Issuing manual payable order: repayment supplement: introduction
When supplement is due it is calculated at a rate of interest on the amount of the delayed repayment. The rate of interest is applied for a period starting at what is called the`relevant time’ and ending at the end of the `tax month’ in which either the repayment or set off is made.
The computer will calculate supplement for you except when
- a previous manual payable order has been issued
- there have already been four or more repayment computations for the year
- you entered N in REPAYMENT SUPPLEMENT DUE
In the above circumstances you have to calculate any supplement manually. To do this decide
- if supplement is due (RM2592)
- the relevant time (RM2596)
- the tax month (RM2600)
- the amount of the supplement (RM2604).