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HMRC internal manual

Oils Technical Manual

From
HM Revenue & Customs
Updated
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Pipelines: What is the difference between critical and non-critical interfaces? : How is duty accounted for on critical interfaces?

Some interface tanks are duty-suspended and some not. Accordingly the following duty adjustments would apply:

  • Duty-suspended interface tank to duty-suspended installation (duty suspended movement). Trader’s documentation will record quantity of oil moved and whether low or high flash-point. W8 transit form will also need to be completed and receipted by the consignee. Any abnormal transit losses will need to be investigated.
  • Duty-suspended interface tank to duty-paid installation. Trader’s documentation will record the quantity and duty liability at the heavy or light oil rate. Owners of the product at the time of removal will be responsible for accounting for the duty through their duty deferment accounts.
  • Duty-paid interface tank to duty-suspended installation. Commercial documentation will be used as evidence to support a duty credit which will be allowed at the appropriate duty rate. Documentation will include the interface uplift outturn.
  • Duty-paid interface tank to duty-paid installation. No duty adjustment is required unless re-grading of the oil between high flash and low flash takes place.