Equipment Supplied for Home Office
To make it possible for an employee to work from home, a company may equip him or her with items such as a computer, modem, fax machine, and so forth. The company writes off the equipment the same way it would any business equipment located on its regular business premises. When the equipment is used 100% for business, it will be treated as a tax-free working-condition fringe benefit to the employee. Computers are now so common that many people have their own home computers, so they usually will not be tempted to use the company computer for personal matters. However, to stay on the safe side, and help avoid personal-use valuation problems, employers should have a written policy requiring employees to use employer-provided equipment only for business purposes.
