Aggregates Levy (General) Regulations 2002 (SI 2002/761)
What this means for your business
- Enforced by
- HMRC
- Applies to
- United Kingdom
- On this page
- 26 compliance obligations, 1 practical guide
What you must do
26 compliance obligations under this legislation.
Management duties 4
Reimburse costs and keep records when claiming Aggregates Levy repayment
If your business asks for a refund of the Aggregates Levy because you think you over‑paid, you must pay back anyone who covered the original levy charge, do so within 90 days, keep full details of those payments and any interest, and repay any shortfall to the Commissioners within 14 days after the 90‑day period. You also have to give the Commissioners a written undertaking at the time you make the claim and produce the records if they request them.
Reimburse costs and keep records when claiming an Aggregates Levy refund
If your business claims a repayment of the Aggregates Levy, you must give the Commissioners a written undertaking, pay back any people who originally covered the cost within 90 days, keep detailed records of those payments and any interest, and hand those records over when asked. Any part you don’t reimburse after 90 days must be repaid to the Commissioners within 14 days.
Reimburse levy repayments and keep detailed records
If your business claims a refund of the Aggregates Levy, you must pay any money you receive back to the people who originally covered the cost, do this in cash or by cheque within 90 days, and keep full details of every repayment. If you fail to reimburse within 90 days you must return the amount to the Commissioners within 14 days and be ready to show the records when asked.
Reimburse third parties for over‑paid aggregates levy and keep records
If your business claims a refund of aggregates levy that you have over‑paid, you must pay back any other parties who originally covered the cost (or any interest) within 90 days of receiving the refund. You also need to keep detailed records of who was repaid, how much, any interest and the dates, and provide those records to the Commissioners if they ask. A written undertaking confirming you will do all this must be submitted when you make the claim.
Notifications 2
Notify Commissioners when acting for a deceased or incapacitated registrable person
If your business starts carrying out aggregates‑related activities on behalf of someone who has died or is temporarily unable to act, you must tell the Aggregates Levy Commissioners in writing. The notice must include the date of death or the nature of the incapacity and be sent within 21 days of you beginning the work.
Notify Commissioners when you continue activities of an insolvent registrable person
If you start carrying out any of the same activities that were previously done by a person who is now in insolvency (for example, taking over a quarry or other aggregate operation), you must tell the Aggregates Levy Commissioners in writing. The notice must include the date the insolvency started and be sent within 21 days of you beginning those activities.
Payments and fees 7
Correct errors in your Aggregates Levy return
If you have submitted an Aggregates Levy return and later discover it was wrong, you must fix the mistake – either by paying the extra levy you owe or by adjusting the amount you over‑paid. The correction has to be made within the time limits set by the Commissioners (normally within three years of the accounting period the error relates to) and the net correction cannot exceed £2,000.
Correct errors in your Aggregates Levy return
If you discover that a previous Aggregates Levy return under‑ or over‑stated the amount you owe, you must adjust the levy for the accounting period in which you find the error. The correction must be made in the way the Commissioners require, within the time limits (normally no more than three years after the relevant accounting period), and the net correction cannot exceed £2,000.
Pay Aggregates Levy if you act as representative of a deceased, incapacitated or insolvent registrable person
If you become an executor, administrator or any other person who controls the assets of someone who owes the Aggregates Levy because they have died, become incapacitated or entered insolvency, you must step into their shoes for levy purposes. You will need to pay the levy on any assets you control and meet any other levy duties that would have applied to the original person.
Pay the aggregates levy by the return due date
If your business is liable for the Aggregates Levy (i.e. you extract, process or sell aggregates), you must pay the levy for each accounting period by the date your levy return is due. The payment has to be sent to the address or bank account the Commissioners specify (or any other address they approve). If you arrange to pay by direct debit, you may be given an extra seven days to make the payment.
Reimburse cost and keep records when claiming aggregates levy repayment
If your business has over‑paid the Aggregates Levy and you want a refund, you must first give written undertakings to the Commissioners, then reimburse any third parties who originally paid the levy (cash or cheque, no fees) within 90 days of receiving the refund. You must keep detailed records of each reimbursement and, if you fail to reimburse within that period, repay the amount to the Commissioners within 14 days after the 90‑day deadline and provide the records when asked.
Reimburse others and keep records when claiming an aggregates levy refund
If you apply to get back aggregates levy money you think you over‑paid, you must pay that money on to anyone who actually covered the cost, do it within 90 days and keep clear records of who was repaid, how much and when. You also have to give written undertakings when you make the claim and, if you miss the 90‑day deadline, repay the amount to the Commissioners within 14 days. The Commissioners can ask to see your records at any time.
Reimburse parties and keep records when claiming Aggregates Levy repayment
If you apply to get back Aggregates Levy because you think you over‑paid, you must pay back any person who originally covered that charge, do so in cash or cheque within 90 days, keep full details of those payments and any interest, and repay any shortfall to the Commissioners. You also need to give written undertakings when you claim and supply the records if the Commissioners ask for them.
Offences and prohibitions 1
Fail to comply with Aggregates Levy requirements
Fine up to £250If your business does not meet a requirement set out in the Aggregates Levy (General) Regulations – for example, failing to submit returns, pay the levy or keep required records – you commit an offence. Each breach attracts a fixed penalty of £250, but you will only be charged once for the same act or omission even if it breaches several listed provisions.
