Microblading - sole proprietorship, free profession? Cash register?

Microblading - sole proprietorship, free  profession?

Cash register?

Question:

Hi, my questions are about the Microblocking procedure. I would like to practice it in two salons that are not mine. If interested, I will rent my studio. The requirements of HEI are clear to me, but from corporate accounting - no. Can you advise me, is it mandatory to open a company in case I work in a salon, but not as an employee? If I have an agreement to pay them either for a month or for certain days in which I will work with them? Am I obliged to give a document to the customer? 

Thank you in advance!

 

 

Answer:

 

Hello,

In order to carry out some economic activity (whatever it is) you have to choose the appropriate business structure through which it will be. Whether you are going to open a business or register as a freelancer, the options to you are the following:

1. Establishment of a trading company - EOOD in your case.

2. Registration of ET.

3. Register as a self-employed person.

In the first case, upon registration of EOOD, your taxation is subject to the Corporate Income Tax Act (all registered revenue from the activity (cash receipts necessarily through cash register) deduct all documented costs (including those for the amounts you will pay for work in the salons after you have a contract for this) and the 10% tax will be charged on the earnings thus generated.To use the remainder of the profit (after paying 10% tax) for your personal needs, you will have to her limits as dividend and pay a 5% dividend tax and the rest is all yours. You must issue receipts to customers for each service if you choose this form of business.

In the second case, when you register with ET, you form the profit in the same way (cash in cash by cash register) but you pay 15% tax and the residual profit is yours. Here, the slim moment is that you are responsible for the duties of ET with all your personal property (car, home, villa, etc.), whereas in the first case the owner of the company is not responsible for the company's obligations with its personal property (most commonly speaking)

At the ET, you have the choice to pay a non-profit tax of 15% and a patent tax (in the case that micro-bilinguals are included in the professions that can be subject to patent tax - if the activity can be assigned to the profession of "make-up artist") The amount of the patent tax is determined according to the tariff according to where the activity will be practiced (for the different sized settlements the size is different). However, you are required to issue cash receipts to customers.

In the third case, as a self-employed person, if you have a document proving the acquisition of specific professional skills (roughly speaking a "master certificate"), you can register as a freelance professional in the Commercial Register and then on all registered earnings , 25% of the legally recognized costs are recognized without the need for documentary proof, and you will owe a 10% tax to the remaining 75% of the proceeds. The remainder of the profit is "free" for personal consumption. You are under no obligation to register a cash register when working through a freelance profession.

We hope to have clarified the "picture" a bit and to be able to choose your choices.

Greetings.