Finance Act 2007
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Mineral oil tax rates for substitute fuels. |
60.— Chapter 1 of Part 2 of the Finance Act 1999 is amended— | |
(a) in section 94(1) by substituting the following for the definition of “substitute fuel”: | ||
“ ‘ substitute fuel ’ means any product in liquid form, other than a mineral oil of a description for which a rate is specified in Schedule 2, that is used, intended for use, or suitable for use as motor or heating fuel, and includes biofuel but does not include additives;”, | ||
(b) in section 96 by inserting the following after subsection (2): | ||
“(2A) (a) Any substitute fuel that is used, intended for use, or suitable for use, as a propellant for a motor vehicle for which unleaded petrol can also be used as a propellant, shall be liable to tax at the rate specified in Schedule 2 for unleaded petrol. | ||
(b) Any substitute fuel, other than a substitute fuel to which paragraph (a) applies, that is used, intended for use, or suitable for use, as a propellant, shall be liable to tax at the rate specified in Schedule 2 for heavy oil used as a propellant with a maximum sulphur content as provided for in that Schedule. | ||
(c) Any substitute fuel to which paragraphs (a) or (b) do not apply, shall be liable to tax at the rate specified in Schedule 2 for other heavy oil. | ||
(d) Without prejudice to paragraphs (a), (b) and (c), where it is shown to the satisfaction of the Commissioners that any quantity of substitute fuel, though suitable for use as a propellant, has been used or is intended for use for other purposes, the Commissioners shall remit or repay (as the case may be) the mineral oil tax chargeable on such quantity under paragraphs (a) or (b), less the amount that would be charged on the same quantity under paragraph (c).”. |