Aggregates Levy: Consultation on Relief for Waste Aggregate

HM Customs & Excise announced on 9 December 2002 that they are to consult the construction and aggregates industry about the issue of waste aggregate. The aim of the consultation is to see if there is a clear case for relief from the levy for waste aggregate materials. HM Customs & Excise also want to investigate how to operate any such relief, without making it open to the risk of abuse.

Background

The Aggregates levy was introduced on 1 April 2002. It is an environmentaltax on the commercial exploitation of aggregate in the UK. The stated aim ofthe tax is to encourage the use of alternative materials.

What Is Waste Aggregate?

Waste aggregate ranges from low-grade aggregate mixed with clay material, to fine dust or silt containing a high percentage of water. Waste aggregate has limited commercial use and value, and as such tends to accumulate in tips on site, or be disposed of by way of landfill. The cost of re-cycling waste aggregate is relatively high. Therefore this consultation was announced in the Chancellor's pre-budget statement, as part of the commitment announced in 2001 to review the tax treatment of waste aggregate by consulting with the industry to see if there is a way to encourage positive use of waste aggregate material.

The Consultation

The consultation takes the form of a questionnaire, which is available on HM Customs & Excise website at http://www.hmce.gov.uk/consultation/consultationregister.htm

All information received in the course of the consultation will be treated as confidential. The consultation runs until 10 March 2003.
This document is for general guidance and research purposes only, and does not purport to give professional advice. Please check the date at the top of the article; the Workplace Law Network retains historic articles for general research.