Employer returns: employer return - overpayments: net overpayments
A net overpayment arises when the total amount of credits (payments) for an employer record is greater than the total amount due for the year.
The total amount due is the sum of the following P228 charge details
- Total of tax on returns
- Total amounts deducted on CIS36 (up to 2007)
- Net total of NI contributions
From April 2007 contractors have to submit monthly returns direct to CIS. For years 2007-08 onwards details of the Annual Return Status and CIS deductions made will be notified to BROCS in early May and then updated daily.
A net overpayment can arise even if the credits for one item are less than the amount due for that item. This can be seen in the following table
|£40 (overpayment)||£10 (underpayment)||£30 (net overpayment)|