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Red Diesel & Petrol tax question


David Mathews

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Basically - NO

 

Tax reduced (red) diesel was introduced for primarily the farming community, it then went into the construction industry and finally became allowed for "off road" usage (to include boats)

 

Farmers are allowed to make short trips on the Road (using red diesel) to get from field to field (I think the allowance is 20 miles per week per vehicle, but a log book of trips/distances must be kept.

 

I paid 48p/litre +5% VAT on my last delivery of red diesel.

 

As there are very very few petrol powered tractors / diggers / etc there has never been legislation passed to reduce the tax on offroad petrol.

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It's a good question though. How many liveaboards are using petrol generators to charge batteries.

 

Of course there's no way anything could be done about it because any scheme would immediately be abused by millions of car drivers, but there's definitely petrol tax being paid by quite a few people which shouldn't be.

Edited by blackrose
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Some history here.

 

There are of course a large number of petrol devices not used for propulsion - lawn mowers, chainsaws, generators, strimmers etc - and it's hard to see any justification for a lower rate of petrol duty for them.

 

[i must say I've never really understood the justification for a lower rate of duty on boat diesel used for propulsion - obviously cheaper fuel is preferable to more expensive fuel, but fuel duty is just part of general taxation. There is an argument for equity, for the non-propulsion element, with tax on heating oils].

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Basically - NO

 

Tax reduced (red) diesel was introduced for primarily the farming community, it then went into the construction industry and finally became allowed for "off road" usage (to include boats)

 

Farmers are allowed to make short trips on the Road (using red diesel) to get from field to field (I think the allowance is 20 miles per week per vehicle, but a log book of trips/distances must be kept.

 

I paid 48p/litre +5% VAT on my last delivery of red diesel.

 

As there are very very few petrol powered tractors / diggers / etc there has never been legislation passed to reduce the tax on offroad petrol.

. The use of red diesel for propulsion is now illegal, I own an agricultural machine ie a landrover with a compressor running off the pto I used to be allowed to travel for 25 miles per day on the road with red, I now have to install two tanks one to move the vehicle containing white tax paid diesel and one carrying red to run the compressor, sadly the eu don't like red and will totally abolish it within the next two years and all plant will have to run on white but get a tax rebait at the end of the year
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Farmers are allowed to make short trips on the Road (using red diesel) to get from field to field (I think the allowance is 20 miles per week per vehicle, but a log book of trips/distances must be kept.

 

There's no distance limit on the use of red diesel by farmers on the road, so long as its an agricultural (horticulture or forestry) use.

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don't get caught out by this advice propulsion of any vehicle even a tractor is now illegal with red diesel

 

Presumably your Land FRover with compresssor was not undertaking 'agricultural duties:

 

As of April 2014 :

Q. According to red diesel law, what vehicles can I use?

A. Exempt vehicles are the only vehicles that can use red diesel on road. Only vehicles that are being used for forestry or farming work classify as exempt vehicles. The vehicles that may be included in these kinds of work could be:

  • Tractors – A new law was passed last year that allowed tractors to use red diesel to assist in the gritting of roads. However, tractors can also use red diesel when cutting plants and hedges on public roads.
  • Light Agrarian Vehicles – These are vehicles that weigh less than 1000kgs and there is only space for a driver.
  • Material handlers for example telehandlers and filling shovels.
  • Gritters and any vehicles used for clearing ice.
  • As long as a bulldozer or a crane is not carrying any unnecessary loads, they are permitted to use red diesel when moving from one location to another.

Q. Is there a limit on exactly how far I can drive with an agrarian vehicle?

A. If you’re doing a job that is exclusively farming related, then you can travel as far as you need using red diesel.

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don't get caught out by this advice propulsion of any vehicle even a tractor is now illegal with red diesel

 

Not true (IMHO), if you still believe its true then please provide a link or evidence to show it is. The rules on road use of tractors and other farm machinery (and horticulture/forestry) have remained the same for some time and have not been recently changed.

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don't get caught out by this advice propulsion of any vehicle even a tractor is now illegal with red diesel

 

I think this is because you are not using it for your "farm". I know a marina that used red diesel to move boats around the yard and other odd jobs. Never really went on the road but it was taxed for road use as the marina owner, also a farmer, occasionally used it on other fields. He was told a couple of years ago that he must either not tax it and never use it on the road, or tax it as an agricultural vehicle and not use it for any non-agricultural purpose if he wanted to continue to use red diesel. As I understand it, farmers and their tractors can still use red diesel for occasional road use.

