HM Revenue and Customs Brief 106/09
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Issued 7 January 2010
Mineral Oils: Marine voyages - meaning of 'sole agent'
Purpose of this brief
Clarification of what HMRC mean by 'sole agent' in the context of the
Marine Voyages Relief scheme (MVR).
We have recently become aware of some confusion surrounding the term
'sole agent' in Public Notice 263: Marine voyages – excise duty relief for
mineral (hydrocarbon) oil. This Brief seeks to clarify our policy in this
Section 4.1 of Public Notice 263 refers to a 'sole agent' who can make a
repayment claim if authorised in accordance with that paragraph. There has
been some debate over what the term 'sole agent' means. Some have
interpreted this to mean that a given vessel may have only one agent
regardless of where it is at the time the fuel is delivered. Others have
thought that this interpretation was too restrictive on vessel owners who
sought to shop around for their fuel supplies.
Legal advice has now confirmed that the relevant legislation allows HMRC
to accept as sole agent, the ship’s agent who makes all claims in respect of
that ship for the time when it is in any particular port. It does not have
to be the one and only agent for all a ship’s claims regardless of where the
ship may be at the time of the delivery or use of the fuel in respect of
which a claim is made. This could mean that a ship may have a different
ship’s agent for each UK port. Multiple agents are not allowed in order to
prevent duplicate claims. HMRC will make checks to ensure that this does not
Public Notice 263 is due to be updated as a result of the recent Marine
Fuels Consultation. This clarification will be included in the Public Notice
at the time of the update. For further advice on reclaiming excise duty on
fuel used in vessels making marine voyages, you should contact our Helpline
on Tel 0845 010 9000.
About the Author
© Crown Copyright 2010.
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Article Published/Sorted/Amended on Scopulus 2010-01-12 20:37:54 in Tax Articles