MBM red diesel campaignA forum dedicated to Motor Boats Monthly's forthcoming Red Alert campaign for the retention of the current rate of duty on UK-supplied marine diesel. Read more here.
whilst any new tax is anethema to any one, on a selfish note wouldnt it mean a return to the days of sailing not motoring and anchorages empty of those not prepared or capable of doing so
I think this is a memeber of the sailing fraternity who does not count us motorboaters amongst his friends.
Not that I needed and excuse, but attittudes like his just encourage me to use the boat more and more. Why revel in other displeasure, you nasty little toad...
Agreed, I always take it very slow near raggies, but the likes of him make me feel like burning some fuel just for fun. [img]/forums/images/graemlins/grin.gif[/img]
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It's people with attitudes like him that caused this tax hike. If we had presented a united front like the aviators this wouldn't have happened.
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I agree - its not a funny post, and I'm a raggie. But I dont think the "united front" bit would have made the slightest difference. We were always going to be forced into the EU tax straightjacket - the original deal was only a temporary concession. And how can you justify tax on road transport diesel on which we depend, and not on someone's yacht?
A wize man once told me, "never joke about money".
Many people are looking at how they will cope with the comming storm,both marine & the wider picture.
If i declare that I charter my boat out to the man at the pump does that mean he has to give my diesel at the commercial rate. No way he can prove otherwise and probably no motivation to do it either.
Despite the announcement by the RYA, that the HMRC would trust the boating community to self certify its use of red diesel from Nov 1st it would now appear that this is not the case.
The HMRC are not happy with boater self certifying whether the fuel is to be used for propulsion or heating/power generation and paying the appropriate level of tax i.e. expensive of extortionate.
I understand that we may expect an announcement that a fixed proportion of the purchased fuel will be taxable at the lower heating rate.
When will the RYA recognise the tragedy that is about to befall the leisure boat industry and the boater and start to use their influence (if any) with government to limit the tax increase on Red Diesel to the EU minimum. I think the alarming increase in the cost of fuel has rendered the “impact assessment” carried out by HMRC a totally out of date and useless.
The current estimated cost of a gallon of diesel at £6.50 (plus the road fuel escalator tax increase due in October) may even be causing some concern to sailing members who hitherto have felt that their limited use would have little impact on their boating. If so please let the RYA know of your concern so that they may re-evaluate their decision not to lobby for the EU minimum tax.
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.....I understand that we may expect an announcement that a fixed proportion of the purchased fuel will be taxable at the lower heating rate.....
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This will be an interesting challenge for many of the staff who man the fuel stations. They will have to work out x% of total sale volume at Y p/litre and (100-x)% at Z p/litre. Also what will the pump readout say? It will only give the sale price at the commercial red diesel rate....
Unworkable in my view but then this government specialises in dreaming up unworkable and impractical solutions to most things.
The easy solution would have been to apply the minimum rate of tax for all red sales and let commercial operators claim back the extra tax paid as they do their VAT. Or ignore the EU....
Its really no tthat hard and you are over complicating it. the 70/30 split or whatever will be reflected in the rate of duty applied tothe fuel.
If it were a 70% full duty 30% rebated duty split, the amount fixed by HMRC for red diesel for leisure boaters would be (0.57x0.7)+(0.10x0.3) or £0.43 duty per litre.
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Its really no tthat hard and you are over complicating it. ...
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Watch this space.. Can you really see HMCE allowing a fixed heating % on any quantity? They don't already on the VAT which rises to 17.5% on volumes aboves 2200 litres for some bizarre reason. Will foreign boats be allowed the 'heating %' when use of low tax red is illegal in their country.
Also you won't have dealt with the guy that works the pump at the supplier I sometimes use. He struggles to get the price on the pump into the till in the office correctly.....
red diesel tax
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