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HMRC internal manual

Oils Technical Manual

From
HM Revenue & Customs
Updated
, see all updates

Authorisation and approval: Some points to consider

When should an application for authorisation, approval or entry be made?

Traders should be encouraged to seek approval from us at the planning stage of any operation, commissioning of building works or ordering of plant. Applications for authorisation, approval and making of ‘entry’ should be made before production and refining begins. The regulations on entry are confusing in that although almost all activities and storage can be conducted at entered premises, traders will need approval for individual processes and functions.

What if the trader wants to receive and use oil before we have granted approval?

Traders can ask their Local Officer/Large Business CRM for permission to do this. If you are satisfied that:

  • the need is genuine
  • there is either enough security or a bond in place to cover the potential duty

You can allow it but you should state in writing which specific delivery of oil it refers to, and make clear that this oil cannot be delivered or otherwise disposed of without your authority.

What if the trader receives duty paid oil at a place he wants approved for duty free oil prior to approval?

The trader must not put duty paid oil into places that he is seeking approval to use for duty free oil whilst he is waiting for approval.

However, if the trader receives oil after the date of approval directly from duty-suspended premises but he paid the duty whilst waiting for approval, he can claim back a credit for this and add the oil to duty-suspended storage.