I do believe the easiest solution would be for a future patch to allow sims to talk as they dance as they'd naturally turn part of their body towards one another? I'm not sure how much new animations that would require if any. We can already see social activity talking is possible at weird angles, but sims still turn their heads to one another as they chat.
I know clipping as been mentioned as a reason for the "spacing" which does make sense but I think clipping is just naturally going to happen. I mean sims walk through each other ON the dance floor as it is lol.
Overall I feel like the current "dance" format is a relic of the games original release and its just never been updated like other core elements of the game and could use an overall now.
