Plastic Packaging Tax comes into force this April

The UK government will introduce the Plastic Packaging Tax (PPT) on 1 April 2022.

28 Mar 2022

The UK government will introduce the Plastic Packaging Tax (PPT) on 1 April 2022.

From this date, firms that manufacture or import plastic packaging must check if they are liable for the PPT. Firms will have 30 days to register for the tax from the date they become liable.

Businesses will not need to file a PPT return or pay the tax until July‌‌‌ ‌‌2022 at the earliest. However, they may need to register before this point.

The government says the PPT will incentivise businesses to use recycled plastic in the production of plastic packaging. Manufacturing or importing ten tonnes or more of plastic packaging containing less than 30% recycled plastic will be taxed at £200 per tonne.

Businesses over the registration threshold who already include recycled plastic in their packaging will still need to register but will not pay any tax. 

The government said: 'Businesses who import plastic packaging need to check who is responsible for complying with and paying the PPT. This is unlikely to be the suppliers.

'The retailer is the consignee and in control of the import, so are the businesses who will need to register for the tax where they pass the ten-tonne registration threshold.

'If businesses import finished plastic packaging components using incoterms, they will need to agree with the other business about who is responsible for including the details on their PPT return and paying the tax.'

More information about the PPT can be found here

Aside image

Accountancy services tailored to you.

Find out more »

Aside image

Are you tired of bookkeeping?

Find out more »

Aside image

Is your business just starting up?

Find out more »

Aside image

Are you paying the right amount of VAT?

Find out more »

Aside image

Struggling with your self assessment tax return?

Find out more »

Aside image

Looking for more than just compliance services?

Find out more »

Why not register to receive our Monthly Newswire?

Once a month we'll send you an email packed full of essential business news and handy tax tips to help save you money.

Sign up now