The private use of a laptop or tablet made available to the employee and paid for by the employer is considered as a benefit in kind subject to regular social security contributions. This benefit in kind is assessed on a flat-rate basis.
The lump sums subject to social security contributions are as follows:
provision of a fixed or portable PC: EUR 72 per year and per device;
provision of a tablet: EUR 36 per year and per device.
Where applicable, the benefit is reduced by the employee's contribution to the costs of private use of the computer/tablet provided. Thus, if the employee reimburses the company for part of the costs associated with the purchase and private use of this equipment, the benefit must be reduced in that proportion.
The NSSO is very strict about (demonstrating) the absence of private use.
The laptop or tablet may sometimes be acquired by the employee at a reduced price after a certain period or at the end of the contract. In such cases, the difference between the device's actual residual market value and the amount paid by the employee is considered as benefit in kind. This benefit is then included in the calculation of the employee’s remuneration and is subject to regular social security contributions. However, if the employee acquires the device at its actual residual value, no benefit in kind is recognized, and no additional social security contributions are due. It is important to note that the company's tax depreciation of the device has no impact on the determination of its actual residual value.
Worker Taxations Description
The private use of a laptop or tablet made available to the employee and paid for by the employer, is considered to be a taxable benefit in kind. This benefit in kind is assessed on a flat-rate basis.
The following lump sums apply:
provision of a fixed or portable PC: EUR 72 per year and per device;
provision of a tablet: EUR 36 per year and per device.
Where applicable, the benefit is reduced by the employee's contribution to the costs of private use of the computer/tablet provided. Thus, if the employee reimburses the company for part of the costs associated with the purchase and private use of this equipment, the taxable benefit must be reduced in that proportion.
If the beneficiary of the device purchases it for a price lower than its actual residual market value, the difference constitutes a benefit in kind and is subject to taxation. No benefit in kind applies if the purchase price matches the actual residual value. The device's tax depreciation is not relevant for determining the residual value when calculating this benefit in kind.
Employer Deductibility Description
Expenses incurred for the private use of a laptop or tablet made available to an employee are deductible as professional expenses (provided that it is included in the annual tax statements (failure to do so will result in the application of the special tax on secret commissions of 100%, which is not deductible as a professional expense for corporation tax purposes)). Where applicable, expenses incurred for the professional use of a laptop or tablet made available are also deductible as professional expenses.
