A: Although beauty and hairdressing belong to the business tax category, the sales of cosmetics such as shampoo and skin care belong to the taxable scope of value-added tax. According to Article 6 of the Detailed Rules for the Implementation of the Provisional Regulations on Business Tax, taxpayers engaged in taxable services and goods or non-taxable services shall separately account for the turnover of taxable services and the sales of goods or non-taxable services. If it is not accounted for separately or cannot be accurately accounted for, its taxable services shall be subject to VAT together with goods or non-taxable services.
According to the above regulations, beauty shops should calculate and pay business tax and value-added tax respectively according to different business items. If there are no records or incomplete accounts. As a result, it is impossible to accurately calculate the sales business income and the beauty salon business income, and all the income should be paid VAT together.