We can help you secure a refund from HMRC and arrange your CCL relief with the energy supplier!
Climate Change Levy (CCL) was introduced in 2001 and is a UK-wide tax on electricity, gas, LPG and solid fuels supplied to businesses and public sector consumers. The main rates on these commodities are paid to HMRC by energy suppliers who pass on the costs, through billing, to their non-domestic customers. Past, present, and future CCL rates can be found on the government’s website, with CCL rates being announced during the annual government budget.
Energy consumption for certain types of usage and customers qualify for relief or exemption from CCL. It is the responsibility of the energy consumer to inform the supplier of any CCL relief or exemption, to ensure that the correct level of CCL is applied. At Direct Power we ensure our customers pay the correct level of CCL, and enjoy their full CCL relief or exemption entitlement as part of our ongoing account management.
Not a Direct Power customer, and suspect you have paid too much in CCL over the years? If this is you, Direct Power can help you too! On your behalf, we will work with you and your energy supplier to ensure your organisation is set up to pay the correct level of CCL going forward. We will also work with you and the HMRC to request a refund on any overpaid CCL.
Please get in touch if you suspect you are currently paying or have paid too much for CCL. The sooner we tackle this issue, the sooner you receive the relief and refund!
The below outlines the steps we will take to secure your CCL refund and relief:
1. Determine if you qualify for CCL relief. Read our blog on this topic, and contact us if you are uncertain if your energy consumption qualifies. The most common reasons that energy consumption qualifies for CCL relief is when the consumption falls into one of the below categories:
• Domestic consumption.
• Charity consumption.
• De-minimus consumption, i.e. very small user.
• Consumption for certain Energy intensive operations, such as usage for metallurgical and mineralogical processes.
• Consumption under a Climate Change Agreement (CCA).
• Consumption under a Combined Heat and Power plant (CHP) within the CHPQA scheme Combined Heat and Power Quality Assurance Programme.
2. Collate the evidence to submit the CCL200X historic CCL relief claim to the HMRC, and current CCL relief claims to HMRC and the energy supplier. Direct Power will work with you to collect the relevant information and present it in a format that HMRC will be able to work with to generate your refund. Good quality evidence should include the following:
• copies of both your PP10 (the form sent to HMRC) and PP11 (the form sent to your supplier) covering the period of your refund claim.
• copies of invoices for the taxable commodities you consumed from your supplier for the period of your refund claim.
• a summary of the total amount of CCL to be refunded accompanied by evidence of how that figure has been calculated – for example a breakdown showing CCL to be refunded by month or review calculations.
• copy of your Combined Heat and Power Quality Assurance Programme (CHPQA) certificate – only to be supplied if this refund claim relates to relief entitlement for a Combined Heat and Power plant (CHP) within the CHPQA scheme.
• copy of your current Climate Change Agreement (CCA) – only to be supplied if this claim relates to reduced rate entitlement for facilities in the CCA scheme.
• any appropriate correspondence between you and your supplier received prior to making a claim with HMRC – for example a letter asking your supplier why your bills do not contain the relief you are entitled to.
3. Prepare and submit the CCL relief forms for both the supplier and HMRC.
4. Celebrate the CCL relief refund hitting your account!
Get in touch today for help on all past, present and future CCL relief and exemptions.
