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HMRC internal manual

Debt Management and Banking Manual

VAT into IDMS: introduction

As of April 2011 enforceable VAT debts will be managed on the Integrated Debt Management System (IDMS). Moving VAT debts on to IDMS means both Direct and Indirect Tax debts are managed on the same IT system.

Very little of the functionality of IDMS has been changed to accommodate VAT debts. Similarly you will not notice any changes to the VAT Mainframe system except that there is now an interface from the VAT Mainframe to IDMS.

Other Guidance

Full IDMS guidance is contained within the IDMS User Guide accessed through the Library.

  • IDMSUG200000 - How to Access the Integrated Debt Management System (IDMS)
  • DMBM530000 - Debt and return pursuit: VAT
  • DMBM700000 - Set-offs: S130 FA2008
  • DMBM803700 - Setting up Time To Pay.

VAT SWIs will provide specific process instructions - see DMSS7000


From 6 April 2011 VAT items will be managed on IDMS.

Only recoverable VAT debts will be managed on IDMS, debts subject to an appeal will continue to be managed on the Departmental Trader Register (DTR).

The VAT Mainframe is the Head of Duty System and holds details of live VAT Taxpayers. The data includes the taxpayer’s:

  • name and address
  • VAT Return declarations
  • details of debits/credits and any outstanding liabilities
  • details of Officers assessments, interest, surcharge and penalties.

This can be viewed by accessing VISION. There are no changes to the above VAT mainframe functions as a result of VAT moving into IDMS.

However, from 6 April 2011 the VAT Mainframe will instead of sending details of outstanding debts to DTR will send them direct to IDMS.

Impact on other systems

Although DTR will cease to be the VAT debt management system for recoverable debts its other functions remain unchanged. At this time no decommissioning of the debt data already in DTR is due to take place, so debts previously downloaded will remain visible to view but will no longer reflect the current debt position of the taxpayer.

Other business areas in HMRC will continue to interrogate and update the DTR database as required for their work area.

DMB will continue to use DTR to monitor debts under appeal and to update Insolvency details and telephone numbers.

DTR Reason for Interests (RFIs) are interfaced to the Electronic Folder (EF) User Interest screen such as Responsible DMU Office and Debt Control. These will continue to be seen in EF however they will no longer reflect the current debt position as there is no Interface from IDMS to EF.

However, all other non DMB User Interests on EF will continue to reflect the true position. VISION and IDMS should be viewed for up to date debt position by DMB staff.

As EF is an electronic system that holds scanned or captured VAT customer documentation, DMB will continue to use EF to manage correspondence to and from the customer. VAT demands are not captured to EF and this will apply to demand letters produced automatically from IDMS.

EF should continue to be used as per existing procedures.

Other directorates who need to contact DMB for information will be able to go to a Single Point Of Contact (SPOC) (This content has been withheld because of exemptions in the Freedom of Information Act 2000) .