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: