Glossary of terms

	A
Abroad	An address is not abroad if it is Within the United Kingdom, Isle of Man or Channel Islands One of HM Ships With British Forces Abroad or an address with a British Forces Post Office (BFPO) number.
Accounts Office	There are three sites where the work of Banking Operations is carried out Cumbernauld Shipley, and Newcastle. Banking Operations is responsible for Day to day payment processing and accounting work from employers, contractors and SA taxpayers Issuing assessments, demand notes and reminders Updating and maintaining taxpayer records.
Accounts Office reference	This is the reference used to identify each BROCS record. It includes Your office number, consisting of three numeric characters (numbers) using where necessary leading zeros The letter P A check character A register number which will be Outside Scotland from one to six figures In Scotland seven figures followed by the letter X.
Additional complete return	Additional Complete shows that the return is Supplementary to the original EOY return that was captured for that year And A complete return
Additional EOY return	An additional End of Year (EOY) return is Supplementary to an original EOY return that has been received for that year And Can be of the same return type. For example a P35 The amounts included on an additional return must not include the amounts shown on the original return received. An Additional return arises for example If details from a P14 were omitted from the original return In the case of a PSC scheme if either return is captured after the other then the later return is deemed to be an ‘Additional Return’
Additional part P35 return	Additional Part P35 shows that the return is Supplementary to the original EOY return that was captured for that year And A P35 on its own without any forms P14
Additional pay	Additional pay is an amount added to an employee's 'total pay to date' on any pay day when a K code is used. It is used to collect extra tax due from employees who have untaxed income (such as state benefit) which cannot be fully covered by allowances.
Address framework	The Address Framework provides a means of standardising the handling and storage of address information. It holds a copy of the database used by the Post Office to hold details of all UK verified addresses known as the ‘Post Office Address File’ or ‘PAF’. Function ADDRESS SEARCH is used to access the data on this Framework in order to search for and store addresses onto an employer record.
Agent	An agent is a person or group of persons appointed by an employer to act on their behalf. Where an agent deals with and requires copies of all of the following correspondence then that agent’s details must be entered on the employer record Operation of PAYE Employer’s copies of coding notices Payslips Employer Pack Employer annual returns Regulation 80 Determinations Late EOY return penalties and P11D penalties General employer correspondence and other employer assessments. Notes: If you receive a form 64-8 (Authorising Your Agent) you must send a copy of the form together with form 64-6A to the Central Agent Authorisation Team (CAAT) who will enter the details on to EBS and other systems We must have a signed FBI 2 authorisation before we can send information to agents using PAYE online for Employers - Internet. We can however receive information, on behalf of the employer from any agent or representative
Agent (for employer)	An agent is a person or group of persons appointed by an employer to act on their behalf. An agent’s responsibilities to the employer may differ but could include Receiving copies of determinations Dealing with and issuing or sending correspondence Running the payroll.
ASN	The ASN or Assessing Sub number identifies the year on the Banking Operations record to which the annual return or charge relates. The ASN consists of The final two digits of the tax year Followed by A sub-number, which will always be 01. For example the ASNs for 1998/99 will be 9901 2000/01 will be 0101.
	B
BACS	BACS is an automated service operated by banks and building societies for clearing payments. It avoids the need for handling cheques or cash when making payment. BACS payments are transferred electronically into the HMRC account with the Bank of England. The bank notifies Banking Operations of payments on magnetic tape.
Bank Giro	Bank Giro is a credit transfer system that enables payment to be made through a bank branch. Each payment is credited to an HMRC Bank Giro account with the Bank of England. The target bank account is indicated on the payslip. Each account is associated with one of the Banking Operations sites. The Bank of England notifies the AO of the credits received each day in each Bank Giro account. The credits are notified mainly on magnetic tape but a small proportion is notified on paper.
Banking Operations	From 1 November 05 Banking Operations was established within the Debt Management & Banking business. Banking Operations - Direct Taxes work includes the work of the former Accounting & Payments Service Day to day payment processing and accounting work for employers, contractors and SA taxpayers Issuing assessments, demand notes and reminders Updating and maintaining taxpayer records.
Bankruptcy	Bankruptcy (known as Award of Sequestration in Scotland) is a legal process for dealing with individuals, sole traders and certain partnerships that are unable or unwilling to pay their debts. Bankruptcy orders are made by the Courts following the presentation of a petition. The equivalent legal process for a company is liquidation.
Batch process	A batch process is an automatic process that runs in the background, either immediately or overnight, following action taken on the computer record. It cannot be accessed on-line by an operator. Batch processes are used, for example, to update taxpayer records with data supplied by external systems, to extract information and to produce output.
Better Management of Electronic Information	Better Management of Electronic Information (BMoEI) have established a range of tools including help-cards, folder structures and naming conventions aimed at improving electronic storage of information, using the existing IT tools. From June 2006 most of the information formally stored in employer establishment files will be moved to the electronic file structure.
BROCS	Business Review Of the Collection Service is the Banking Operations computer system. Each employer or contractor required to make a return (with the exception of DC cases where the taxpayer does not account for his own NIC) has a record held on this system. Banking Operations use these records to Make bulk issues of Returns to employers and contractors near the tax year end Reminders for returns and amounts outstanding Keep a record of payments Advise the Debt Management Office when to follow up outstanding returns Advise the Processing Office of some amounts overpaid
Business Support Team	BSTs were introduced as an initiative to meet the Government's commitment to reducing the burden on employers and businesses. Their primary aim was and still is to provide a free educational support service for new and small employers. It is important to ensure whilst speaking to employers in your day to day work that any employer can be referred to BSTs for help and assistance should this be deemed appropriate. BSTs can offer One to one visits Payroll support service Payroll health checks Workshops
	C
Cancelled one year only	A scheme is cancelled for one year only (COYO) when for that year No payments of earnings equivalent to or above the Lower Earnings Limit (LEL) were made to employees No payments have been made to BROCS relating to the year of the return No Tax Credits have been authorised or funding payments made to the employer
Central Agent Authorisation Team	The Central Agent Authorisation Team (CAAT), based at Longbenton, ensure that when a form 64-8 is received to appoint an agent to act on behalf of an employer or contractor the details are speedily recorded on to EBS and other systems. Any form 64-8 received in a Processing Office should be promptly sent with form 64-6A, using Tax Post, to CAAT (The text at this point has been withheld under the Code of Practice on Access to Government Information) (The text at this point has been withheld under the Code of Practice on Access to Government Information)
Central Exceptions Processing Team	The Central Exceptions Processing Team (CEPT) is located at NICO and processes return exceptions from ERIC.
CHAPS	CHAPS stands for Clearing House Automated Payment System. It is a facility offered by Banks for arranging same day payment and is normally used for paying larger amounts. Money is transferred electronically into the HMRC account with the Bank of England. The Bank notifies Banking Operations of each payment on the day of receipt.
Cheque for cash	The cheque for cash (CFC) facility was withdrawn from 1 January2006. All offices will inform visitors to pay at the Post Office or a Bank.
