Debt and return pursuit: CIS: end of year process: overpayments
Contractor advises you that he has overpaid
This is usually where the ‘Provisional’ CIS status indicator is shown.
If CIS monthly returns or the P35 are outstanding:
- remind the contractor of his obligation to submit these
- emphasise that the overpayment cannot be dealt with until all returns have been received.
If all returns have been received and the contractor advises you that our records are incorrect and a correction is required:
- ask the contractor to ring the CIS Helpline on 0300 200 3210
- advise the contractor that once all CIS returns and P35 (if necessary) have been received and if the correction creates an overpayment the overpayment will be dealt with as below.
If the overpayment is:
- between £10 and £500, it will be transferred to the following year
- £500.01 and greater, it will be referred to Customer Operations to review the reasons for the overpayment.
If the contractor asks for a repayment now, advise that this can not be issued immediately and will be dealt with by the Employer EOY team once all returns have been received and processed. In exceptional circumstances if the contractor is concerned about delays in receiving a repayment ask them to write to the Employer EOY Office making a claim for repayment and explaining why they have overpaid.
Noting the record
- use RECORD ACTIONS to record for example Tele Call/Correspondence/Clerical
- select Other
- make a Further information note
- set a new B/F date for 30 days later.
Unable to reconcile overpayment and EOY details
If you are unable to reconcile overpayment figures with the contractor:
- make sure that all returns have been received
- compare EOY figures
- check individual effective returns month by month to identify the discrepancy.
If you are still unable to identify the discrepancy:
- ask the contractor to write to Employer EOY Office supplying details of their returns and overpayment
- send a WAM to Employer EOY Office supplying any details held.