Temporary income tax and NICs exemption for reimbursed expenses of home office equipment


Share

The Income Tax (Exemption for Coronavirus Related Home Office Expenses) Regulations 2020 were made on 20 May and come into force on 11 June. 

The Regulations provide a temporary exemption from income tax and NICs for expenses reimbursed by an employer to an employee where the expenses:

  • Are incurred to purchase equipment obtained for the "sole purpose" of enabling the employee to work from home due to Covid-19; and
  • Had the equipment been provided directly by the employer to the employee it would have been exempt from income tax under s.316 ITEPA 2003.

The Regulations apply to amounts reimbursed on or after 11 June, but before the end of the 2020-21 tax year.


Insight

Health Protection Regulations usher in a new offence for employers

Explore
Insight

Modern Slavery Act: government responds to transparency in supply chains consultation

Explore
Insight

Employment Tribunal Rules & Presidential Guidance on remote Tribunal hearings 

Explore
Insight

The latest on the Job Support Scheme

Explore
Insight

Employee suffering from paranoid delusions did not have a disability

Explore
Insight

Police force could rely on officers' WhatsApp messages in misconduct proceedings

Explore