Collection account year	The Collection Account Year is the period from The last Friday in October to The Thursday before the last Friday in October of the following calendar year (both days inclusive)
Companies holding CIS5 certificates	A Construction Tax Certificate (CIS5) permits the contractor to make payments to the company named on the certificate without deduction of Income Tax.
Company registration number	The Registrar of Companies allocates a Company Registration Number to a company that is incorporated or registered under the UK Companies Acts. The Company Registration Number (CRN) is unique to that company and will be in one of the following formats 8 numeric characters in the range 0-9 NI (where the company was registered in Northern Ireland) followed by 8 numeric characters in the range 0-9. For example, NI21345678 SC (where the company was registered in Scotland) followed by 8 numeric characters in the range 0-9. For example, SC21345678 Notes: No prefix is used for companies registered in England and Wales If the CRN has less than 8 numeric characters it must be prefixed with leading zeros. For example, 00345678
Company UTR	When a company record is set up the computer system allocates a 10 digit reference number. This is then the company reference throughout its life. It is known as the Unique Taxpayer Reference (UTR). This same principle applies to allocating UTRs to individuals and partnerships.
Complete return	A complete return is one where the employer has submitted a P35 together with all expected forms P14. If an employer intends to send the whole return by the paper channel, then the return must be submitted as a complete return and not in parts.
Consolidated position	This term refers to the overall net position of a monetary item having taken into account all previous End of Year returns captured for that employer record for a given year. This figure is calculated by the computer and is situated to the left of the monetary field. For all additional or correction returns each monetary item on the End of Year return will have two amounts on the CAPTURE EOY RETURN DETAILS ADDITIONAL / CORRECTION screen The Net Adjustment amount And The consolidated position.
	Return Figures	Consolidated Position
	Original return showing total tax due of £100.00	£100.00 See note
	Additional return showing a further £50.00 tax due	£150.00
	Corrected return showing a figure of minus £10.00 tax	£140.00
	Note: When capturing an original or pro-forma return there is only one monetary amount shown for each monetary item. That amount would be classed as both the net adjustment and consolidated position
Contractor	The term contractor has a wide meaning and includes Any person carrying on a business whose trading activities include construction operations (mainstream contractors) Any local authority, development corporation or Commission for New Towns The Housing Corporation, Housing for Wales, a housing trust, Scottish Homes and the Northern Ireland Housing Executive Non-construction businesses (deemed contractors) which spend on average more than £1000,000 a year on construction operations A property developer or speculative builder, erecting and altering buildings in order to turn them in to financial account A labour agency or staff bureau supplying workers to perform construction operations A gang leader with gang members who are self employed.
COP	COP (Computerisation of PAYE) is the computer system that Holds records for PAYE taxpayers Supports staff working on PAYE sections.
Correction EOY return	A correction End of Year return is For Tax Years 2004/05 and later A correction to an earlier captured return or part return where an error was made in capturing the employer’s figures. (For example, only to adjust the capture details to match the P35). Correction returns are not recorded as received before capture, and are not linked to a receipt record. Where a P35 return is held at RSI1 on EBS and you capture a correction return, the correction will pass to the External Routing Interface Component (ERIC) and replace the return held at RSI1. Where all P35 returns are held at RSI2 on EBS and you capture a correction return, the correction will not pass to ERIC and will add to the return held at RSI2. For Tax Years 2003/04 and earlier An amended return And Must only be made where amendment to a previously submitted End of Year return is required. Under no circumstances must figures on the existing End of Year return be amended. Correction returns are not recorded as received before capture, and are not linked to a receipt record. Note: The capture of a correction return can be identified from the Return Receipt list box in the View EOY Return History screen. The entries which will identify a correction return are A blank entry in the Return Type field A blank entry in the Date Field And CORRECTION in the Return Class field
CSL	CSL (Collection of Student Loans) is a system under which HMRC is responsible for collecting repayments of student loans from UK residents.
	D
Daily casual	A ‘daily casual’ is a worker Taken for no more than one day Paid off in cash by the end of the day And There is no agreement for further work, even if further work may be expected.
Data Centre	The addresses for both Data Centres are
	Banking Operations Shipley	Banking Operations Cumbernauld
	Media Library Fujisu Operations Shipley Data Centre Shipley Bradford West Yorkshire BD98 8AA	MTCI Section Fujisu Operations Cumbernauld Data Centre St Mungos Road Cumbernauld Glasgow G70 5TR
	Telephone 01274 539516	Telephone 01236 783410
	Fax 01274 539662	Fax 01236 783539
Data Protection (SAR) Unit	The Data Protection (SAR) Unit (DPU) is responsible for all aspects of processing subject access requests. The DPU will Monitor HMRC’s adherence to the 40-day legislative deadline Issue the information retrieved in response to a SAR Further information about registration procedures and subject access requests can be obtained from Data Protection (SAR) Unit IMS Room BP4302 Benton Park View Longbenton Newcastle Upon Tyne NE98 1ZZ Telephone: 0191 2257575 Fax: 0191 2253098
DCNI Scheme type	A DCNI scheme type is appropriate when a simplified PAYE scheme is required to enable direct payments of National Insurance (NI only). Collection of the deductions is quarterly during the year.
Debt Management & Banking (DMB)	Debt Management & Banking is a diverse business, which operates right across the United Kingdom. The service brings together IR and Customs and Excise functions. Banking Operations are based at Cumbernauld, Shipley, Newcastle, Southend, Liverpool and Greenock, while a network of offices in over 150 locations undertakes debt management activity. The work of the Banking Operations offices includes Day to day payment processing and accounting work for employers, contractors and SA taxpayers Issuing assessments, demand notes and reminders Updating and maintaining taxpayer records
Debt Management office	The term ‘Debt Management’ office describes an office that undertakes recovery activity work. It includes Local Debt Management Offices Enforcement & Insolvency Services (EIS) Banking Operations Tracing Units Banking Operations Review Unit Banking Operations Public Department Collection Debt Management Offices are responsible for All local action necessary to secure payment and outstanding returns. This may be through the following methods Face to face contact Or Making contact by telephone Taking distraint (poinding in Scotland) action or formal court proceedings to recover debts These offices were formally known as Recovery Offices or Recovery Sections in Integrated Offices
Deduction year	The deduction year is the same as the tax year, and covers the period 6 April in one year to 5 April in the following year.
Direct debit	Payment by Direct Debit (DD) involves a bank or building society customer providing a written instruction permitting regular payments to be collected by a specified payee. A taxpayer using the DD facility sends the signed instruction to HMRC. Any DD instruction received in a local office is passed to Banking Operations. Banking Operations records receipt and passes the instruction to the bank or building society. Collection of the regular payments and update of taxpayer records is initiated by Banking Operations.
Director	A director is a person who is, either on their own or with one or more associates, beneficial owner of, or able, directly or through the medium of other companies, or any other indirect means, to control not less than 20 per cent of the ordinary share capital of that company. In other words a director is someone who either on their own or with their fellow directors is or are the major shareholder(s) and control(s) the running of that closed company.
