ALL OWNERS TO ACTION _

IWA Call Members to Action on Red Diesel Consultation



Issue Date: 4 September 2007

The Inland Waterways Association (IWA) today called on all of its members to respond in writing to the recent HM Revenue consultation on red diesel

A key issue that IWA wants addressed is that tax should not be payable for diesel used for heating and electricity generation. At the moment, with many boaters’ lack of flexibility to fit extra fuel tanks through space constraints, all will be forced to pay full tax on all fuel used for those purposes.

In IWA’s negotiations, it argued that for many non-residential boaters, the split of fuel usage for driving the boat was around 75% and that the remaining 25% was used for charging batteries/providing 240 volt power and for space heating.

IWA propose that at the point of fuel purchase, boaters could sign a declaration and receive an immediate 25% tax rebate in the price they pay at the pump.

IWA believe that there is a chance of persuading H M Customs and Revenue that this is a simpler and effective way of solving the issue whilst fully meeting European Union rules; provided that enough people write in support.

Roger Squires, chairman of IWA’s Navigation Committee, commented: “IWA has lobbied hard to mitigate the effects of the removal of the derogation on diesel, but now calls upon its members and all other interested parties to join in making one last concerted effort to make full use of our democratic rights and respond to the consultation in support of the IWA position on the 75/25 tax split “.

Roger continued: “It is absolutely essential that we get Customs and Revenue to take notice through an avalanche of individual boaters’ responses “.

Responses should be made to HM Revenue by 31 October 2007.

For more information on the consultation go to :

http://www.hmrc.gov.uk/consultations/