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HMRC internal manual

Tax Credits Manual

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HM Revenue & Customs
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Claims - work lists (VFs - 1 to 12): Verification Failures work list - Rule 7/8 - Employer reference/name not matched (AG)

To deal with the situation where the employer reference hasn’t been provided or can’t be matched on the Employments Framework, consider steps 1 to 29.

Step 1

Use Function MAINTAIN WORKLIST

  • select the Verification Failures work list from the drop down menu for the Worklist Type field
  • select the office or unit you want from the drop down menu for the Management Unit field, if the one you want isn’t already displayed in this field. The screen will be redisplayed with the entries currently on the work list
  • select [Sort Filter]. The Sort and Filter Worklist Entries screen will display

Note: At this stage it’s important to remember that under no circumstances should you attempt to apply a change or add a note to a withdrawn or rejected claim.

  • filter the entries with ‘Priority’ for option 1 and ‘Creation’ for option 2.

Step 2

Select the entry in the work list you want to work to highlight it and select [Details]. You will be taken to the Worklist Entry Details screen where more details of the selected work item will be displayed.

Step 3

Return to the Maintain Worklist screen and

  • select ‘File’ on the toolbar menu
  • select ‘Next Function’ from the options available. You will be taken to the Select Next Function screen.

Step 4

On the Select Next Function screen

  • select Function MANAGE VERIFICATION FAILURES from the options available. You will be taken to this function
  • check for any messages on the claim to identify if any previous action has been taken

    • for pre-award claims, use Function VIEW APPLICATION and go to the Summary Information screen
    • for post award claims, use Function VIEW HOUSEHOLD NOTES

    • If you’re dealing with an expired action date and an enquiry has previously been issued to the customers or has been returned incomplete, go to .
    • If you’re dealing with an expired action date and an enquiry has previously been issued to the employer or has been returned incomplete, go to .
    • If you’re dealing with a reply to a previous enquiry and all the information has been supplied, go to .
    • in any other circumstances, go to .

Step 5

In Function MANAGE VERIFICATION FAILURES, select the verification failure to view the details of the failed claim

then

  • select ‘Navigate’ on the toolbar menu
  • select ‘Amend Application Correction’ from the options available. You will be taken to Function CAPTURE APPLICATION if the claim is pre-award or Function AMEND APPLICATION if the claim is post award.

Step 6

In Function CAPTURE APPLICATION or AMEND APPLICATION check the customer 1 and customer 2 details

  • If the Complex Case signal displays, go to .
  • If either customer lives or works outside the UK, go to .
  • in any other circumstances, go to .

Step 7

Check where either customer lives or works

  • If either customer lives or works in the European Economic Area (EEA), use Function MAINTAIN WORKLIST to transfer the case to the International Team’s IN MU. Use TCM0322460 for the correct MU number
  • If either customer lives or works in any other country, use Function MAINTAIN WORKLIST to transfer the case to the International Team’s Rest Of The World IN MU. Use TCM0322460 for the correct MU number

then, in both cases

  • make a note of the action you have taken

    • for pre-award claims, use Function CAPTURE APPLICATION and go to the Summary Information screen to make a note of your actions in the Application Notes field

    Note: You must follow the guidance in TCM0152060 when you record the note and also follow the guidance in TCM0152040.

    • for post award claims, use Function MAINTAIN HOUSEHOLD NOTES to make a note of your actions

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

  • take no further action.

Step 8

Go to the Work Details screen

  • If there are no employment details, go to .
  • If there is only a PAYE reference number, check for transposition errors, such as the letter ‘o’ may have been entered as the number ’0’

    • select [Trace Emp] if the claim is pre-award or select [Trace] if the claim is post award. You will be taken to Function TRACE EMPLOYER where you should try and trace the employer record. Follow the guidance in TCM0068080 

    then

    • If the employer is matched, go to .
    • If the employer isn’t matched, consider using alternative fields or entering the employer’s details differently

    • If the employer is then matched, go to .
    • If the employer still isn’t matched, go to .

Step 9

Select [OK]. You will be taken to the Amend Finish screen.

Complete each field with the relevant details

select [OK]. You will be taken back to the Manage Verification Failures screen

  • If the message ‘S18 Refinalisation Rules - Potential inappropriate refinalisation for CCYY-CCYY. If you have the authority to re-finalise under S19, S20 or S21 of the Tax Credit Act 2002 or due to an appeal decision. Press OK to process the change or Cancel’ displays

    • the changes you are making will re-finalise the claim, follow the guidance in TCM0042260 before making any changes

    then, if you can make the change

    • select [OK]. The verification failure will be resolved

    then

    • for pre-award claims, use Function CAPTURE APPLICATION and go to the Summary Information screen to record the action you have taken in the Application Notes field

    Note: You must follow the guidance in TCM0152060 when you record the note and also follow the guidance in TCM0152040.

    • for post award claims, use Function MAINTAIN HOUSEHOLD NOTES to record the action you have taken

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

    Note: If you have too much information to put in the Application Notes field or in Function MAINTAIN HOUSEHOLD NOTES, you must make a clerical note of the additional information received from the customer on form TC648. You must also enter the following ‘Additional notes on form TC648’ in the Application Notes field or Function MAINTAIN HOUSEHOLD NOTES.

    • take no further action.
  • If the message ‘S18 Refinalisation Rules - Actual Income for CCYY-CCYY is required. This change will not be accepted’ displays

    • you will not be able to make the change because the PY actual income is required, follow the guidance in TCM0042260 before making any changes

    then, if you can make the change

    • select [OK]. The verification failure will be resolved

    then

    • for pre-award claims, use Function CAPTURE APPLICATION and go to the Summary Information screen to record the action you have taken in the Application Notes field

    Note: You must follow the guidance in TCM0152060 when you record the note and also follow the guidance in TCM0152040.

    • For post award claims, use Function MAINTAIN HOUSEHOLD NOTES to record the action you have taken

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

    Note: If you have too much information to put in the Application Notes field or in Function MAINTAIN HOUSEHOLD NOTES, you must make a clerical note of the additional information received from the customer on form TC648. You must also enter the following ‘Additional notes on form TC648’ in the Application Notes field or Function MAINTAIN HOUSEHOLD NOTES.

    • take no further action.
  • If the message ‘S18 Refinalisation Rules - You do not have the authority to re-finalise CCYY-CCYY. This change will not be accepted. Please refer to the appropriate team’ displays

    • the changes you are making will re-finalise the claim
    • select [Cancel]. You will be taken to the Amend Application Details screen
    • select [Cancel]
    • when the message ‘All changes to the application will be lost for this session, do you wish to proceed?’ displays, select [Yes]
    • pass the case to a Level 2 User or your manager. For more information, use ‘Level 1 and Level 2 users’ on TCM0320260 
    • take no further action.
  • If none of the messages display

    • select [OK]. The verification failure will be resolved

    then

    • for pre-award claims, use Function CAPTURE APPLICATION and go to the Summary Information screen to record the action you have taken in the Application Notes field

    Note: You must follow the guidance in TCM0152060 when you record the note and also follow the guidance in TCM0152040.

    • for post award claims, use Function MAINTAIN HOUSEHOLD NOTES to record the action you have taken

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

    Note: If you have too much information to put in the Application Notes field or in Function MAINTAIN HOUSEHOLD NOTES, you must make a clerical note of the additional information received from the customer on form TC648. You must also enter the following ‘Additional notes on form TC648’ in the Application Notes field or Function MAINTAIN HOUSEHOLD NOTES.

    • take no further action.

Step 10

Use the Interim Single Sign On and select the Taxpayer Business Service (TBS) option

  • select ‘TBS View Service’ from the options available
  • select ‘View Taxpayer Summary Details’
  • select [OK]
  • enter the customer’s NINO
  • select ‘Retrieve’
  • select ‘View’
  • select ‘Employment List’ from the options available

    • If a PAYE reference number is traced, ensure this is the latest reference number and that it’s the customer’s main job

    • make a note of this

    then

    • go to .

