COM90033 - Payments: processing payments: processing payments received in a local office (Action Guide)

On receipt of a payment in any other office than Banking Operations, consider steps 1 - 23 below.

The guide is presented as follows

Action on receipt of payment by cheque Steps 1 - 10
Action on receipt of payment in cash Steps 11 - 16
Action on receipt of payment by postal order Steps 17 - 18
Payment with a condition attached Steps 19 - 23

Action on receipt of payment by cheque

1. Examine the cheque carefully to ensure it is correctly completed, as detailed in the Debt Management and Banking Manual at DMB200160 In particular you must ensure the cheque is
 
  • Payable to the ‘HM Revenue & Customs’ or similar designation, for example ‘Collector of Taxes’ or ‘HMRC’
 
  • Dated not more than 6 months earlier than the date it will be banked
 
  • Completed to show the same amount in words and figures
 
  • Signed, with any alterations signed or initialled
2. If the only error on the cheque is the absence of a payee
 
  • Satisfy yourself that the cheque is intended for HMRC
 
  • Impress the ‘HM Revenue & Customs ONLY’ stamp on the payee line
3. If the cheque is incorrectly completed and it is not possible to bank it you should
 
  • Return the cheque to the company with a form C50 requesting a new payment to be made using one of our acceptable electronic payment methods
 
  • Use Function RSUS (Record / Amend Suspension) to suspend the amount of the cheque for a period of 10 days, type ‘04’
  Note: Function DSUS (Display Suspension History) will display details of the suspension and the description ‘Returned Chq’
4. If the cheque is drawn
 
  • In sterling on a bank based outside the United Kingdom (which includes the Isle of Man, Jersey and Guernsey)
 

Or
 
  • In a foreign currency
(This text has been withheld because of exemptions in the Freedom of Information Act 2000)
 
  • In all other cases
 
    • Send the cheque to Finance, Worthing as in Collection Manual 5.403 and 7.101
 
And
 
    • Use Function RSUS (Record / Amend Suspension) to suspend the amount of the cheque for a period of 21 days, type ‘05’
 

Note: Function DSUS (Display Suspension History) will display details of the suspension and the description ‘Foreign Chq’
5. If the cheque is payable in Euro, and
 
  • Is for E2 Million or more 
 
    • Telephone DMB Banking for advice (This text has been withheld because of exemptions in the Freedom of Information Act 2000) 
 
  • Is for less than E2 Million or is Post-dated either 
(This text has been withheld because of exemptions in the Freedom of Information Act 2000)
 
    • Send the cheque and payslip to Banking Operations in separate envelopes on the day of receipt 
 

Note: You must enter the EDP (Word 41KB) on the payslip, and endorse the remittance wallet either ‘EURO’ if the cheque is in-date, or ‘PDC EURO’, if the cheque is post-dated
 

And in all cases
 
    • Use Function RSUS (Record / Amend Suspension) to suspend the full amount collectible for a period of 8 days, type ‘5’ or ‘05’
6. If a company tax payment is acceptable but you are unable to trace the company’s UTR prepare a payslip showing the pseudo CT reference (Word 33KB) 
7. All cheque payments under £10 million should be forwarded with accompanying payslip(s) to Banking Operations, Shipley on the day of receipt using the TNT courier service
8. If the cheque is for £10 million or more
 
  • Telephone DMB Banking (This text has been withheld because of exemptions in the Freedom of Information Act 2000) 
 
  • DMB Banking will tell you what to do with the cheque
9. If the advice you receive is that a courier will collect the cheque
 
  • Complete and print a Large Value Cheque Lodgement form
 
  • When the courier collects the cheque send an e-mail to
 
    • Banking Operations, Shipley
 
    • Headed ‘Large Cheque’
 
    • Advising payment has been forwarded to the bank, the value, EDP and full customer details
10. Contact the company to ask them to make future payments electronically

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Action on receipt of payment in cash

11. Only accept payment in cash in exceptional circumstances, for example
 
  • In the post
 
  • On call or in court
 
  • Over the counter where it would be clearly unreasonable for the company to take it to the Post Office or bank
12. Count the cash payment and enter the details in CBook 23
13. Place the cash with a payslip in a envelope and seal it in the presence of a supervising officer
14. Both of you should sign the envelope
15. Take the payment to the Post Office yourself no later than the end of the next bank working day with a Post Office Cash Only slip as the paying-in slip and the case sealed in a Post Office ‘Oddments’ envelope
16. You must always hold the payment securely in the office until you take the payment to the Post Office

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Action on receipt of payment by postal order

17. On receipt of payment by postal order
 
  • Ensure the order is payable to the ‘HMRC’ or similar designation, for example ‘Collector of Taxes’ or ‘HMRC’
18. Treat the payment as if it was a cheque and follow the guidance at steps 7 - 10

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Payment with a condition attached

19. If you receive a 'Payment With Conditions Attached'
 
  • Use Function VPPD (View Payment and Posting Details) to check the Pursuit Status
20. If the Pursuit Status is RFI (Word 31KB) 
 
  • Liaise with Banking Operations
21. If the case is subject to clerical pursuit (Word 28KB) in your office or the Pursuit Status is AUTO
 
  • Obtain the appropriate authority from the Manager or Section Leader to accept the payment
22. Write immediately to the company advising that
 
  • You have accepted payment ‘without prejudice’
 

And
 
  • The conditions attached to the payment are formally rejected
(This text has been withheld because of exemptions in the Freedom of Information Act 2000)
23. Process the payment as at steps 7 - 10

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