COM122095 - Repayments / reallocations: non automatic reallocations: reallocation within COTAX - banking operations office (Action Guide)

When using Function REAW, consider steps 1 - 6 below. The guide is presented as follows


Initial action Steps 1 - 2
Reallocation from one company to another Step 3
Reallocation will create an overpayment on the receiving AP Steps 4 - 5
Consideration of Repayment Interest (RPI) Step 6

Initial action

1. Ensure one of the following conditions applies, which gives you responsibility for dealing with the reallocation
 
  • The overpayment appears on the LOPU (Overpayments Review List) work list
 

Note: Where the overpayment was created as the result of carry-back or S458 CTA 2010 (formerly S419(4) ICTA 1988) relief, ask the responsible CT office to deal with the overpayment
 
 
  • The payment was incorrectly allocated
2. If none of the above conditions apply
 
  • Refer the correspondence or enquiry to the responsible CT office or Debt Management Office as appropriate

Top of page

Reallocation from one company to another

3. On receipt of a request to make a reallocation from one company to another
 
  • To correct a payment in error or an incorrect allocation
 
    • Use Function REAW (Reallocation Within COTAX)
 
Otherwise
 
    • Ask the company or agent to send a written application to the responsible CT office, who will deal with it

Top of page

Reallocation will create an overpayment on the receiving AP

4. If the receiving AP is, or will become, overpaid as a result of a reallocation
 
  • Use Function RAPP (Revise AP Pursuit) to set the Inhibit Reallocation and Repayment signal to ‘Y’ on the receiving AP before making the reallocation
 

Note: You cannot make a superseded AP overpaid
5. If the receiving AP has no tax charge and the normal due date has passed
 
  • Check that the company agrees the proposed reallocation before proceeding

Top of page

Consideration of Repayment Interest (RPI)

6. Where no repayment interest (Word 81.5kb) (RPI) is due on the amount to be reallocated, for example, you are correcting an incorrect payment allocation
 
  • Use Function REAW ‘Reallocate a specific payment’ option
 
  • Write to the company explaining how the payment has been reallocated

Home | Main Contents | Manual Contents
Previous Page | Next Page | Top | Menu