Where an employer provides equipment, services or supplies to an employee working at home, there is no tax charge or liability for Class 1A NICs on them if:

• they are used by the employee for work and any private use is not significant and
• they are provided for the sole purpose of allowing the employee to work at home.

This exemption from tax and NICs covers:

• office furniture and equipment (for example desks, storage cabinets and so on)
• normal office or workshop supplies or materials
• computer equipment and Internet access (there is also a separate and limited exemption for computer facilities at the employee's home)
• home telephone lines in some circumstances. Follow this link for more detailed guidance on telephones.

Excluded benefits

The extension, conversion or alteration of any living accommodation is excluded from the exemption for work equipment, supplies and services provided to an employee at home.

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