Finance Bill

House of Commons

Session 2007 - 08
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Other Bills before Parliament

Finance Bill

Finance Bill
Part 1 — Charges, rates, allowances, reliefs etc
5

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Rates of tobacco products duty
(1)
For the table in Schedule 1 to TPDA 1979 substitute—

“Table

1.  Cigarettes
An amount equal to 22 per cent of

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the retail price plus £112.07 per

thousand cigarettes

2.  Cigars
£163.22 per kilogram

3.  Hand-rolling tobacco
£117.32 per kilogram

4.  Other smoking tobacco
£71.76 per kilogram”.

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and chewing tobacco

(2)
The amendment made by subsection (1) is treated as having come into force at
6pm on 12 March 2008.
Fuel duties
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Rates and rebates: simplification
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(1)
HODA 1979 is amended as follows.
(2)
In section 1 (hydrocarbon oil), omit—
(a)
subsections (3A) and (3B),
(b)
in subsection (3C), “; and petrol is “leaded petrol” if it is not unleaded
petrol”, and
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(c)
subsections (6) and (7).
(3)
In section 6 (hydrocarbon oil: rates of duty), for subsection (1A) substitute—
“(1A)
The rates are—
(a)
£0.5035 a litre in the case of unleaded petrol,
(b)
£0.6007 a litre in the case of light oil other than unleaded petrol,
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and
(c)
£0.5035 a litre in the case of heavy oil.”
(4)
In section 6AB(5) (duty on bioblend), omit the words from “of the description”
to the end.
(5)
In section 11(1) (rebate on heavy oil), omit—
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(a)
in paragraph (b), “which is not ultra low sulphur diesel”, and
(b)
paragraph (ba).
(6)
In section 13AA(6) (restrictions on use of rebated kerosene), omit “which is not
ultra low sulphur diesel or sulphur-free diesel”.
(7)
Omit section 13A (rebate on unleaded petrol).
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(8)
In section 20AAA(4)(a) (mixing of rebated oil), for “section 6(1A)(d)” substitute
“section 6A(1A)(c)”.
(9)
In section 27(1) (interpretation)—

Finance Bill
Part 1 — Charges, rates, allowances, reliefs etc
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(a)
in the definition of “rebate”, omit “13A,”,
(b)
omit the definitions of “sulphur-free diesel”, “sulphur-free petrol”,
“ultra low sulphur diesel” and “ultra low sulphur petrol”, and
(c)
for “and “leaded petrol” have” substitute “has”.
(10)
In Article 21(7) of the Renewable Transport Fuel Obligations Order 2007
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(S.I.2007/3072), for “sulphur-free petrol” substitute “unleaded petrol”.
(11)
In consequence of this section, omit—
(a)
in FA 1987, section 1(2) and (3),
(b)
in FA 1997, section 7(5)(a) and (b) and (8)(b),
(c)
in FA 2000, section 5(3),
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(d)
in FA 2001, section 2(1), and
(e)
in FA 2004, section 7(2), (5) to (7) and (8)(a).
(12)
The amendments made by this section are treated as having come into force on
1 April 2008.
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Biodiesel and bioblend
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Schedule 5 contains provision about biodiesel and bioblend.
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Rates and rebates: increase from 1 October 2008
(1)
HODA 1979 is amended as follows.
(2)
In section 6(1A) (main rates)—
(a)
in paragraph (a) (unleaded petrol), for “£0.5035” substitute “£0.5235”,
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(b)
in paragraph (b) (light oil other than unleaded petrol), for “£0.6007”
substitute “£0.6207”, and
(c)
in paragraph (c), (heavy oil), for “£0.5035” substitute “£0.5235”.
(3)
In section 6AA(3) (rate of duty on biodiesel), for “£0.3035” substitute “£0.3235”.
(4)
In section 6AD(3) (rate of duty on bioethanol), for “£0.3035” substitute
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“£0.3235”.
(5)
In section 8(3) (road fuel gas)—
(a)
in paragraph (a) (natural road fuel gas), for “£0.1370” substitute
“£0.1660”, and
(b)
in paragraph (b) (other road fuel gas), for “£0.1649” substitute
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“£0.2077”.
(6)
In section 11(1) (rebate on heavy oil)—
(a)
in paragraph (a) (fuel oil), for “£0.0929” substitute “£0.0966”, and
(b)
in paragraph (b) (gas oil), for “£0.0969” substitute “£0.1007”.
(7)
In section 14(1) (rebate on light oil for use as furnace fuel), for “£0.0929”
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substitute “£0.0966”.
(8)
In section 14A(2) (rebate on certain biodiesel), for “£0.0969” substitute
“£0.1007”.
(9)
The amendments made by this section come into force on 1 October 2008.

