Readers' forum: Detente

I act for a client who is organising an exhibition in London. All the exhibitors will be businesses based in France that are linked to the tourist trade namely hotels travel companies restaurants and companies that organise bus tours.

My client decided to opt to tax the venue so that he could charge VAT to the French companies on their pitch fees. The plan was that this would enable the client to claim input tax on all the overhead costs linked to the event. However one of the major exhibiting companies a hotel chain has said that the VAT charge is incorrect and that a ‘reverse charge’ situation applies. But how can this be the case because my client is making a land supply by giving each exhibitor their own specific pitch being charges made on a square metre basis?

My client has...