District Record	District Record is a filing range where non file case taxpayer papers are kept for retrieval at a later date.
DLO	‘ Dead Letter Office’ identifies an address that is no longer recognised as a valid postal address. In other words the address no longer exists because, for example, the building has been demolished. DLO will appear alongside the STATUS field where a DLO address has been retrieved from Function ADDRESS SEARCH and stored on the employer record.
DOME Scheme type	A DOME scheme type is appropriate for employers of personal or domestic employees who are paid a fixed wage to deduct tax on a non-cumulative basis. In practice the responsible Processing Office may also allow this ‘simplified deduction’ procedure to be used where an employee’s wages are variable and wages sometimes fall below the tax threshold, provided that all employees from whom tax and NIC will be deducted are personal and domestic employees of the employer. In all cases the net taxable pay (after allowances) for each employee must not exceed £160 a week (£700 a month). When these limits are exceeded a DOME scheme is not appropriate and the employer record should be set up as a P Scheme.
Dormant	This term relates to a scheme when it is A limited company that is inactive And / Or Has no employees liable to PAYE and / or NIC
DPGEN Scheme type	A DPGEN scheme type is appropriate when normal PAYE procedures are unsuitable and employees deduct Income Tax only for themselves. This scheme type is appropriate for certain types of employees, office holders or individuals. They include Roman Catholic Priests Clergy of the Church of Ireland Officials whose earnings are made up mainly of fees paid by the public, for example, Registrars. The employee is responsible for paying the income tax deducted to HMRC (Banking Operations).
DPNI Scheme type	A DPNI scheme type is appropriate where the normal PAYE procedures are unsuitable. The employee is responsible for the deduction of his or her own income tax and employees share of NI contributions. Either of the following criteria may apply Certain types of employees or office holders, these include Roman Catholic Priests and Clergy of the Church of Ireland Officials whose earnings are made up mainly of fees paid by the public, for example, Registrars Certain employees of foreign and Commonwealth governments, for example, a British chauffeur on the staff of a foreign embassy An individual, who is required to pay their own NI. These include employees of A foreign embassy or consulate which has refused to operate PAYE, or a foreign employer who has no address in the UK from which earnings are paid. The employee is responsible for paying the NI contributions to HMRC (Banking Operations).
DPTC	DPTC (Disabled Persons’ Tax Credit) was introduced in October 1999 to help lower-paid people whose earning capacity is reduced because of their illness, or disability puts them at a disadvantage in getting a job. The credit replaced the Disability Working Allowance social security benefit, administered by the Benefits Agency (BA) and the Social Security Agency (SSA) in Northern Ireland.
Due date	Employers and contractors are required to send in their End of Year (EOY) returns within 44 days of the end of the deduction year. That is normally by the19th of May each year. This period may be extended by a period of grace.
Duty geared penalty	A duty geared penalty is Imposed under S98A (2)(b) TMA 1970 Considered where failure to submit an annual End of Year return continues for more than 12 months after the due date Determined without prejudice to any interim penalties already issued Only issued where it has been authorised by Tax Administration Advice (TAA)
	E
EBS	EBS (Employer Business Service) is the computer system that Holds employer records Supports staff working on Employer sections
ECON Number	Where an employer elects that their employees are contracted out of the state earnings-related pension scheme (SERPS), HMRC will issue a contracting-out certificate to the employer. A copy will also be forwarded to the relevant Processing Office. The certificate will confirm the employer's unique ECON number that should be quoted when completing the form P35, and in any correspondence with NICO regarding contracted out matters. The ECON number will always commence 'E3' and be in the format E3NNNNNNL (N = number, L = letter). You should file your copy of the contracted-out certificate in the employer file and make a note of the ECON number in the EBS Notes.
ECS	Employer Compliance System is a computer system that provides support for the processing, examining and reviewing of returns from employers.
EDI Employer	An EDI employer is one that submits information to HMRC electronically using Electronic Data Interchange (EDI). Employment Maintenance forms submitted by this means are P45(1) and (3) P46 Pension notifications EDI also allows employers to receive the following forms electronically on a daily basis P6 Budget P6 P9
ELECT Scheme type	An ELECT scheme type is appropriate when councils or local authorities make payments to individuals in respect of electoral duties. These include Returning officers Acting returning offices Presiding offices Polling clerks Counting assistants All others engaged in the conduct of public elections and referenda
Electronic filing	Means the method by which employers are able to submit their annual returns and other forms using electronic communications. This service is known as PAYE Online filing for Employers. The communication can be by either Internet Or Electronic Data Interchange (EDI). Note: Use of Magnetic Media is not considered to be an electronic communication.
Electronic payment	From 6 April 2004 large employers are required to make in-year PAYE / NIC payments electronically. Approved methods of electronic payment include Bank or Building society online Services Girobank Billpay (Debit Card over the Internet) Telephone banking BACS Direct Credit And CHAPS
Employer	For the purposes of PAYE the term employer means any person who pays earnings. An employer by definition is ‘an individual or business which employs workers’. Please note however, that an employer will for the purposes of scheme types also include an individual within the Direct Payment or Direct Collection (Employee only NIC) arrangements.
Employer Data Exception Unit (EDEU)	The unit is located at Banking Operations, Shipley (formerly known as Accounts Office Shipley). The EDEU are responsible for dealing with Data Exception Reports. These paper reports are generated where an update made to an employer record on EBS is rejected by BROCS.
Employer reference	These are the numbers and letters, alone or in combination, used by HMRC to identify an employer for the purposes of PAYE regulations. All new employer references are system generated from April 2000 unless it is for a transferred record. See PAYE30015 for further guidance. Employer references will always be prefixed by a 3-digit office number and consist of either a Manually allocated reference which must not exceed 7 characters and the first character of which must be in the range A - Z , 0 - 9 Or System allocated reference which is 7 characters in the format Aznnnnn, where ‘A’ is an alphabetic sequential character (not the initial letter of the employer’s name) ‘Z’ is a fixed character using the least used in alpha references ‘nnnnn’ are 5 numeric characters
Employers with diplomatic immunity	Employers with diplomatic immunity cannot be obliged to comply with the PAYE/NIC Regulations. They include Embassies and High Commissions Consular Missions And Certain international organisations. For example INMARSAT ( International Maritime Satellite Organisation) and the European Centre for Medium Range Weather Forecasts
Enforcement office	The Enforcement & Insolvency Service is made up of three elements Enforcement Office (Belfast) Enforcement and Insolvency Service (Worthing) which embraces Debt Management and Compliance Services. Included under this umbrella is both the Voluntary Arrangement and Insolvency Service Enforcement Office (Scotland) which also includes the Civil Recovery Section
EPA Scheme type	An EPA scheme type is appropriate to record PAYE tax and National Insurance due on earnings paid to employees of companies in receivership, for example Holiday pay Arrears of pay arising before the receivership took place. These are set up and closed on instructions from the Debt Management office.
