Plastic packaging tax is an indirect tax applied to plastic packaging components produced in, or imported into, the Island. The aim of the tax is to reduce environmental harm by discouraging the use of new plastics and encouraging the use of recycled materials to promote sustainable economy practices.
From 1 April 2026, the rate of plastic packaging tax will increase from £223.69 per tonne to £228.82 per tonne.
The increase in the plastic packaging tax rate will apply to manufacturers and importers of finished plastic packaging components
Under the 1979 Customs and Excise Agreement, for the purposes of VAT, customs and most excise duties, the UK and the IoM are treated as one territory. As a result, the Isle of Man is required to keep its Plastic Packaging Tax rate aligned with the UK rate.
If you require further guidance or advice, please contact us on:
Email: customs@gov.im
Telephone: +44 1624 648100
(Monday to Friday 8:30am to 4:30pm)
