ECH7002 - Commencing the Compliance Check: Recording on ECS

You can decide how to approach the compliance check to address the potential risks.

This can be either

A Visit

• Where the identified risk(s) indicates that a visit to the employer/contractor’s business is required because it is considered that

A Non-visit

• Where the identified risk(s) indicates that the relevant records required to establish the correct position are limited and a visit to the employer’s business is not considered necessary or cost effective, and
• the matter can be resolved by correspondence.

Recording on ECS

The majority of cases will be recorded on ECS as a “full review”

Where the risk identified does not call into question the employer’s/contractor’s overall operation of

• PAYE,
• NIC,
• Benefits in Kind,
• Statutory Payments,
• CIS operation etc

the case should be recorded on ECS as an “aspect review”

In all cases a RBSA approach should be adopted ( ECH7042).

Yield arising from any EC activity should be recorded on ECS in accordance with the guidance at ECH22500 onwards.

On receipt of the SIP you should decide if identified risk(s) should be dealt with as a visit or as a non-visit.

In all cases you should

• consider the most cost effective way of pursing the identified risks
• consider the implications for the employer/contractor and
• consult with your manager.

Once the method of the Compliance Check has been decided the case should be allocated to you by your manager and authorised on ECS.

You should

• set up the case on the system in SEES under Employer Compliance case books and
• arrange for the relevant opening letter to be issued. (see ECH7005)
• update the details field on ECS.

Note: Unless otherwise stated all the procedures with the ECH relate to both visit and non- visit compliance checks.