work supplying mobile phone

Jet

My employer currently provides me with a contract mobile phone. All charges are paid by my employer. :j

But, will there be any tax implications for me?

Hoddie_2

No. There used to be but not any longer (at least for now).

Petmidget

Quite randomly though from this year, a 2nd mobile supplied by your employer is a taxable benefit.

Why would your employer give you more than 1 mobile??

nielingren

Petmidget wrote:

Quite randomly though from this year, a 2nd mobile supplied by your employer is a taxable benefit.

Why would your employer give you more than 1 mobile??

1 mod phone
2 blackberry (you can phone on this but its crap)
3 3G card for internet might class it as a phone as it has a sim

Hoddie_2

Or for a partner. Some employers give many duplicate benefits (such as company cars) so the husband and wife have one each.

jennifernil

Do you have to declare private calls these days?

Hoddie_2

bobthedog wrote:

Seriously?!?!?

My employer supplies me with both a blackberry AND a mobile.

Should I be scared?

Any solid details about this?

The following snippets from the HMRC site might help...

...the number of phones provided for private use is restricted to one

...mobile phones provided to members of the employee’s family and household are excluded [from the exemption]

...for 2006/07 onwards the definition of a mobile phone is extended to include anything that may be used to gain access to a public electronic communications service. This covers a connection (e.g. a SIM card) provided independently of a mobile phone. For example a SIM card provided by an employer to be used in a mobile phone that belongs to an employee.

...one mobile phone may consist of two connections (e.g. two SIM cards) to the same number, one in a handset and another in a hands-free phone in a car (see EIM21781). However two connections to two different numbers represents two mobile phones.

...does not alter the treatment of mobile phones provided solely for business use, which continue to be exempt under Section 316 ITEPA 2003, as long as any private use is not significant

...If only one mobile phone is provided for both business and private use it will be exempt under section 319. If two mobile phones are provided for business and private use, one will be exempt and the other will represent a benefit.

The new rules seem to be aimed at those who were abusing the exemption on mobile phones. Apparently some were taking a small drop in salary in exchange for much/all of their family being provided with mobile phone benefits. This will no longer be allowed.

paulus

Interestingly the tax man now considers a Blackberry to be a computer rather than a phone. There was an exemption for computers but that too has been withdrawn. However, if a computer is provided for business and any private use is insignificant you should be OK.