----- Original Message ----- 
From: "Adrian Stott" <[EMAIL PROTECTED]>
To: <[email protected]>
Sent: Saturday, February 17, 2007 2:08 PM
Subject: [canals-list] Re: Red Diesel


>(snip previous)
> Sorry, Iain, but no.  The taxation of the off-road fuel is dependent
> on its use, not on where it is used.  Off-road propulsion for other
> than industrial or commercial (or, of course, bloody farming which
> unjustifiably gets every tax break known to man while ruining the
> countryside) purposes requires that white be used, on public and
> private land.

If a vehicle is used only off road, no matter what for, it does not require 
to be registered or taxed. If it is untaxed, it does not require to use DERV 
(or ULSD, which is more politically correct these days). For such use, there 
is legal precedent that even if Vehicle Excise Licence has been paid, it has 
no effect until the vehicle is used on a public road. However, I agree that 
such use is a bit impractical, as before being used on a public road, the 
fuel system must be drained down, the system flushed through with fully duty 
paid fuel, re-drained, the filter changed and the vehicle fuelled again on 
fully duty paid fuel, which would probably cost a fair bit more than the 
duty saved, bearing in mind that "fuel system" includes all internal 
surfaces of the fuel tank. The bottom line is that if HMRC detect red when 
the vehicle is on a road. you're done :-)

-- 
Iain 


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