Assessments: stand-alone assessments: introduction
Stand-alone assessments which are generally referred to as Revenue Assessments, will only will be required in specific circumstances. Self assessment customers are required to self assess and any amendment to their self assessment will be made by either the customer or HMRC, so a stand-alone assessment won’t normally be required.
|1.||A stand-alone assessment is not a self assessment and exists apart from a self assessment. A stand-alone assessment is, however, a further assessment to any self assessment that has been made by the customer. If there is no self assessment, for example because there is a failure to notify chargeability, a stand-alone assessment is not a further assessment.|
|2.||If an original stand-alone assessment is discovered to be insufficient a further assessment should be made.|
From 6 April 1998 the charge arising from all new assessments, and further assessments (other than Special Assessments and simple assessments), will be recorded onto the customer’s SA record. This is so the Section 86 TMA1970 (up to 30 October 2011) and FA2009 Section 101 and Schedule 53 (from 31 October 2011) interest provisions are handled correctly.
The types of stand-alone assessment that may be required are below.
In the majority of cases, these are the provisions that will apply
- a) a discovery assessment made under Section 29 TMA 1970, after the conclusion of a compliance check under the discovery provisions, or during an enquiry if the assessment is for an earlier year where there’s no enquiry
- b) the recovery of an over-repayment of tax under Section 30 TMA 1970
- c) assessments made where payments of pensions are made in a different tax year to the year of entitlement
- d) the withdrawal of capital gains roll-over relief under Section 153A(4) TCGA 1992
In extended time limit cases, in addition to the above the following might apply
- a) adjustments to penultimate and ante-penultimate years of self employment under the provisions of Section 63 ICTA 1988 or Para 3, Schedule 20 FA 1994
- b) a payment made, or a benefit arising, under Section 148 ICTA 1988 during the year 1997-98 in respect of an employment that ceased during the year 1996-97
The procedures for making an assessment vary, and will depend upon
- The year for which the assessment is required
- The type of customer being assessed
Consideration must be given to
- The relevant due date for calculating interest
- Whether the SA payments on account for the year following the year of assessment need to be amended.
There are no functions within the SA system for making and issuing an assessment notice. The assessment notice must be made and issued using the SEES form, RevAsst01. In deceased cases, RevAsst01D.
The resulting charge must then be recorded on the customer’s SA record using function CREATE REVENUE ASSESSMENT.
All stand-alone assessments are subject to appeal and postponement application.
Guidance on handling appeals and postponements can be found at SAM10000 and SAM11000 respectively.