1. What are the differences between the packaging tax and the Packaging Management Resolution?
There are two major differences:
• 1. Focus on consumer packaging
The Resolution was aimed at separate collection and recycling, mainly of consumer packaging (which ends up with the municipality). Businesses with a high percentage of commercial packaging were exempted because commercial packaging recycling is generally well organized. Commercial packaging is not exempted from the new packaging tax. However, different rates are applied for primary and non-primary (secondary/tertiary) packaging. Provide examples!
• 2. Collective implementation
A second major difference is that the Collective Implementation Resolution can be enforced. This is done in floriculture by the ‘packaging waste floriculture collective’. For members of FloraHolland, this means FloraHolland takes care of recording, reporting and financial handling. Unfortunately, it does not currently appear that there can be collective implementation for the packaging tax.
 
2. What is FloraHolland’s role?
On behalf of its members, FloraHolland is in discussions with the government and tax authority to limit the consequences (financial and otherwise) and to achieve a workable situation. FloraHolland is also following all the developments and will inform you as necessary of important matters regarding the new packaging tax. Packaging records and reporting to the tax authority are the individual responsibility of each company or group.

3. How likely is it that the indirect export percentage can be deducted?
Exported packaging does not have to be included for packaging tax. About 85 per cent of floriculture trade is exported. Generally, however, growers deliver the product to a Dutch exporter. According to the definition in the tax act, this constitutes the Dutch market and therefore results in tax. FloraHolland/VBN is working hard to create a scheme in which the percentage of this indirect export can still be deducted from the packaging report for suppliers of floriculture products. The problem is endorsed by various parties. It is difficult to estimate at this point whether the tax authority and the Ministry of Public Housing, Spatial Planning and the Environment will affirm this view.

4. What packaging can be designated primary, secondary or tertiary and what are the consequences?
Different types of packaging are defined. A separate rate applies for each type of material and each type of packaging. The level of the rate is linked to the environmental burden created by the material. On that basis, the rate for primary packaging is higher than for non-primary packaging. Primary packaging is designed for the end user or consumer such that the product and packaging form a sale unit at the point of sale. The packaging directly envelops the product and the product can often not be sold without it (see the tax authority site for further explanation).
Based on this information, our assessment of the different types of packaging used in floriculture is given below.

5. Does a pot for a plant count as packaging?
The flow chart used by the tax authority to evaluate this is given below:
 

In many cases, the pot is needed to contain and support the product for an extended period. In those cases, the pot does not count as packaging. This is different when the pot is removed before the plant is used. According to the current EU packaging directive and the tax measure, the pot is in fact packaging in that case and must therefore be included in your packaging records.
Sometimes it is difficult for businesses to determine whether the consumer removes the pot when using the plant. As a rule of thumb, we recommend that you define the pot as packaging in all cases where you advise consumers to remove it. In any case, it is important for you to be able to indicate what you believe should happen with the pot.

6. Should multi-use packaging be listed as well?
In theory, the first user (filler) of a new multi-use packaging should include it in reporting. However, it is not clear to us at present how individual companies in our sector should record this and how it could be checked. Discussions with the tax authority on this issue are still in progress. Therefore you can disregard multi-use packaging for now.

7. As an importer of floricultural products, should I also record the packaging I dispose of myself and include it in the report for the packaging tax?
Yes. If you bring the product with its packaging to the Dutch market as the first link in the chain, you must include the packaging in your report. If you process imported products and you provide a service in which, for example, you remove flowers from boxes and put them in water, you must include the boxes you dispose of in your tax report. This is the case even if you do not become the owner of the product.

8. How can I get an idea of my packaging use?
You can determine your packaging use in two ways:
• Based on transaction data: you can determine the number of packages from transaction data and then multiply it by the weight. Click here for an overview of auction package weights.
• Supplier data: You can ask your suppliers for delivery data for the packaging delivered. If you add to this your inventory on 1 January and subtract the inventory as at 31 December, you will have your packaging use on an annual basis.
Combining both methods is also an option, of course.

9. What should I do as a producer/importer?
We recommend that you get an idea of the packaging streams in your business. This will enable you to determine whether you should be paying packaging tax and if so, the approximate amount you should take into account.
For some packaging, suppliers themselves are already required to pass the tax on to you and indicate this. The portion for which this is not the case is something you should record yourself.