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HMRC internal manual

Tax Credits Manual

From
HM Revenue & Customs
Updated
, see all updates

In and Out of Work: Pre-Capture Income Intervention

Checklist

Before you follow this guidance make sure

  • you have the correct user roles to follow this guidance. Use the B&C Roles and Access Catalogue. You can find this by going to the Benefits & Credits homepage, selecting ‘R’ on the B&C A-Z index, selecting ‘Roles and Access Process’, selecting ‘Roles & Access Catalogue’ from the Related links menu
  • you have access to the National Insurance and Pay As You Earn System (NPS)

Background

When the customer has declared income from their employment. The income is checked against NPS to confirm if the income is correct.

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 or Data Security Team for advice.

Step 1

Check NPS to check if the previous year (PY) income for the customer and their partner, if applicable is available.

If the PY income is available, go to .

If the PY income is not available

  • use the income provided by the customer, if any
  • take no further action.

Step 2

Check NPS to confirm the PY income for the customer and their partner, if applicable and compare this figure to the income on the In and Out of Work database.

If the PY income figure on the claim form is less than the income figure on NPS, go to .

Note: Make a note of the income figure from NPS on form TC648 as you will need this information later.

If the PY income figure on the In and Out of Work database is equal to or greater than the income figure on NPS

  • use the income on the In and Out of Work database
  • take no further action.

Step 3

Follow TCM0322175 to establish reasons why the income figure may be lower

  • amend the income figure, if appropriate
  • go to .

Note: Use the higher income figure either provided by the customer or established on NPS.

Step 4

Send form TC2006 to the customer

  • update the In and Out of Work database
  • update Application Notes with the message QF05 from TCM0170020. For how to do this, use TCM1000028 
  • take no further action.