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HMRC internal manual

Compliance Operational Guidance

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HM Revenue & Customs
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Supporting Guidance: employer compliance: guidance by subject: settlement: regulation 80 determinations - section 8 decisions: process

COG915160 explains the background as to when to consider the issue of a Regulation 80 Determination and/or a Section 8 Decision. The following explains the process to follow when issuing a Determination and or Decision.

Action by Caseworker

When the issue of a Determination/Decision is approved by the manager (COG915160) as the most appropriate course of action you should

  • issue a warning letter (EC21 - available via SEES) to the employer/engager
  • consider any claims to Regulation 72(5) (COG915180)
  • consider whether the NIC should be protected (This content has been withheld because of exemptions in the Freedom of Information Act 2000)
  • consider whether formal penalty determinations should be raised at the same time (This content has been withheld because of exemptions in the Freedom of Information Act 2000)
  • prepare a separate Regulation 80/Section 8 SEES template for each year.

Note: a class or classes of employees/workers can be specified in the notice of determination (without naming the individuals), where there is more than 6 employees, or

* one or more named employee/worker can be specified in the notice, but a separate decision is needed for each named person to make sure confidentiality.
* Do not use the term - ‘various employees’ 
  • Seek manager authorisation on the templates.
  • prepare a SAFE stencil (Word 38KB) and pass to the ES&I SAFE nominee to issue making sure full details as to who should receive a copy of the determination and/or decision is noted.

Action by {#IDAMESOE}ES&I SAFE nominee {#}

When a request for the issue of a Regulation 80 Determination/Section 8 is received the SAFE nominee should

  • check that the Determination includes

    • the caseworkers office location
    • the caseworkers PID
    • the case reference
    • the relevant legislation
    • the year of the Determination/Decision
    • employee names and where known, NINO
    • the amount on which deductions are chargeable
    • the appropriate rate of deductions
  • print the Determination/Decision for issue
  • enter on SAFE under the Regulation 80 category
  • enter the case in the establishments folder
  • issue the Determination/Decision, payslips and DAA2 (in appropriate cases)
  • issue a copy of the Determination/Decision to the agent if appropriate
  • issue a copy of the Decision to individually named employees/workers if appropriate
  • note CSP - ESB Employer Maintenance that a Reg 80 (Reg 49) has been issued
  • complete the SAFE stencil and return to the caseworker.

When a request is received for the issue of a Protective Claim the SAFE nominee should

  • check that the warning letter has been issued by the caseworker (COG915225)
  • check that the appropriate stencil has been completed (COG915225)
  • send the completed stencil to the appropriate section (COG915225)
  • enter the case in the (This content has been withheld because of exemptions in the Freedom of Information Act 2000)
  • complete the SAFE stencil and return to the caseworker.

Further Action by Caseworker

Once the SAFE stencil is returned by the SAFE nominee you should

  • make sure a copy of the Determination/Decision is held in the EC file
  • BF the case for any appeals
  • if no appeal received consider formal penalties (This content has been withheld because of exemptions in the Freedom of Information Act 2000) and close the case
  • if appeal received follow the guidance at COG915170
  • make sure any fees incurred in Protective Claim action are recovered from the Employer (COG915230)
  • arrange to send details of NIC postings to NICO.

Action by Manager

The manager should make sure the above processes are correctly followed in order to avoid any unnecessary problems. The manager should also support/guide the caseworker where an appeal is received.

LB and Specialist Personal Tax

LB and SPT should refer to their own published guidance for a full description of the processes to be followed.