Welly wrote:I've just found this and it says you must notify HMRC of your intention to produce (or use) fuel substitutes (like Veggie) but I think this may have a volume of fuel associated with it (think I remember you're ok as long as it's less than 2000 ltrs per year or something??).
2500 litres per year can be used duty free , after that duty payable in arrears , IE. keep a note of how much you use and tell them ! You are just keeping yourself ready in case you get stopped and checked ( like when they are checking for red diesel ) showing you are not trying to avoid duty which is what they are trying to stop. A notebook in the glovebox is the easiest way.
Replacement !
1998 2.1 TD LX Estate Red 196,000 TURBO DIESEL XUD11BTE "Alice " 200 k just hit yesterday 17/2/2012 not bio yet , smooth box , lovely runner
1997 1.9 TD GLX Estate Black XUD9TE " Norma " now sold
Archangel wrote:
2500 litres per year can be used duty free , after that duty payable in arrears
Its actually 2499 ltrs duty free, as soon as you use 2500 you must pay duty on all of it.
I just keep a spreadsheet with all the details on it of how much I use.
UK Open Drift Championship 2011 Driver #80
Vehicles I own:-
1999 S Peugeot 406 LX 1.9TD (90% WVO, 10% Petrol)
2000 W Ford Transit LWB High Roof 2.5D
1997 R E36 BMW 328i Saloon (Drift/Track Car)
1995 N E36 BMW 328i Saloon (Spare Parts Car)
SOLD --- 2001 Y 406 GTX 2.0 HDi 110bhp
Veg oil from the Chinese Chippy would smell the best
2500 litros would get you 19823 miles at 36mpg so it's quite a lot of driving really.............*fast forward to the 2011 budget*..........."the chancellor has today announced a reduction in the tax-free threshold for people running D-8 style 406's on Veg oil to a new maximum allowance of 500 litres"
Cars in my care:
2021 Kia Spottage 1.6 Pez Turbo Dual Clutch Gearbox Trickery
2013 Renner Twingo - donkey work
Welly wrote:*fast forward to the 2011 budget*..........."the chancellor has today announced a reduction in the tax-free threshold for people running D-8 style 406's on Veg oil to a new maximum allowance of 500 litres"
They banned Veg Oil use as a fuel about 5 yrs ago, but it cost the government more money to Police it than the fines they got in.
So they were operating at a huge loss, hence why they brought in a limit. VAT is also paid on the new oil, which the chippy has bought.
UK Open Drift Championship 2011 Driver #80
Vehicles I own:-
1999 S Peugeot 406 LX 1.9TD (90% WVO, 10% Petrol)
2000 W Ford Transit LWB High Roof 2.5D
1997 R E36 BMW 328i Saloon (Drift/Track Car)
1995 N E36 BMW 328i Saloon (Spare Parts Car)
SOLD --- 2001 Y 406 GTX 2.0 HDi 110bhp
Welly wrote:*fast forward to the 2011 budget*..........."the chancellor has today announced a reduction in the tax-free threshold for people running D-8 style 406's on Veg oil to a new maximum allowance of 500 litres"
They banned Veg Oil use as a fuel about 5 yrs ago, but it cost the government more money to Police it than the fines they got in.
So they were operating at a huge loss, hence why they brought in a limit. VAT is also paid on the new oil, which the chippy has bought.
Not quite, it was legal but you had to register, declare your monthly use and pay duty on that amount every month.
Imagine 2000 people declaring that they'd used 2L in a month and posting in a cheque for £1.... the staffing and overheads actually caused them to run the system at a loss.
Hence the 2500L limit, it's not worth their while to chase the smaller producers for the amount of tax they create.
