This research work presents the development of a prototype short distance, full duplex data transfer system using red pointer module as the light transmitter and PIN photodiode as the receiver. The system is low cost, stable, and has low power consumption.) This data transfer unit is connected to a computer system using the Prolific USB-to-Serial Com Port chipset which also uses the computer as its power source. The unit is used for data transfers between two nearby computer systems or peripheral devices. In this work, a data transfer program is developed. The program was written in the visual C# language. It is convenient to specify the COM port and the appropriate bit rates. Data transfers of both text and graphical data are tested and results are discussed; both with and without moving object interferences. This data transfer unit has the potential for applications in EMI-sensitive environments and moving objects interferences.