I have a client who has two sole trader businesses, he runs a computer repair business in the day and is a taxi driver on some nights and weekends. He has kept seperate records for each business but has exceeded the £ 70k annual limit between both businesses.
Am I correct in thinking that although the businesses are clearly seperate trades, that HMRC treat the total income as the amount to test againgst the £ 70k limit?
Is there any solution that would mean he does not need to register for VAT, any help would be great.
Stuart
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Stuart
Birmingham City FC - Blues is my religion St Andrews is my church
As a sole trader he is liable to Vat on his overall income. The way around it is to use Limited Company and a sole trader as separate business entities.
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