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This is the original list (www.gov.uk) of functions for which a tractor can use red diesel

 

Tractors

A tractor qualifies as an excepted vehicle if it is designed and constructed primarily for off-road use. An excepted tractor can be used on a public road solely for:

  • agriculture, horticulture or forestry work
  • cutting verges bordering public roads
  • cutting hedges or trees bordering public roads or bordering verges which border public roads

Tractors with a vehicle excise licence - such as a general haulage vehicle - cannot use red diesel either on or off public roads, regardless of whether it is undertaking agricultural, horticultural or forestry work. This is because it is licensed to perform other work and is not therefore assumed to be used solely for agriculture, horticulture or forestry.

This list was ADDED TO when the law was changed November 2013 (addition of salt spreading), the original rights were not removed or replaced

Your Landrover is not an Agricultural vehicle if is weighs over 1000kgs, or has a vehicle excise duty (tax disc)

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Tractors with a vehicle excise licence - such as a general haulage vehicle - cannot use red diesel either on or off public roads, regardless of whether it is undertaking agricultural, horticultural or forestry work. This is because it is licensed to perform other work and is not therefore assumed to be used solely for agriculture, horticulture or forestry.

 

About 0.01% of tractors have a vehicle excise licence. All the others, are tax exempt due to their AHF use.

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About 0.01% of tractors have a vehicle excise licence. All the others, are tax exempt due to their AHF use.

 

I have two tractors that are used on the road (legally) they are MOT exempt,run on red diesel and have no VED (tax disc)

 

I would say the majority of farmers around me have non-VED tractors (including the huge twin-rubber-tracked ones similar to that, that Clarkson drove into a petrol station)

 

From WWW.gov.co.uk

 

Vehicles exempt from MOT

Some vehicles don’t have to take an MOT test. These include:

  • tractors
  • goods vehicles powered by electricity
  • any vehicle less than 3 years old
  • cars and motorbikes made before 1960
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. The use of red diesel for propulsion is now illegal, I own an agricultural machine ie a landrover with a compressor running off the pto I used to be allowed to travel for 25 miles per day on the road with red, I now have to install two tanks one to move the vehicle containing white tax paid diesel and one carrying red to run the compressor, sadly the eu don't like red and will totally abolish it within the next two years and all plant will have to run on white but get a tax rebait at the end of the year

 

 

Twin tank systems are not allowed.

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Basically - NO

 

Tax reduced (red) diesel was introduced for primarily the farming community, it then went into the construction industry and finally became allowed for "off road" usage (to include boats)

 

Farmers are allowed to make short trips on the Road (using red diesel) to get from field to field (I think the allowance is 20 miles per week per vehicle, but a log book of trips/distances must be kept.

 

I paid 48p/litre +5% VAT on my last delivery of red diesel.

 

As there are very very few petrol powered tractors / diggers / etc there has never been legislation passed to reduce the tax on offroad petrol.

 

my ex is a farmer, he's worked for big companies and on his own and has never had to keep a log of the miles/trips made using red diesel, in fact, I went with him once on 3 round trips to London one day, using all red.

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The only time a mileage limit applies in agriculture is when they register say a landrover as agri use only.

 

Then they have a limit on the miles it can be used on the road.

 

From memory its about 1.5 km between parcels of land.

 

Bottle was your statement aimed at me?

Edited by Justme
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The duty issue on diesel for boats was an EU directive, as we're aware. Interestingly, my son filled his car with road diesel (so full road-going duty price) in Belgium today.... at 87p per litre. Is there anywhere here that cheap even at 60/40?

 

The UK has the highest diesel prices in Europe. I have driven all over Europe and used to hate the big jump in price when crossing the channel. Diesel is cheaper than gasoline everywhere else.

http://www.fuel-prices-europe.info/

http://www.fuel-prices-europe.info/%C2'> Check it out, Rip off Britain once again.

Edited by rogeriko
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Twin tank systems are not allowed.

Only in relation to feeding one engine.

 

The system previously described involved a separate tank serving the compressor. Thus there was no connecting pipework to the propulsion engine.

 

George ex nb Alton retired

Check it out, Rip off Britain once again.

To be fair to HMG, why should I be you ask, many other countries obtain additional revenue from motorists by extensive toll motorway systems which, with one notable failed experiment, we do not do.

 

George ex nb Alton retired

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The duty issue on diesel for boats was an EU directive, as we're aware. Interestingly, my son filled his car with road diesel (so full road-going duty price) in Belgium today.... at 87p per litre. Is there anywhere here that cheap even at 60/40?

Yup, Hawne Basin at 77ppl with a 60/40 split!

Edited by Wanderer Vagabond
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