Supporting Guidance: employer compliance: guidance by subject: specialist employer compliance: dispensations - inaccuracy discovered
If during the consideration of a dispensation application an inaccuracy is discovered that is not appropriate for a dispensation, for example the employer is applying for a dispensation for an expense that is not a legitimate business expense. The SEC should seek recovery, including the consideration of penalties.
Any Tax, NIC, Interest and Penalties recovered following this process should be recorded on ECS as an Employer Amendment.
In Local Compliance and PT International a compliance revenue claim under Broader Coverage code M04 should be made.
Issues arising on LB cases will be referred to the dedicated tax specialist / CRM. In the event of an intervention being made, an entry should be made on core system.
Where the employer declines to make payment a report giving full details of the issue and the potential tax / NICs loss should be sent to
- the CRM where one is appointed
- RIS in all other cases.