So, since the new Plastic Packaging Tax came into effect on the 1st April 2022, many plastic packaging businesses like ourselves have been adapting our processes to adhere to the new regulations. Where possible we are developing and introducing new products containing 30% recycled content which are exempt from this tax.
But it does appear there has been some confusion across the UK about what it is they need to do, and the government were expecting a lot more companies to register. According to www.circularonline.co.uk in August 2022 “just 992 UK businesses registered to pay the new tax on plastic packaging despite the government suggesting 20,000 businesses would be affected”. As with a lot of new policies there has been some confusion about what is expected and who needs to make changes. Due to this, the government have since been writing to companies advising them to register as they are affected, this has and will continue to ensure the correct companies are adhering to the new Plastic Packaging Tax.
Similarly, HMRC have essentially created a check list and guidance notes, so companies can ensure they don’t owe anything to this tax or having anything left outstanding to do for it. Here is the link for anyone who thinks they need to double check!
How to make do diligence checks for Plastic Packaging Tax - GOV.UK (www.gov.uk)
It can always be daunting when legislation comes into play, but there really is a lot of support out there explained simply, so businesses can get organised regarding this tax. Another beneficial website with a step by step guide to being in control of this is Crowe UK. They are a leading firm in advising businesses on audits and tax etc. In this article, they explain what the tax implications are based on the weight of the plastic being imported. It’s a simple but clear way to understand what’s required of you. Plastic Packaging Tax | Crowe UK
The new Plastic Packaging Tax is certainly here to stay and is also extending out to Europe as we recently discovered from one of our Italian based customers.
To explore our new range of products that are indeed exempt from plastic packaging tax, just go to the following links on our website:
Protective Netting Recycled | Sinclair & Rush UK (sinclair-rush.co.uk)
We hope this article has been informative and as with all taxes, this will soon just be part of the business world, with the aim to reducing unused waste and helping to protect our environment.