ERIC	The External Routing Interface Component (ERIC) is a new computer component introduced to support the filing of employer annual returns in batches. All return information, both paper and electronic submissions will pass through ERIC from April 2005. For more information see PAYE41015.
EXAM Scheme type	An EXAM scheme type is appropriate where Universities and Polytechnics pay fees to examiners, invigilators, settlers and for all related duties in any way connected with GCSE and ‘A’ level examinations conducted by the various examining boards And First degree examinations conducted by Universities
Expat team	In October 2003 a small number of specialised teams were established in 5 locations to deal with inward expatriate employers and their employees. The Expatriate (Expat) teams will identify employers that employ expatriate staff.
	F
Filed online	Filed online indicates that the employer has filed their annual return directly to HMRC by PAYE Online for Employers (Internet) Or Electronic Data Interchange (EDI)
Fixed penalty	A fixed penalty is Imposed under S98A (2)(a) TMA 1970 Issued and calculated automatically by ECS Based on the employer / contractor’s return details Subject to certain exceptions and exclusions Issued where an employer or contractor fails to submit their annual EOY return by the due date
Free pay	Free pay is the total amount of pay that an employee is allowed to receive free of tax up to (and including) the latest pay day. It is a proportion of the maximum allowance of the code.
Full lodgement account	A full lodgment account allows an office to bank cheque and cash payments on a daily basis. A security carrier calls each day to transport the lodgment to the bank. Note: A cheque for less than £250,000 should be sent to Banking Operations for banking unless there is a compelling reason to bank it locally
	G
Girobank	Girobank is a credit transfer system that enables payment to be made by Paying cash or cheque over a Post Office counter (referred to as Transcash), or Arranging a Girobank Transfer from an account holder’s Girobank account The payment is credited to one of HMRC’s Girobank Accounts. The target Girobank account is indicated on the payslip. Each account is associated with one of the Banking Operations sites (Cumbernauld, Shipley or Newcastle). Girobank notifies Banking Operations of the credits received daily in each Girobank account.
Greyed out	When on-screen buttons are inactive, that is they cannot be selected to perform a task, they are shown in a lighter grey than the active buttons. In guidance you see this referred to as greyed out. This is done to avoid you using the button until you have entered all mandatory information required before further processing can take place. Greying out reduces the need for validation and therefore the number of error messages that otherwise would be presented to you. A greyed out button becomes active when, for example, you have Entered all required information Or Made a selection from a list box
	H
HMRC activity	There are four types of HMRC activity for which an office may be responsible in SA Processing Technical Debt Management Banking Operations. When an office becomes associated with a taxpayer it assumes responsibility for one of the above areas of work for that taxpayer. Only one office can have responsibility for a particular area of activity at any time. An area of activity can be transferred from one office to another when appropriate, for example, when the main source of income changes.
HMRC Enquiry Centres	Formerly known as an IREC, Tax Enquiry Centre or TEC, the HMRC Enquiry Centre is responsible for handling face-to-face enquiries from customers. HMRC Enquiry Centres are situated nationwide. HMRC Enquiry Centres will Give assistance on tax and NIC enquiries without a prior appointment Provide help and guidance on the completion of appropriate forms and returns Have suitable interviewing facilities Stock appropriate leaflets Handle customer’s payments
	I
Icon	An icon is a graphical representation, or picture. Usually you will select the icon to access the system, Computer Based Training or Manual represented by the icon.
Incentive Award Unit	The unit is responsible for all Taxed Award Schemes and enquiries should be referred to HMRC Incentive Award Unit Chapel Wharf Trinity Bridge House 2 Dearmans Place Salford M3 5DS Telephone number - 0161 261 3269
Incentive payment	Small employers (0-49 employees) are being offered tax free incentive payments to encourage them to use online filing to file their annual returns. Both form P35 and forms P14s must be filed on line to qualify for an incentive payment. The incentive payments are as follows 2004-05 - £250 2005-06 - £250 2006-07 - £150 2007-08 - £100 2008-09 - £75. The incentive will be given by BROCS as a credit against the account for the year in which the return was successfully filed on line.
Information Commissioner	An Information Commissioner Is appointed to ensure that all organisations included within the scope of DPA confirm with the Act Has a range of powers available to ensure that this is achieved.
Inland Revenue Information Service	The Inland Revenue Information Service (IRIS) is a computer system for Banking Operations. Depending on your level of access, IRIS allows you to View taxpayer records held on the Banking Operations computer View and search the Banking Operations indexes of taxpayers View payments held in the Overpayments and Accounting Summary (OAS) Calculate interest and repayment supplement Take screen prints of information shown Update taxpayer records Prepare and print pro-forma payslips
Insolvency Claims Handling Unit	The Insolvency Claims Handling Unit (ICHU) can be contacted at the following office NICO Contrib 5 and ICHU BENTON PARK VIEW LONGBENTON NEWCASTLE UPON TYNE NE98 1ZZ Switch Board – 0191 213 5000 Fax – 0191 225 4002
IRIS	IRIS stands for Inland Revenue Information System. A separate IRIS system is maintained for each Banking Operations office. IRIS provides a NEWSboard and enables an operator to View and update taxpayer records for Banking Operations systems other than BROCS, CT Pay and File and SA View AO taxpayer indexes and overpayment records Calculate interest and repayment supplement For more information about IRIS see the IRIS Systems and Services Manual.
IRO	Until April 2007 there were 5 IROs (Inland Revenue Offices). These were specialist offices based in St Austell, Glenrothes, Sefton and Leicester dealing with annual repayment claims from individuals whose main source of income arises from investments. The work is now concentrated in one specialist office, Leicester and Northants Claims Office.
ISP	'Internet Service For PAYE' Means by which employers may register to file certain forms as a package using the internet. Now known as PAYE Online For Employers - Internet'. Formerly known as 'Filing By Internet (FBI)'.
ITSO	Information Technology Support Officers. A New IT Service Centre on 0845 605 2121 was established in August 2006 to manage the work formally carried out by local ITSOs.
	L
Large employer	A large employer is one with 250 or more live employees. Each employer record (scheme) is placed into one of four segmentation bands. A large employer is required by law to use online filing to file their annual end of year returns and make payments by electronic means for all tax years from 2004/05.
Limited company	A limited company is one whose shareholders own that company, however the shareholders liability for that company’s debts is restricted.
Limited liability partnership	Limited Liability Partnership rules allow the income and gains of a company to be taxed on its members as if they were partners in an ordinary partnership.
Linked employees	This term relates to any employee who has ever been associated with that particular employer, and will include All ‘live’ employees and directors which have a computer record with no end date that is either in the past or in the future (for example WTC) All former employees and directors who have now left All ‘live’ or former employees and directors who have been paid tax credits, including those paid below the threshold for PAYE
Liquidation	Liquidation is the legal process for dealing with a company who is unable or unwilling to pay their debts There are two types of liquidation Compulsory And Voluntary. A liquidator will be appointed to handle the liquidation to Administer the company’s assets And Distribute them amongst the creditors in accordance with their rights. There is no fixed term for a liquidation and a company can only be liquidated once.
