12.3K Beauty Salons Close in Russia Amid Tax Hikes
Beauty salons in Russia are being closed in the thousands following tax hikes. In January–June 2026, 12,300 enterprises in the beauty services sector ceased operations, which is 52.5% more than in the same period last year.
Consensus
- From January to July 2026, 12,300 beauty businesses closed in Russia.
- The number of closures increased by 52.5% compared to the same period in the previous year.
- The number of new business registrations in the beauty sector decreased by 16.1%.
- The increase in closures is linked to higher tax burden.
- The threshold for paying VAT was reduced from 60 million rubles to 20 million rubles starting January 2026.
- The VAT rate was increased from 20% to 22%.
- Business owners and industry leaders state that the previous business model is no longer viable under the new tax conditions.
- Opening new beauty businesses has become nearly impossible.
Points of divergence
- The number of visits to salons decreased by 4% in the first seven months of the year. — tg_chertamedia
- Average check increased by 10% to 1,900 rubles, with women's haircuts rising 13% and men's haircuts 16%. — tg_chertamedia
- Barber shops increased by 10%, while cosmetic clinics decreased by 2% in million-plus cities. — tg_chertamedia
- The decline is also due to the exodus of masters to private practice. — tg_svobodnieslova
- Demand for beauty services has grown for four years, with botulinum toxin sales rising 97%. — tg_svobodnieslova
- Clients report complications from counterfeit or unverified products. — tg_svobodnieslova
- Russians spent 179.6 billion rubles on beauty services in the first half of the year, mainly due to rising prices. — tg_moscowmap
- The law reducing the VAT threshold was signed in November 2025, with further reductions planned for 2027 and 2028, but postponed in June. — meduza
- The VAT rate increase and threshold reduction were implemented starting January 2026. — tg_moscowtimes_ru
Coverage (7 sources)
- Since the beginning of the year, 12,300 beauty salons and beauty businesses have closed in Russia — more than 1.5 times than in the same period last year — Черта
- Beauty salons in Russia are beginning to close in mass numbers — Вёрстка
- Beauty salons in Russia are closing by the thousands — Новости Москвы
- Why beauty salons are being closed in mass numbers in Russia — Дождь
- Beauty salons are being closed en masse in Russia: the volume of liquidations of the beauty business has grown by 1.5 times — Дождь (Telegram)
- In Russia, businesses in the beauty services sector are being liquidated more frequently — due to tax burden — Meduza
- Beauty salons in Russia are being closed in the thousands after tax hikes — The Moscow Times