Office of Public Sector Information
(1)The Commissioners may by regulations provide for—
(a)references in this Act, or specified references in this Act, to hydrocarbon oil to be construed as including references to—
(i)biodiesel;
(ii)bioblend;
(b)references in this Act, or specified references in this Act, to duty on hydrocarbon oil to be construed as including references to duty under—
(i)section 6AA above;
(ii)section 6AB above;
(c)biodiesel, or bioblend, to be treated for the purposes of such of the following provisions of this Act as may be specified as if it fell within a specified description of hydrocarbon oil.
(2)Where the effect of provision made under subsection (1) above is to extend any power to make regulations, provision made in exercise of the power as extended may be contained in the same statutory instrument as the provision extending the power.
(3)In this section “specified” means specified by regulations under this section.
(4)Regulations under this section may make different provision for different cases.
(5)Paragraph (b) of subsection (1) above shall not be taken as prejudicing the generality of paragraph (a) of that subsection.]
F1Ss. 6AA-6AC inserted (24.7.2002 with effect as mentioned in s. 5(6)(7) of the amending Act) by 2002 c. 23, s. 5(4)
(1)A duty of excise shall be charged on the setting aside for a chargeable use by any person, or (where it has not already been charged under this section) on the chargeable use by any person, of any liquid which is not hydrocarbon oil [F2, biodiesel or bioblend].
(2)In this section “chargeable use” in relation to any substance means the use of that substance—
(a)as fuel for any engine, motor or other machinery; or
(b)as an additive or extender in—
(i)any substance on which duty is charged by virtue of paragraph (a) above; or
(ii)any hydrocarbon oil which is or is to be used as mentioned in that paragraph.
[ F3(2A)But the use of water is not a chargeable use if—
(a)the water is comprised in an emulsion of water in gas oil, and
(b)the emulsion is stabilised by additives.]
(3)The rate of the duty under this section shall be prescribed by order made by the Treasury.
(4)In the following provisions of this Act references to hydrocarbon oil shall be construed as including references to any substance on which duty is charged under this section; and, accordingly, references to duty on hydrocarbon oil shall be construed, where a substance is to be treated as such oil, as including references to duty under this section.
(5)The Treasury may by order provide for any substance on which duty is charged under this section to be treated for the purposes of such of the following provisions of this Act as may be specified in the order as if it fell within [F4such description of hydrocarbon oil as may be so specified].
(6)In exercising their powers under this section, the Treasury shall so far as practicable secure—
(a)that a substance set aside for use or used as mentioned in subsection (2)(a) above is—
(i)charged with duty at the same rate as, and
(ii)otherwise treated for the purposes of the following provisions of this Act as if it were,
[F5hydrocarbon oil of the description] to which, when put to that use, it is most closely equivalent; and
(b)that a substance set aside for use or used as an additive or extender in any substance is—
(i)charged with duty at the same rate as, and
(ii)otherwise treated for the purposes of the following provisions of this Act as if it were,
the substance in which it is an additive or extender.
(7)For the purposes of this section “liquid” does not include any substance which is gaseous at a temperature of 15°C and under a pressure of 1013.25 millibars.
(8)The power of the Treasury to make an order under this section shall be exercisable by statutory instrument subject to annulment in pursuance of a resolution of the House of Commons.
(9)An order under this section—
(a)may make different provision for different cases and for different substances;
(b)may prescribe the rate of duty under this section in respect of any substance by reference to the rate of duty under this Act in respect of any other substance; and
(c)in making different provision for different substances, may define a substance by reference to the use for which it is set aside or the use to which it is put.]
F1S. 6A inserted (1.12.1995) by 1993 c. 34, s. 11(1); S.I. 1995/2715, art. 2
F2Words in s. 6A(1) inserted (24.7.2002 with effect as mentioned in s. 5(6)(7) of the amending Act) by 2002 c. 23, s. 5, Sch. 2 para. 2
F3S. 6A(2A) inserted (28.7.2000 with effect in relation to duty charged on or after 28.7.2000) by 2000 c. 17, s. 11(1)(2)
F4Words in s. 6A(5) substituted for s. 6A(5)(a)-(d) and the preceding words (24.7.2002) by 2002 c. 23, s. 7(1)(a)
F5Words in s. 6A(6)(a) substituted (24.7.2002) by 2002 c. 23, s. 7(1)(b)
F1S. 7 repealed (1.12.1995) by 1993 c. 34, ss. 11(2)(5), 213, Sch. 23 Pt. I; S.I. 1995/2715, art. 2
(1)A duty of excise shall be charged on road fuel gas which is sent out from the premises of a person producing or dealing in road fuel gas and on which the duty charged by this section has not been paid.
