Landfill Tax Exemptions

In 2008 the Government sent a significant message to the contaminated land industry regarding its desire to reduce dependence on landfill. The March budget of that year announced that new applications for landfill tax exemption would not be accepted after December 2008, and any landfill tax exemption certificates would only be valid until 31st March 2012. From the 1st April 2012 therefore, landfill tax exemption will cease to exist entirely. This coupled, with the increase in tax on hazardous and high rate non-hazardous waste means that prices for soils received at the gate will soar.

As a land remediation contractor we at Frankis Solutions have recognised this change in the market and have sought to develop alternative ways of working as well as seeking to make the best of the tax regime as it stands. Did you know for example that the benefit of an existing landfill tax exemption will not by default move with the land? That is to say if you are buying land, and costing your remediation with the benefit of an exemption the vendor has obtained, you need to construct your contact carefully to ensure you retain the benefit which, by default, will not pass to you.

In addition with changes in the landfill tax regime came new changes to land remediation relief which provides up to 150% Corporation Tax relief on allowable costs arising our of land contamination. These allowable costs are broader than many clients believe and we endeavour on all our remediation projects to help the client maximise this tax relief.

In addition to the tax regime, we have also sought to develop less reliance on landfill over the years. We have developed a range of technical approaches which maximise reuse of material on-site including bioremediation, stabilisation and in-situ treatments. Frankis Solutions have also worked in partnership with Veolia to offer an off-site soil treatment centre at Veolia’s Pitsea site in Essex. This facility is landfill tax exempt and is able to take inert and non-hazardous soils for recycling and reuse on the landfill.