Paragraph 15 The exemption period: existing micro-businesses
The exemption period, in relation to an existing micro-business, is the period beginning with the commencement date and ending when the business is treated as ceasing to be a micro-business for the purpose of this paragraph or (if sooner) the day 10 years after the commencement date.
A business is treated as ceasing to be a micro-business for the purpose of this paragraph on the day after the assessment period if, during an assessment period, the number of days when the business is not a micro-business is greater than the number of days when the business is a micro-business.
An “assessment period”, in relation to an existing micro-business, is a period of 6 months beginning with—
the first day after the commencement date on which the business ceases to be a micro-business; or
where, during an earlier assessment period, the number of days when the business is not a micro-business is less than or equal to the number of days when the business is a micro-business—
the day after the end of the earlier assessment period, if on that day the business is not a micro-business; or
the first day after the end of the earlier assessment period on which the business ceases to be a micro-business, in any other case.