Small traders want plastic bag tax postponement

Small companies have asked for a postponement of the deadline for the Green Tax on lightweight plastic bags.

The Trade and Services Associations Union (UACS) requested the postponement of the transition period for the application of the 10 cents per plastic bag Green Tax which came into force on Sunday.

The plastic bag tax is 8 cents, plus 2 cents VAT and started yesterday as part of the government’s reform of Green Taxation. The move is an attempt to raise money and to reduce the pollution caused by plastic bags, especially at sea, and follows European guidelines.

In a statement issued today, UACS states that "the transitional period, which ended on February 14th, was clearly inadequate for the sale of stocks of bags and for members to adapt to the new rules that affect the production and marketing chain."

Many customers interviewed say they will resort to reusable bags to avoid shelling out at 10 cents minimum per bag as this is too high a price.

Of the €167 million in Green Taxes budgeted for 2015, just €17 million is destined for green initiatives, the rest is going towards income tax reduction although it is not certain if the amounts will reduce pro rata should the budgeted income not be met.

This 2008 photo shows debris in Hanauma Bay, Hawaii. A new study estimates nearly 270,000 tons of plastic is floating in the world’s oceans. (Uncredited NOAA Pacific Islands Fisheries Science Center file)

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