Fuel duty explained

Fuel duties represent a significant source of revenue for governments.

This is therefore a sensitive issue and means European fuel taxation is regulated at the highest level.

For the transport sector, as well as general duty rate legislation, kerosene and gas oils are therefore marked. This is to help identify cases where the rate can be reduced or exempted.

The reason for this is because significant tax loss can occur where fuel is misused by unqualifying vessels and aircraft.

‘Fuel’ refers to all heating and transport energy products, as well as electricity. EU and UK excise duty rules cover all these.


To clarify

If you purchase fuel, fuel duty will be included in the price. VAT will then be charged on top of this.

It’s therefore unsurprising that yachts and aircraft are closely scrutinised and sanctioned for making incorrect fuel transactions across Europe


Where Y & A Group, LP help

Y & A Group, LP are expertly placed to support all your yachting and aviation customs and VAT needs. This includes being able to guide you in matters relating to complex fuel tax treatment, including other energy product transactions.

In doing so, we help you avoid immediate and retrospective penalties.

Looking to stay safely customs and VAT compliant?

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