Wonder what’s gonna happen if the taxman cottons on and realises people are able to take £30,000 cash for a decent sized litter?
If someone does 3-4 litters in a year should they be vat registered ?
Animal Welfare Act 2018
The Business Test
The circumstances which a local authority must take into account in determining whether an activity is being carried on in the course of a business for the purposes of this Schedule include, for example, whether the operator—
(a) makes any sale by, or otherwise carries on, the activity with a view to making a profit, or
(b) earns any commission or fee from the activity.
In scope criteria
Activities that fulfil one or more of the following criteria are subject to licensing:
1. Anyone breeding three or more litters of puppies per year(unless they can show that none of the puppies have been sold).
2. Anyone breeding puppies and advertising a business of selling them,as defined under the business test outlined above. This is irrespective of the number of litters produced per year. This is not restricted to registered businesses – individuals can also be classed as a business depending on the extent of their activities.
3. Factors that should be considered when determining whether someone is “advertising a business” include:
4. The number, frequency and/or volume of sales-systematic and repeated transactions using the same means of advertising are likely to indicate a commercial activity.
5. High volumes of animals sold or advertised for sale could indicate a business.
6. Low volumes of animals sold or advertised could indicate a business where high sales prices or large profit margins are involved.
7. High range and variability in the breeds traded. A wide variety of breeds being advertised could indicate the commercial nature of the activity.
8. High numbers of advertisements of puppies for sale, including on classified websites, could indicate commercial behaviour, even where there is no actual sale taking place via the internet. This could be high numbers of advertisements at any one time or over a short period of time, and/or regularly.
9. Advertising through a variety of sites, forums or media could indicate a commercial activity.
The following may assist consideration of the criteria listed above:
• The Government announced in Budget 2016 a new allowance of £1,000 for trading income from April 2017. Anyone falling under this threshold would not need to be considered in the context of determining whether they are a business.