From April next year, the UK will levy a tax on plastic packaging!
The United Kingdom followed closely, and also issued a new tax-Plastic Packaging Tax, which will apply to companies that manufacture or import certain finished plastic packaging materials, including British and non-UK companies/organizations. It will take effect on April 1, 2022.
The new tax law will have a significant impact on a wide range of industries, including (but not limited to) manufacturing, consumer products, retail, food and beverages, pharmaceuticals and cosmetics. Affected by this, online shopping platforms such as Tesco and Asda and large supermarkets have recently removed a large number of plastic products.
The British government has not yet finally confirmed whether the implementation of the tax law will proceed as planned, but the main provisions required for the promulgation of the tax law are already in place, and further legislation is expected soon.
According to the resolution, British plastic packaging manufacturers, plastic packaging importers, commercial customers of plastic packaging manufacturers and importers, and consumers who purchase plastic packaging products in the UK are obliged to pay.
However, producers and importers of small amounts of plastic packaging will receive tax exemptions to reduce the administrative burden that is disproportionate to the tax payable.
If the goods sold and/or produced use a large amount of plastic packaging on the way to consumers, they are likely to be affected by the new tax. For cross-border sellers, even if it is a multinational company that is not manufactured in the UK, as long as the packaged goods are brought into the UK, this tax may be required to be paid/registered.
All companies that manufacture or import plastic packaging must keep records of the packaging they have manufactured or imported so that they can prove to HMRC whether they need to register for the tax.
PPT will take effect on April 1, 2022, and the portal for HMRC registration and payment of PPT is expected to be available on April 1, 2022, the day the tax takes effect. It is hoped that relevant sellers can make adjustments as soon as possible to prepare for the arrival of the plastic packaging tax.
Source: puworld