Completing a Plastic Packaging Tax Return
Companies that manufacture plastic packaging components in the UK or import them into the UK have to complete a quarterly tax return. If this applies to your business, do you know what to include?
The plastic packaging tax is calculated on the weight and the return must include:
– The weight of all plastic packaging subject to tax
– The weight of all plastic packaging that is exempt from tax – this includes packaging with at least 30% recycled plastic content, components for export and medicinal plastic packaging.
This information will be used to calculate the tax due in that return period. Further information can be found on the Government website.
5 Steps to Avoiding the Plastic Tax
No company wants to pay any more tax than necessary, so how can you bring your quarterly return down?
1. Where there is no other viable option than plastic packaging, invest in recycled plastic options. Packaging with over 30% recycled plastic content is currently exempt from tax.
2. If possible, switch part or all of your packaging to sustainable materials including corrugated cardboard, aluminium, glass and biodegradable film.
3. Contact packaging manufacturers to discuss the alternatives; their advice may open up options that have not previously been considered.
4. Consider refillable packaging and product stockists to reduce the volume of plastic being produced.
5. Use bespoke boxes that are designed to fit the product, to eliminate the need for plastic fillers.
Remember, this tax is an incentive to explore alternative, sustainable packaging options. Preventing plastic waste is important for our world and it is what customers want. The switch away from plastic may not be straightforward, but it will have long term benefits, both financial and environmental.
