A novel universal and fault-tolerant basis (set of gates) for quantum computation is described. Such a set is necessary to perform quantum computation in a realistic noisy environment. The new basis consists of two single-qubit gates (Hadamard and /spl sigma//sub z//sup 1/4 /) and one double-qubit gate (Controlled-NOT). Since the set consisting of Controlled-NOT and Hadamard gates is not universal, the new basis achieves universality by including only one additional elementary (in the sense that it does not include angles that are irrational multiples of /spl pi/) single-qubit gate, and hence, is potentially the simplest universal basis that one can construct. We also provide an alternative proof of universality for the only other known class of universal and fault-tolerant basis proposed by P.W. Shor (1996) and A.Y. Kitaev (1997).