Landfill Tax Set To Rise To £84.40 Per Tonne In 2016

Landfill tax is due to rise with inflation next Wednesday (1 April), taking it from £80 per tonne to £82.60, Her Majesty’s Revenue & Customs (HMRC) confirmed. 

On 1 April 2015 landfill tax will increase in England, Wales and Northern Ireland from £80 to £82.60 per tonne as a result of a change in Finance Act 2014.

This will again increase to £84.40 per tonne for disposals made, or treated as made, in England, Wales and Northern Ireland on or after 1 April 2016, according to a HMRC briefing note.

HMRC – “If you operate landfill sites only in Scotland, HMRC will deregister you from UK landfill tax with effect from 31 March 2015″

The lower rate of tax, which applies to less-polluting wastes listed in the Landfill Tax (Qualifying Material) Order 2011, is currently £2.50 per tonne, having increased from £2 per tonne on 1 April 2008.

This will increase to £2.60 per tonne in England, Wales and Northern Ireland from 1 April 2015 as a result of a change in Finance Act 2014.

This will increase again to £2.65 per tonne for disposals of waste made, or treated as made, in England, Wales and Northern Ireland on or after 1 April 2016.

Scotland

From 1 April 2015, operators of landfill sites in Scotland will no longer be liable to pay UK landfill tax for waste disposed of at their Scottish sites. Instead, they will be liable to register and account for Scottish Landfill Tax (SLfT).

Landfill operators with landfill sites in Scotland are required to notify Revenue Scotland of their intention to carry out taxable activities within 30 days of the earliest date after 15 February 2015 on which they form (or continue to have) the intention to carry out taxable activities in relation to SLfT.

The briefing document, sent out to UK landfill operators, states: “If you operate landfill sites only in Scotland, HMRC will deregister you from UK landfill tax with effect from 31 March 2015.

“We have the information we require and you do not need to take any action to deregister. We will write to you to confirm your deregistration.

“You may have already received a final return on which to account for UK landfill tax up until 31 March 2015 – if not you will receive one very soon. You will have one month, as usual, in which to submit the return and pay any tax due. You must account for tax on all disposals of waste to landfill up to and including the 31 March, even if you issue the invoice after that date.”

For the full briefing document CLICK HERE


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