Value Added Tax Consolidation Act 2010 Schedule 3 paragraph 17

Energy products and supplies

Schedule 3, paragraph 17 applies the reduced rate of VAT to supplies of energy products including solid fuels, electricity, gas used for heating or lighting, and hydrocarbon heating oil.

• Solid fuels such as coal and peat, electricity, qualifying gas, and hydrocarbon heating oil are taxed at the reduced VAT rate rather than the standard rate
• Gas qualifies for the reduced rate only where it is used for domestic or industrial heating or lighting, with specific exclusions for vehicle gas, LPG used as propellant, welding or cutting gas, and lighter fuel
• Electricity distribution is excluded from the reduced rate where the distribution relates wholly or mainly to the transmission of communication signals
• Hydrocarbon heating oil qualifies for the reduced rate but marked gas oil (that is, green diesel marked under the Mineral Oil Tax Regulations 2012) is excluded