PAYE40023 - Employer returns: employer return - quality checks: form SC35 and / or form SC11 - up to 2004 (Action Guide)

Year of return

Step 1

Initial action

Step 2

Further checks

Steps 3 - 4

Repairing errors found

Steps 5 - 6

Contacting the contractor

Steps 7 - 11

Send back the return

Steps 12 - 13

1.

Identify the year shown on the return. This must be

• 1998/99 or earlier

Or

• If 1999/2000 refer to a cessation prior to 1st August 1999

2.

Review the form SC35 to check if it is marked ‘Succession’

• If it is not go to step 3

• If it is

• Use Function AMEND EMPLOYER INDICATORS to set the CIS36 / SC35SUCC indicator for the year of the return

• File the papers in a separate range to be linked in due course with the return from the successor

3.

Review the form SC35 and enclosures to ensure all the entries are legible

• If so

• Date stamp any return, not already stamped, with the date it was received

And

• Record receipt of the return. Follow the Action Guide ‘Recording Receipt Of Employer Return’ PAYE41041 

• If not go to step 4

4.

Review the errors found and decide the most appropriate course of action

• If the errors can easily be repaired in the office - go to step 5

• If you need additional information from the contractor - go to step 7

• If you need to return all the items you hold to the contractor - go to step 12

5.

To repair forms SC35 or Cards SC11, either

• Strike through the illegible entry on the form and enter the correct information clearly. Note: You must use green ink for this purpose

Or

• Prepare new forms to record the correct information. Note: These must be noted ‘Pro-Forma’ and completed in green ink

6.

Receipt of the return can now be recorded

• Date stamp any return, not already stamped, with the date it was received

And

• Record receipt of the return. Follow the Action Guide ‘Recording Receipt Of Employer Return’ PAYE41041 

7.

Contact the contractor immediately by telephone to

• Explain why the return is not acceptable

• Obtain from the contractor the missing or illegible information

• Inform the contractor that receipt of the return will not be recorded until any missing information is held

8.

Make a note of the call and keep this with your papers

9.

Put all the papers in a separate BF range to await a response from the contractor

10.

On receipt of the response from the employer check that the items you now hold make a complete return. If so

• Date stamp any return, not already stamped, with the date it was received

And

• Record receipt of the return. Follow the Action Guide ‘Recording Receipt Of Employer Return’ PAYE41041 

Note: You must use the date the complete return was received as the date of receipt

11.

On the BF date if a response has not been received from the employer review any post on hand to ensure that a reply is not held

• If it is held check that the items you now hold make a complete return. If so

• Date stamp the return with the date it was received. Note: You must use the date the complete return was received as the date of receipt

And

• Record receipt of the return. Follow the Action Guide ‘Recording Receipt Of Employer Return’ PAYE41041 

• If a reply is not held pass the papers to the Debt Management Office with a report of the action taken asking them to pursue the missing or incorrect information

12.

Send back the whole return and any enclosures to the contractor immediately and

• Explain why the return is not acceptable

• Ask the contractor for a return in the correct format and / or provide missing information

• Inform them that this return has not been recorded as a complete return and therefore penalties under S98A(2) TMA 1970 may accrue if an acceptable return is not submitted by the due date

13.

Use Function AMEND EMPLOYER NOTES to record your actions and then file the papers in the employer record pad. The note must show

• The date the return was received

• The reason it is not acceptable

• The date it was returned to the employer