$link = mssql_connect('dbhost', 'username', 'password');
    mssql_select_db('database', $link);

    // sending data to database
    $utf8 = 'some unicode UTF-8 data';  // some Greek text for example 
    $ucs2 = iconv('UTF-8', 'UCS-2LE', $utf8);

    // converting UCS-2 string into "binary" hexadecimal form
    $arr = unpack('H*hex', $ucs2);
    $hex = "0x{$arr['hex']}";

    // IMPORTANT!
    // please note that value must be passed without apostrophes
    // it should be "... values(0x0123456789ABCEF) ...", not "... values('0x0123456789ABCEF') ..."
    mssql_query("insert into mytable (myfield) values ({$hex})", $link);

    // retrieving data from database
    // IMPORTANT!
    // please note that "varbinary" expects number of bytes
    // in this example it must be 200 (bytes), while size of field is 100 (UCS-2 chars)
    $result = mssql_query("select convert(varbinary(200), myfield) from mytable", $link);

    while (($row = mssql_fetch_array($result, MSSQL_BOTH)))
    {
        // we get data in UCS-2
        // Encode it back to UTF-8
        echo(iconv('UCS-2LE', 'UTF-8', $row['myfield']));
    }

    mssql_free_result($result);
    mssql_close($link);