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HMRC internal manual

PAYE Manual

From
HM Revenue & Customs
Updated
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Employer returns: view / maintain BROCS: memo from Banking Operations - new or cancelled sub account (Action Guide)

To take the appropriate action when you receive a memo from Banking Operations headed ‘New sub-account’ or ‘Cancelled sub-account’, follow steps 1 - 14 below. This Guide is presented as follows

  Steps 1 - 7
   
  Steps 8 - 14

For details of how to access any of the Employer Business Service functions, use PAYE057.

Note: Any memo relating to payments held in the overpayment account (OAS) must be dealt with as priority.

New sub-account

  1. Use Function VIEW EMPLOYER NOTES and check the employer record pad to review the information recorded.

  2. Compare the information recorded on both computers

  • Use Function VIEW EMPLOYER SUMMARY to check the position on the Employer Business Service (EBS)
  • Use Function VIEW BROCS to check the position on the BROCS record
  1. Consider the following
  • Is the start date on the employer record correct?
  • Why was the payment made?
  • Is the payment allocated to the correct employer record?
  • Is the payment allocated to the correct account sub-number?
  • Will any other payments be made?
  1. Ask the employer / contractor for any further information you need to clarify the position.

  2. When you have all the information you need decide which of the following situations applies

  • The start date is incorrect and the payment is due go to step 6 
    Or
  • The start date is correct and the payment is not due go to step 7
  1. If the start date is incorrect
  • Use Function AMEND EMPLOYER SCHEME HISTORY to change the scheme start date to the correct date. For further guidance see ‘Maintain scheme start date’ at PAYE27020
  • Tell Banking Operations to allocate the payment held in OAS to the earlier year. Quote the OAS number in your memo / telephone call
  1. If the start date is correct
  • Inform Banking Operations that the start date is correct and how to dispose of the payment. Quote the OAS number in your memo / telephone call

All other cases

  1. Use Function VIEW EMPLOYER NOTES and check the employer record pad to review the information recorded.

  2. Compare the information recorded on both computers

  • Use Function VIEW EMPLOYER SUMMARY to check the position on EBS
  • Use Function VIEW BROCS to check the position on the BROCS record
  1. Consider the following
  • Was the year (sub-account) cancelled on the employer record correctly, either by

    • Using Function AMEND EMPLOYER INDICATORS to set the COYO indicator for that year
    • Using Function AMEND EMPLOYER SCHEME HISTORY to cancel the employer record
    • Using Function AMEND EMPLOYER SCHEME HISTORY to set a cessation date in an earlier year
  • Why was the payment made?
  • Is the payment allocated to the correct employer record?
  • Is the payment allocated to the correct account sub-number?
  • Will any other payments be made?
  1. Ask the employer / contractor for any further information you need to clarify the position.

  2. When you have all the information you need decide which of the following situations applies.

  • The year was cancelled incorrectly and the payment is due go to step 13
     Or
  • The year was cancelled correctly and the payment is not due go to step 14
  1. If the year has been cancelled incorrectly
  • Re-open the year (sub-account) either by

    • Using Function AMEND EMPLOYER INDICATORS remove the COYO indicator for the year further information is available in ‘Cancelled one year only (COYO)’ at PAYE21020
    • Using Function AMEND EMPLOYER SCHEME HISTORY to reopen a cancelled employer record see ‘Re-opening an employer record (Action Guide)’ at PAYE21206
    • Using Function AMEND EMPLOYER SCHEME HISTORY to restart a ceased employer record in an earlier year see ‘Re-starting an employer record (Action Guide)’ at PAYE21216
  • Inform Banking Operations to allocate the payment held in OAS to the earlier year. Quote the OAS number in your memo / telephone call

Note: If exceptionally you are unable to reopen the sub-account then you should contact the EBS Business Helpdesk(This content has been withheld because of exemptions in the Freedom of Information Act 2000) .

  1. If the year has been cancelled correctly
  • Inform Banking Operations that the year was cancelled correctly. Quote the OAS number in your memo / telephone call