Live employer	An employer record is live when it contains none of the following An end date due to succession or cancellation Details of a transfer out, merger out or succession out
	M
Mailing contractor	The term mailing contractor refers to a company contracted by HMRC to deliver output on their behalf. Examples of output mailing contractors are responsible for issuing include Employer Starter Packs Employer and Budget Packs for new and existing employers P9 coding notifications P6 coding notifications.
Management unit	A Management Unit (MU) is either the whole or two or more parts of an office. Each MU is more or less treated as an office within an office. Each MU has Responsibility for specific taxpayer records Designated terminals attached to it. The number of MUs an office is divided into is usually for local management to decide.
Medium employer	A medium employer is one with 50 to 249 live employees. Each employer record (scheme) is placed into one of four segmentation bands. A medium employer is required by law to use online filing to file their annual end of year returns and make payments by electronic means for all tax years from 2005/06.
	N
NESI	New Enterprise Support Initiative or NESI was created to Help HMRC support new (and prospective) small and medium size businesses And Reduce the burden of tax and NIC administration And in doing so Drive down the costs of compliance for Government departments. This will be done through A new introductory leaflet – ‘First Steps As A New Employer’ A special Helpline for new and prospective employers Telephone number 0845 60 70 143 Open 8am – 8pm Monday - Friday, Sunday - 10am - 4pm Calls charged at local rate Regionally based Business Support Teams (BSTs), IR staffed, to provide dedicated support, assistance and education. A customised New Employer Starter Pack which includes booklet ‘Next Steps As A New Employer – Paying Someone For The First Time’.
Net adjustment	This is the monetary amount reported on an End of Year return. This amount does not take into account any earlier End of Year returns that may have been received for that employer record in that year. Example If three End of Year returns have been received for an employer record for a year they would be entered on each screen as follows
	Return Class	Net Adjustment
	Original return showing total tax due of £100.00	£100.00
	Additional return showing a further £50.00 tax due	£50.00
	Corrected return showing a figure of minus £10.00 tax	-£10.00
Network Unit	The Network Units are located in Banking Operations Cumbernauld And Banking Operations Shipley. The Network Units deal with the collection and recovery work associated with tax charges shown on certain types of assessments and determinations which are issued clerically. These include Investigation Settlements made on Forms 94 Penalty Determinations issued on Forms 394 Regulation 80 Determinations issued on Forms P380 Pension Fund Surpluses
NICO	NICO stands for National Insurance Contributions Office. This is an Executive Office of HMRC responsible for managing the National Insurance System. Formerly NICO were part of the DSS and known as the Contributions Agency.
NINO	Each National Insurance contributor is allocated a unique reference, a National Insurance number (NINO), by the National Insurance Contributions Office (NICO). A NINO consists of two letters then six numerals then one letter. For example AB123456C Although the full 9 characters are normally entered on HMRC computer records, it is usually sufficient to enter only the first 8 characters to access the computer record.
NI Scheme type	An NI scheme type is appropriate when Wages paid exceed the lower earnings limit for National Insurance contributions But Are below the threshold for tax
Non live employer	An employer record which contains one of the following An end date due to succession or cancellation Details of a transfer out, merger out or succession out.
NORPRO Scheme type	A NORPRO (Norwegian Protocol) scheme type is used only by Centre 1 to denote an employer resident in a country that has an off shore article in their Double Taxation Treaty with the UK. For example: Norway, Denmark, or the Netherlands. The foreign employer operates a special system of UK tax deduction using simplified tax tables and End of Year return that are supplied by Centre 1.
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OAS	OAS stands for Overpayments and Accounting Summary. There is a separate OAS computer operating in, and maintained at each Banking Operations site. OAS handles the reconciliation for all payments that are sent to them (except SA payments) and is used to Temporarily hold payments that cannot be allocated to either an employer or taxpayer record Transfer payments between records Repay amounts directly to the employer or contractor
OCPN Scheme type	An OCPN (Occupational Pension) scheme type is appropriate when an occupational pension provider makes pension payments to Former employees Or Dependants of deceased employees
Online filing	By 2010 all employers, with a few exceptions, will be required to file their annual return online. Online filing means sending information direct to the HMRC computer cutting out paper. There are three options available to employers PAYE Online from a software package or the HMRC Online Return and Filing - PAYE. This is filing by Internet Electronic Data Interchange (EDI). This is effectively a direct link between the employer and HMRC. It is likely to be appropriate for only the very large employers and some payroll bureaux / agents Using an intermediary, such as a payroll bureau or agent, who will submit the annual returns on the employer’s behalf using one of the above. Note: We must have a signed FBI 2 authorisation before we can send information to agents using PAYE online for Employers - Internet. We can however receive information, on behalf of the employer from any agent or representative. Both form P35 and forms P14 must be filed online. Employers may be liable to a penalty or miss out on incentive payment if one part is returned on line and one by other means. Submission of Magnetic Media is not considered to be online filing.
Online Services helpdesk	The Online Services Helpdesk contact details are as follows Tel: 0845 60 55 999 Overseas: +44 161 930 8445 Fax: 0845 366 7828 Minicom: 0845 366 7805 e-mail: helpdesk$ir-efile.gov.uk Internet: www.hmrc.gov.uk Opening Times: 8.00am to 8.00 pm 7 Days a week (closed Christmas Day, Boxing Day & New Years Day.
Organisation Unit	An Organisation Unit is an office or Management Unit within an office. A unique 6 numeral identifier is allocated to each Organisation Unit. The first numeral is the office type identifier, that is ‘2’ for offices responsible for processing work irrespective of any debt management activities they may perform ‘3’ for offices which exclusively perform debt management work. Followed by The three numeral office number, including any leading zeros. Followed by The two numeral Management Unit number, including a leading zero, if appropriate. For example, Management Unit 05 – responsible for processing work - in office 091 is identified as ‘209105’
Original complete return	An original complete annual return is the first return captured in a year where the employer has submitted a P35 together with all expected P14s. In the case of a PSC scheme where either P35 and a CIS36 are received at the same time, and both are captured at the same time, whichever return was captured first is treated as the ‘original’ for that employer record.
Original part P35 return	Original Part P35 shows that the return is The first return to be captured for that employer for that year And A P35 on its own without any forms P14. Note: In the ‘Employer Further Guide to PAYE and NICs (CWG2)’ Para 13, we recommend that the P35 is submitted last to enable the correct number of batches of P14 parts to be entered on the P35.
Original EOY return	An original End of Year return is the first End of Year return captured for an employer in any year. In the case of a PSC scheme where a P35 and CIS36 are received, providing both are captured at the same time both returns are treated as ‘originals’ for that employer record for that year.
Overpayments account (Book 19)	The overpayments account (book 19), also referred to as an overpayments register, is a suspense account to which payments banked by a Processing Office or Debt Management Office are allocated temporarily. The overpayments account is used where, for example, the Charge to which the payment relates cannot be traced Payment allocation details are not clear Or Payment is intended for NICO or the TCO. Once any enquiries have been completed the Processing Office or Debt Management Office normally clears the overpayments account entry by Transferring the payment to duty either locally or to another office Or Arranging for a payment to be issued to NICO or TCO.
