There was discussion of the proposals HMRC had consulted on earlier. There was some business concern that some of the rates were too low, particularly re breakfast and that the five-mile rule was overly bureaucratic. There was also concern about the withdrawal of the 'friends and family' allowance. HMRC defended that this was a concession which was not supported in statute and must now be withdrawn. It had already been withdrawn in the public sector.
HMRC briefed on the changes to be announced re removing some of the requirements for employers to submit P46 CAR returns. This was intended to be a deregulatory step. There was concern on the employer side at the timing of the announcement. It would have been helpful to have had some advance warning. Business also wanted to know if there would still be an option to submit the forms even if it was not mandatory. HMRC could consider further but stressed the intention was deregulatory – there should be no need to submit forms in the circumstances as set out by HMRC.
HMRC drew attention to the changes that had been announced in October 2008 and were not being amended particularly to give dealers greater flexibility on how to aggregate stock, for example up to a regional level.
HMRC gave an update on the problem of incorrect penalty notices being issued. This was a Government Gateway problem and was still being investigated through internal channels. It was however not as widespread as originally thought.
Business asked for an update. HMRC said this was still under review as part of the wider issue of salary sacrifice.
HMRC undertook to advise on how these cases should be treated. Could vouchers still be used was the key issue.
Guy Westhead
8 June 2009
