Finance Act 1977

3Replacement by tobacco products duty of other tobacco duties

(1)As from 1st January 1978 no duties of customs or excise shall be charged under section 4 of the [1964 c. 49.] Finance Act 1964 and for the Table in section 4(1) of the [1976 c. 40.] Finance Act 1976 there shall be substituted—

(2)If it is shown to the satisfaction of the Commissioners that any tobacco which has borne duty under section 4 of the said Act of 1964 on or after 10th May 1976 has been or will be used in the manufacture of tobacco products chargeable with duty under section 4 of the said Act of 1976 on or after the said 1st January, they shall make a repayment at the appropriate rate specified in Schedule 3 to this Act in respect of the duty borne by that tobacco as aforesaid; and the rate per pound at which drawback is allowable on tobacco in respect of which a repayment has been made under this subsection shall be reduced by an amount equal to the rate per pound at which the repayment was made.

(3)Drawback in respect of any duty charged under section 4 of the said Act of 1964 shall not be allowed by virtue of any event occurring after 30th June 1978; but if it is shown to the satisfaction of the Commissioners after that date—

(a)that any tobacco which has borne duty under that section has been used in the manufacture of products which have become unmerchantable through natural causes; and

(b)that no drawback or repayment in respect of the duty has been allowed or made under any other provision,

the Commissioners shall repay the duty to the manufacturer, but any such repayment shall be conditional on the products being disposed of in such manner as the Commissioners may require.

(4)Part V of the [1952 c. 44.] Customs and Excise Act 1952 (which contains provisions for the collection and management of the duties charged by section 4 of the said Act of 1964 and for the protection of the revenue arising from them) shall cease to have effect on 1st January 1978 except as respects drawback by virtue of events occurring on or before the date mentioned in subsection (3) above.

(5)In section 4(3) of the said Act of 1976 (regulations for the purposes of tobacco products duty) after paragraph (b) there shall be inserted—

“(bb)for the registration of premises where—

(i)tobacco products are manufactured ;

(ii)materials for the manufacture of such products are grown, produced, stored or treated ; or

(iii)refuse from the manufacture of such products is stored or treated,

and for regulating the storage and treatment in, and removal from, premises so registered of such materials and refuse;”.