Ministers are to consider the Landfill Tax and the case for an Incinerator Tax in the light of a report from the Cabinet Office’s Performance and Innovation Unit.
This was apparent in a government response which contained an official reply to a report from the Commons Environmental Audit Committee, which said the fiscal treatment of inert waste – at a lower rate – acted as ‘a perverse incentive’ to use landfills rather than re-use the material.
The government saidÿit was already its intention to increase the tax by £1 per tonne a year until 2004 and it has made it clear ‘that it anticipates the rate of the tax will need to be increased significantly in the medium-term’.
Its claimed the taxÿhas already had ‘a significant impact’ and the quantity of inactive waste going to landfill had fallen 57% since its introduction.ÿ
HMRC compliance crackdown targets SMEs, resulting in £468m for year ending 31 March 2016
Report argues that the government must change the way it makes tax and budget decisions
Committee expresses concern about costs to businesses and April 2018 implementation date
Andrew Tyrie airs views on the Finance Bill, 'Making Tax Policy Better' report, and Brexit