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 The Office of Tax Simplification has published an interim report on its work as regards the tax 'reliefs' currently available, which number more than a thousand.

So far, the report has highlighted 3 reliefs that it suggests should be retained, 5 which should be simplified, and 5 which the Office thinks might be abolished.

It is perhaps unsurprising that the 15p a day Luncheon Voucher relief finds itself in the last category, alongside Millenium Gift Aid, Vaccine Research Relief, and the exemption for the first £70 of interest on an NSB ordinary account. That account has effectively been closed, so it will not adversely affect many taxpayers to an appreciable extent.

But the last of the 5 being considered for the chop is for late night taxis home from work, where an employer can pay for up to 60 such a year, without the employee suffering a benefit in kind. This will probably affect many thousands of employees, as it is well known and well used.

However, as the report suggests, it is unfair to employees who have to work late as part of their normal routine, such as shift workers, since they are ineligible under the current rules - the benefit exemption only applies where employee has to work unusually late, outside of normal working hours. And the report also recognises that there is always scope to change the current relief, so that it is more inclusive.

 Having used 13 reliefs to develop the mehodology, the Office of Tax Simplification will consider another 74 reliefs - and a further 75 more, if there is sufficient time before issuing a final report ahead of the 2011 Budget. The report says that VAT reliefs are not being considered in detail, however, "...because of the particularly complex interactions between EU law and UK political commitments."

The report can be found at Office of Tax Simplification Review of Tax Reliefs Interim Report