Tattoo Artists · Studio Rent · Updated July 2026
✓ HMRC-sourced

Making Tax Digital for Tattoo Artists —
Studio Rent, Deposits & Guest Spots Explained

📅 28 July 2026 ⏱ 7 min read Editorial policy ↗

Chair or Studio Rent Works Like Any Other Split-Fee Trade

Most self-employed tattoo artists work from a studio on a fixed weekly or monthly rent, keeping 100% of what clients pay them directly. Your qualifying income for MTD is the full amount clients pay you, before your studio rent is deducted — the rent itself is then claimed back as a business expense against your profit, but it doesn't reduce your gross qualifying income figure.

A smaller number of artists work on a percentage-split arrangement instead of fixed rent, where the studio takes a cut of each tattoo. The same principle applies: your qualifying income is the full client payment before the split, not your take-home percentage.

Deposits, Multi-Session Pieces, and Guest Spots

Larger custom pieces are often booked with a non-refundable deposit, sometimes months ahead, followed by payment for each session as the work progresses. Under the cash basis, each payment counts as income when you receive it — a deposit taken in January for a piece completed across sessions through the summer is reported in the quarter you were paid, not when the final session happens.

Guest spots at other studios (working a few days at a different shop, often in another city, keeping most or all of what you earn there) count as ordinary income too, combined with your usual studio earnings.

Worked Example

River. Self-employed tattoo artist renting a chair at a studio on fixed weekly rent, plus does 2–3 guest spots a year at other shops.

Studio client income (gross, before rent): £31,400
Guest spot income (from other studios): £5,600
Total qualifying income: £37,000 — above the £30,000 Phase 2 threshold. River joins MTD from April 2027. The weekly chair rent paid to the home studio throughout the year is claimed as a business expense against profit, but qualifying income is the full gross amount clients paid, before that rent is deducted.

What You Can Claim

  • Studio or chair rent paid to the shop
  • Tattoo supplies — ink, needles, machines, aftercare products, disposables
  • Sterilisation and hygiene equipment
  • Design and portfolio costs — drawing tablets, design software, photography for portfolio work
  • Insurance — public liability and professional indemnity
  • Local authority registration fees for tattooing premises and practitioners
  • Travel and accommodation for guest spots at other studios
Quick Check
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Best MTD Software for Tattoo Artists

Software links are affiliate, help fund CheckMyMTD. Recommendations based on ease of use for self-employed income tracking.

Frequently Asked Questions

Is my qualifying income the full client payment, or my share after studio rent?

It's the full amount the client pays you, before your studio rent is deducted. The rent is then claimed back separately as a business expense, which reduces your taxable profit but not your gross qualifying income.

When does a deposit for a multi-session piece count as income?

Under the cash basis, which most sole traders use, it counts as income when you receive the deposit, not when the final session is completed. Each session payment is reported in the quarter you were actually paid.

Does guest spot income at another studio count towards my threshold?

Yes, all your self-employment income combines into one qualifying income figure, whether it's earned at your usual studio or during a guest spot elsewhere.

Can I claim tattoo ink and needles as business expenses?

Yes, consumables and supplies used directly for client work are normal allowable business expenses.

I work on a percentage split with my studio instead of fixed rent. Does that change anything?

No, the same principle applies. your qualifying income is the full client payment before the studio's percentage is deducted, and the studio's cut is claimed back separately as an expense.

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