- HMRC has published Revenue and Customs Brief 7 (2024) regarding the VAT treatment of voluntary carbon credits from 1 September 2024
- Voluntary carbon credits that will be in the scope of the Terminal Markets Order
- Carbon credits represent a reduction or removal of one metric tonne of carbon dioxide
- Voluntary carbon credits are currently treated as outside the scope of UK VAT
- Changes in the voluntary carbon credit market have led to the decision that the sale of these credits must be treated as taxable for VAT from 1 September 2024
Source:
- marcusward.co
- HMRC – Policy paper Revenue and Customs Brief 7 (2024): VAT Treatment of Voluntary Carbon Credits
Note that this post was (partially) written with the help of AI. It is always useful to review the original source material, and where needed to obtain (local) advice from a specialist.
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