I'm hoping someone can help me with this, as I can't seem to find an iron clad answer:
A director of a UK VAT registered company flies to Japan and meets a group of non business customers and guides them around Japan for 2 weeks for a £1000 fee.
Every customer is a private individual and not a business customer.
All services are provided in the non EU country (showing them around cities, finding them a hotel, fixing their vehicle should it break down etc). The customers pay a fee to the director only for his knowledge of the country they are in. For example the director merely finds them a hotel, and the customer then books and pays for the room themselves.
Customer 1: A U.S. citizen pays £1000 to the UK company bank account for the privilege of the tour.
Customer 2: A UK citizen pays £1000 to the UK company bank account for the privilege of the tour.
Is the £1000 fee subject to VAT? Eveything I've found so far doesn't seem to cover the scenario of a UK based company phyically providing the service outside of the EU to a private individual.
Any help with this would be greatly appreciated, and a given this is the internet, a source would be perfect.