TCM0224240 - Payment - overpayments (A-C): Overpayments - certificate of debt (AG)

To deal with the receipt of a certificate of debt, consider steps 1 to 15.

Step 1

If you have received a certificate of debt from the Debt Management Office for

  • England, Wales or Northern Ireland, asking you to complete the total amount of tax credits overpaid, go to Step 2.
  • England, Wales or Northern Ireland, asking you to complete the total amount of tax credits overpaid and that interest is chargeable on the overpayment, go to Step 13.
  • Scotland, asking you to complete the total amount of tax credits overpaid, go to Step 2.
  • Scotland, asking you to complete the total amount of tax credits overpaid and that interest is chargeable on the overpayment, go to Step 13.

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Step 2

Use Function VIEW AWARD

  • enter the customer’s NINO in the Key Entry Data screen
  • select the All checkbox
  • select [OK]
  • If you’re taken to the Select Award screen
  • select the latest award version

Note: If a Statement of Account (SOA) has been issued on the latest award version, select the next award version instead.

  • select [OK]. You’ll be taken to the Award Summary screen

then

  • If you’re taken straight to the Award Summary screen, go to Step 3.

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Step 3

In the Award Summary screen, check if the RLS checkbox in the Signals field is ticked for customer 1 and customer 2 in a joint claim or customer 1 in a single claim.

  • in a single claim, if the RLS checkbox is ticked for customer 1, go to Step 10.
  • in a single claim, if the RLS checkbox isn’t ticked for customer 1, go to Step 4.
  • in a joint claim, if the RLS checkbox isn’t ticked for customer 1 and customer 2, go to Step 4.
  • in a joint claim, if the RLS checkbox is ticked for customer 1 and customer 2, go to Step 10.
  • in a joint claim, if the RLS checkbox is ticked for either customer 1 or customer 2 but isn’t ticked for both of them, go to Step 4.

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Step 4

Use Function VIEW APPLICATION

  • enter the customer’s NINO in the Key Entry Data screen
  • select the All checkbox
  • select [OK]
  • If you’re taken to the Select Application Version screen
  • select the award relating to the year on the Certificate of Debt
  • select the latest award version
  • select [OK]. You’ll be taken to the Application Summary screen

then

  • If you’re taken straight to the Application Summary screen, go to Step 5.

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Step 5

In the Application Summary screen

  • If a message displays stating that the claim is ‘Under Appeal’, record the details on form TC648 and then go to Step 7.
  • If a message doesn’t display, go to Step 6.

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Step 6

Use Function MAINTAIN HOUSEHOLD NOTES

  • enter the customer’s NINO in the Key Entry Data screen
  • select the All checkbox
  • select [OK]

Note: If you’re taken to the Select Household screen, select the appropriate household relating to the tax year on the Certificate of Debt and then select [OK].

then

  • check whether there’s an entry that indicates the customer is disputing the overpayment stated on their Finalised Award Notice and that the dispute is still outstanding
  • If there is an entry that indicates a dispute is outstanding, record the details on form TC648 and then go to Step 7.
  • If there isn’t an entry that indicates a dispute is outstanding, go to Step 7.

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Step 7

Use Function VIEW OVERPAYMENT

  • enter the customer’s NINO in the Key Entry Data screen
  • select the All checkbox
  • select [OK]
  • If you’re taken to the Select Award screen
  • select the award version relating to the tax year on the Certificate of Debt
  • select [OK]. You’ll be taken to the View Overpayment screen

then

  • If you’re taken straight to the View Overpayment screen, go to Step 8.

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Step 8

In the View Overpayment Summary screen

  • make a note on form TC648 of any overpayment amount shown in the Original Amount field

Note: If the case is a Complex Case, you must contact the International Team to confirm the overpayment amount as, in these cases, the overpayment may be greater than the figure shown on the computer.

then

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Step 9

Check whether details of an appeal or a dispute have been recorded on form TC648

  • If you recorded details of an appeal or a dispute on form TC648, go to Step 10.
  • If you didn’t record details of an appeal or a dispute on form TC648, go to Step 11.

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Step 10

If

  • there’s an ongoing appeal or dispute on the claim, phone the Debt Management Office and inform them that there’s an appeal or a dispute (whichever is appropriate) ongoing on the claim. If the Debt Management Office tells you to
  • complete the Certificate of Debt, go to Step 11.
  • ignore the Certificate of Debt received, record this on form TC648 and then go to Step 14.
  • the latest award version has the RLS checkbox ticked for customer 1 and customer 2, where appropriate
  • inform the Debt Management Office that the address is RLS and the customer (and partner, if appropriate) hasn’t received either their Finalisation Award Notice or their TC610 Notice to pay (or both) and that the RLS marker is unable to be resolved at this moment in time

then

Note: The issuing officer’s name, Debt Management Office name and address, phone number and fax number can be found on the covering note that was sent to you with the Certificate of Debt.

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Step 11

Complete part 1 of the Certificate of Debt with the following details

  • Officer’s name as the Commissioner for Her Majesty’s Revenue & Customs
  • the overpayment amount that you recorded on the form TC648
  • the tax year ending that the overpayment relates to
  • Officer’s (or above) signature
  • Office name (HMRC)
  • today’s date

then

Note: An Officer or above must sign the Certificate of Debt. All other action can be undertaken by any grade.

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Step 12

Send the completed Certificate of Debt to the issuing officer at the Debt Management Office using Taxpost Direct

then

Note: The issuing officer’s name, Debt Management Office name and address and phone number can be found on the covering note that was sent to you with the Certificate of Debt.

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Step 13

Phone the DMB officer to establish if the case is a TC33 or a Network Unit case

Note: The issuing officer’s name, Debt Management Office name and address, phone number and fax number can be found on the covering note that was sent to you with the Certificate of Debt.

  • If the case is a TC33 or a Network Unit case, go to Step 14.

Note: In these cases, DMB doesn’t need TCO to complete the Certificate of Debt because they’ll contact Compliance direct.

  • If the cases isn’t a TC33 or a Network Unit case
  • use Function VIEW HOUSEHOLD NOTES to obtain the name and full contact details of the Claimant Compliance Officer (CCO)
  • send the appropriate Certificate of Debt to the CCO at the address recorded in the Household Notes field

then

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Step 14

Use Function MAINTAIN HOUSEHOLD NOTES and select the ‘Debt Recovery’ category to enter the following

‘TCMZ Certificate of debt completed and returned to XXXXXXXXXX (Name of Debt Management Office), overpayment amount of £XXXX.XX confirmed for tax year XXXX/XXXX, TC648 sent to storage’

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

then

  • If DMB has requested an explanation of how the overpayment arose in order to proceed with enforcement action through the court, follow the guidance in TCM0224180.
  • If DMB hasn’t requested an explanation, take no further action.
  • If DMB doesn’t require completion of the Certificate of Debt
  • enter the following

‘TCMZ Certificate of debt no longer required by XXXXXXXXXX (Name of Debt Management Office) as confirmed. All correspondence sent to storage’

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

Then

  • If the Certificate of Debt has been sent to the CCO
  • enter the following

‘TCMZ Certificate of debt sent to Claimant Compliance Officer for appropriate action’

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

then

  • take no further action.

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Step 15

Send all the documents to storage. Follow the guidance in TCM0074140.