Clarification is being made in relation to the use of red diesel in the Isle of Man.
This follows changes made by the UK Government in April 2022 that led to a small number of unintended impacts identified following their implementation, which have now been addressed.
Under the terms of the Customs and Excise Agreement, the Isle of Man Government is required to keep the duty rates and reliefs available on hydrocarbon oils the same as those imposed in the United Kingdom.
Recent amendments are to be treated as coming into force on 15 March 2023 and now allow the use of red diesel in:
- Machines or appliances used to generate electricity or provide heating primarily for non-commercial premises even if they also provide some of the electricity or heat to commercial premises
- Machinery and appliances for arboriculture purposes but not vehicles
- Tractors and geared machines owned by lifeboat charities used to launch and recover their lifeboats
The clarifications will allow those working in affected sectors to use rebated fuels in the same machines and appliances as they did before April 2022.
For further information, contact Customs and Excise on +44 1624 648190 or view the guidance in Excise Notice 75.
