HMRC internal manual

Claimant Compliance Manual

Undisclosed Partners: Recovery of Overpayment for cases opened before 17 May 2007 - Calculating the Settlement Figure

To arrive at your settlement figure you need to calculate -

a.  the gross overpayment - see CCM15510

b.  the notional entitlement - see below

c.  the net overpayment which is the gross overpayment in (a) less the notional entitlement in b.

d.  whether there is to be a penalty - see CCM15575

The method of settlement will depend on whether or not there is a penalty.

  • If there is no penalty to recover - see CCM15585.
  • If there is a penalty to recover - see CCM15595.

The amount of the notional entitlement will depend on the following circumstances of the case:-

  • If the partner is still living with the customer - see CCM15530.
  • If the partner is no longer living with the customer - see CCM15545.
  • If there has been a claim by a couple when they should have claimed as two single customers - see CCM15560.
  • If both the customer and the partner had made a claim as single customers - see CCM15565.