In connection with the establishment of the database on fuel handling, the existing basis for determination of security shall change as from 1 February 2019 and the quantitative restriction on sales of fuel shall become applicable according to which the quantities of fuel only covered by the security may be sold.
Security can still be provided as a surety, a deposit or a mortgage (§ 122 of the Taxation Act).
Presentation of security shall be a precondition for the validity of an authorization for the sale of fuel. The security of the seller of a fuel which has been released for consumption may not be less than 5,000 euros (subsection 42 (2) of the Liquid Fuel Act, in Estonian). The security of the person having the notation of release of fuel for consumption and the notation of tax warehousing or holding an authorization for import of fuel shall amount to 1,000,000 euros (subsection 42 (1) of the Liquid Fuel Act, in Estonian).
In connection with the amendments, the Estonian Tax and Customs Board (ETCB) shall review the securities provided by the sellers of fuel. For this purpose, the sellers of fuel shall have to submit data to the ETCB e-mail address email@example.com by 15 November 2018 at the latest about quantities of fuel to be planned to sell during the two calendar months in succession (i.e. November and December 2018) (subsection 36 (7) of the Liquid Fuel Act, in Estonian).
On 15 December 2018 at the latest, the ETCB shall determine a new security and shall issue a decision on determination of security. The seller of fuel shall have to provide a security on the new basis by 31 January 2019 at the latest (subsection 36 (8) of the Liquid Fuel Act, in Estonian).
Beginning from 1 February 2019, restriction on sales of fuel shall be imposed on the seller of fuel who has not submitted the data to ETCB in time about quantities to be planned to sell. The imposition of restriction means that the fuel which has been released for consumption may be sold hereafter per calendar month in quantities covered by the provided security. If the provided security is less than 5,000 euros as at 1 February 2019, ETCB shall suspend the validity of the authorization (subsection 36 (9) of the Liquid Fuel Act, in Estonian).
A seller of fuel who wishes, as from 1 February 2019, to continue the exercise of the right to import fuel, the right of release of fuel for consumption and of terminating the tax warehousing of fuel and whose security has been reduced below 1,000,000 euros by the decision of the ETCB, shall have to provide a security amounting to 1,000,000 euros by 31 January 2019 at the latest. If the security is less than 1,000,000 euros as at 1 February 2019, the ETCB shall suspend the validity of the authorization (subsection 36 (10) of the Liquid Fuel Act, in Estonian).