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HMRC internal manual

Tax Credits Manual

From
HM Revenue & Customs
Updated
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Changes - customer: Customer or Partner is serving a prison sentence or on remand

Checklist

Before you follow this guidance make sure you

Note: When following TCM0138020 you must ensure you follow TCM0134460 and TCM0134420 when instructed.

  • check the ‘Unprocessed Change of Circs’ work list for any outstanding entries and make a note of any information you require to clear the work item. Follow the guidance in TCM0054060
  • have the correct user roles to follow this guidance.
  • are in the correct MU. Use TCM0322460 for the correct MU number.

Reasons not to follow this guidance

You do not need to follow this guidance if

  • you are dealing with a single claim
  • the claim is pre award
  • the customer has advised you that they or their partner are either

 

  • incapacitated
  • in hospital
  • entitled to Carer’s allowance, either they get paid this allowance or they are entitled to it but do not actually get any payments because they receive other benefits instead

 

  • one person works at least 16 hours a week and that person qualifies for the disability element of Working Tax Credit
  • one person works at least 16 hours a week and that person is aged 60 or over
  • the customer, their partner or both of them each work less that 16 hours a week.

Background

From 6 April 2012, the eligibility criteria for WTC changed for more information use TCM0114120.

This guidance covers one of the exceptions. Where a customer is in prison or on remand, WTC can continue for couples with children, where their partner is working 16 hours. They will continue to be protected until their spouse or partner is released from prison or remand.

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Guidance

Note: When sending customer, staff or process data to another individual or team, make sure you follow the latest data security guidelines or contact the Data Guardian / Data Security Team for advice.

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Step 1

On receipt of the Contact Centre Directorate (CCD) ‘custodial sentence’ or ‘on remand’ referral or the Department for Work and Pensions (DWP) referral or a letter from the customer, see if you have the following information

  • prison address
  • customer’s prison number
  • start date of the prison sentence or period of remand
  • length of the prison sentence or period of remand
  • employment or self employment end date
  • the partner or spouse’s employment or self employment details (including hours worked).

If you do not have all of the information needed and you have not yet set an action date, go to .

If you have all of the above information, go to .

If you are dealing with an expired action date, go to .

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Step 2

Phone the customer to obtain the missing information. Follow the guidance in TCM0094080.

If the customer is able to provide all the missing information, go to .

If the customer is not able to provide all the missing information,

  • send TC664 to request the missing information set an action date of 30 days in the future. For how to do this, use TCM1000008
  • update your BF sheet with the action taken
  • update application notes select NC83 (if using the TC2009 select ND01 note) from TCM0164020. For how to do this, use TCM1000028
  • take no further action.

Note: You must follow the guidance in TCM0152060 when you record the note and also follow the guidance in TCM0152160

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Step 3

Use Function VIEW APPLICATION

  • enter the customer’s NINO in the Key Entry Data screen
  • select the All checkbox
  • select [OK]. You will be taken to the Select Application Screen
  • select the latest application
  • select [OK]. You will be taken to the Application Summary screen
  • select ‘Ch’ on the toolbar menu. You will be taken to the Children screen

If there are no children on the claim and the prison sentence or period of remand is 12 months or longer,

Note: You must follow the guidance in TCM0152060 when you record the note and also follow the guidance in TCM0152160.

  • send the MS200 to the International Complex / UK Complex Team, (This content has been withheld because of exemptions in the Freedom of Information Act 2000)
  • take no further action.

If there are no children on the claim and the prison sentence or period of remand is less than 12 months, go to .

If there are children on the claim and the customer has a prison sentence or period of remand for any period, go to .

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Step 4

Follow the guidance in TCM0042280 before making any changes then, if you can return to this guidance go to .

From the information on the CCD referral, the DWP referral or the customer’s letter, check to see if the customer who is in prison or on remand is employed or self-employed.

If the customer who is in prison or on remand is not employed or self-employed, go to .

If the customer was employed or self-employed prior to going into prison or on remand,

  • end the date of employment from either the start date of the prison sentence or the start date of remand. Follow the guidance in TCM0052240
  • continue to be self-employed, or until they are sentenced.
  • go to .

Note: Customers who are in receipt of WTC immediately prior to being placed on remand will continue to be entitled to WTC for as long as they remain employed or are suspended from work pending the outcome of a police investigation

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Step 5

Use Function VIEW APPLICATION

  • enter the customer’s NINO in the Key Entry Data screen
  • select the All checkbox
  • select [OK]. You will be taken to the Select Application Screen
  • select the latest application
  • select [OK]. You will be taken to the Application Summary screen
  • select ‘Add’ on the toolbar for the appropriate customer. You will be taken to the ‘Address Details’ screen

If the new address details are held,

Note: You must follow the guidance in TCM0152060 when you record the note and also follow the guidance in TCM0152160.

  • go to .

If the new address details are not held,

  • amend the address details, follow the guidance in TCM0036040

Note: When inputting the new address you must include the prison number in the address field.

  • go to .

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Step 6

  • enter the date the incapacity started in the ‘Start Date’ field in the ‘Incapacitated’ box for the relevant customer, this will be either the start date of the prison sentence or the start date of the remand period.
  • issue letter TC1232 to the customer using variable, 16 hours or more/less than 16 hours
  • update the application notes select NC98 from TCM0164020. For how to do this, use TCM1000028

Note: You must follow the guidance in TCM0152060 when you record the note and also follow the guidance in TCM0152160.

  • send any relevant correspondence to storage. For how to do this, use TCM0074140
  • take no further action.

 

Step 7

Check whether WTC is in payment

If WTC is in payment,

  • end the WTC from the date of the prison sentence, unless otherwise stated. For how to do this, use TCM1000354
  • end the Child / Children responsibility from the date of the prison sentence, unless otherwise stated. For how to do this, use TCM1000171
  • update house hold notes with the message ND04 from TCM0164020. For how to do this, use TCM1000028

Note: You must follow the guidance in TCM0152060 when you record the note and also follow the guidance in TCM0152160.

  • send any relevant correspondence to storage. For how to do this, use TCM0074140
  • take no further action.

If WTC is not in payment,

  • end the Child / Children responsibility from the date of the prison sentence, unless otherwise stated. For how to do this, use TCM1000171
  • update house hold notes with the message ND05 from TCM0164020. For how to do this, use TCM1000028
  • send any relevant correspondence to storage. For how to do this, use TCM0074140
  • take no further action.

Note: You must follow the guidance in TCM0152060 when you record the note and also follow the guidance in TCM0152160.

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