New Plastic Packaging Tax – What You Need to Know

Hopefully you have been made aware of the UK Government’s intention to introduce a new Plastic Packaging Tax (PPT). Which will come into affect on the 1st of April 2022. PPT aims to incentivise businesses to use recycled plastic in the production of plastic packaging. After this time, tax at the rate of £200 per ton will have to be paid on any plastic packaging that falls within the tax rules. As a manufacturer of plastic goods, we will be registering with HMRC so this tax can be paid.

Who is Liable?

The tax is liable by the company that makes that last major modification to the plastic product/raw material. Printing and lamination are classed as major modifications. In most cases this makes Label Solutions responsible for paying HMRC the plastic tax rather than its customers.

To ensure our customers know which products have been liable for the tax we will state on our final invoices “PPT has been paid against liable products on this invoice”. This will give you traceability to show that the PPT was paid by Label Solutions at the last point of significant modification.

If you have specific questions about the PPT we recommend contacting the HMRC or the BPIF on the following links: [email protected] or [email protected]

Due to the complex nature of our industry there are still changes being made to the Tax legislation. We would recommend keeping up to date with these through the BPIF and the HMRC.

Our Social Responsibility

We believe in our social responsibility. As a custom label printer we are aware of the challenges of becoming more environmentally friendly. We commit to making strides to improve our impact daily. To find out more about our eco friendly options visit our Eco Friendlier label and sticker printing page.

Speak with us today on 01277 568822, to find out how Label Solutions can help your business overcome the challenges facing your label manufacturing process.