COM132063 - Returns / notices: return handling: mismatched return CTSA AP (Action Guide)

Initial action

Steps 1 - 3

Carryback postings on AP to be superseded

Steps 4 - 5

Discovery assessment on AP to be superseded

Step 6

Enquiry sig set on AP to be superseded

Step 7

Logged return on AP to be superseded

Steps 8 - 12

Multiple live APs in specified period

Steps 13 - 14

New AP is longer than 12 months

Steps 15 - 19

New AP overlaps AP with logged return

Steps 20 - 24

Start date of new AP before logged rtn

Steps 25 - 28

Start date prior to commencement date

Steps 29 - 30

Start date prior to earliest live AP

Step 31

Start date prior to incorporation date

Steps 32 - 33

1.

If COTAX will not allow you to log the return, check

• The new return details supplied

• Current AP details by using Function DAPD (Display AP Details)

• Current assessment details by using Function DASS (Display Assessment Details)

• Whether the accounts and computations supplied are for a period longer than 12 months

2.

If you discover that the return and attachments are acceptable as submitted

• Pass the return back to the Clerical Caseworker to be logged and captured

And

• Clarify any potentially confusing points

3.

If you discover that further action is required refer to the appropriate section of this Action Guide

4.

If the return does not satisfy the delivery requirement, send it back to the company with a request for early submission of a satisfactory return. Where necessary draw attention to any approaching penalty deadlines

5.

If the return has satisfied the delivery requirement telephone the COTAX Business Help Desk(This text has been withheld because of exemptions in the Freedom of Information Act 2000) for assistance

6.

Pass the return to the Technical Caseworker dealing with the case, to consider what action to take in the light of the information received

7.

Pass the return to the Technical Caseworker dealing with the enquiry, who must consider the return in the course of the enquiry

8.

Investigate the reason for submission of the ‘new’ return as if the existing COTAX record is found to be correct, then both of the returns cannot meet the delivery requirement, but either may

9.

If you discover that the period covered by the earlier return has been incorrectly recorded

• Use Function URTN (Unlog Return) to unlog the earlier return

• Use Function MAPD (Maintain AP Dates) to amend the AP record

• Make any necessary apologies to the company and its agent

• Use Function TAXW (Taxpayer Worklist) to find and deal with any other consequences of the error

And

• Pass the returns back to the Clerical Caseworker to be logged and captured for the correct period(s)

10.

If you discover that there is a simple error in the earlier return, you must decide on the most appropriate way to deal with it, as follows

• To make a formal correction (based upon the information as received), no later than 9 months after the day of receipt of the earlier return. If you decide to do this

• Use Function URTN to unlog the return

• Use Function MAPD to amend the AP record

• Pass the returns back to the Clerical Caseworker to be logged and captured

Note: You must 

1) Instruct the Clerical Caseworker to issue a Correction Notice (Word 27KB) when recording the self assessment (Word 28KB) in Function CRTN (Capture Return)

2) Ensure that when the return is logged again, the date of receipt recorded is the original one

3) Consider the penalty implications of the amending of the AP record. For further information see the 'Penalties' business area

• To have the company or agent deal with it, where you are satisfied this will be done quickly (this can only be done within the 12 months following the end of the return period. Para 15 Sch 18 FA 1998). If you decide to do this

• Agree with the company or agent the action required, and the time scale in which it is to be completed

• B/F the case accordingly, and on receipt of the corrected information

• Use Function URTN to unlog the return

• Use Function MAPD to amend the AP record (if appropriate see 'Manual Linking of CTSA APs' in this business area)

• Pass the returns back to the Clerical Caseworker to be logged and captured

Note: You must 

1) Ensure that when the return is logged again, the date of receipt recorded is the original one

2) Consider the penalty implications of the amending of the AP record. For further information see the 'Penalties' business area

• To open an enquiry into the earlier return (which can only be done where you have not passed the Enquiry Date (Word 30KB)). If you decide to do this

• Use Function MAPS (Maintain AP Signals) to set the Enquiry In Progress signal (Word 27KB)

• If you discover that you need to change the AP record, at this stage or at any time during the enquiry then see details in subject 'Enquiry Into Return For The Wrong Period' (COM71060) in the Enquiries business area

• To proceed informally with agreed amendments to the earlier return. If you decide to do this and, for example, you are out of time to proceed because time limits have expired, but have received the company or agent’s agreement to make the necessary amendments

• Make the necessary adjustments, using whichever of the above methods is most suitable

11.

