We currently have a number of staff who are homebased and provided with laptops, printers and a broadband connection to enable them to carry out their work effectively. However, I believe that there are a number of tax implications regarding the use of laptops/internet if we are unable to prove that our staff only use them for WORK purposes and never use them for PERSONAL use.
I am also aware that there is a Government Home Computing Scheme, that allows companies to provide such provisions to their staff without being taxed. Having spoken to the Inland Revenue and tried to research this topic further, I was wondering if anyone has come across this before and how they addressed it in terms of consulting with their staff about the tax implications, addressing the issue within their contract of employments etc, as I am somewhat confused!
I look forward to hearing from anyone who has a potential solution. Thank you.
Many thanks
Sarah Hodgson
Sarah Hodgson
4 Responses
Broadband should be provided
With the increase in costs of the latest connections that will achieve super fast broadband speeds I think it would be a smart idea to fund the service for staff, not as a BIK but as a norm. If the improved broadband speeds allow vpn access then more “work” will be manged from home connections.
Find out how fast you currently are – take the BT broadband speed test
facebook
Following on from this post and the TUC stating that facebook shouldn’t be banned. There was an interesting piece on this mornings news.
Two studio guests – lady from the TUC & chap from federation of small business.
The film report said that in the future, there MAY be scope for a court case over whether access to facebook and other sites.
May be worth googling for the full story ?
http://www.sharp-end-training.co.uk
p38d
A couple of years ago – it may have been before Iain’s comment on the budget. I came across this and it was decreed as a p38d benefits in kind by the payroll manager.
(The staff member concerned was bringing in her bank statements and bt broadband bill and claiming 25 quid or whatever petty cash..)
http://www.sharp-end-training.co.uk
Computers
Against many people’s wishes the Government’s Home Computing Scheme was scrapped at very short notice in the Budget about 2 years ago.
Schemes that already existed were allowed to continue but new schemes only had about 30 days from the notification that the scheme was being scrapped to get themselves setup within the schemes rules.
My understanding is that Broadband is a taxable benefit if used for any private use whilst computer equipment (if available to all directors and employees) up to specified limits is non taxable.