Oil may be returned to premises which have duty-suspended storage because it could not be delivered at its intended destination, but there is no provision in law for credit of duty. Traders may choose to leave the product on the vehicle, without re-warehousing it, for subsequent re- delivery. The requirements of Public Notice 179 part 5 must be observed.
The Hydrocarbon Oil Duties Act1979, Sections 20
and 20A permit, subject to any conditions we make, the authorising
of a credit of duty where duty-paid oils have become contaminated
or accidentally mixed after delivery for home use and the oil is
returned to duty- suspended storage.
For further information on waste, contaminated, accidentally
mixed and recovered oil, see X- 99 Oils Assurance – Waste
Oil.
The term is not defined in law. Where the oil is not of merchantable quality it may be regarded as contaminated (See also Public Notice 179 part 5).
In order to qualify for credit of duty, the contaminated or
accidentally mixed product must be deposited in and treated at,
premises under official control.
Public Notice 179 sets out the procedure to be
used by traders returning such product for treatment and gives
information on the records which need to be kept.
Paragraph 5.8.4 deals with contaminated or accidentally-mixed
oil returned to
duty suspended storage.
Paragraph 5.8.5 deals with contaminated or accidentally-mixed
oils returned other than to
remote marking premises.
You must ensure that marked oil is not treated in a way which
removes the marker.
Interfaces received from duty-suspended or duty-paid interface
tanks
See
HCOTEG72000.
Before permitting discharge into storage you should consider:
If you decide to attend to witness a return, two representative
samples of the returned product should be drawn by the trader in
your presence before discharge to storage. This is unnecessary
where you are satisfied as to the composition of the returned
product and can immediately agree the amount of credit due.
If you decide
not to witness a return, then there is no
requirement for samples to be drawn.
Where samples are drawn, one is to be retained by the trader and
the other held by you, until the claim is finalised, at which time
it is to be disposed of. If there is any reason to doubt that the
nature or degree of contamination or accidental mixing is not as
stated in the trader’s claim, you should require the trader
to submit a sample for laboratory analysis: either an independent
laboratory or the trader’s own laboratory may be used.
When the results of the test are known, and in light of any
discussions or correspondence with the trader, if you are
dissatisfied with the claimed details, you should submit the
official sample to the Laboratory of the Government Chemist (LoGC)
for analysis. This should rarely be necessary.
(For further information see the Section on
‘Sampling’
HCOTEG180000 in this guidance).
(This text has been withheld because of exemptions in the
Freedom of Information Act 2000)
(This text has been withheld because of exemptions in the
Freedom of Information Act 2000)
When you are satisfied as to the validity and amount of the
claim, credit is to be allowed in accordance with
HCOTEG72000.
