HMRC Consults on Plastic Packaging Tax Mass Balance Rules for Chemical Recycling

• HMRC has published draft legislation and guidance for a mass balance approach (MBA) for chemically recycled plastic under the Plastic Packaging Tax (PPT).
• The MBA would be available from 1 April 2027, subject to businesses meeting specified conditions.
• The draft rules require businesses to follow detailed attribution, certification, auditing, monitoring, and record-keeping requirements.
• A draft reference document explains how to apply dual-use factors where needed; default values will be confirmed before final legislation is issued.
• HMRC is consulting on the draft package, with the consultation closing on 21 December 2026.

Source: taxscape.deloitte.com

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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