PAYE96201 - Reconcile individual: reconciling CY-6 to CY-2: introduction
Note: You will need to be aware of the instructions at PAYE96250 before you include CY-6 and / or CY-4 in a multiple year reconciliation.
Where you attempt to reconcile (or re-reconcile) any year prior to CY-1 online or, where the system automatically does so and the year concerned is 2008-09 or later, the system will apply the validation and ripeness checks for the year concerned and all subsequent years up to and including CY-1. Where possible, it will also perform a multiple year reconciliation in respect of the years concerned. For example, if reconciliation is triggered for CY-4 and all information required to reconcile CY-3 to CY-1 is held, all years CY-4 to CY-1 will be reconciled as part of a multiple year reconciliation. Where
- The reconciliation is triggered by the system and
- The system can identify up to 5 reasons as to why the customer is over / underpaid, the relevant Tax Calculations (P800) will be issued automatically and the customers PAYE Service Reconciliation and Accounting records will be updated with details of the calculations issued
- The system identifies more than 5 reasons as to why the customer is over / underpaid, the case will be output as work item 300 (PAYE93057) for manual review
- The reconciliation is triggered online you will be presented with the Multiple Years Reconciliation Summary screen (PAYE93016). The screen displays details of the years to be included within the multiple years reconciliation process and you will need to review the tax calculations (PAYE96220) for all relevant years before you either
- Approve them for issue (PAYE96225)
- Amend (PAYE96230) and then approve them for issue
- Cancel them (PAYE96235)
Where it is not possible to perform a multiple year reconciliation (for example where CY-4 is being reconciled but CY-3 cannot be reconciled as an expected P14 or ‘End of Year’ (EOY) Record information for the year is outstanding) or the reconciliation only covers CY-1, the system will perform a single year reconciliation only (PAYE96210).
Multiple year reconciliations will only be triggered automatically by the system where the first year being reconciled is 2008-09 or later. In all other cases, that is for years up to and including 2007-08, where
- The system receives information (for example a P14 or EOY Record) that would normally trigger a batch reconciliation work item 037 (PAYE93061) will be created
- You receive information directly that requires the year to be reconciled you will need to review the customer’s record and update it (PAYE96280) before you manually trigger reconciliation
At the point at which the system issues the appropriate Tax Calculations (P800) to the customer, up to 4 calculations will normally be co enveloped together. However this will not always be the case and in some instances the Tax Calculations (P800) will be enveloped separately.
Note: The PAYE Service does not retain un-issued calculations for multiple year reconciliations; it only retains them for single years.