Private use record
Recap. In the 2006 Budget the Chancellor announced that the tax exemption that applied to computers provided by employers which were used privately by employees and cost less than £2,500 including VAT, would be removed for computers first provided after April 5, 2006.
Good news. The Taxman has recently issued a statement (http://www.hmrc.gov.uk/news/home-computer2.htm) to allay fears that a tax charge would arise when you provide computers to enable employees to work from home. His view is that private use of computers provided to employees solely for them to carry out the duties of employment at home is not likely to be significant compared to business use and as a result no income tax charge will arise (under s.316 ITEPA 2003). So you won’tneed to maintain additional records for 2006/7 in order to establish whether significant private use has been made of a computer.
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