Temporary Changes to Use and Supply of Denatured Alcohol and Excise Duty-Free Spirits

Posted on 1st April 2020 by Streets


Image to represent Temporary Changes to Use and Supply of Denatured Alcohol and Excise Duty-Free Spirits

In order to combat the spread of Covid-19, HMRC have introduced temporary measures to assist businesses who produce hand sanitiser gel and offer advice on what businesses should do if they want to start producing hand sanitiser.


Businesses already producing hand sanitiser will already have the necessary authorisations in place. Where businesses are authorised to use duty-free spirits to produce hand sanitiser for hospitals, under the temporary measures, they will now be automatically authorised to produce hand sanitiser for care homes as well.

The temporary measures also remove limits on denatured alcohol (alcohol made unfit for drinking) and duty-free spirits used in the production, and businesses with the necessary authorisations in place no longer need to apply to increase their annual usage limits.

For businesses who want to produce hand sanitiser, HMRC provide a list of the denatured alcohol or free-duty spirit that can be used and these are:

  • Industrial denatured alcohol
  • Trade specific denatured alcohol 1, 6 or 7
  • Duty-free spirit where hand sanitiser is to be supplied to hospitals and care homes

Businesses are required to apply to HMRC for approval as normal, however, approval may not be required where the business is a licensed distiller or gin manufacturer provided the sanitiser produced meets the World Health Organisation (WHO) formulations. 

Further details on how to apply to HMRC can be found at https://www.gov.uk/guidance/denatured-alcohol-producing-stocking-distributing-selling-and-using

The final temporary measure introduced applies to businesses who supply denatured alcohol or duty-free spirits for the production of hand sanitiser. The measures remove the restriction on the volume to be supplied.


No Advice

The content produced and presented by Streets is for general guidance and informational purposes only. It should not be construed as legal, tax, investment, financial or other advice. Furthermore, it should not be considered a recommendation or an offer to sell, or a solicitation of any offer to buy any securities or other form of financial asset. The information provided by Streets is of a general nature and is not specific for any individual or entity. Appropriate and tailored advice or independent research should be obtained before making any such decisions. Streets does not accept any liability for any loss or damage which is incurred from you acting or not acting as a result of obtaining Streets' visual or audible content.

Information

The content used by Streets has been obtained from or is based on sources that we believe to be accurate and reliable. Although reasonable care has been taken in gathering the necessary information, we cannot guarantee the accuracy or completeness of any information we publish and we accept no liability for any errors or omissions in material. You should always seek specific advice prior to making any investment, legal or tax decisions.


Expert insight and news straight
to your inbox

Related Articles


Tax if you live abroad and sell UK home

One of the most commonly used and valuable exemptions from Capital Gains Tax (CGT) is for the sale of a family home. Generally, there is no CGT on a property that has been used as your main family residence. However, an investment property that has


Protect your land and property from fraud

It is important to take the necessary steps to protect your land and property from fraud. You are at a higher risk if: Your identity has been stolen You rent out your property You live abroad The property is empty The property is not


Transfers of assets abroad

A new rule aimed at preventing individuals from using companies to avoid taxes through the Transfer of Assets Abroad (ToAA) provisions applies to income arising to persons abroad on and after 6 April 2024. This change affects UK residents who own or

You might also be interested in...