Many UK employees have continued to work from home since the government put the country into its first lockdown in March 2020.
While the easing of all coronavirus restrictions has been delayed for at least another four weeks, many businesses and their employees are starting to plan their return to the office. For many, this will inevitably mean setting up their workspace with essentials such as a laptop or desk and chair.
If you’re an employer and you’ve supplied employees with office equipment so they can work from home, there is no tax charge when they return the equipment back to you provided there was never a transfer of ownership.
If you transferred the ownership of the equipment to the employee at any stage of their employment however, a benefit charge generally arises on the market value of the equipment at the time of the transfer less any amount made good by the employee.
There is an alternative method for calculating the chargeable benefit when equipment is transferred. You can find out more about this on the gov.uk website.
If you would like help with any tax-related matters, please don’t hesitate to get in touch with PKB.
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