Taking Account

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  • Taking Account

Home Computer Initiative

June 2006

In his Budget speech March 2006 the Chancellor announced the abolition of the tax exemption on the provision by employers of computer equipment for home use.

Following a number of enquiries the Revenue have now confirmed:

1. That anybody who has a computer made available to them prior to the 6 April 2006 will NOT be affected by the change.

2. If an employee entered into an arrangement with their employers before the 6 April 2006, but due to circumstances outside their control were unable to take delivery until on or after the 6 April 2006, the Revenue accept that the tax exemption will still apply.

It is also worth noting that computers provided by employers and restricted to work use only at home, are still exempt from a tax charge.

Hilton Sharp & Clarke