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HMRC internal manual

Compliance Operational Guidance

Supporting Guidance: employer compliance: guidance by subject: settlement: Apprenticeship Levy - Regulation 147L process

COG915171 explains the background as to when to consider the issue of a Regulation 147 Assessment. This guidance tells you the process to follow when you need to issue the assessment.

Action by caseworker

You must:

  • calculate the amount of Apprenticeship Levy due
  • complete a Reg 147 Authorisation Stencil, (available via SEES Forms and Letters), providing evidence as to why you consider an assessment is appropriate 
  • refer the case to the Authorising Officer.

The Authorising Officer will:

  • consider the information provided
  • authorise the Regulation 147 assessment 
  • refer the papers back to you.

Once the Authorising Officer approves the assessment, you must:

  • issue a warning letter, (EC21 - available via SEES), to the employer or engager
  • consider whether formal penalty determinations should be raised at the same time (COG914175)
  • BF the case for 30 days and if no response or addtional information received
  • prepare the Regulation 147 Assessment SAFE stencil, (available in SEES Forms and letters), and your manager should submit the completed stencil via email to Reg 80 Team, National (ISBC C&A SE)

Note: For Large Business (LB) see note below.

Action by Reg 80 team / SAFE nominee

When a request for the issue of a Regulation 147 assessment is received you should:

  • check that the assessment includes
    • the caseworker’s office location and address
    • the caseworker’s PID
    • the year or period of the assessment
    • the amount on which Apprenticeship Levy is chargeable
  • enter on SAFE under the Regulation 147 category
  • complete the Regulation 147 notice (available via SEES Forms and Letters), remembering to
    • enter the SAFE charge reference on the notice
    • use the caseworker’s office address as the issuing address
  • send the notice to the employer
  • enter the case in the establishments folder
  • send the caseworker confirmation that the charge is raised and a copy of the Regulation 147 Notice.

Further action by caseworker

Once the charge is raised you must:

  • make sure you save a copy of the Regulation 147 Notice in the document store in Caseflow/CRMM
  • BF the case for 30 days.

Large Business

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

Appeals

The 30 day appeal period applies to Regulation 147 assessments because they are treated as though they are assessments to tax. If you receive an appeal you should follow the Appeals Reviews and Tribunals Guidance (ATRG).

You must remember to complete the Regulation 147 Assessment SAFE stencil, (available in SEES Forms and Letters), and submit the complete stencil via email to Reg 80 Team, National (ISBC C&A SE), when

  • an appeal is received and
  • when the appeal is settled.

The Reg 80 team / SAFE nominee will update the SAFE records to show that

  • an appeal is received and standover the charge
  • once the appeal is settled they will either
    • release the charge for collected
    • amend the charge
    • set aside the charge.

If no appeal is received you should follow the normal closure procedures.