SCHEDULES
SCHEDULE 12 Supplementary Provisions as to Blended Oil
F7Interpretation
F71
1
In this Schedule—
“HMRC” means Her Majesty's Revenue and Customs;
“method of allocation” means a method for making an allocation of blended oil for the purposes of section 63 that has been selected by the participators in the originating fields (including such a method that has been amended in accordance with this Schedule).
2
In this Schedule a reference to a suitable method of allocation is a reference to a method which secures that allocation of blended oil is just and reasonable (for the purposes of the oil taxation legislation).
F7Method of allocation not suitable
F72
1
This paragraph applies if it appears to HMRC that—
a
a method of allocation that has been used in respect of a chargeable period was not suitable, or
b
a method of allocation that is proposed to be used in respect of a chargeable period would not be suitable.
2
HMRC may give notice to each of the participators in the originating fields—
a
informing the participators of what appears to HMRC to be the case, and
b
proposing amendments to the method of allocation.
3
If HMRC give notice, the allocation of the blended oil for the purposes of section 63 in respect of the chargeable period is to be redetermined, or determined, using the method of allocation as amended in accordance with the notice.
4
Sub-paragraph (3) is subject to—
a
the following provisions of this Schedule,
b
any subsequent notice given under this paragraph, and
c
any amendment to the method of allocation made by the participators in the originating fields.
Appeals
3
1
2
Where notice of appeal is given under sub-paragraph (1) above—
a
b
if, before the determination of the appeal by the F3tribunal, F12HMRC and the participators in the originating fields agree that the method of allocation concerned should not be amended or should have effect with particular amendments, the same consequences shall ensue as if the F3tribunal had determined the appeal to that effect;
c
F4if, on an appeal notified to the tribunal, it appears to the tribunal that the method of allocation concerned is satisfactory, with or without modifications, for the purposes of the oil taxation legislation F5the tribunal shall allow the appeal and, where appropriate, shall amend the method of allocation accordingly for those purposes; and
F6d
paragraphs 14(2), (8) and (11) and 14A to 14I of Schedule 2 to the principal Act shall apply in relation to the appeal as they apply in relation to an appeal against an assessment or determination made under that Act subject to the following modifications—
i
any reference to an agreement under paragraph 14(9) shall be construed as a reference to an agreement under sub-paragraph (2)(b) above;
ii
any other modifications that are necessary.
F93
If the method of allocation is amended in accordance with this paragraph, the allocation of the blended oil for the purposes of section 63 in respect of the chargeable period is to be redetermined, or determined, using the method of allocation as so amended.
4
Sub-paragraph (3) is subject to—
a
any subsequent notice given under this paragraph, and
b
any amendment to the method of allocation made by the participators in the originating fields.
F84
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Sch. 12 paras. 1, 2 and cross-headings substituted (with effect in accordance with Sch. 39 para. 4 of the amending Act) by Finance Act 2009 (c. 10), Sch. 39 para. 3(2)