If you share your business premises with other companies, are you potentially liable to VAT even if your own business is not?
This is a situation I came across for a client who is a fitness instructor.
The instructor provided tuition from her own premises and allowed other similar businesses to share her property.
The other businesses were not connected to her, but some of her initial plans for collaboration would have tipped her over the VAT threshold.
If this had happened, it could have weakened the commercial viability of her own operation.
I guided her through the VAT rules and helped her arrive at a wholly legitimate framework that nonetheless kept her out of the VAT net.