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HCOS2850 | Registered Dealers in Controlled Oils (RDCO): contraventions attracting penalties

From HM Revenue & Customs · Hydrocarbon Oils Strategy

Approval:

  • Dealing in controlled oil by a revenue trader who is not a registered excise dealer and shipper (Registered dealer in controlled oil) (HODA 1979 S23A)

Records:

  • Failure to keep and preserve records (CEMA S118A)

  • Failure to produce records (CEMA S118B)

Conditions of approval:

  • Failure to give notice to the Commissioners within 30 days of any change in the information that was required in the application for registration (RDCO Regs 5(1) and (2)).

  • Failure to comply with any conditions or restrictions imposed by the Commissioners (RDCO Reg 5(3)).

Cessation of trade:

  • Failure to notify the Commissioners of the intention to cease buying, selling or dealing in controlled oils (RDCO Regs 6(1) and (4))

  • Failure of RDCO who has ceased dealing in controlled oils to dispose of stock in a manner allowed by the Commissioners (RDCO Reg 6(3))

Conditions and restrictions:

  • Failure to comply with any conditions or restrictions on the buying, selling, loading, unloading, delivering, moving or holding of controlled oils prescribed by the Commissioners (RDCO Reg 8(2)). *

Returns and information:

  • Failure to make returns at such time, in such form and manner, and containing such particulars as the Commissioners may prescribe (RDCO Reg 9(1)).

  • Failure to notify the Commissioners of prescribed information (RDCO Reg 9(2)).

* The legal obligations of RDCOs in the supplying or selling of controlled oils for the purposes of Regulation 8 are set out in Notice 192 section 5 which has the force of law. Failures to comply with the requirements of Section 5 of Notice 192 may also attract £250 fixed penalties under Section 9 of the Finance Act 1994.

Contraventions of Section 5 of Notice 192 will fall into the following categories:

Information and records:

  • Failure to keep prescribed information about supplies of controlled oils (Para 5.5).

checks:

  • Failure to make prescribed checks (Para 5.14)

Payment of duty:

  • Failure to pay duty on supplies of red diesel to private pleasure craft in accordance with the Private Pleasure Craft (Payment of rebate etc) Regulation 8