Finance Bill
Part 1 — Charges, rates, allowances, reliefs etc
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Fuel for aircraft and boats, heating oil and fuel for certain engines
(1)
In section 6(1A) of HODA 1979 (main rates)—
(a)
after paragraph (a) insert—
“(aa)
£0.3103 a litre in the case of aviation gasoline,”, and
(b)
in paragraph (b), after “petrol” insert “or aviation gasoline”.
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(2)
The amendments made by subsection (1) come into force on 1 November 2008.
(3)
Schedule 6 contains—
(a)
in Part 1, provision consequential on subsection (1) and provision about
fuel used for private pleasure flying or private pleasure craft, and
(b)
in Part 2, provision about certain heavy oil used for heating or as fuel
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for certain engines.
Environmental taxes and duties
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Rates of vehicle excise duty
(1)
Schedule 1 to VERA 1994 (annual rates of duty) is amended as follows.
(2)
In paragraph 1 (general)—
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(a)
in sub-paragraph (2) (vehicle not covered elsewhere in Schedule
otherwise than with engine cylinder capacity not exceeding 1,549cc),
for “£180” substitute “£185”, and
(b)
in sub-paragraph (2A) (vehicle not covered elsewhere in Schedule with
engine cylinder capacity not exceeding 1,549cc), for “£115” substitute
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“£120”.
(3)
In paragraph 1B (graduated rates for light passenger vehicles), for the table
substitute—
“Table

CO2 emissions figure
Rate

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(1)
(2)
(3)
(4)

   Exceeding
Not exceeding
  Reduced rate
Standard rate

g/km
g/km
£
£

           100
          120
            15
             35

           120
          150
           100
           120

30

           150
          165
           125
           145

           165
          185
           150
           170

           185
          225
           195
           210

           225
          —
           385
           400

Finance Bill
Part 1 — Charges, rates, allowances, reliefs etc
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   The table has effect in relation to vehicles first registered before 23 March 2006
as if—
(a)
in column (3), in the last row, “195” were substituted for “385”, and
(b)
in column (4), in the last row, “210” were substituted for “400”.”
(4)
In paragraph 1J (light goods vehicles)—
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(a)
in sub-paragraph (a) (vehicle which is not lower-emission van), for
“£175” substitute “£180”, and
(b)
in sub-paragraph (b) (lower-emission van), for “£115” substitute
“£120”.
(5)
In paragraph 2(1) (motorcycles)—
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(a)
in paragraph (b) (motorbicycle and engine’s cylinder capacity more
than 150cc but not more than 400cc), for “£32” substitute “£33”,
(b)
in paragraph (c) (motorbicycle and engine’s cylinder capacity more
than 400cc but not more than 600cc), for “£47” substitute “£48”, and
(c)
in paragraph (d) (any other case), for “£64” substitute “£66”.
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(6)
The amendments made by this section have effect in relation to licences taken
out on or after 13 March 2008.
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Standard rate of landfill tax
(1)
In section 42(1)(a) and (2) of FA 1996 (amount of landfill tax), for “£32”
substitute “£40”.
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(2)
The amendments made by subsection (1) come into force on 1 April 2009 and
have effect in relation to disposals made (or treated as made) on or after that
date.
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Rates of climate change levy
(1)
In Schedule 6 to FA 2000 (climate change levy), for the table in paragraph 42(1)
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substitute—

Taxable commodity supplied
Rate at which levy payable if supply is

not a reduced-rate supply

Electricity
£0.00470 per kilowatt hour

Gas supplied by a gas utility or
£0.00164 per kilowatt hour

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any gas supplied in a gaseous

state that is of a kind supplied

by a gas utility

Any petroleum gas, or other
£0.01050 per kilogram

gaseous hydrocarbon, supplied

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in a liquid state

Any other taxable commodity
£0.01281 per kilogram”.

(2)
The amendment made by subsection (1) has effect in relation to supplies
treated as taking place on or after 1 April 2009.