<b>Budget 2006:</b> Home Computer Initiative ended by new benefit in kind rules for mobiles and PCs. By John Stokdyk
The Home Computing Initiative, through which employers are able to subsidise employees's purchase of computer systems, has been effectively closed by a Budget crackdown on electronic benefits in kind.
The HCI scheme introduced in the 1999 Finance Act will cease with effect from 6 April, an HMRC spokeswoman confirmed.
The exemption allowing employees to borrow personal computers from their employers for home use free of any tax liability as a benefit in kind will be changed, along with simlar provisions covering mobile phones set out in Budget Note 30 http://www.hmrc.gov.uk/budget2