    • If a PAYE reference number isn’t traced or it’s not the latest reference number or the customer’s main job, go to .

Step 11

Use Function VIEW APPLICATION and go to the Additional Information screen to check if a contact phone number is available for the customer. To do this

  • select ‘Navigation’ on the toolbar menu
  • select, where applicable, ‘Applicant 1 Additional Information’ or ‘Applicant 2 Additional Information’ from the options available. You will be taken to the Additional Information screen

    • If there is a phone number, go to .
    • If there isn’t a phone number, go to .

Step 12

Phone the customer. Follow the guidance in TCM0094080. Ask them to confirm the

  • employer’s full trading name
  • employer’s payroll office address

Note: Ensure these details are for the head office payroll and not the local address of where they work.

  • employer’s reference number

Note: This is always in the format of three numbers followed by several numbers or letters, such as 456/JHG or 213/4H or 852/J1234.

then

* for pre-award claims, use Function CAPTURE APPLICATION and go to the Summary Information screen to make a note of the information received from the customer in the Application Notes field 

Note: You must follow the guidance in [TCM0152060](https://www.gov.uk/hmrc-internal-manuals/tax-credits-manual/tcm0152060) when you record the note and also follow the guidance in [TCM0152040](https://www.gov.uk/hmrc-internal-manuals/tax-credits-manual/tcm0152040).  


* for post award claims, use Function MAINTAIN HOUSEHOLD NOTES to make a note of the information received from the customer

Note: You must follow the guidance in [TCM0152060](https://www.gov.uk/hmrc-internal-manuals/tax-credits-manual/tcm0152060) when you record the note and also follow the guidance in [TCM0152160](https://www.gov.uk/hmrc-internal-manuals/tax-credits-manual/tcm0152160).  


Note: If you have too much information to put in the Application Notes field or in Function MAINTAIN HOUSEHOLD NOTES, you must make a clerical note of the additional information received from the customer on form TC648. You must also enter the following ‘Additional notes on form TC648’ in the Application Notes field or Function MAINTAIN HOUSEHOLD NOTES.  


* If the customer provides amended details, go to .
* If the customer confirms the details are correct, go to .
* If the customer says that the employer isn’t registered, go to .
* If you’re unable to contact the customer, go to .

Step 13

Use Function VIEW EMPLOYER SUMMARY to check if the customer has provided a correspondence address for the employer

  • enter the employer’s reference number in the Key Entry Data screen
  • select [Corr Addr]. You will be taken to the View Payroll and Correspondence Details screen

    • If the correspondence address is greyed out, go to .
    • If there is a correspondence address present and it’s the address provided by the customer, make a note of the employer’s business address and then go to .
    • If the correspondence address doesn’t match the address provided by the customer, go to .
    • If you don’t have the employer’s reference number, contact the employer to obtain the number. Follow the guidance in TCM0094100 and then go to .

Step 14

Send form TC652 (choosing option 2) to the customer to ask them to confirm the

  • employer’s full trading name
  • employer’s payroll office address
  • employer’s reference number

then

* for pre-award claims, use Function CAPTURE APPLICATION and go to the Summary Information screen to make a note of the issue of form TC652 and the date it was issued in the Application Notes field 

Note: You must follow the guidance in [TCM0152060](https://www.gov.uk/hmrc-internal-manuals/tax-credits-manual/tcm0152060) when you record the note and also follow the guidance in [TCM0152040](https://www.gov.uk/hmrc-internal-manuals/tax-credits-manual/tcm0152040).  


* for post award claims, use Function MAINTAIN HOUSEHOLD NOTES to make a note of the issue of form TC652 and the date it was issued 

Note: You must follow the guidance in [TCM0152060](https://www.gov.uk/hmrc-internal-manuals/tax-credits-manual/tcm0152060) when you record the note and also follow the guidance in [TCM0152160](https://www.gov.uk/hmrc-internal-manuals/tax-credits-manual/tcm0152160).  

