The question is whether my client will still qualify as being non-resident, due to the 3rd auto overseas test?

My concern being that her intentions would see her being in the UK for more than 90 days

Apologies if I wasn't clear but the sister paid the brother and the third party both a sum of £90,000 each.

It was the transaction between the sister and brother I was concerned with. As they are connected, I would have normally used market value (discounted for the joint ownership).

Presumably in this case, as the sister was prepared to pay above that sum then the £90,000 would be substituted for the lower discounted market value?

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Please ignore the above. I had myself confused and now fully understand the position!
Thanks

Perhaps you could enlighten

Portia, Perhaps you could enlighten me further?

I am simply trying to work my way through the various implications of this purchase and ensure the best deal for my client.

Another issue has arisen and

Another issue has arisen and that is the matter of goodwill.

As this is the sale and purchase of a business, then if my client does not register for VAT will VAT be chargeable on that goodwill?

Thanks all

The vendor's turnover is around £90K but is based on opening for almost the entire year.  My client is looking to have a little more time off and is convinced that he can run the business at just under the threshold.

Therefore presumably there is no obligation to register but he will have to swallow the cost of the VAT on the fixtures and fittings?

Thank you again Portia that really is very helpful

Thank you both for your advice.

Portia, my client has opted not to claim any input tax on road fuel, does it follow that he is able to claim all of the input tax on motor repairs but not pay the fuel scale charge?

Many thanks

Thank you for the clarification Portia, very much appreciated