How can government help business?
1 Define ‘trivial’. In terms of taxing a benefit in kind, HMRC teases employers and employees with the notion that some benefits may be so trivial as not to be worthy of mention on its benefits-in-kind declaration form, the P11D. Employer-provided tea and coffee seems to be one and presumably the odd biscuit is too. Much time and angst are expended by employers trying to work out if a benefit is ‘trivial’. Haven’t tax policymakers got better things to do than police a few quid a year? And can the amount it costs to consider and rule on these cases possibly be justified by the tax revenue raised as a result? HMRC should stop being coy and define ‘trivial’. Let me help out. For example, ‘trivial’ means up to £25 a year per employee per benefit and you can have a maximum of three, clearly identified. They aren’t cumulative (so you can’t have £75 on one benefit).
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