The changing tax environment

Jayne Harrold and Colin Smith consider the development and implementation of new environmental taxes

With the increased public profile of environmental issues, particularly plastic pollution and climate change, tax has become an important policy lever in helping to drive behavioural change. The development and implementation of new environmental taxes means that more businesses will start to fall within their scope.  

The EU Green Deal published in December 2019 sets out a number of proposals including a new plastic packaging levy which will take effect from 1 January 2021 and consultation on a carbon border adjustment mechanism to apply carbon pricing in some form to imported goods.