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P228 Consecutive number	Form P228 is automatically generated by the computer as a result of capturing a return and is sent direct to the Processing Office. Consecutive numbers are allocated per office for each return in the order in which they are captured. Each P228 will have its own unique consecutive number. Note: Only one copy of the P228 is produced. There is no office copy. Function VIEW EOY RETURNS HISTORY can be used to view each P228 generated.
P239 list	Form P239 is a summary list automatically generated by the computer of between one and twenty forms P228. It is sent directly to NICO. A copy is not forwarded to the Processing Office. Each P239 contains Number of schemes for processing Tax District number P239 List number Date of issue P228 consecutive number Employer's name Employer reference number Tax year Number of returns Remarks
P239 list number	Form P239 is automatically generated by the computer as a result of capturing a return and is sent direct to NICO. Each form P239 is allocated a list number
Part P35 return	A part P35 return is one where the employer has submitted a P35 without the expected forms P14 required to make a complete return. Note: In the ‘Employer Further Guide to PAYE and NICs (CWG2)’ Para 13, we recommend that the P35 is submitted last to enable the correct number of batches of P14 parts to be entered on the P35.
Pay adjustment tables	These tables show the weekly and monthly pay adjustment figures. They give you the correct figure of Free pay, where the code is a suffix code Or Additional pay, where the code is a K code
Payment card reward scheme	A payment card reward scheme is A scheme set up by a payment card company, bank or building society to tax payments of cash made to an employee or third party retailer who passes this on to their employee as a reward for the recovery of a lost or stolen payment card or cheque guarantee card PAYE20110 gives further details.
Payroll agent	A payroll agent is a person or group of persons appointed by an employer to handle their payroll. You must ensure that the payroll agent’s details are entered on the employer record in the appropriate PAYROLL & CORRESPONDENCE DETAILS fields. An appointed payroll agent will receive all automated correspondence issued by HMRC and deal with all of the following Operation of PAYE Employer’s copies of coding notices Payslips Employer Pack End of Year returns General employer correspondence. A payroll agent may also act as agent for the employer dealing with other areas of an employer’s tax affairs for example penalties and assessments. When the payroll agent does also act in other areas of an employer’s tax affairs you should set the Agent indicator on the employer record using Function AMEND EMPLOYER SUMMARY for an existing employer record EMPLOYER SET UP when setting up a new employer record
Period of grace	This period of grace is additional time for an employer to submit an End of Year return, to accommodate delays in transmission (postal delays). Extra Statutory Concession (ESC) B46 states that ‘The Inland Revenue will not charge a penalty if a return is received on or before the last business day within seven days following the statutory filing date’. A business day is any day other than a Saturday, a Sunday, Christmas Eve, Good Friday or any bank or public holiday.
Permanent overpayment	An overpayment arising on the Banking Operations record is to be regarded as a permanent overpayment where The amount does not exceed £10 (this was £100 between April 2003 and September 2003) and repayment, reallocation or transfer has not been requested by the employer or contractor Or The amount exceeds £10 (this was £100 between April 2003 and September 2003) but cannot be related to particular employees or subcontractors Or The employer / contractor has refused repayment or credit to a later year Or Any other reason exists which makes repayment, reallocation or transfer inappropriate, at the time or at any time in the future
PID	The unique Pay Identity Number consisting of 7 numerals issued by HMRC Finance to an employee on starting employment. If you want to set up an operator before receipt of his or her PID your Local Administrator will allocate a temporary PID to the operator.
POP return	This term is used to describe a return that has been completed and authorised by the Debt Management office which is subsequently sent to a processing office to enable a permanent overpayment to be cleared.
Portal	A portal or gateway provides access to specified information and services. Employers are able to file their returns using the following portals Electronic Data Interchange Internet
Principal employer	In relation to a TRONC scheme, the principal employer is the person or body who pays the employees wages.
Privileged user	A Privileged User is allowed to use certain COP functions on taxpayer records outside the parent Management Unit (MU). The facility for Privileged Users is only available in offices which are divided into separate PAYE MUs.
Processing Centre	A Processing Centre (or Data Centre) is responsible for producing the ‘Daily batch’. This is the computer action for processing information from on-line functions and printing the output from it. An example is the issue of forms P2 and P6 from Daily Coding functions.
Processing office	The Processing Office is the office which is specifically responsible for Maintaining employer records Day to day work on employer aspects Processing employer returns
Pro-forma	This indicates that the return has been completed on behalf of an employer or contractor. It is not a return that is received from the employer. For tax years up to 2004 Pro-forma returns are not recorded as received prior to their capture. For tax years 2005 onwards Pro-forma returns must be recorded as received prior to their capture. Note: Quality standard checks do not apply to pro-forma returns. EBS Function RECORD RETURN RECEIPT must be used to record receipt of the returns as having ‘passed’ the paper quality check.
P Scheme type	A P scheme type is appropriate for all organisations and businesses making payments to employees, pensioners and office holders, for example, directors. The employer must operate PAYE in all the following circumstances When making a payment of earnings to an employee or when an employee becomes entitled to payment On all payments above certain limits When the Processing Office tells him or her to use a certain code
PSC Scheme type	A PSC scheme type is appropriate when A contractor in the construction industry makes payments to a subcontractor And As an employer they have employees liable to PAYE deductions
PSS Scheme type	A PSS scheme type is appropriate when The Trustees of a Profit Sharing Scheme make a payment on behalf of an employer in respect of shares given by that employer to its employees And The recipient shareholders are now neither Employees of that employer Or Pensioners receiving an occupational pension from that employer The trustees are required to deduct tax from these payments under PAYE using code BR.
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Radio button	A radio button is used to set a signal or indicator on the employer or taxpayer record. It is presented as a circle Blank where it does not apply With a black dot in the centre where it does apply. To set the signal or indicator Select the radio button For example Where the employer requires bulk coding notifications to be sorted in NINO order, rather than alphabetical or works number order, you will select the NINO radio button Or Where the taxpayer is a Director you will select the DIR radio button to set the indicator.
Reasonable excuse	This term is not defined by statute, but broadly speaking a ‘reasonable excuse’ is An exceptional event beyond a person’s control which prevented a return being sent back by the deadline or tax and NIC being paid by the due date Not prescriptive and must be considered based on the facts of that case.
Recovery Office	The term Recovery Office includes Local Debt Management Offices Enforcement & Insolvency Services (EIS) Banking Operations Tracing Units Banking Operations Review Unit Banking Operations Public Department Collection. It excludes the Recovery Group Offices (RGO) and other areas of Debt Management & Banking.
Registered (Data Protection Act)	The Data Protection Act makes provision for a Data Protection Registrar and the setting up of a register in which personal data and the purpose or purposes for which it is held must be registered. HMRC computer systems are included in the register. The information in the register is open to public inspection.
