DMBM121020 - Maintain charges (financial) by IT system: Maintain charge (financial) in SAFE: Standovers in SAFE
The majority of this manual will be archived on 30 Apr 2024. If there is content within this manual you use regularly, email hmrcmanualsteam@hmrc.gov.uk to let us know.
The function Maintain Charge is used to post or amend a standover on a SAFE charge. Within the function, the user selects the standover option.
If the whole charge is being stoodover, the system will check to see if a full standover already exists. Where it does, a system message will be displayed. Where a partial standover exists it will be overwritten by the full standover.
Where all or part of an existing standover is to be released, either
- enter the new standover value by inputting the new partial amount to be stood over, or
- cancel the standover if it is to be reduced to nil.
The system will set a Dunning Lock (see DMBM131015) for stoodover amounts and this will be visible when viewing Customer Accounts.
Unlike most Head of Duty systems where amounts stoodover are recognised as accounting adjustments, in SAFE these amounts are reflected in the collectible balance analysis but are not treated as accounting adjustments.
A charge amendment will automatically reduce a standover to zero.
If the taxpayer pays more than the amount collectible and an amount is standing over, the payment will be allocated to the collectible amount only. The excess will be put to Unallocated Payments and be subject to payment clearing rules.
A payment application will be issued after a standover is processed and after a charge amendment where a balance is outstanding.
Subject to management requirements a report can be produced for each charge raising office to enable amounts stoodover to be reviewed.
Suspend Collection
In SAFE, collection is suspended by applying a Dunning Lock and this is achieved through using the function Manage Charge – Inhibit Reminders. See DMBM131015.
The Dunning Lock can be set against the whole charge or duties within the charge. The reason code for the Dunning Lock should be entered.
One of the main reasons for suspending collection is to refer an enquiry from the customer concerning the charge to the charge raiser. In other Head of Duty systems, the referral to the charge raiser transfers responsibility for the suspended charge to the charge raiser. In SAFE when the Dunning Lock is set, the responsibility for resolving the customer’s concern rests with the officer who set the lock. A strict B/F should be maintained to ensure the customers concerns are dealt with as soon as possible and the Dunning Lock released. The Dunning Lock can be cancelled at any time.
Cases where the Dunning Lock is set can be identified through the ad-hoc Management Reporting facility in SAFE.