(2)The like duty of excise shall be charged on the setting aside for use, or on the use, by any person, as fuel in a road vehicle, of road fuel gas on which the duty charged by this section has not been paid.
[F1(3)The rate of the duty under this section shall be [F2£0.0900]a kilogram.]
(6)For the purposes of this Act, so far as it relates to the excise duty chargeable under this section, road fuel gas shall be deemed to be used as fuel in a road vehicle if, but only if, it is used as fuel for the engine provided for propelling the vehicle, or for an engine which draws its fuel from the same supply as that engine.
F3(7). . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
F1S. 8(3) substituted for subsections (3) to (5) (retrospective to 6pm on 29.11.1994) by 1995 c. 4, s. 6(2)(5)
F2Words in s. 8(3) substituted (retrospective to 7.3.2001 at 6pm) by 2001 c. 9, s. 1(3)(4)
F3S. 8(7) repealed (1.5.1995) by 1995 c. 4, ss. 9, 162, Sch. 29 Pt. II
(1)The Commissioners may permit hydrocarbon oil to be delivered for home use to an approved person, without payment of excise duty on the oil, where—
(a)it is to be put by him to a use qualifying for relief under this section; or
(b)it is to be supplied by him in the course of a trade of supplying oil for any such use.
[ F1(2)the uses of hydrocarbon oil qualifying for relief under this section are all uses which do not consist in either—
(a)the use of the oil as fuel for any engine, motor or other machinery; or
(b)the use of the oil as heating fuel.]
(4)Where the Commissioners are authorised to give permission under subsection (1) above in the case of any oil, but the permission is for any reason not given, they shall, if satisfied that the oil has been put by an approved person to a use qualifying for relief under this section, repay to him the amount of the excise duty paid on the oil, less any rebate allowed in respect of the duty.
(5)In this section—
(a)“an approved person” means a person for the time being approved in accordance with regulations made for any of the purposes of subsection (1) or (4) above under section 24(1) below; F2. . .
F2(b). . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
F1S. 9(2) substituted (1.1.1993) for s. 9(2) and (3) by S.I. 1992/3158, reg. 3(1)
F2S. 9(5)(b) and the word "and" immediately preceding it repealed (1.1.1993) by S.I. 1992/3158, reg. 3(2)
C1S. 9 restricted (subject to reg. 6 of the amending S.I.)(1.8.2002) by S.I. 2002/1773, regs. 5, 6
C2S. 9 excluded (20.10.1995) by S.I. 1995/2518, reg. 118(b)
C3S. 9(4) amended by S.I. 1985/1032, reg. 11(c)
C4S. 9(4) amended (1.1.1993) by S.I. 1992/3152, reg. 11(d) (with reg. 12)
(1)Except with the consent of the Commissioners, no oil in whose case delivery without payment of duty has been permitted under section 9 above shall—
(a)be put to a use not qualifying for relief under that section; or
(b)be acquired or taken into any vehicle, appliance or storage tank in order to be put to such a use.
(2)In giving their consent for the purposes of subsection (1) above, the Commissioners may impose such conditions as they think fit.
(3)[F1Where any person]—
(a)uses or acquires oil in contravention of subsection (1) above; or
(b)is liable for oil being taken into a vehicle, appliance or storage tank in contravention of that subsection,
[F2his use or acquisition of the oil or, as the case may be, his becoming so liable shall attract a penalty under section 9 of the Finance Act 1994 (civil penalties)]; and the Commissioners may [F3assess an amount equal to the excise duty on like oil at the rate in force at the time of the contravention as being excise duty due from him, and notify him or his representative accordingly.]
(4)[F4Where any person] supplies oil having reason to believe that it will be put to a use not qualifying for relief under section 9 above [F4and] that use without the consent of the Commissioners would contravene subsection (1) above [F5his supplying the oil shall attract a penalty under section 9 of the Finance Act 1994 (civil penalties)].
(5)A person who, with the intent that the restrictions imposed by subsection (1) above should be contravened,—
(a)uses or acquires oil in contravention of that subsection; or
(b)supplies oil having reason to believe that it will be put to a use not qualifying for relief under section 9 above, being a use which, without the consent of the Commissioners, would contravene that subsection,
shall be guilty of an offence under this subsection.
(6)A person who is liable for oil being taken into a vehicle, appliance or storage tank in contravention of subsection (1) above shall be guilty of an offence under this subsection where the oil was taken in with the intent by him that the restrictions imposed by that subsection should be contravened.
