COM71111 - Enquiries: CTSA enquiries: closing an enquiry: revenue amendments (Action Guide)

Appeals against Jeopardy Amendments

Step 1

Manual Closure Notice with Revenue Amendment - updating COTAX

Steps 2 - 4

Consequential amendments to returns for other periods

Steps 5 - 7

Preparing and issuing a Revenue Amendment manually

Steps 8 - 9

1.

If there is an open appeal against a Jeopardy Amendment (Word 29KB) to the company’s self assessment (Word 28KB), you will need to dispose of it

• When you make the Revenue Amendment

2.

If you need to manually issue a Closure Notice with Revenue Amendment, you must take the following actions on the same day to update COTAX with the amended figures

• Use Function MRSC (Maintain Rept / Realloc Signals (Company)) to inhibit reallocations or repayments to or from any AP of the company

• Use Function MAPS (Maintain AP Signals), to enter the enquiry ‘Ended’ date equal to today’s date - the date that you will issue your manual Closure Notice with Revenue Amendment

• • Automatically sets the enquiry In Progress signal to 'N'

• • Releases the repayment and reallocation inhibitions that were created by setting the enquiry In Progress signal to ’Y’ (but they are reapplied by using MRSC)

• • Gives access to the Function RAMA (Record / Amend Assessment) option which you will need to record the details of the manual Revenue Amendment onto COTAX

• • Removes access to the RAMA ‘Prepare a Closure Notice with Rev Amdt’ option which protects you from inadvertently creating and issuing a spurious COTAX Closure Notice with Revenue Amendment

• Use RAMA option ‘Prepare a Revenue Amendment’ when you are ready to enter the figures that reflect your conclusions

• • RAMA displays the details captured from Sections 4/5/6 of the company’s CT600 return, or the latest amendment where there is one

• • Enter your figures on screen COT121N to reflect your amendments to the company’s return

• • Important: store the Revenue Amendment as a draft. Do not issue it with COTAX

• Print the draft Revenue Amendment and use the figures to help you prepare your manual Closure Notice with Revenue Amendment

• Issue your manual Closure Notice with Revenue Amendment

• Use RAMA option ‘Prepare a Revenue Amendment’ again - this time to record the manual issue of a Revenue Amendment in the figures contained in your earlier draft

• • Select ‘Record Manual Issue’ from the drop down menu for the ‘Do you want to?’ field on screen COT121G

• • Enter the date of issue as today’s date - the date of issue of your manual Closure Notice with Revenue Amendment

• • Where appropriate, deal with the penalty action dialog box at the end of RAMA which allows you to make, amend or inhibit any tax-related (Word 30KB) late-filing penalty determination based on the amended assessment

3.

COTAX will

• Create the relevant postings in Function VPPD (View Payments and Postings) to amend the company’s liability for the AP

• Not issue Revenue Amendment output to the company as you have made it manually which causes COTAX to suppress assessing output (Word 27KB) 

4.

When you have dealt with all the consequences of your enquiry, such as amending other returns as a result of your conclusions

• Use Function MRSC (Maintain Rept / Realloc Signals (Company)) to unset the inhibitions on reallocations or repayments to or from any AP of the company

5.

If as a result of an enquiry you conclude that other returns made by the company which are not under enquiry need to be amended

• Use the ‘Prepare a Revenue Amendment’ option in Function RAMA to amend those returns

6.

RAMA displays the details captured from Sections 4/5/6 of the company’s CT600 return or the latest amendment where there is one

• Enter your figures on screen COT121N to reflect your amendments to the company’s return

• Where appropriate, deal with the penalty action dialog box at the end of RAMA which allows you to make, amend or inhibit any tax-related (Word 30KB) late-filing penalty determination based on the amended assessment

7.

COTAX

• Issues a ‘Notice of amendment to the company tax return’ to the company, with a payslip attached, showing the date of issue and the amended figures

8.

Wherever possible you should use COTAX to make the Revenue Amendment. If this is not possible, prepare the Revenue Amendment manually by following the guidance in the ADP for Companies (AC) Manual at AC3200 onwards

9.

At the first available opportunity use Function RAMA, ‘Prepare a Revenue Amendment’ option, to enter the relevant details onto COTAX. You must

• Enter the details of the Revenue Amendment you have issued manually

• Set the Manual Issue signal, to prevent COTAX issuing the Revenue Amendment, by selecting ‘Record Manual Issue’ from the drop down menu for the Do you want to? field on screen COT121G

• Enter the date of issue as the date the manual Revenue Amendment was issued