If you discover that there is a simple error in the ‘new’ return, it is not possible to log it without first correcting the AP. Before you correct the AP structure you will need to unlog the return on the AP to be superseded using function URTN(Unlog Return) and follow the guidance in Step 9. You must decide on the most appropriate way to deal with it, as follows

• To make a formal correction, based upon the information as received, (the recommended course of action) no later than 9 months after the day of its receipt. If you decide to do this

• Enter the corrected figures on the return form in pencil

• Pass the return back to the Clerical Caseworker to be logged and captured

Note: You must

1) Instruct the Clerical Caseworker to issue a Correction Notice when recording the self assessment in Function CRTN

2) Consider the penalty implications of amending of the AP record. For further information see the 'Penalties' business area

• To get the company or agent to take the necessary corrective action, only if you are sure the action will be taken quickly, and that no delay will arise in logging and capturing. If you decide to do this

• Agree with the company or agent the action required, and the time scale in which it is to be completed

• B/F the case accordingly, and on receipt of the corrected information

• Pass the return to the Clerical Caseworker to be logged and captured

Note: You must ensure that on logging the return, the date of receipt recorded is the original one

• To open an enquiry into the return, where you do not believe you can readily ascertain the correct AP, and its use affects future AP records. If you decide to do this

• Log the return for a period that is consistent with the recorded AP pattern, as you cannot log it for the period shown on it

Note: If a Revenue Determination has already been made for an AP ending in the same specified period (Word 27KB), logging the return stands over the tax charge, and capturing the self assessment reduces it to nil

• Capture the return and record the self assessment

And then

• Proceed to open an enquiry on this return

And

• If at any time during the enquiry, it becomes clear that a change to the AP structure is appropriate then see details in the 'Enquiry Into Return For The Wrong Period' (COM71060) in the Enquiries business area

• To proceed informally, for example in a trivial case which has no future effect

• If you are unsure of the best approach to take in such a case, telephone the COTAX Business Help Desk (This text has been withheld because of exemptions in the Freedom of Information Act 2000) for assistance

12.

If you are unable to agree the period of the return with the company or its agent, or the facts are unclear or complex, you can only either

• Open an enquiry into the return, as follows

• Log the return for a period that is consistent with the recorded AP pattern, as you cannot log it for the period shown on it

Note: If a Revenue Determination has already been made for an AP ending in the same specified period, logging the return stands over the tax charge, and capturing the self assessment reduces it to nil

• Capture the return and record the self assessment

And then

• Proceed to open an enquiry on this return

And

• If at any time during the enquiry, it becomes clear that a change to the AP structure is appropriate then see details in the 'Enquiry Into Return For The Wrong Period' (COM71060) in the Enquiries business area

Or

• Dispose of the problem informally, for example in a trivial case which has no future effect

• If you are unsure of the best approach to take in such a case, telephone the COTAX Business Help Desk (This text has been withheld because of exemptions in the Freedom of Information Act 2000) for assistance

13.

If more than one currently live AP is to be superseded see the Action Guide 'Manual Linking of CTSA

14.

After you have dealt with the manual linking pass the return back to the Clerical Caseworker to be logged and captured

15.

If the return is for a period that is longer than 12 months, and it is for a dormant (Word 28KB) period

• Use Function MAPD to record the period of dormancy

16.

It is not a valid return, if it is for a period that is longer than 12 months. If it is for a period during which the company appears to have been within the charge to CT, either 

• Send the return back to the company with a request for early submission of a correctly completed return form. Where necessary draw the company's attention to any approaching penalty deadlines

Or

• If the return is for a period that is longer than 12 months, and for example, it relates to a small non - commercial organisation without professional advisors

• Calculate the effect of the true AP position on the figures returned

• Where necessary, use Function MAPD to correct the AP record

And

• Pass the return to the clerical section to log and capture the revised return figures you have calculated

17.

