Apology and correction

AT LEAST our contributors admit when they get things wrong, so Orph Mable apologises for an inaccuracy in his latest article in narrowboatworld 'Red Diesel—A boatyard perspective'.

In the article it was incorrectly stated that 20% VAT was paid on the additional fuel duty for the propulsion element of the red diesel sale. (Based on HMRC Notice 701/19 Fuel and Power, January 2002.)  This point is incorrect and I must thank Leighton Jones of Chirk Marina for pointing this out to Tom, the Editor.

Tucked away

Leighton directed me to a further HMRC document (HM Revenue & Customs Brief 49/08—Issued 6th October 2008, Energy Products Directive) that supercedes the 2002 document. Tucked away within this document is the single line 'VAT at the reduced rate is due on the total amount charged'. This means that VAT at 5% is payable on the total amount—sorry for any confusion my inaccuracy may have caused.