VAT Registration Necessary

System
System Posts: 100,534 🤖 Admin 🤖
A client for a firm I work for approached me the other day regarding the threshold for VAT registration, however due to the nature of his business I wasn’t 100% sure if it was a necessity!

The client works part time and on a weekend he organises 5-a-side leagues.

Basically he hires the towns’ leisure centre for a few hours and charges teams to participate in the league, with a cash prize for the overall winner (at the end of the season), the matches are refereed by an employee, who to the best of my knowledge isn’t a registered referee!

I mentioned I’d look into the options open to him and if it was possible for VAT registration to be forgotten about!

I’ve spent a few hours using Google, and HMRC website and I think if he set up an Association then VAT wouldn’t have to be charged!

The association thing is out of my comfort zone, and thought someone on here might be able to other a little advice! The accountants for the firm are on holiday and the other firm I work for would be curious why I was asking!

Many thanks
Adam

Comments

  • System
    System Posts: 100,534 🤖 Admin 🤖
    Re:VAT Registration Necessary

    Hi Adam

    I can't think of any good reason why, if he reached the threshold, he would not have to register for VAT. Even if they were charged a "subscription" that would still be VATable -

    HOWEVER -

    there are various exemptions that do exist (lettings for more than 24 hours for example) and various others that I can't remember off the top of my head.

    Have you trawled through HMRC website - I am sure that it will all be there somewhere in the small print :wink:

    Claudia

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