9. Communications and IT

See also:

9.4 Personal Digital Assistants (PDAs) and portable computers

(a) Definition

Personal Digital Assistants (PDAs) are defined as portable communications and data management devices, the primary purpose of which is the transmission, receipt and management of electronic data (e.g. email, internet) or provision of applications via a public electronic communications service.

They may also have secondary voice or telephonic facilities that do not exclude them from this definition. Thus a Blackberry, iPhone, palmtop or handheld computer, or similar that may also provide telephony in addition to its primary data management, computing or communication function, will still be classed as a PDA or portable computer. An iPod, MP3 or MP4 player that also provides data or communication facilities is not a PDA but primarily an entertainment device. Although, for tax purposes, it is classed as a computer, such devices are unlikely to meet business use requirements.

Associated costs include both those related to the equipment for accessing a network or service and the service charges for that access.

PDA costs
The following are considered to be examples of PDA costs:


  • The PDA
  • Any accessories, cases, chargers
  • Hands-free sets


  • Connection charges
  • Rental;
  • Itemized or inclusive call plans

The following are NOT considered to be PDA costs.

Exclusions to the definition of PDAs:

  • Mobile telephones;
  • Fixed-line telephones;
  • Internet, cable or broadband connections;
  • Other computer equipment, including portable or static computers, printers, scanners, etc.

(b) Treatment

For tax purposes PDA hardware and software is treated in the same manner as computers; PDA services, where separately charged, in the same manner as broadband and internet access - see section 9.6.