Templates for supply of plastic packaging subject to Plastic Packaging Tax
A new plastic packaging tax (“PPT”) was introduced by the Finance Act 2021. It created a liability for this tax on producers of relevant plastic packaging items and on those who arrange to have such packaging imported for them.
The documents in this subfolder include a number of templates which can be used where a seller of goods has incurred PPT on those goods.
The templates are designed to allow the seller to recharge to a buyer the amount of the PPT that the seller has incurred where the seller decides to recoup it by adding it as an additional part of the price. These templates also include other material designed to help sellers of plastic packaging comply with the PPT provisions of the Finance Act.
Templates for supply of plastic packaging subject to Plastic Packaging Tax is part of Business . Just £38.50 + VAT provides unlimited downloads from Business for 1 year.
Frequently Asked Questions
How much is Plastic Packaging Tax? +
For the 2026 to 2027 year the rate is 228.82 pounds per tonne of chargeable plastic packaging, up from 223.69 pounds the year before. It is charged per tonne on packaging that fails the 30 percent recycled-content test. Because the rate is revised annually, check the current figure on GOV.UK before you fix a recharge in a contract. The templates here let you add the tax you have incurred to your price.
I have been charged Plastic Packaging Tax on packaging I supply. Can I pass it on to my buyer? +
Yes, if your contract allows it. Passing the tax on is a commercial decision, not an automatic right, so you recoup it by adding it to the price you charge rather than as a separate levy that flows down the chain like VAT. To do that cleanly you need contract wording that lets you add the tax to the price. The templates in this sub-folder are drafted to let a seller recharge the Plastic Packaging Tax it has incurred.
Do I have to register for Plastic Packaging Tax? +
You must register if you have manufactured or imported 10 tonnes or more of finished plastic packaging components in the last 12 months, or expect to in the next 30 days. The 10-tonne threshold is a rolling test, and you have to register even if most of your packaging contains enough recycled content to escape the tax itself. Registration is with HMRC. These templates support the contractual side once you are within the regime.
What plastic packaging is taxed? +
Plastic Packaging Tax applies to finished plastic packaging components made in or imported into the UK that contain less than 30 percent recycled plastic. Packaging with 30 percent or more recycled content is not taxed, though it can still count towards the 10-tonne registration threshold. Whether a component is caught turns on the recycled-content test, so accurate records of the plastic used are essential. The material in this sub-folder helps with the compliance side.
Do I have to put a Plastic Packaging Tax statement on my invoices? +
No. HMRC planned to require a statement on invoices showing that Plastic Packaging Tax had been paid, but that requirement was dropped and never came into force. You are encouraged to make the tax you have paid visible to business customers, but you are not legally obliged to add a statement to invoices. You do have to keep records of how you worked out your liability, normally for six years. The templates help you recharge and evidence the tax.