Responsible Organisation Unit	The responsible Organisation Unit is an office or Management Unit (MU) within an office that has responsibility for the employer record. A unique 6 numeral identifier is allocated to each responsible Organisation Unit. The first numeral is the office type identifier, that is ‘2’ for Processing and Technical Offices (irrespective of any recovery activities) ‘3’ for offices which exclusively perform recovery work. Followed by The three numeral office number, including any leading zeros. Followed by The two numeral MU number, including a leading zero, if appropriate. For example, Management Unit 05 in Processing Office 091 is identified as ‘209105’.
Return	All employers / contractors must submit a return for each year in which they have made payments to their employees or subcontractors. The return includes details of Payments and deductions made for individual employees / subcontractors Amounts paid over to Banking Operations A signed declaration. The type and combination of forms required will depend on the PAYE scheme type operated. All returns must be on an official P35 employer annual return.
Return Class	When returns are captured for tax years 2005 onwards they are classed in one of 5 ways Original Complete Original Part P35 Additional Complete Additional Part P35 Correction. When using Function VIEW EOY RETURNS HISTORY, if the Return Class is blank for any particular return then the details for that return have not yet been captured. For tax years up to 2004 the Return Class will be either Original Additional Or Correction
Return part	From April 2005 an employer (or their agent) operating a PAYE scheme can submit their employer’s annual return (P35 and forms P14) in parts using different channels – Internet, EDI, paper and Magnetic Media. If an employer intends to send the whole return by paper, then the return must be submitted as a complete return and not in parts. Where an employer chooses to submit their return in parts they will need to Record the number of parts, in which forms P14 will be sent, on the form P35 Attach a P14 Cover sheet for each paper part P14 that is sent. The employer will also need to provide a unique identifier for each part P14 submitted.
RLS	Where for example Royal Mail is unable to deliver a communication, it will be returned to the sending office (either direct or via Cumbernauld) by their Returned Letter Section. An RLS indicator should be set on the Employer Business Service (EBS) employer record for either the Business address or Correspondence address when you receive undelivered mail or are notified that the address held is no longer valid. Function AMEND EMPLOYER SUMMARY is used for this purpose.
RSI	The Return Status Indicator (RSI) will indicate the stage an employer return has reached in the ERIC consolidation process. The RSI entries will indicate ‘1’ That the return has yet to be consolidated within ERIC (awaiting receipt of one or more parts) ‘2’ That the return has been consolidated within ERIC (all expected parts have been received) ‘3’ That the return cannot be consolidated within ERIC (all expected parts have not been received)
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SA	SA (Self Assessment) was introduced in the 1994 Finance Act. For individuals who receive returns, and for partnerships and trusts, the first year of self assessment was 1996-97. An SA computer system Holds SA taxpayer records Supports staff in the administration of Self Assessment
SA Taxpayer reference	The SA taxpayer reference must be one of the following 10 character UTR (Unique Taxpayer Reference) in the format 9999999999 First 8 characters of the NINO in the format AA999999 8 character temporary reference number in the format 99A99999
Scheme index supplement printout	This list or printout Provides an analysis of the types of employee (SA and Non SA) associated with a specific employer Presents this information in groups of 100 employees indicating only the names of the first and last employee within that range And Is used to determine the size and content of a particular employer record
Segmentation	This term is used to describe the annual process of categorising each employer record (scheme) into one of four segmentation bands. This information is used for the purposes of determining if and when an employer is required by law to use online filing to file their annual end of year returns.
Segmentation band	Each employer record (scheme) is placed into one of four segmentation bands for the purposes of determining if and when (between April 2005 and April 2010) an employer is required by law to use online filing to file their annual end of year returns. The four segmentation bands are Schemes with 250 or more live employees Schemes with between 50 and 249 live employees Schemes with 49 or less live employees Schemes that are excluded from being required to file electronically (for example certain scheme types). Large and medium employers can appeal against using online filing on religious grounds. If the appeal is successful the schemes will be exempt from filing electronically.
Segmentation count	The number of live employees associated to an employer record at the time of the annual review date. This information is used to determine when (between April 2005 and April 2010) an employer excluding those exempt or excluded is required by law to use online filing to file their annual end of year returns.
SICK Scheme type	A SICK scheme type is appropriate where a third party is responsible for paying sick pay to the employees of more than one employer, for example, an insurance company.
Simplified tax tables	Table P16 is given to employers of personal and domestic employees who use the P12 card procedure. The table Is simplified and non cumulative Includes instructions to the employer Can be used for weekly or monthly paid employees And Must not be issued to commercial or industrial employers. As free pay tables are not issued with cards P12 you must enter the free pay for Week 1 / Month 1 on each card before issuing it.
Start Notice	A Start Notice (form SL1) is a computer generated form that is automatically sent to an employer when either A successful match is achieved between the Students Loan Company record of borrowers and HMRC PAYE computers Or A form P45 relating to a borrower is processed by HMRC and has no entry in the Student Loans box. The Start Notice instructs the employer to start making Student Loan deductions from the date shown on the Notice. This date, which is 42 days after the date of issue, is intended to give the employer time to make necessary alterations. Start Notices are not issued annually in respect of the same borrower. The instructions in the Start Notice continue to apply until the loan is repaid or otherwise cancelled. There is no clerical version of the Start Notice and stocks are not supplied to local offices.
Statutory Adoption Pay (SAP)	Statutory Adoption Pay is available to Individuals adopting a child on their own Or One member of a couple adopting a child together There are qualifying conditions for SAP. If a couple are adopting the child jointly, SPP may be payable to the one who is not receiving SAP. For those eligible parents, payments will be made via their salary. The employer can then claim back 92% of any payments made Or 100% (plus compensation) if they qualify for Small Employers Relief (SER).
Statutory Paternity Pay (SPP)	Statutory Paternity Pay is available to Biological fathers The mother’s husband or partner One member of a couple adopting a child together The adopter’s husband or partner. There are qualifying conditions for SPP. For those eligible parents, payments will be made via their salary. The employer can then claim back 92% of any payments made Or 100% (plus compensation) if they qualify for Small Employers Relief (SER).
Stop Notice	A Stop Notice (form SL2) is a computer generated form that is automatically sent to an employer when either The Student Loans Company estimate that a loan is about to be repaid Or The loan is to be cancelled or Student Loan deductions are to cease for some other reason The Stop Notice instructs the employer to stop making Student Loan deductions from the first pay day following 42 days from the date of receipt of the Stop Notice. There is no clerical version of the Stop Notice and stocks are not supplied to local offices.
Sub-account	The sub-account is a reference that is made up of The tax group reference And ASN (assessment sub number) For example 123 PX 12345678 9901. It forms with the instalment reference the overall Collection reference that is used to identify each employer record on BROCS.
