SLfT7001 - The Scottish Landfill Communities Fund

Introduction to Chapter 7 of the SLfT legislation guidance covering the Scottish Landfill Communities Fund.

This guidance has been produced by Revenue Scotland to help landfill operators understand their roles and responsibilities under the new Scottish Landfill Communities Fund (SLCF).

The SLCF scheme encourages landfill site operators to provide contributions to organisations (‘approved bodies’) approved by the regulator, which in turn fund community and environmental projects. The SLCF only applies to Scottish Landfill Tax (SLfT) and not to UK Landfill Tax. For further guidance on transitional arrangements in relation to both the UK Landfill Communities Fund and the SLCF see SLfT7018. The objects of the scheme are outlined in regulation 29(5) of The Scottish Landfill Tax (Administration) Regulations 2015

Under the scheme you can claim a tax credit for contributions you make to approved bodies. These organisations are those registered by SEPA, the regulatory body responsible for regulating the scheme on behalf of us.

You can claim a tax credit equal to 90% of any qualifying contribution that you make to an approved body for spending on a project meeting the objects of the scheme subject to a maximum percentage of your SLfT liability during your contribution year.

The maximum percentage credit may be liable to change each year as announced in the Scottish Budget and agreed by the Scottish Parliament. The current percentage credit is 5.6% of your SLfT liability.

A contribution payment must have been received by the approved body before it can be declared on the SLfT return and the appropriate credit claimed.

Unless indicated otherwise, references in this chapter to:

  • ‘the regulator’ mean the Scottish Environment Protection Agency or ‘SEPA’;
  • ‘the scheme’ mean the Scottish Landfill Communities Fund;
  • 'we', ‘us’ or 'our' mean Revenue Scotland; and
  • 'you' or 'your' mean a landfill site operator (or the person registered with us to carrying out taxable activities in relation to SLfT).

The guidance in this chapter is structured as follows:

SLfT guidance on the background and mechanism of the SLCF, including roles and responsibilities of the regulator, approved bodies and projects.

SLfT guidance on the conditions that must be met before a contribution is deemed as a qualifying contributions for the purposes of the SLCF.

SLfT guidance on the information that landfill operators need to know and understand about approved bodies in the context of the SLCF.

SLfT guidance on the conditions and features that apply to approved objects in the context of the Scottish Landfill Communities Fund.

SLfT guidance on calculating the maximum amount of credit you can claim in relation to the SLCF.

SLfT guidance on determining a landfill operator’s first and subsequent contribution years in relation to the SLCF.

SLfT guidance on how to claim for credit in relation to the SLCF when you are registered or un-registered.

Overview of SLfT guidance covering the circumstances which can affect a landfill operator’s entitlement to credit in relation to the SLCF.

SLfT guidance summarising the various responsibilities that a landfill operator has in relation to the SLCF.

SLfT guidance on the consequences of an approved body failing to comply with its requirements under the SLCF, including its approval being revoked.

SLfT guidance on the transitional arrangements between the UK Landfill Communities Fund scheme  and the Scottish Landfill Communities Fund scheme.