HCOS3275 - Tied Oils: Tied Oil credibility checks

During the examination of records, officers should assess the credibility of the declared trade and the customers involved, taking into account the checks listed below.

Where concerns are identified, a referral must be made to RIS in line with the compliance referral process, by requesting a Caseflow event.

General

  • Has the trader disposed of any oil outside the scheme?
  • How do they dispose of waste products and oils?
  • Is there a duty liability as a result of the disposals?
  • Examine stock, sales and purchases records to look for disposals of waste product. Waste oils can be disposed through all three records depending on how contaminated they are.

Distributors

  • Do the records of purchases and sales reflect the declared activities?
  • Inspect sales records and select some transactions to check that customers are properly approved under the scheme, and that the trader is meeting their duty of care obligation in respect of the supplies.
  • Inspect delivery notes for unusual delivery addresses or instructions for drivers. Report to RIS any supplies where you consider there is possible misuse by the customer. (This content has been withheld because of exemptions in the Freedom of Information Act 2000)
  • Are the correct documents held to substantiate disposals and exports?
  • Examine records of deliveries for any deliveries to Remote Marking Premises for oils to be marked for delivery as rebated fuels. Ensure that the duty on any such deliveries is accounted for by the trader.
  • Examine a sample of delivery notes and/or sales invoices. One of these documents should include the statement: "This oil has not boune excise duty and must not be used as heating fuel, motor fuel or additive or exender to motor fuel".
  • If the trader is not required to submit returns, is the trading level still below 10,000 litres per annum?

Users

  • (This content has been withheld because of exemptions in the Freedom of Information Act 2000)
  • (This content has been withheld because of exemptions in the Freedom of Information Act 2000)