Pretty new top this game, so excuse any ignorance I show.
I have a UK site generating 6K per month income through what I would class as an affiliated partnership. Basically we supply customers who click through our site to buy a service on site B (like booking a room for a few nights).
My question is as we don't directly supply the customers anything, we provide a service (potential customers) to site B, and Site B pays us a % if the customer purchases from their site.
Basically, is standard VAT inevitable? Are there any tips that you'd share so as I can reduce VAT contributions.
If both your customers and you are VAT registered then VAT should not cause you any problem. You charge your customers VAT on top of the commission payment. This does not cause them any additional expense because they can claim back any VAT that they pay you.
You have to pay the VAT to the taxman, but you can deduct any VAT you have paid on anything used in your business. So overall you should actually benefit in that you can claim back the VAT on your inputs (as compared to a situation where you are not registered).
If your customers are not VAT registered then there is a financial implication as mentioned in the other posts.