Interior Designers accounting, handled.

There are two clean models: pass-through (you charge cost plus a disclosed mark-up or design fee, VAT on the full retail to client) or merchant model (you buy the goods, take title, and resell — VAT on your sale, reclaim VAT on your purchase). The merchant model usually beats fee-only on profit but adds working capital risk. We set up the bookkeeping cleanly for whichever model you trade under.

Receipt of a deposit creates a tax point — VAT on the deposit becomes due in that quarter, even though the project may stretch over six months. If the deposit is genuinely refundable security held in escrow with no contractual entitlement until milestones are met, it can be kept out of VAT. We help structure your engagement letter so the cash flow and VAT treatment align with how you actually run projects.

Yes — a dedicated home studio claims either flat-rate or actual use-of-home costs, with care over the CGT impact at sale. Fabric and material samples are stock or marketing expenses depending on use. Showroom and supplier visits, including mileage, are deductible. Trade fair travel (Maison & Objet, Salone) is deductible with proper business purpose evidenced — we keep an expense playbook for design professionals.

Goods over £135 from outside the UK attract import VAT at the border (reclaimable via Postponed VAT Accounting if registered) and potentially customs duty depending on commodity code and origin. Below £135, marketplace VAT rules apply. We help you set up PVA on your VAT returns so import VAT flows through cleanly rather than being paid up front and reclaimed months later.

Yes — we use Xero or QuickBooks tracking categories per project, posting designer time, material cost, supplier invoices, and the design fee against each job. You see real gross margin per project monthly, which usually exposes the loss-making heroic ones and the quietly profitable retainers. Included from Premium Plus onwards.