Changes come into effect from 1 April
Treasury says it had no choice but to follow the United Kingdom's changes to red diesel.
New rules will come into effect from 1 April.
The fuel won't be allowed in construction machinery or appliances, in commercial buildings, for haulage or plant hire or during airport and port operations.
You can find out more HERE.
Minister David Ashford says due to a reciprocal agreement with the UK the new rule automatically apply to the Isle of Man:
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