Registering for CCL

By Tolley

The following Value Added Tax guidance note by Tolley provides comprehensive and up to date tax information covering:

  • Registering for CCL
  • Registration requirements
  • Exempt and excluded supplies
  • Electricity generators and distributors
  • Combined heat and power stations (CHP)
  • Utilities
  • Transfer of a business as a going concern (TOGC)
  • International transactions
  • Failure to register
  • Group and divisional registrations
  • Registering for CCL
  • Cancelling a CCL registration

This note provides an overview of the procedure that needs to be followed in order to register for CCL. This note should be read in conjunction with the Climate Change Levy (CCL) - main rates and CCL - accounting and record keeping requirements guidance notes.

Notice CCL1/1: Registering for climate change levy  ; DeVoil Indirect Tax Service V21.146 (subscription sensitive)
Registration requirements

If a business makes supplies of taxable commodities, including taxable self supplies, it will be required to register for CCL. Unlike VAT there is no registration threshold.

If a business is required to register because its annual review indicated that the amount of relief claimed is too high, it may be possible for the business to be exempt from registering for CCL if it meets certain requirements (see below).

Businesses that generate electricity within the UK from CPS rate commodities / CHP generators with a capacity over 2MW will be required to register for CCL as they are deemed to be making a taxable supply. Please see the CCL - Carbon Price Floor guidance note for more information.

HMRC can compulsorily register a business for CCL if they fail to do so.

The effective date of registration is the date on which the business makes or intends to make its first supply of taxable commodities. HMRC must be notified within 30 days of the effective date that the business needs to register.

Who can register

The following types of organisation can register for CCL:

  • limited company
  • local authority
  • non-profit making organisations
  • partnership
  • sole proprietor
  • trust or beneficiary of a trust
  • unincorporated association
Over-claimed relief - exemption from registering

A business

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