V22.110 Credits

V22.110 Credits

The law1 provides for a range of reliefs from aggregates levy. These are generally available as a credit or repayment which becomes due in certain situations after the levy has been charged. Credit is claimed by those registered for the levy and not by any other parties in the supply chain. The circumstances giving rise to relief are set out below.

Exports

Where a registered business supplies aggregate without further processing to a destination outside the UK, that business can claim relief from the levy provided the necessary documentation is held to evidence the export2.

A credit may also be claimed where aggregate is exported to the Isle of Man or the Channel Islands.

Aggregate sent from Great Britain to Northern Ireland is not an export but a credit may be claimed for the duration of the temporary relief described at V22.112 if the aggregate is to be used to make processed products. HMRC will ask for evidence of shipment and of end use.

Aggregate used in an exempt process

Where, after the levy has been accounted for, aggregate is used in an exempt process3, a credit may be claimed4.

Aggregate used in a prescribed industrial or agricultural process

The Schedule to the Aggregates Levy (General) Regulations 2002 sets out a list of industrial and agricultural processes. The use of previously taxed aggregate in any of these processes gives rise to a tax credit to be claimed by the registered business5.

The processes are as follows:

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