Record keeping 6
Keep and retain required aggregates‑levy records
If your business is liable for the aggregates levy you must maintain a set of specific accounts and supporting documents (invoices, stock records, calculations, etc.) and keep them for at least six years. The records must be kept in the way set out in the relevant published notice, and the Commissioners can tell you to keep them for a shorter period.
Keep required aggregates‑levy records
If your business is a registrable person for the Aggregates Levy, you must maintain a full set of accounts, invoices, stock records and supporting calculations for the levy and any tax‑credit claims. All these records must be kept for at least six years after the relevant event.
Keep required aggregates levy records and retain for six years
If your business is liable for the Aggregates Levy, you must maintain a range of specific accounts and supporting documents – things like the levy account, bad‑debt and tax‑credit accounts, invoices, stock records, and calculations of taxable and exempt aggregate. You must keep all these records for six years from the date they relate to.
Maintain three‑month accounting periods for the aggregates levy
If your business is liable for the aggregates levy, you must split your financial reporting into three‑month periods. These periods normally end on 31 March, 30 June, 30 September or 31 December, unless the Commissioners tell you to use different dates. You need to keep track of these periods for your levy returns.
Weigh aggregate using a certified weighbridge or approved method
Whenever you extract or sell aggregate, you must measure its weight at the point it is first put to commercial use. Use a weighbridge at an approved site, or if a weighbridge can’t be used, get a written approval for an alternative method. Keep the required records of the weighing and any adjustments (e.g., water content).
Weigh and record aggregate for the Aggregates Levy
Unlimited fineWhen you first sell or otherwise commercially use any aggregate, you must measure its weight on an approved weighbridge (or, if that’s not possible, using a method the Commissioners have approved). You also have to keep the required records and apply any discounts (e.g., for water) as set out in the Commissioners’ notice.
Reporting and filing 6
Claim and support any Aggregates Levy tax credit correctly
If your business is entitled to a tax credit under the Aggregates Levy regulations, you must claim it in the period’s AL return, keep the required records and provide full details to HM Revenue & Customs. If you claim more credit than the levy you owe, you must repay the excess and may need to adjust future returns.
Claim any tax credit on your Aggregates Levy return
If your business is entitled to a tax credit under the Aggregates Levy regulations, you must include that credit in the levy return for the accounting period in which it arises. You must keep the required records and provide full details to HMRC when you make the claim.
Claim repayment of tax credit after registration cancellation
If the Commissioners cancel your aggregates‑levy registration and you are no longer a registrable person, you must put in writing a claim for the tax credit you are owed. The claim must include details of the levy return, the amount paid, why the credit arises and any supporting paperwork, and you must have filed all required returns before the claim can be paid.
Correct errors in your Aggregates Levy return
If you discover that a levy return you have already submitted is wrong – either you have under‑paid or over‑paid – you must fix it. You need to adjust the amount you owe (add if you under‑paid, deduct if you over‑paid) and tell the Commissioners in writing, within the time limits they set (normally within three years of the relevant accounting period). Keep records of the correction and any extra payment you make.
Submit complete and signed aggregates levy return
Each accounting period you must fill in an aggregates levy return that shows the levy you owe, any adjustments or error corrections, and all other information the form asks for. The return must be accurate, signed (or electronically signed) and sent in the way the Commissioners prescribe. In short, you need to calculate your levy, complete the form correctly and confirm it with your signature.
Submit written claim for overpaid Aggregates Levy
If your business has paid the Aggregates Levy when you were not actually liable, you must send a written claim to the Commissioners. The claim must say how much you are asking back and show, with any documents you have, how you worked out that amount. This lets the tax authority process your repayment.
Penalties for non-compliance
2 penalties under this legislation. 1 carry an unlimited fine.
Weigh and record aggregate for the Aggregates Levy
Unlimited fine
Fail to comply with Aggregates Levy requirements
Fine up to £250
Practical guidance
Our guides explain how to comply with the requirements above.
Sections and provisions
40 classified provisions from this legislation.
Duties 25
- s.3 Determination of the weight of aggregate quantity of aggregate
- s.4 Determination of the weight of aggregate quantity of aggregate
- s.5 Accounting periods
- s.7 Content of returns The registrable person
- s.8 Payment
- s.9 Records return pursuant
- s.10 Records return pursuant
- s.11 Records return pursuant
- s.14 Tax credits: general a person
- s.15 Tax credits: general a person
- s.16 Tax credits: general a person
- s.19 Form and manner of claim for repayment of overpaid AL
- s.20 Tax credits and other repayments: unjust enrichment—reimbursement arrangements to be disregarded The claimant
- s.21 Tax credits and other repayments: unjust enrichment—reimbursement arrangements to be disregarded The claimant
- s.22 Tax credits and other repayments: unjust enrichment—reimbursement arrangements to be disregarded The claimant
- s.23 Tax credits and other repayments: unjust enrichment—reimbursement arrangements to be disregarded The claimant
- s.24 Tax credits and other repayments: unjust enrichment—reimbursement arrangements to be disregarded The claimant
- s.25 Tax credits and other repayments: unjust enrichment—reimbursement arrangements to be disregarded The claimant
- s.26 Tax credits and other repayments: unjust enrichment—reimbursement arrangements to be disregarded The claimant
- s.27 Correction of errors in AL returns inaccuracy
- ... and 5 more duties