Landfill Tax: Difference between revisions

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The Landfill Tax in the UK is applied to wastes that go to landfill, which increases the overall cost of landfill.

== Overview ==

The Landfill Tax in the UK is applied to wastes that go to landfill, which increases the overall cost of landfill. The tax is applied per tonne of waste, applied in addition to the [[Gate Fee|gate fee]] charged by the landfill operator, who is responsible for charging and collecting the tax from the disposer of the waste, and accounting for the tax and paying it to [[HM Revenue and Customs|HMRC]]. In 2017/18 the amount of Landfill Tax collected was £747 million <ref>~~£747 million~~</ref> and VAT is charged on the landfill [[Gate Fee|gate fee]] and the landfill tax.

The Landfill Tax in the UK is applied to wastes that go to landfill, which increases the overall cost of landfill. The tax is applied per tonne of waste, applied in addition to the [[Gate Fee|gate fee]] charged by the landfill operator, who is responsible for charging and collecting the tax from the disposer of the waste, and accounting for the tax and paying it to [[HM Revenue and Customs|HMRC]]. In 2017/18 the amount of Landfill Tax collected was £747 million <ref>[https://www.uktradeinfo.com/Statistics/StatisticalBulletins/Pages/BulletinArchive.aspx?viewname=Landfill%20Tax%20Archive HMRC Statistical Bulletin]</ref> and VAT is charged on the landfill [[Gate Fee|gate fee]] and the landfill tax.

== History ==

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Inactive waste covers most materials used in a building's fabric as well as earth excavated for foundations. Most forms of concrete, brick, glass, soil, clay and gravel are classified as inactive. [[HM Revenue and Customs|HMRC]] has further clarified that waste with a [[Loss of Ignition Test]] (LOI) demonstrating an organic content of less than 10% is required to demonstrate the waste is inactive.

Active waste covers all other forms of waste such as wood, duct work, piping, plastics and mixed residual waste. Operators have in the past mitigated their tax liability by the utilization of exemptions of the Landfill Tax for certain sites (i.e. quarries that require restoration with inert soils) and for certain uses in a landfill sites (i.e. by using waste derived stone to replace virgin stone used in engineering/construction of a site).

== Rates ==

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| 01.04.18 || £88.95 || £2.80

|}

== Impact ==

Landfill tonnage has progressively dropped with the introduction and progressive increase in Landfill Tax:

Landfill tonnage of active waste at standard rates has progressively dropped with the introduction and progressive increase in Landfill Tax, with inactive waste at lower rates remaining reasonably static:

~~insert graph~~

[[File:Landfill Tonnage Over Time.png|none|Landfill Tonnage Over Time]]

There is evidence to suggest that the impact of increased recycling as a result of the Landfill Tax has slowed over recent years:

~~insert graph~~

[[File:LTF Graph Compared to Recycling Rate.png|none|Landfill Tax vs Recycling Rates]]

== Landfill Tax Credit Scheme ==

Landfill operators are able to make payments to organisations that qualify under the Landfill Communities Fund under the Landfill Tax Credit Scheme, rebating a proportion of the landfill tax collected for qualifying community or environmental projects in the vicinity of a landfill sites and is regulated by ENTRUST, with £37.8 million<ref>[https://www.uktradeinfo.com/Statistics/StatisticalBulletins/Pages/BulletinArchive.aspx?viewname=Landfill%20Tax%20Archive HMRC Statistical Bulletin]</ref> rebated in the 2017/18 tax year.

~~== Landfill Tax Credit Scheme ==~~

Landfill operators are able to make payments to organisations that qualify under the Landfill Communities Fund under the Landfill Tax Credit Scheme, rebating a proportion of the landfill tax collected for qualifying community or environmental projects in the vicinity of a landfill sites and is regulated by ENTRUST, with £37.8 million <ref>~~£37~~.~~8 million~~</ref> rebated in the 2017/18 tax year.

