CCM14390 - Closing the Enquiry: Letter of Acceptance

If the letter of offer can be accepted the following Letter of Acceptance must be issued, signed by the Claimant Compliance Centre Manager (CCCM).

On behalf of the Commissioners for Her Majesty’s Revenue and Customs I accept your (client's) offer dated [DD/MM/YYYY] to pay the sum of £XXXX.XX on the basis set out in the offer.

The amount of £YYYY.YY should be remitted in accordance with the enclosed payslip.

The gross amount of the offer should be entered in the first paragraph and the net amount to be paid after all deductions in the second. The final paragraph should be omitted if the settlement is fully covered by payments on account.

Instalment Offer

For an instalment offer the following letter of acceptance should be issued, signed by the Claimant Compliance Centre Manager (CCCM).

On behalf of the Commissioners for Her Majesty’s Revenue and Customs, I accept your (client's) offer dated [DD/MM/YYYY] to pay the sum of £XXXX.XX on the basis and in the manner set out in the offer.

The first instalment of £YYYY.YY should be remitted in accordance with the enclosed payslip.

The gross amount of the offer should be entered in the first paragraph of the letter.

If the offer states the due date for the first instalment of an instalment offer, you should ensure that the letter of acceptance is issued in sufficient time to reach the claimant before that date, otherwise it will be impossible for them to comply with the terms of the contract. To avoid this problem it is preferable to set the due date for the first instalment by reference to the date on which you issue the acceptance letter.

If an accountant/agent has been acting on behalf of the claimant, the acceptance letter should be addressed to that person and the heading should show the name of the person who has signed the offer. If there is no such agent acting the reference to "client's" should be deleted.

The payslip from the Form 94A – see CCM8600 should be attached to the letter. You should not modify the above wording for the acceptance letters in any way as this forms part of the legally binding contract. If you want to tell them anything else or perhaps return documents, a separate letter should be sent.

Part 2 of the Form 94A should have been detached ready to send to the SAFE Unit, Tax Credits Team, Shipley and you should attach to Part 2 a copy of the letter of offer, a copy of the letter of acceptance and a copy of your Form 94 NTC. Part 3 of the 94A will stay in your papers.

You must pass the papers to your CCCM to formally consider the offer so you should normally prepare the necessary paperwork in advance. They will then arrange for the acceptance to be issued if the settlement is acceptable, and the manager should sign the Form 94 NTC.

For offers that need to be considered by your CCGM, the CCCM should ensure that after the case is authorised the appropriate documentation has been signed and issued, and the settlement is recorded before the case is closed.