Marketing and Advertising Costs
Marketing is key to growing your aesthetics business, and the costs you accumulate while promoting your services are all claimable.
Website and branding
That slick website and shiny new logo aren’t just for show—they’re your digital shopfront, and the cost of creating and maintaining them can be deducted.
Advertising
From Google ads to Instagram campaigns, every penny you spend getting your name out there is tax-deductible. Even those beautifully printed flyers or business cards can be included.
Client management software
Booking systems, CRM software, or any tools you use to manage appointments and keep track of clients fall under allowable expenses.
Travel and Vehicle Expenses
If you’re mobile, travelling to clients or attending training events, many of those travel-related costs can be claimed back.
Travel to clients or training
Whether it's a quick trip across town for a treatment or to a training session, the cost of fuel, train tickets, or even taxis can be included.
Mileage and vehicle upkeep
If you're using your personal vehicle for business you can claim a mileage allowance, based on specific HRMC guidelines. And don’t forget, expenses for keeping your car roadworthy, like servicing, repairs, and insurance, are all deductible (if used for business purposes, of course).
Other Allowable Expenses
A few other important expenses are often overlooked but can make a big difference when it comes to your tax return.
Staff wages and subcontractor costs
If you’re paying employees or hiring freelancers (like an extra pair of hands during busy periods), their wages are fully claimable.
Accountancy and legal fees
The cost of hiring a good accountant or paying for legal advice is another fully allowable business expense. After all, they help you stay compliant and focused on growing your practice.
Uniforms and PPE
That stylish set of branded scrubs or the PPE you use to keep things safe and sterile? These are essential to your work and can be claimed as business expenses.
How to Claim Business Expenses for a Medical Aesthetics Practice – Step by Step
Follow the basic steps below to claim your expenses, note that for Ltd companies there are some specific rules regarding employee expenses. You might need to register the company as an employer, however you can seek advice about this.
You are not required to provide proof of expenses when you submit your tax return. But you should keep records you can show if asked by HMRC.
Set up a specific bank account - ensure this account is used for all sales and expenses. You will thank yourself at the end of the year when you have all the activity in one place.
Consult an accountant - reach out to us and we can advise on the next steps of your journey.
Choose the right digital apps - for customer booking and record keeping.
Keep detailed records - track all your receipts, invoices, and bank statements for any expenses related to your practice.
A Cash Injection You Don’t Want to Miss
Managing your business expenses can make a big difference to your overall profit and cash flow, especially when you are starting out.
As you can see from this list there’s plenty of tax-saving items you can claim. Everything including the cost of keeping injectables in your clinic stocked and the courses that keep your skills sharp, can be used to reduce your tax bill and invest those savings back into growing your practice.
Keeping track, staying organised, and asking for help when needed will help you keep the financial face of your aesthetics business glowing!
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