Lovat Newsletter – June 2026
Lovat Newsletter – June 2026
Product Update
EPR Consolidation Now Available in L’EPR
Companies can now handle all EPR obligations across 30+ countries through a single Lovat account. The service covers every major product category — packaging, electronics, batteries, textiles, and more — and takes care of registrations, reporting, and authorised representatives in one centralised workflow.
Extended producer responsibility requirements differ significantly from country to country: registration bodies, reporting timelines, and fee structures all vary. Handling these obligations through multiple local providers adds operational complexity and increases compliance risk. EPR Consolidation eliminates that burden by giving businesses a single point of control for all their producer responsibility obligations across the EU and beyond.
Digital Product Passports for Packaging
Running out of label space? Lovat’s international labelling solution lets you link to full recycling and compliance instructions via URL or QR code — keeping packaging clean and your business compliant.
Under PPWR and GPSR, producers must provide consumers with clear disposal and recycling instructions. For packaging with limited space — small formats, secondary packaging, or multi-market products — meeting these requirements without physical label changes is a real challenge. Each QR code or URL links to a digital layer containing EPR registration data, material codes, recycling instructions, and country-specific information that can be updated in real time without reprinting.
Billing History & Payments Redesign
Invoices, payments, and credit notes are now organised in separate tabs with cleaner navigation, clearer status indicators, and a new overview for credits and request funds.
The updated Billing History section brings all key billing documents together in one place. Dedicated tabs for invoices, payments, and credit notes make navigation more straightforward, while improved side drawers allow detailed document views without leaving the current page. The Payments section now includes separate areas for payment method, billing currency, and billing contacts — making it faster to update payment details and manage currency preferences across your Lovat account.
Security History
Account access logs are now available in a dedicated Security History section, giving you a clear view of account activity without having to search through unrelated settings.
For businesses managing compliance data across multiple users and markets, visibility into account activity supports internal governance. The new Security History section provides an accessible log of access events, making it straightforward to monitor who has accessed your account and when.
EPR News
France Expands EPR to Professional Packaging from 1 July 2026
B2B packaging, transport packaging, and industrial packaging will come under a new extended producer responsibility scheme in France from 1 July 2026. Companies supplying or using professional packaging in France should confirm their producer or distributor status, review registration requirements with the relevant eco-organisation, and start collecting packaging data ahead of the reporting deadline.
This expansion reflects a broader EU trend toward closing exemptions that previously excluded business-to-business packaging from EPR obligations. France is among the first Member States to formalise B2B packaging EPR ahead of the wider PPWR framework, making the July 2026 deadline an immediate compliance priority for businesses operating in the French market.
Washington State Launches Packaging EPR
Producers must register with a Producer Responsibility Organisation by 1 July 2026. The requirement covers brands, importers, private label sellers, and e-commerce companies selling packaged or paper products in Washington State.
Washington’s packaging EPR programme is the first of its kind to reach the registration stage in the United States, signalling a broader shift in US regulatory policy toward producer-funded collection and recycling systems. Companies selling consumer packaged goods or paper products into Washington should confirm whether they qualify as a producer under the programme, prepare their packaging data, and complete registration before the deadline.
California Introduces the First Textile EPR Law in the US
Under SB 707, textile producers selling in California must join an approved producer responsibility organisation. Companies should prepare for registration and compliance requirements by 1 July 2026.
SB 707 establishes the first mandatory textile EPR programme in the United States, covering apparel, footwear, and home textiles sold in California. Producers — including brands, importers, and private label sellers — will need to register with an approved PRO and contribute to a funded system for textile collection and recycling. Given California’s influence on US regulation, companies selling textiles nationally should treat SB 707 as an early indicator of wider producer responsibility requirements to come.
Lovat makes EPR rules easy to follow. We register, report, and ensure your avoidance of costly fines — all in one place.
PPWR
How to Split PPWR Duties with Your EU Distributors
Under PPWR, either the local distributor registers as the “first placer” and handles compliance locally, or the manufacturer registers directly and provides an EPR number to the distributor. Both approaches are fully compliant — the right choice depends on your supply chain structure.
The Packaging and Packaging Waste Regulation introduces the concept of the “first placer” — the economic operator that first makes packaging available on the EU market. For international manufacturers selling through EU distributors, clarifying who holds first placer status has direct implications for EPR registration, reporting obligations, and authorised representative requirements. Addressing this in distribution agreements now avoids ambiguity when national regulators begin enforcement.
How to Conduct a Packaging Audit for EU Requirements
A step-by-step guide covering material classification, recyclability assessment, EPR registration checks, and labelling review under PPWR — including the most common compliance gaps and how to address them before regulators do.
A packaging audit is the foundation of any serious PPWR compliance programme. It identifies which materials are used across your packaging portfolio, whether those materials meet PPWR recyclability requirements, which markets require EPR registration, and whether current labelling satisfies PPWR and national rules. For companies managing packaging across multiple EU markets, a structured audit helps prioritise which gaps carry the most regulatory risk.
PPWR 2026 Postponement — What You Need to Know
The proposed delay to 2035 applies only to EU-based companies. For non-EU sellers, the 12 August 2026 Authorised Representative deadline remains unchanged.
The European Commission’s proposed postponement has created confusion about which deadlines are still in force. The key distinction is between EU-established companies — which may benefit from the extended transition — and non-EU sellers placing packaged products on the EU market. For non-EU companies, the requirement to appoint an Authorised Representative under PPWR applies from 12 August 2026 and is not affected by the proposed postponement.
Lovat helps businesses prepare for PPWR and stay compliant with evolving EU packaging rules — all in one place.
We are here to support your compliance journey. If you have questions or need assistance, feel free to reach out to our dedicated team.
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Common Questions About
Exempt And Zero Rated Supplies
Is vat exempt meaning the same as zero-rated
No. Exempt supplies sit outside this levy entirely, with no input tax recovery. Zero-rated supplies stay taxable, charged at 0%, with full recovery rights. Seeing no VAT or zero rated on an invoice tells you nothing about which one actually applies.
What is zero rated VAT used for
It applies mainly to essential goods governments want to keep affordable. Food, books, children’s clothing, and qualifying exports are typical examples.
Can a business reclaim VAT on exempt purchases
Generally, no. A fully exempt business usually cannot register for VAT. It therefore cannot reclaim any related input tax either.
What does out of scope for VAT actually mean
It means no VAT supply ever existed. Wages, dividends, fines, and certain overseas services fall into this group. Anything genuinely vat out of scope never appears on a return.
How do I know which tax category applies to my sales
Check your local tax authority’s published guidance for your sector first. A tax specialist can confirm the correct treatment quickly.
Still unsure whether your latest product line counts as VAT exempt, zero-rated, or out of scope? The vatcompliance.co team reviews your supply chain and confirms the right treatment within days. Talk to a VAT expert