(7)A person guilty of an offence under subsection (5) or (6) above shall be liable—
(a)on summary conviction, to a penalty of the prescribed sum or of three times the value of the oil in question, whichever is the greater, or to imprisonment for a term not exceeding 6 months, or to both; or
(b)on conviction on indictment, to a penalty of any amount or to imprisonment for a term not exceeding [F67 years], or to both.
(8)For the purposes of this section, a person is liable for oil being taken into a vehicle, appliance or storage tank in contravention of subsection (1) above if he is at the time the person having the charge of the vehicle, appliance or tank, or is its owner, except that if a person other than the owner is, or is for the time being, entitled to possession of it, that person and not the owner is liable.
(9)Any oil acquired, or taken into a vehicle, appliance or storage tank as mentioned in subsection (1) above, or supplied as mentioned in subsection (4) or (5) above, shall be liable to forfeiture.
F1Words in s. 10(3) substituted (1.1.1995) by 1994 c. 9, s. 9, Sch. 4 Pt. III para. 50(1)(a) (with s. 19(3)); S.I. 1994/2679, art. 3
F2Words in s. 10(3) substituted (1.1.1995) by 1994 c. 9, s. 9, Sch. 4 Pt. III para. 50(1)(b) (with s. 19(3)); S.I. 1994/2679, art. 3
F3Words in s. 10(3) substituted (1.6.1997) by 1997 c. 16, s. 50(2), Sch. 6 para. 6(1); S.I. 1997/1305, art. 2
F4Words in s. 10(4) substituted (1.1.1995) by 1994 c. 9, s. 9, Sch. 4 Pt. III para. 50(2)(a)(b) (with s. 19(3)); S.I. 1994/2679, art. 3
F5Words in s. 10(4) inserted (1.1.1995) by 1994 c. 9, s. 9, Sch. 4 Pt. III para. 50(2)(c) (with s. 19(3)); S.I. 1994/2679, art. 3
F6Words substituted by Finance Act 1988 (c. 39, SIF 40:1), s. 12(1)(b)(6)
C1S. 10 restricted (1.6.1997) by 1994 c. 9, s. 12A(3)(c) (as inserted (1.6.1997) by 1997 c. 16, s. 50(2), Sch. 6 paras. 1(1); S.I. 1997/1305, art. 2)
(1)Subject to sections 12 [F113, 13AA and 13AB] below, where heavy oil charged with the excise duty on hydrocarbon oil is delivered for home use, there shall be allowed on the oil at the time of delivery a rebate of duty at a rate—
[F2(a)in the case of fuel oil, of [F3£0.0274]a litre less than the rate at which the duty is for the time being chargeable;
(b)in the case of gas oil [F4which is not ultra low sulphur diesel], of [F5£0.0313]a litre less than the rate at which the duty is for the time being chargeable;
[F6(ba)in the case of ultra low sulphur diesel, of [F5£0.0313] a litre less than the rate at which the duty is for the time being chargeable; and]
(c)in the case of heavy oil [F7which is neither fuel oil nor] gas oil, equal to the rate at which the duty is for the time being chargeable.]
[F8(2)In this section—
“fuel oil” means heavy oil which contains in solution an amount of asphaltenes of not less than 0·5 per cent. or which contains less than 0·5 per cent. but not less than 0·1 per cent. of asphaltenes and has a closed flash point not exceeding 150°C; F9. . .
F9. . .]
[ F10(3)This subsection applies in any case where—
(a)oil is delivered for home use,
(b)regulations under section 24 below require, as a condition of allowing a rebate on the oil under subsection (1) above, that a marker prescribed by regulations under that section shall have been added to the oil, and
(c)the marker is present at the time of delivery for home use but in such a proportion that its presence falls to be disregarded by virtue of provision made by regulations under that section.
(4)In any case where subsection (3) above applies, a rebate may be allowed on the oil at the time it is delivered for home use if it appears to the Commissioners to be appropriate to allow it.
(5)Where a rebate is allowed under subsection (4) above, the rate at which the rebate is allowed—
(a)shall be such rate as appears to the Commissioners to be appropriate, but
(b)shall not be less than 95 per cent. of, and shall not exceed, the rate of rebate specified in the relevant paragraph of subsection (1) above.]
F1Words in s. 11(1) substituted (1.10.1996) by 1996 c. 8, s. 5(2); S.I. 1996/2314, art. 2(b)
F2S. 11(1)(a)(b)(c) substituted for paragraphs (a) and (b) by Finance Act 1986 (c.41, SIF 40:1), s. 2(3)(4)
F3Words in s. 11(1)(a) substituted (retrospective to 6pm on 21.3.2000) by 2000 c. 17, s. 4(2)(a)(5)
F4Words in s. 11(1)(b) inserted (15.8.1997) by 1997 c. 16, s. 7(5)(a); S.I. 1997/1960, art. 2
F5Words in s. 11(1)(b)(ba) substituted (retrospective to 6pm on 21.3.2000) by 2000 c. 17, s. 4(2)(b)(5)
F6S. 11(1)(ba) substituted (15.8.1997) for the word “and” by 1997 c. 16, s. 7(5)(b); S.I. 1997/1960, art. 2
F7Words in s. 11(1)(c) substituted (15.8.1997) by 1997 c. 16, s. 7(5)(c); S.I. 1997/1960, art. 2
F8S. 11(2) substituted by Finance Act 1986 (c. 41, SIF 40:1), s. 2(3)(4)
F9S. 11(2): definition of
“gas oil”
and the preceding “and” repealed (15.8.1997) by 1997 c. 16, ss. 7(10), 113, Sch. 18 Pt. I Note; S.I. 1997/1960, art. 2
F10S. 11(3)-(5) inserted (28.7.2000) by 2000 c. 17, s. 10(2)
C1S. 11(1)(b)(ba)(c) restricted (subject to reg. 6 of the amending S.I.) (1.8.2002) by S.I. 2002/1773, regs. 4, 6
(1)If, on the delivery of heavy oil for home use, it is intended to use the oil as fuel for a road vehicle, a declaration shall be made to that effect in the entry for home use and thereupon no rebate [F1under section 11 above] shall be allowed in respect of that oil.
(2)No heavy oil on whose delivery for home use rebate has been allowed [F2(whether under [F3section 11] above or 13AA(1) below)]—
(a)be used as fuel for a road vehicle; or
(b)be taken into a road vehicle as fuel,
unless an amount equal to the amount for the time being allowable in respect of rebate on like oil has been paid to the Commissioners in accordance with regulations made under section 24(1) below for the purposes of this section.
(3)For the purposes of this section and section 13 below—
(a)heavy oil shall be deemed to be used as fuel for a road vehicle if, but only if, it is used as fuel for the engine provided for propelling the vehicle or for an engine which draws its fuel from the same supply as that engine; and
(b)heavy oil shall be deemed to be taken into a road vehicle as fuel if, but only if, it is taken into it as part of that supply.
F1Words in s. 12(1) inserted (24.7.2002) by 2002 c. 23, s. 6, Sch. 3 para. 6
F2Words in s. 12(2) inserted (1.10.1996) by 1996 c. 8, s. 5(3); S.I. 1996/2314, art. 2(b)
F3Words in s. 12(2) substituted (24.7.2002) by 2002 c. 23, s. 6, Sch. 3 para. 7
C1S. 12(2) restricted by S.I. 1989/2439, reg. 2
(1)[F1Where any person]—
(a)uses heavy oil in contravention of section 12(2) above; or
(b)is liable for heavy oil being taken into a road vehicle in contravention of that subsection,
[F2his use of the oil [F3or his becoming so liable (or, where his conduct includes both, each of them)] shall attract a penalty under section 9 of the Finance Act 1994 (civil penalties)]F4. . .
[ F5(1A)Where oil is used, or is taken into a road vehicle, in contravention of section 12(2) above, the Commissioners may—
(a)assess an amount equal to the rebate on like oil at the rate in force at the time of the contravention as being excise duty due from any person who used the oil or was liable for the oil being taken into the road vehicle, and
(b)notify him or his representative accordingly.]
(2)[F6Where any person] supplies heavy oil having reason to believe that it will be put to a particular use [F6and] that use would, if a payment under subsection (2) of section 12 above were not made in respect of the oil, contravene that subsection [F7his supplying the oil shall attract a penalty under section 9 of the Finance Act 1994 (civil penalties).].
(3)A person who, with the intent that the restrictions imposed by section 12 above should be contravened,—
(a)uses heavy oil in contravention of subsection (2) of that section; or
(b)supplies heavy oil having reason to believe that it will be put to a particular use, being a use which would, if a payment under that subsection were not made in respect of the oil, contravene that subsection,
shall be guilty of an offence under this subsection.
(4)A person who is liable for heavy oil being taken into a road vehicle in contravention of subsection (2) of section 12 above shall be guilty of an offence under this subsection where the oil was taken in with the intent by him that the restrictions imposed by that section should be contravened.
(5)A person guilty of an offence under subsection (3) or (4) above shall be liable—
(a)on summary conviction, to a penalty of the prescribed sum or of three times the value of the oil in question, whichever is the greater, or to imprisonment for a term not exceeding 6 months, or to both; or
(b)on conviction on indictment, to a penalty of any amount, or to imprisonment for a term not exceeding [F87 years], or to both.
Hydrocarbon Oil Duties Act 1979