If the accounts and computations are for a 12 month period, which matches a recorded AP, but the return shows a longer period, and the company and agent accept the position as outlined by you

• Amend the return (in pencil) to show the correct period and figures

• Pass the return back to the Clerical Caseworker to be logged and captured

Note: You must instruct the Clerical Caseworker to issue a Correction Notice when recording the self assessment in Function CRTN

18.

If the accounts and computations are for a 12 month period, which does not match a recorded AP, and the return shows a longer period and the company and agent accept the position as outlined by you

• If necessary, use Function MAPD to amend the AP details

• Amend the return details

• Pass the return back to the Clerical Caseworker to be logged and captured

Note: You must instruct the Clerical Caseworker to issue a Correction Notice when recording the self assessment in Function CRTN

19.

If the accounts, computations and return are for a period longer than 12 months

• Send the return and accounts back to the company with a request for early submission of a correctly completed set of accounts, computations and return form and confirmation of the company's future accounting date

And where necessary

• Drawing the company’s attention to any approaching penalty deadlines

20.

Investigate the reason for submission of the ‘new’ return as if the existing COTAX record is found to be correct, then both of the returns cannot meet the delivery requirement, but either may

21.

If you discover that the period covered by the earlier return has been incorrectly recorded

• Use Function URTN to unlog the earlier return

• Use Function MAPD to amend the AP record

• Make any necessary apologies to the company and its agent

• Use Function TAXW to find and deal with any other consequences of the error

And

• Pass the returns back to the Clerical Caseworker to be logged and captured

22.

If you discover that there is a simple error in the earlier return, you must decide on the most appropriate way to deal with it, as follows

• To make a formal correction (based upon the information as received), no later than 9 months after the day of receipt of the earlier return. If you decide to do this

• Use Function URTN to unlog the return

• Use Function MAPD to amend the AP record

• Pass the returns back to the Clerical Caseworker to be logged and captured

Note: You must

1) Instruct the Clerical Caseworker to issue a Correction Notice (Word 27KB) when recording the self assessment (Word 28KB) in Function CRTN

2) Ensure that when the return is logged again, the date of receipt recorded is the original one

3) Consider the penalty implications of the amending of the AP record. For further information see the 'Penalties' business area

• To have the company or agent deal with it, where you are satisfied this will be done quickly (this can only be done within the 12 months following the end of the return period). If you decide to do this

• Agree with the company or agent the action required, and the time scale in which it is to be completed

• B/F the case accordingly, and on receipt of the corrected information

• Use Function URTN to unlog the return

• Use Function MAPD to amend the AP record (if appropriate see subject 'Manual Linking of CTSA APs' (COM1090) in the ‘Accounting Periods’ business area)

• Pass the returns back to the Clerical Caseworker to be logged and captured

Note: You must 

1) Ensure that when the return is logged again, the date of receipt recorded is the original one

2) Consider the penalty implications of the amending of the AP record. For further information see the 'Penalties' business area

• To open an enquiry into the earlier return (which can only be done where you have not passed the Enquiry Date (Word 30KB)). If you decide to do this

• Use Function MAPS to set the Enquiry In Progress signal (Word 27KB)

• If at any time during the enquiry, it becomes clear that a change to the AP structure is appropriate then see details in the 'Enquiry Into Return For The Wrong Period' (COM71060) in the Enquiries business area

• To proceed informally with agreed amendments to the earlier return, if for example you are out of time to proceed because time limits have expired, but have received the company or agent’s agreement to make the necessary amendments

• Make the necessary adjustments, using whichever of the above methods is most suitable

23.

If you discover that there is a simple error in the ‘new’ return, it is not possible to log it without first correcting the AP. You must decide on the most appropriate way to deal with it, as follows

• To make a formal correction, based upon the information as received, (the recommended course of action) no later than 9 months after the day of its receipt. If you decide to do this

• Enter the corrected figures on the return form in pencil

• Pass the return back to the Clerical Caseworker to be logged and captured

Note: You must 

1) Instruct the Clerical Caseworker to issue a Correction Notice when recording the self assessment in Function CRTN

2) Consider the penalty implications of the amending of the AP record. For further information see the 'Penalties' business area

• To get the company or agent to take the necessary corrective action, only if you are sure the action will be taken quickly, and that no delay will arise in logging and capturing. If you decide to do this

• Agree with the company or agent the action required, and the time scale in which it is to be completed

