04 October 2021
HMRC Plastic Packaging Tax (PPT) Update
As part of helping businesses prepare for Plastic Packaging Tax (PPT) ahead of its introduction in April 2022, HMRC is sharing the following two updates.
Earlier this year HMRC published ‘Get your business ready for the Plastic Packaging Tax' guidance on GOV.UK, which provides an overview and further information on the tax. The ‘Further information for businesses' part of this guidance has been further updated. This provides greater detail on who is liable to account for the tax, by clarifying when the packaging component is finished, i.e. when the ‘last substantial modification' has taken place. This information is set out in section 2.4 of the guidance.
Decision trees on what plastic packaging is in scope of the tax and who is liable to account for it
HMRC has produced two ‘decision tree' documents to provide a step-by-step guide to assist businesses in:
- Determining if plastic packaging is in scope of the tax, and
- Who is required to account and potentially pay tax on the plastic packaging.
The two documents can be downloaded below.