Step 15

Use Function MAINTAIN WORKLIST to set an Action Date for 14 days in the future, making sure that the Retained checkbox is selected

  • If the information is supplied by the Action Date and

    • amended employer details are provided, go to .
    • the original employer details are confirmed, contact the employer to check the details. Follow the guidance in TCM0094100 and then go to .
    • the employer isn’t registered, go to .
  • If the information isn’t supplied by the Action Date, go to .

Step 16

Use Function MAINTAIN WORKLIST to

  • select the Verification Failures work list from the drop down menu for the Worklist Type field
  • select the office or unit you want from the drop down menu for the Management Unit field, if the one you want isn’t already displayed in this field. The screen will be redisplayed with the entries currently on the work list
  • filter the selected work list so that only those with an Action Date of today or earlier are listed.

Step 17

For each entry on the filtered list, check the notes on the computer to check what actions have been taken.

Step 18

Use Function VIEW APPLICATION and go to the Additional Information screen to check if a contact phone number is available for the customer. To do this

  • select ‘Navigation’ on the toolbar menu
  • select, where applicable, ‘Applicant 1 Additional Information’ or ‘Applicant 2 Additional Information’ from the options available. You will be taken to the Additional Information screen

    • If there is a phone number, go to .
    • If there isn’t a phone number, contact the employer to obtain the information you need. Follow the guidance in TCM0094100 and then go to .

Step 19

Phone the customer. Follow the guidance in TCM0094080. Ask them to confirm the

  • employer’s full trading name
  • employer’s payroll office address
  • employer’s reference number

then

* for pre-award claims, use Function CAPTURE APPLICATION and go to the Summary Information screen to make a note of the information received from the customer in the Application Notes field 

Note: You must follow the guidance in [TCM0152060](https://www.gov.uk/hmrc-internal-manuals/tax-credits-manual/tcm0152060) when you record the note and also follow the guidance in [TCM0152040](https://www.gov.uk/hmrc-internal-manuals/tax-credits-manual/tcm0152040).  


* for post award claims, use Function MAINTAIN HOUSEHOLD NOTES to make a note of the information received from the customer

Note: You must follow the guidance in [TCM0152060](https://www.gov.uk/hmrc-internal-manuals/tax-credits-manual/tcm0152060) when you record the note and also follow the guidance in [TCM0152160](https://www.gov.uk/hmrc-internal-manuals/tax-credits-manual/tcm0152160).  


Note: If you have too much information to put in the Application Notes field or in Function MAINTAIN HOUSEHOLD NOTES, you must make a clerical note of the additional information received from the customer on form TC648. You must also enter the following ‘Additional notes on form TC648’ in the Application Notes field or Function MAINTAIN HOUSEHOLD NOTES.  


* If the customer provides amended details, go to .
* If the customer confirms the details are correct, go back to .
* If the customer says that the employer isn’t registered, go to .
* If you are unable to contact the customer, contact the employer to obtain the information you need. Follow the guidance in [TCM0094100](https://www.gov.uk/hmrc-internal-manuals/tax-credits-manual/tcm0094100) and then go to .

Step 20

Use Function MANAGE VERIFICATION FAILURES

  • select the verification failure
  • select ‘Navigate’ on the toolbar menu
  • select ‘Amend Application Correction’ from the options available. You will be taken to Function CAPTURE APPLICATION if the claim is pre-award or Function AMEND APPLICATION if the claim is post award.