• B/F the case accordingly, and on receipt of the corrected information

• Pass the return to the Clerical Caseworker to be logged and captured

Note: You must ensure that on logging the return, the date of receipt recorded is the original one

• To open an enquiry into the return, where you do not believe you can readily ascertain the correct AP, and its use affects future AP records. If you decide to do this

• Log the return for a period that is consistent with the recorded AP pattern, as you cannot log it for the period shown on it

Note: If a Revenue Determination has already been made for an AP ending in the same specified period (Word 27KB), logging the return stands over the tax charge, and capturing the self assessment reduces it to nil

• Capture the return and record the self assessment

And then

• Proceed to open an enquiry on this return

And

• If at any time during the enquiry, it becomes clear that a change to the AP structure is appropriate then see details in the 'Enquiry Into Return For The Wrong Period' (COM71060) in the Enquiries business area

• To proceed informally, for example in a trivial case which has no future effect

• If you are unsure of the best approach to take in such a case, telephone the COTAX Business Help Desk (This text has been withheld because of exemptions in the Freedom of Information Act 2000) for assistance

24.

If you are unable to agree the period of the return with the company or its agent, or the facts are unclear or complex, you can only either 

• Open an enquiry into the return, as follows

• Log the return for a period that is consistent with the recorded AP pattern, as you cannot log it for the period shown on it

Note: If a Revenue Determination has already been made for an AP ending in the same specified period, logging the return stands over the tax charge, and capturing the self assessment reduces it to nil

• Capture the return and record the self assessment

And then

• Proceed to open an enquiry on this return

And

• If at any time during the enquiry, it becomes clear that a change to the AP structure is appropriate then see details in the 'Enquiry Into Return For The Wrong Period' (COM71060) in the Enquiries business area

Or

• Dispose of the problem informally, for example in a trivial case which has no future effect

• If you are unsure of the best approach to take in such a case, telephone the COTAX Business Help Desk (This text has been withheld because of exemptions in the Freedom of Information Act 2000) for assistance

25.

If a return has been recorded for a later AP than is reflected on this ‘new’ return, use Function

• DASS to check if an assessment exists for the logged return

• URTN to unlog the ‘old’ return

• MAPD to set up the required new Aps

Note: Where it is possible to do so, COTAX automatically links superseding, with superseded, APs. Where it is unable to do so, you are told of the position and must manually link the affected APs

26.

Where COTAX has automatically dealt with the linking

• Pass the return back to the Clerical Caseworker to be logged and captured

27.

Where COTAX has been unable to deal with the linking

• See Action Guide 'Manual Linking of CTSA APs' (COM1090) in the ‘Accounting Period’ business area

28.

After you have dealt with the manual linking

• Pass the return back to the Clerical Caseworker to be logged and captured

29.

If the return and accounts supplied are incorrect, and the existing date of commencement and AP record stands and the company and agent accept the position as outlined by you

• Amend the return details to agree the AP record

And

• Pass the return back to the Clerical Caseworker to be logged and captured

Note: You must instruct the Clerical Caseworker to issue a Correction Notice (Word 27KB) when recording the self assessment (Word 28KB) in Function CRTN

30.

If the return information supplied is correct, and the date of commencement is to be amended, use Function

• ACTP (Amend CT Payer Details) to enter the correct date of commencement

• MAPD to enter the correct AP details

• Pass the return back to the Clerical Caseworker to be logged and captured

31.

If the return period does commence before the earliest live AP currently recorded

• Use Function MAPD to amend the AP details

• Calculate the consequential effect of the change of AP on the return figures provided

And

• Pass the return back to the Clerical Caseworker to be logged and captured

Note: You must instruct the Clerical Caseworker to issue a Correction Notice when recording the self assessment in Function CRTN

32.

If the return and accounts supplied are incorrect, and the existing date of incorporation stands and the company and agent accept the position as outlined by you

• Amend the return details to agree the current AP record

And

• Pass the return back to the Clerical Caseworker to be logged and captured

Note: You must instruct the Clerical Caseworker to issue a Correction Notice when recording the self assessment in Function CRTN

33.

If the return information supplied is correct, and the date of incorporation is to be amended, use Function

• ACTP to amend the date of incorporation

• MAPD to enter the correct AP details

• Pass the return back to the Clerical Caseworker to be logged and captured