SAM123320 – Returns: trust
returns: unlogging returns where there is a charge on the
record
The unlogging of a Trust and Estate return or Tax Return for
Trustees of Registered Pension Schemes, where function CREATE
RETURN CHARGE has been used to enter the return charge on the SA
record, should be an exceptional occurrence and usually because the
return has been logged and the charge entered against the wrong
trust record.
Where a charge has been entered on the SA record a return
should not be unlogged without the agreement of the Clerical
Processing Manager. This is because all amendments to the SA record
and actions taken based on the wrong return must be unravelled.
Note: If it is necessary to unlog returns for more
than one year, you should always unlog in reverse order. Unlogging
the later year return first will prevent problems with stranded
payments on account for earlier year returns which no longer exist.
When a return is unlogged, the SA system automatically
- Reduces any balancing charge for the return year
to nil or re-instates the balancing charge to the amount previously
shown on any Revenue determination for that year
- Reduces any surcharge for the return year to nil,
overnight
- Restores any payments on account for the year of
the return that were present before the charge was entered on the
record, if they were changed following entry of the charge
- Restores in full any fixed penalty for non-filing
of the return, which was capped following capture of the
return
- Sets the No Repayment and Inhibit Auto
Reallocation signals on the SA record
- If no return is logged or there is no Revenue
determination for the year following the return year
- Reduces payments on account to nil for
that year
- If a return has been logged and a charge entered
on the record for the year following the year for which the return
is unlogged or, there is a Revenue determination for that next
year, and a determination
has not been re-instated for the year for which
the return is unlogged
- Reduces payments on account to nil for the
year following the year for which the return is unlogged
- A new balancing charge is created for that
next year equal to the liability on that year’s return or
Revenue determination
- If a return has been logged and a charge entered
on the record for the year following the year for which the return
is unlogged or there is a Revenue determination for that next year,
and a determination
has been re-instated for the year for which the
return is unlogged
- Payments on account and balancing charge
are recalculated for the year following the year for which the
return was unlogged, with the total being equal to the liability on
that year’s return or determination
The details held on the SA record
must be corrected manually, by amending any
details incorrectly amended and based on that return, for example
an address. Advice on amending details held on the SA taxpayer
record is available in section ‘Maintain Taxpayer
Record’, in business area ‘Records’.
Any action taken based on missing information
must also be unravelled, for example an enquiry
opened on the unsatisfactory return must be closed because the
basis for the enquiry no longer exists.
When a return with a corresponding charge is unlogged a work
item is created and entered on the ‘Fully Captured / Unlogged
Return’ Work List.
The Work List is allocated to the Clerical Processing
Manager in the office with processing responsibility. For more
information on the action to take see section ‘Returns
Worklists’ in this business area.