Step 21

Go to the Work Details screen

  • If the customer has provided an amended employer reference number or you have a business address for the employer that you noted earlier
  • enter this in the Emp. Ref fields
  • select [TAB]. The correct name and address for the employer should automatically display

then

* If the employer details correctly display, go to .
* If the employer details don’t display or incorrectly display 

* select [Trace Emp] if the claim is pre award or [Trace] if the claim is post award 
* you will be taken to Function TRACE EMPLOYER where you should try and trace the employer record. Follow the guidance in [TCM0094100](https://www.gov.uk/hmrc-internal-manuals/tax-credits-manual/tcm0094100)

then  


* If the employer is then matched, go to . 
* If the employer still isn’t matched, contact the employer to confirm their details. Follow the guidance in [TCM0094100](https://www.gov.uk/hmrc-internal-manuals/tax-credits-manual/tcm0094100) and then go to .

Step 22

Use Function CAPTURE APPLICATION if the claim is pre-ward or Function AMEND APPLICATION if the claim is post award to amend the employer details. Follow the relevant Changes guidance and then

  • select [OK]. You will be taken to the Amend Finish screen
  • complete each field with the relevant details
  • select [OK]. You will be taken back to the Manage Verification Failures screen

    • If the message ‘S18 Refinalisation Rules - Potential inappropriate refinalisation for CCYY-CCYY. If you have the authority to re-finalise under S19, S20 or S21 of the Tax Credit Act 2002 or due to an appeal decision. Press OK to process the change or Cancel’ displays

    • the changes you are making will re-finalise the claim, follow the guidance in TCM0044260 before making any changes

    then, if you can make the change

    • select [OK]. The verification failure will be resolved
    • take no further action.

    • If the message ‘S18 Refinalisation Rules - Actual Income for CCYY-CCYY is required. This change will not be accepted’ displays

    • you will not be able to make the change because the PY actual income is required, follow the guidance in TCM0044260 before making any changes

    then, if you can make the change

    • select [OK]. The verification failure will be resolved
    • take no further action.

    • If the message ‘S18 Refinalisation Rules - You do not have the authority to re-finalise CCYY-CCYY. This change will not be accepted. Please refer to the appropriate team’ displays

    • the changes you are making will re-finalise the claim
    • select [Cancel]. You will be taken to the Amend Application Details screen
    • select [Cancel]
    • when the message ‘All changes to the application will be lost for this session, do you wish to proceed?’ displays, select [Yes]
    • pass the case to a Level 2 User or your manager. For more information, use ‘Level 1 and Level 2 users’ on TCM0320260 
    • take no further action.

    • If none of the messages display

    • select [OK]. The verification failure will be resolved
    • take no further action.

Step 23

Use Function MANAGE VERIFICATION FAILURES

  • select the verification failure
  • select ‘Navigate’ on the toolbar menu
  • select ‘Amend Application Correction’ from the options available. You will be taken to Function CAPTURE APPLICATION if the claim is pre-award or Function AMEND APPLICATION if the claim is post award.

Step 24

Go to the Work Details screen

  • If the correct employer reference number is traced through Taxpayer Business Service (TBS) or provided by the employer
  • enter this in the Emp. Ref fields
  • select [TAB]. The correct name and address for the employer should automatically display

    • If the employer’s details correctly display

    • select [OK]. The verification failure will be resolved

    then

    • make a note of the action you have taken
    • for pre-award claims, use Function CAPTURE APPLICATION and go to the Summary Information screen to make the note in the Application Notes field

    Note: You must follow the guidance in TCM0152060 when you record the note and also follow the guidance in TCM0152040.

    • For post award claims, use Function MAINTAIN HOUSEHOLD NOTES to make the note

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

    • take no further action.

    • If the employer’s details don’t display or incorrectly display

    • select [Trace Emp] if the claim is pre-award or [Trace] if the claim is post award
    • you will be taken to Function TRACE EMPLOYER where you should try and trace the employer record using the details traced through TBS or supplied by the employer
    • If the employer is matched, go to .
    • If the employer isn’t matched, go to .

