Sign up for tax alert emails    GTNU homepage    Tax newsroom    Email document    Print document    Download document

March 17, 2023
2023-5327

UK increases Plastic Packaging Tax rate

  • The United Kingdom (UK) Tax Authority, His Majesty’s Revenue and Customs (HMRC), issued updated Guidance about registering for the UK Plastic Packaging Tax (PPT).

  • Effective 1 April 2023, the rate of PPT will increase to £210.82 per tonne (from £200 per tonne).

PPT registration

The HMRC Guidance issued on 15 March 2023, reminds businesses that they must register for the UK PPT if they:

  • Expect to import into the UK or manufacture in the UK 10 tonnes or more of finished plastic packaging components in the next 30 days

  • Have imported into the UK or manufactured in the UK 10 tonnes or more of finished plastic packaging components since 1 April 2022

Effective 31 March 2023, the retrospective test will apply on the last day of every month i.e., businesses must register for the PPT if they have imported into the UK or manufactured in the UK 10 tonnes or more of finished plastic packaging components in the previous12 months.

PPT payment

Businesses need to pay the PPT if they have manufactured or imported plastic packaging components which contain less than 30% recycled plastic.

PPT rate increase

The tax came into force on 1 April 2022 and is charged at a rate of:

  • £200 per tonne from 1 April 2022

  • £210.82 per tonne from 1 April 2023

_________________________________________

For additional information with respect to this Alert, please contact the following:

Ernst & Young LLP (United Kingdom), London

 
 

The information contained herein is general in nature and is not intended, and should not be construed, as legal, accounting or tax advice or opinion provided by Ernst & Young LLP to the reader. The reader also is cautioned that this material may not be applicable to, or suitable for, the reader's specific circumstances or needs, and may require consideration of non-tax and other tax factors if any action is to be contemplated. The reader should contact his or her Ernst & Young LLP or other tax professional prior to taking any action based upon this information. Ernst & Young LLP assumes no obligation to inform the reader of any changes in tax laws or other factors that could affect the information contained herein.

 

Copyright © 2024, Ernst & Young LLP.

 

All rights reserved. No part of this document may be reproduced, retransmitted or otherwise redistributed in any form or by any means, electronic or mechanical, including by photocopying, facsimile transmission, recording, rekeying, or using any information storage and retrieval system, without written permission from Ernst & Young LLP.

 

Any U.S. tax advice contained herein was not intended or written to be used, and cannot be used, by the recipient for the purpose of avoiding penalties that may be imposed under the Internal Revenue Code or applicable state or local tax law provisions.

 

"EY" refers to the global organisation, and may refer to one or more, of the member firms of Ernst & Young Global Limited, each of which is a separate legal entity. Ernst & Young Global Limited, a UK company limited by guarantee, does not provide services to clients.

 

Privacy  |  Cookies  |  BCR  |  Legal  |  Global Code of Conduct Opt out of all email from EY Global Limited.

 


Cookie Settings

This site uses cookies to provide you with a personalized browsing experience and allows us to understand more about you. More information on the cookies we use can be found here. By clicking 'Yes, I accept' you agree and consent to our use of cookies. More information on what these cookies are and how we use them, including how you can manage them, is outlined in our Privacy Notice. Please note that your decision to decline the use of cookies is limited to this site only, and not in relation to other EY sites or ey.com. Please refer to the privacy notice/policy on these sites for more information.


Yes, I accept         Find out more