Plastic Packaging Tax Reporting with PackTotal Software

PackTotal: Making the Complex Simple

From April 2022, businesses in the UK have been navigating the waters of the Plastic Packaging Tax (PPT). This legislation targets plastic packaging producers and importers, currently imposes a tax cost of  £217.85 per metric tonne of non-exempt plastic used in packaging. The rule applies to all plastic packaging that does not contain at least 30% recycled content.

But, as with any new law, the path to compliance can seem fraught with challenges and complexity. That's where PackTotal comes in.

Understanding Plastic Packaging Tax

Before we dive into how PackTotal can ease your PPT responsibilities, let's unpack the tax a bit. The PPT applies to plastic packaging components designed for use in the supply chain or single-use consumer products. Certain exemptions exist, such as packaging with a longer-term primary use or where the packaging content is inherently reliant on the packaging.

Mixed material products are considered plastic packaging and taxed accordingly if plastic is the single largest material by weight. The tax also applies to imported finished packaging and prefilled packaging. However, transport packaging used to import goods is exempt from the tax.

The responsibilities to pay the PPT lies with importers and manufacturers that produce or import ten or more tonnes of plastic packaging over a 12-month period. All businesses dealing with plastic packaging, even if they fall below the threshold, are required to keep records.

Addressing Plastic Packaging Tax Challenges with PackTotal

The difficulties companies face around the Plastic Packaging Tax centre on data collation, understanding exemptions, accurately calculating the total tax due, and handling the complexity around export credits. All this information might be scattered across multiple spreadsheets or systems, making the process even more complex.

If you have spent hours wrestling with spreadsheets trying to calculate your Plastic Packaging Tax figures... or trying to determine which components are tax exempt... or trying to balance imports and exports for tax credit or relief... then you will appreciate just how simple PackTotal makes calculating the figures for your Plastic Packaging Tax return.

Our system allows you to record quantities of products manufactured in the UK, imported, and exported.

PackTotal handles exemptions for specific components or products, calculates credits for exported products, and identifies components missing the necessary data for a complete, accurate tax return.

The software also allows for the recording of all evidence documentation required for a Plastic Packaging Tax audit and provides a dedicated section in the Missing Data reports, pinpointing components missing any necessary Plastic Packaging Tax evidence.

PackTotal then automatically performs calculations to determine all the figures required to be submitted to HMRC, including the total amount payable in taxes.

Recent System Updates and Continuous Support

With the recent changes in the rate charged per tonne of plastic, PackTotal has been updated to reflect these modifications, ensuring your calculations are always up-to-date with the latest legislation.

Navigating the Plastic Packaging Tax doesn't have to be a challenge. Let PackTotal simplify the process and take the guesswork out of your PPT compliance.

Get in touch with us to learn more about how PackTotal can streamline your Plastic Packaging Tax management.