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I act for a one-person UK limited company and the director has an international reputation for his services as a butler. His fees are so high that he is VAT-registered on a compulsory basis. He lives in Leeds and the company is registered at his home address which is the main seat of trading.

He has recently secured a lucrative contract to work as senior butler for a wealthy family in the US. Under the arrangement he will make three trips a year each for a month staying at the family’s mansion. His daily fee will be $500.

My advice to him was to charge UK VAT at 20% under the general to business-to-consumer (B2C) rule because VAT is due in the country where he is based as the supplier. But he says his company is making a B2C supply of staff which is...