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HMRC internal manual

Debt Management and Banking Manual

Debt and return pursuit: VAT: National Debt Pursuit Unit and payment on account: Large Business Unit

The Large Business Unit (LBU) is a debt management team within the National Debt Pursuit Unit (NDPU), Specialist Office Liverpool.

The LBU work closely with the Large Business Service (LBS). The aim is to target and support a more efficient and holistic debt management for the largest HMRC customers.

Large Business Service are responsible for the largest businesses that pay a significant proportion of the total business taxes and duties that HMRC collects.

LBU work with the responsible Client Managers (CRMs) within LBS and other tax specialists to manage the LBS debt on hand.

The LBU also has responsibility for managing the debts of Payment on Account (POA) VAT traders. Not all POA businesses will also be classified as LBS cases.

LBS cases are identified by source office code 109 on the R1 screen on VISION. LBU will be monitoring the case if their review code 443 is also set. Codes 443 and 442 mean it is a POA case.

The POA team in Banking (see DMBM531420) will notify the NDPU of debts relating to underpayment of POA instalments and missing POA instalments. The enforcement run will notify the NDPU of any quarter end/balance payment debts. So if a business fails to pay its instalments, the POA team may send notification of the debt to the LBU requesting that they start normal recovery action.

Time to pay

Within the LBU there is a specialised Time To Pay Technical Team who negotiate and monitor time to pay proposals for LBU and the POA VAT traders. Their approach will cover all heads of duty.