Subcontractor	A subcontractor is any business that has agreed to carry out construction operations for another business or public body, which is a contractor. The term subcontractor includes A company, any corporate or public body, as well as any individual self-employed person running a business or partnership A labour agency or staff bureau which contracts to either get work done with its own workforce , or to supply workers to a contractor A foreign business if the construction operations take place in the UK A local authority if they are engaged on construction operations for someone else A gang leader who agrees with a contractor on the work to be done , and receives payment for the work of the gang
Subcontractors holding CIS6 certificates	A Subcontractors Tax Certificate (CIS6) permits the contractor to make payments to the subcontractor named on the certificate without deduction of Income Tax.
Subcontractors holding registration cards	A Registration Card (CIS4) is held by a subcontractor. This shows that a subcontractor is registered with the Construction Industry Scheme (CIS). Production of this card allows a contractor to pay the subcontractor named under deduction of tax.
Subject access enquiries (Data Protection Act)	See Subject Access Requests.
Subject access officers	Subject Access Officers (SAO) have the specific responsibility of taking over and working any subject access requests in conjunction with the case owner(s) and with the support and guidance of the Customer Relations Manager and Debt Management Managers. The SAO will On receipt of a subject access request notify the Customer Relations Manager and the Debt Management Manager Fax a copy to the Data Protection Subject Access (DPSAR) team in Longbenton Ensure retrieval and collation of the relevant records Edit those records as necessary in strict accordance with the exemptions permissible under the terms of the Data Protection Act Working with the DPSAR team provide access to the individual in the most appropriate form
Subject access requests (Data Protection Act)	Data subjects are individuals for whom information is recorded on computer, or on clerical records. Subject access requests (SARs) are applications from individuals for details of the information about themselves that is held by HMRC.
Summary bank facilities	A summary bank facility is a method of banking payments of £250,000 or more.
Submitter	A submitter submits a return or return part by paper or Filed Online as an employer or on behalf of an employer.
Surcharge	From deduction year 2004-2005, large employers (those with 250+ employees) are required to make monthly payments of PAYE / NIC deductions in full and on time by an approved electronic method. Where the employer fails to comply, HM Revenue & Customs will impose a surcharge at the end of the deduction year when the P35 is processed. Where a surcharge has been imposed, posting type ‘SUR’ will be displayed in Function VIEW BROCS (POSTINGS SUMMARY) (Format 3). Any amendment to the surcharge, for example where the P35 has been amended, will be shown as posting type ‘ASR’.
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TAS Scheme type	A TAS scheme type is appropriate when providers of incentive awards have entered into special accounting arrangements for paying the basic rate tax liability on non-cash awards made to their own or to other people’s employees. This means that the provider and not the person receiving the award, pays the basic rate tax.
Taxable Pay Tables	These tables are used to calculate the tax due on an employee's taxable pay on any given pay day The taxable pay for a suffix code is total pay to date less the free pay to date The taxable pay for a K code is total pay to date plus the additional pay to date
Tax Administration Advice Unit	For advice on appeals procedures and appeals on religious grounds contact Tax Administration Advice Tax Appeals Policy Room 1C/26 100 Parliament Street LONDON SW1A 2BQ 020 7147 2397 or 020 7147 2273
Tax Equalisation	HMRC and Tax Professionals often use the words ‘Tax Equalisation’ to refer to contractual arrangements between employers and employees, where Employees are entitled to specified net cash earnings and non-cash benefits And Employers undertake to meet the UK income tax arising from the provision to the employees of the cash and the benefits
Tax free payment	Small employers (0-49 employees) are being offered tax free incentive payments to encourage them to use online filing to file their annual returns. Both form P35 and forms P14s must be filed on line to qualify for an incentive payment. The incentive payments are as follows 2004-05 - £250 2005-06 - £250 2006-07 - £150 2007-08 - £100 2008-09 - £75. The incentive will be given by BROCS as a credit against the account for the year in which the return was successfully filed on line.
Tax geared penalty	See Duty Geared Penalty.
Tax payment voucher	Tax Payment Vouchers (CIS25) is a 3-part form issued to all contractors set up on the CIS system. The vouchers are personalised and contain the following details Contractor name Contractor tax reference Three types of the CIS25 voucher are available to contractors CIS25(M), a manual voucher CIS25(I), an impact printable voucher CIS25(E), an electronic voucher
Tax Tables	A set of official Tax Tables will normally consist of Tables A - Pay Adjustment Tables Tables SR + B to D - Taxable Pay Tables Calculator Tables. If the employer operates the Simplified Tax System they will receive instead Form P16 - Simplified Deduction Scheme - guidance on how to complete a form P12 and the simplified tax tables
TCO	TCO stands for Tax Credit Office. This office was set up in October 1999 and replaced the Family Credit Unit. The TCO is responsible for the administration of the Tax Credit System (TCS).
Technical Support System	A Technical Support System (TSS) is a local software application that can be accessed from your Desktop menu. TSS provides assistance with a range of regular everyday tasks that are performed frequently in a large number of offices. These tasks are often related to one or more of the many existing mainframe systems. A TSS is a fast and effective way of supplementing mainframe facilities and supporting processes (for example, the calculation of chargeable gains) that with a mainframe system are largely clerical.
Temporary number	Note: From the year 2004/05 temporary NINOs must not be used on P14 returns. If a NINO is not known, the employer should leave the NINO box blank and complete the date of birth and gender in appropriate boxes. A Temporary Number is sometimes created by an employer for a new employee who does not provide the employer with a National Insurance number (NINO). A Temporary Number is created in the following format TN Followed by Six numbers Followed by M or F. For example TN010282M This is not a NINO and must not be entered in Function MS to set up a taxpayer record. For more information about Temporary Numbers see PAYE60035.
Temporary reference number	A temporary reference number is allocated to a taxpayer by the COP computer when a record is set up and the NINO is not known. The temporary reference number is produced in the following format Two numbers Followed by One letter Followed by Five numbers For example 12A34567 Notes: From the year 2004/05 temporary NINOs must not be used on P14 returns. If a NINO is not known, the employer should leave the NINO box blank and complete the date of birth and gender in appropriate boxes Where a taxpayer's record has been set up under a temporary reference number and a sub source record is needed it should be set up under the existing temporary reference number
Tracking Tool	The Tracking Tool is the part of the External Routing Interface Component (ERIC) used to track the progress of an employer annual return or return part through various parts of the End of Year process. The tracking tool is used to Record incoming annual return, or return part information Record the progress of a return through the stages on the End of Year process Record annual return, or return part deletion information Record outgoing complete annual return details
Trade Class ‘C’ – Limited company	A limited company is one whose shareholders own that company. However the shareholders liability for that company’s debts is restricted.
Trade Class ‘E’ – Investment company	An investment company within Section 130 ICTA 1988 is any company Whose business consists wholly or mainly in the making of investments And The principal part of whose income is derived from those investments Included in this meaning is any savings bank, or other bank for savings.
Trade Class ‘F’ - Partnership	A partnership refers to the relationship between two or more people who run and own a business together and share its profits or losses.
Trade Class ‘I’ – Individual or sole trader	An individual or sole trader business is one that is owned and run by one person.
Trade Class ‘L’ – Local authority