HMRC has given up on a £1.2bn ‘meths’ duty from BP after a Gordon Brown
decided it would be ‘oppressive and unfair’ to penalise the oil giant for
breaking outdated regulations on a product that makes industrial methylated
According to The Daily Telegraph Brown approved the write-off after
a Treasury and NAO investigation into whether BP, the only producer of the
ethanol-based product, had attempted to evade paying tax over a four-year
HMRC chairman Sir David Varney was then given the go-ahead to write-off the
amount in the HMRC’s accounts for 2004-2005.
HMRC uses a formula covering the additive, and investigated the case when it
emerged that BP was manufacturing industrial meths to a formula different than
specified in the legislation. This resulted in the formula used not being
eligible for exemption from the spirits rate duty.
BP said the issue was a technicality and maintained that it had been open
about its conduct with HMRC.
Does Darwin's theory apply to taxation? Colin ponders...
The UK tax gap fell in 2014-15 to its lowest-ever level of 6.5%, revealed official statistics published today
Changes to the tax system is urged to support the growth of entrepreneurs, found a report from the Grant Thornton UK, the Institute of Directors, and the Prelude Group
The EC has been instructed to draft a European Union (EU) directive authorising an EU financial transaction tax, which would apply to ten of the EU’s 28 member states