Finance Act 1964

6 Hydrocarbon oils: reliefs

(1) The Commissioners of Customs and Excise may: permit hydrocarbon oil to be delivered for home use to an approved person without payment of customs or excise duty chargeable thereon where the oil—

(a) is to be used by him as a material, solvent, extractant, preservative or finish in the manufacture or preparation of any article, not being hydrocarbon oil or an article which in the opinion of the Commissioners should, according to its use, be classed with hydrocarbon oil; or

(b) is to be supplied by him in the course of a trade of supplying oil for use as such a material, solvent, extractant, preservative or finish.

(2) Where the Commissioners are authorised to give permission under subsection (1) above in the case of any oil, but the permission is for any reason not given, the Commissioners shall, if they are satisfied that the oil has been used by an approved person as mentioned in paragraph (a) of that subsection, repay to him the amount of the customs or excise duty paid thereon, less any rebate allowed in respect of the duty.

(3) Where any imported goods contain hydrocarbon oil as a part or ingredient thereof the oil shall be disregarded in the application to the goods of section 259 (charge of duty on manufactured or composite articles) of the Act of 1952 unless in the opinion of the Commissioners they should, according to their use, be classed with hydrocarbon oil.

(4) On light oils charged with the customs or excise duty on hydrocarbon oils and delivered for home use as furnace fuel for burning in vaporised or atomised form by an approved person there shall be allowed, at the time of delivery and according to the same quantity as that according to which that duty is charged, a rebate of duty at a rate twopence a gallon less than the rate at which the duty is charged.

(5) The Commissioners may make regulations for any of the purposes of subsections (1), (2) and (4) above or of section 200 (denial of rebate for heavy oils to be used in road vehicles) of the Act of 1952, and in particular for the purposes specified in Part I of Schedule 6 to this Act (paragraphs 5 to 21 of which reproduce, with modifications required for the purposes of subsections (1), (2) and (4) above and other modifications of a minor nature, the provisions of paragraphs (a) to (d) of section 202(1) of the Act of 1952 and Part I of Schedule 2 to the Finance Act 1960); and—

(a) for the purposes of the provisions of the customs and excise Acts relating to hydrocarbon oils the presence in any hydrocarbon oils of a marker which, in regulations made under this subsection, is prescribed in relation to rebated heavy oils or rebated light oils or oils delivered without payment of duty under subsection (1) above, shall be conclusive evidence that the rebate in question has been allowed on those oils or, as the case may be, that they have been so delivered ;

(b) if any person contravenes or fails to comply with any regulation made under this subsection, he shall be liable to a penalty of three times the value of any goods in respect of which the offence was committed or one hundred pounds, whichever is the greater, and any such goods shall be liable to forfeiture.

(6) The provisions of Part II of Schedule 6 to this Act shall have effect for amending subsections (3) and (4) (penalties for unauthorised use of rebated heavy oils) of the said section 200 ; the provisions of Part III of that Schedule shall apply for restricting the use of oils delivered without payment of duty under subsection (1) above or on which rebate has been allowed under subsection (4) above, and for the punishment of contraventions of the restrictions ; and the provisions of Part IV of that Schedule shall have effect for amending Part II (sampling of oils) of Schedule 2 to the Finance Act 1960 and applying its provisions, as so amended, to samples taken by virtue of subsection (5) above.

(7) In the definition of "rebate " contained in section 195(1) of the Act of 1952 there shall be added at the end the words " or section 6(4) of the Finance Act 1964 ", and in paragraph 7 of Schedule 4 to the Finance Act 1961 there shall be inserted after the words " section 3 of this Act " the words " and section 6(2) of the Finance Act 1964 ".

(8) This section shall have effect as from 1st September 1964.