Step 25

Use Function CAPTURE APPLICATION if the claim is pre-award or Function AMEND APPLICATION if the claim is post award to amend the employer details. Follow the relevant Changes guidance and then

  • If the claim is pre-award, use Function CAPTURE APPLICATION and go to the Summary Information screen to record details of the amendment in the Application Notes field

Note: You must follow the guidance in TCM0152060 when you record the note and also follow the guidance in TCM0152040.

or

  • If the claim is post award, use Function MAINTAIN HOUSEHOLD NOTES to record details of the amendment

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

then

  • select [OK]. You will be taken to the Amend Finish screen
  • complete each field with the relevant details
  • select [OK]. You will be taken to the Manage Verification Failures screen

then

* If the message ‘S18 Refinalisation Rules - Potential inappropriate refinalisation for CCYY-CCYY. If you have the authority to re-finalise under S19, S20 or S21 of the Tax Credit Act 2002 or due to an appeal decision. Press OK to process the change or Cancel’ displays

* the changes you are making will re-finalise the claim, follow the guidance in [TCM0042260](https://www.gov.uk/hmrc-internal-manuals/tax-credits-manual/tcm0042260) before making any changes

then, if you can make the change  


* select [OK]. The verification failure will be resolved
* take no further action.

* If the message ‘S18 Refinalisation Rules - Actual Income for CCYY-CCYY is required. This change will not be accepted’ displays

* you will not be able to make the change because the PY actual income is required, follow the guidance in [TCM0042260](https://www.gov.uk/hmrc-internal-manuals/tax-credits-manual/tcm0042260) before making any changes

then, if you can make the change  


* select [OK]. The verification failure will be resolved
* take no further action.

* If the message ‘S18 Refinalisation Rules - You do not have the authority to re-finalise CCYY-CCYY. This change will not be accepted. Please refer to the appropriate team’ displays

* the changes you are making will re-finalise the claim
* select [Cancel]. You will be taken to the Amend Application Details screen
* select [Cancel] 
* when the message ‘All changes to the application will be lost for this session, do you wish to proceed?’ displays, select [Yes] 
* pass the case to a Level 2 User or your manager. For more information, use ‘Level 1 and Level 2 users’ on [TCM0320260](https://www.gov.uk/hmrc-internal-manuals/tax-credits-manual/tcm0320260) 
* take no further action.

* If none of the messages display

* select [OK]. The verification failure will be resolved
* take no further action.

Step 26

Use Function MANAGE VERIFICATION FAILURES, if you aren’t already there, and

  • select the appropriate verification failure
  • select [Change Verification]. You will be taken to the Change Of Status Reason screen
  • enter the reason for the verification change. Examples of the reasons for changing the verification status will be

    • the employer is not registered

    or

    • unable to verify the employer.
  • select [OK]. The verification failure will be resolved

then

  • make a note of the action you have taken

    • If the claim is pre-award, use Function CAPTURE APPLICATION and go to the Summary Information screen to make the note in the Application Notes field

    Note: You must follow the guidance in TCM0152060 when you record the note and also follow the guidance in TCM0152040.

    or

    • If the claim is post award, use Function MAINTAIN HOUSEHOLD NOTES to make the note

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

  • go to .

Step 27

If

  • you have been unable to verify the employer because the employer has confirmed that the original details provided on the claim are correct, or you have been unable to obtain the information requested from the employer, go to  
  • any other circumstances apply, take no further action.

Step 28

Complete a form TC648 with the following information

  • customer’s name
  • customer’s NINO
  • employer’s name
  • employer’s address
  • employer’s PAYE number, if applicable
  • details of your contact with the customer and the employer
  • reason for referring the verification failure to the Employer Business Service (EBS) Team.

Step 29

Send the completed form TC648 to the EBS Team and then

  • for pre-award claims, use Function CAPTURE APPLICATION and go to the Summary Information screen to make a note that the case has been referred to the Employer Business Service Team in the Application Notes field.

Note: You must follow the guidance in TCM0152060 when you record the note and also follow the guidance in TCM0152040.

  • for post award claims, use Function MAINTAIN HOUSEHOLD NOTES to make a note that the case has been referred to the Employer Business Service Team.

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