Diesel oil as an energy source – don’t forget about excise duty

Olga Palczewska-Wielińska, Monika Junyszek
Puls Biznesu

Diesel oil trading is subject to excise duty which is charged on the first transaction in the territory of the country. In domestic transactions the duty falls on the seller. With that said, the preferential duty rate of PLN 232 per 1000 litres or PLN 69 per 1000 kg is available only if certain statutory conditions are satisfied. One of these is that the sale must be to a qualified purchaser who must represent that the oil will be used for heating as gas oil. SENT registration is also obligatory. When buying oil it is key to verify if those conditions are met. A wrong duty rate applied when purchasing gas oil can mean criminal penalties and can lead to an understated taxable amount for VAT purposes.