@@ Line 1: / Line 1: @@
 The Landfill Tax in the UK is applied to wastes that go to landfill, which increases the overall cost of landfill.
 == Overview ==
-The Landfill Tax in the UK is applied to wastes that go to landfill, which increases the overall cost of landfill. The tax is applied per tonne of waste, applied in addition to the [[Gate Fee|gate fee]] charged by the landfill operator, who is responsible for charging and collecting the tax from the disposer of the waste, and accounting for the tax and paying it to [[HM Revenue and Customs|HMRC]]. In 2017/18 the amount of Landfill Tax collected was £747 million <ref>£747 million</ref> and VAT is charged on the landfill [[Gate Fee|gate fee]] and the landfill tax.
+The Landfill Tax in the UK is applied to wastes that go to landfill, which increases the overall cost of landfill. The tax is applied per tonne of waste, applied in addition to the [[Gate Fee|gate fee]] charged by the landfill operator, who is responsible for charging and collecting the tax from the disposer of the waste, and accounting for the tax and paying it to [[HM Revenue and Customs|HMRC]]. In 2017/18 the amount of Landfill Tax collected was £747 million <ref>[https://www.uktradeinfo.com/Statistics/StatisticalBulletins/Pages/BulletinArchive.aspx?viewname=Landfill%20Tax%20Archive HMRC Statistical Bulletin]</ref> and VAT is charged on the landfill [[Gate Fee|gate fee]] and the landfill tax.
 == History ==
@@ Line 11: / Line 12: @@
 Inactive waste covers most materials used in a building's fabric as well as earth excavated for foundations. Most forms of concrete, brick, glass, soil, clay and gravel are classified as inactive. [[HM Revenue and Customs|HMRC]] has further clarified that waste with a [[Loss of Ignition Test]] (LOI) demonstrating an organic content of less than 10% is required to demonstrate the waste is inactive.
 Active waste covers all other forms of waste such as wood, duct work, piping, plastics and mixed residual waste. Operators have in the past mitigated their tax liability by the utilization of exemptions of the Landfill Tax for certain sites (i.e. quarries that require restoration with inert soils) and for certain uses in a landfill sites (i.e. by using waste derived stone to replace virgin stone used in engineering/construction of a site).
 == Rates ==
@@ Line 66: / Line 67: @@
 | 01.04.18 || £88.95 || £2.80
 |}
 == Impact ==
-Landfill tonnage has progressively dropped with the introduction and progressive increase in Landfill Tax:
+Landfill tonnage of active waste at standard rates has progressively dropped with the introduction and progressive increase in Landfill Tax, with inactive waste at lower rates remaining reasonably static:
-                   insert graph
+[[File:Landfill Tonnage Over Time.png|none|Landfill Tonnage Over Time]]
 There is evidence to suggest that the impact of increased recycling as a result of the Landfill Tax has slowed over recent years:
-                   insert graph
+[[File:LTF Graph Compared to Recycling Rate.png|none|Landfill Tax vs Recycling Rates]]
+== Landfill Tax Credit Scheme ==
+Landfill operators are able to make payments to organisations that qualify under the Landfill Communities Fund under the Landfill Tax Credit Scheme, rebating a proportion of the landfill tax collected for qualifying community or environmental projects in the vicinity of a landfill sites and is regulated by ENTRUST, with £37.8 million<ref>[https://www.uktradeinfo.com/Statistics/StatisticalBulletins/Pages/BulletinArchive.aspx?viewname=Landfill%20Tax%20Archive HMRC Statistical Bulletin]</ref> rebated in the 2017/18 tax year.
-== Landfill Tax Credit Scheme ==
-Landfill operators are able to make payments to organisations that qualify under the Landfill Communities Fund under the Landfill Tax Credit Scheme, rebating a proportion of the landfill tax collected for qualifying community or environmental projects in the vicinity of a landfill sites and is regulated by ENTRUST, with £37.8 million <ref>£37.8 million</ref> rebated in the 2017/18 tax year.