I run a small company from my home, there are two employees. This involves my accounting for telephone costs, paying out for public transport, hotels, etc.
I thought it might be sensible to apply for a dispensation from submitting P9D forms. It quickly became clear that the dispensation procedure was more suited to large companies and it was more onerous to get the dispensation than to submit the forms.
There should be an enlarged set of criteria, which, if met would not require P9D forms. This would be analagous to the flat rate VAT system – something simple for small businesses.
A simple principle should replace the form – if staff benefit personally from company activities, then they are taxed. Otherwise no records.
Why does this idea matter?
P9D forms are a bind to fill in, they are no doubt a bind to evaluate. Both business and HMG can do without the cost of the red tape.