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HMRC internal manual

Tax Credits Manual

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HM Revenue & Customs
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Renewals - Annual Declaration (general): Annual Declaration - manual Annual Declaration - issuing and processing (AG)

To deal with a manual Annual Declaration during the renewal period, consider steps 1 to 44.

Step 1

If you’re

  • issuing a manual Annual Declaration, go to Step 2.
  • dealing with a returned manual Annual Declaration, go to Step 6.
  • dealing with a reply to a manual enquiry, go to Step 6.
  • dealing with an expired action date, go to Step 29.

Step 2

Use Function VIEW S17 DETAILS

  • enter the customer’s NINO in the Key Entry Data screen
  • select the All checkbox
  • select [OK]. You’ll be taken to the Select S17 Period screen
    Note: If you’re taken to the Select Household screen, select the relevant year’s household - for example, 2004-2005 - and then select [OK]. You’ll then be taken to the Select S17 Period screen.
  • select the relevant year - for example, 2004-2005
  • select [OK]. You’ll be taken to the Current Position screen
  • go to Step 3.

Step 3

On the Current Position screen

  • check the status of the renewal in the Status field to establish if the case is ‘Terminated Compliance’
    Note: The Status field is on the left hand side of the screen, it isn’t the status in the Declarations box.
  • use Function VIEW HOUSEHOLD NOTES to check if the case is a Mismatch (Note: The message will begin with GM or GS) or Hijacked NINO
    Note: When checking Household Notes for hijacked NINO cases, reference could be made to the Internal Governance (Criminal Investigations) Corrections Team (TCO), which deals with some of these cases, as well as Claimant Compliance.
    • If the case isn’t ‘Terminated Compliance’, a Mismatch or a Hijacked NINO, go to Step 4.
    • If the case is ‘Terminated Compliance’, a Mismatch or a Hijacked NINO
      • use Function MAINTAIN HOUSEHOLD NOTES and select the ‘Renewals & Reminders’ category to record one of the following messages, as appropriate
        ‘SU01 - Manual S17 not served due to case being a mismatch case’
        ‘SU02 - Manual S17 not served due to case being a Hijacked NINO case’
        ‘SU03 - Manual S17 not served due to case being a Terminated Compliance case’
        Note: You must follow the guidance in TCM0152060 when you record the note and also follow the guidance in TCM0152160.
        then
        • If the case is an Unprocessed Change of Circumstances work list item, go to Step 41.
        • If the case is on a spreadsheet, go to Step 42.
        • If the case is correspondence, go to Step 43.

Step 4

Use Function VIEW S17 DETAILS and go to the Current Position screen

  • If the Current Signals screen displays and shows that either the ‘Applicant 1 RLS’ or ‘Applicant 2 RLS’ checkboxes are selected, don’t issue the Annual Declaration. If the case is
    • an ‘Unprocessed Change of Circumstances work list item, use Function MAINTAIN WORKLIST to set an action date of 11/01/2008. Make sure you select the Retained checkbox
    • on a spreadsheet
      • note on the spreadsheet the status of award and that the claim is RLS
      • set a BF date of 20/01/2010 on the spreadsheet
    • correspondence, set a BF date of 20/01/2010
      then, in all these cases
      • use Function MAINTAIN HOUSEHOLD NOTES and select the ‘Renewals & Reminders’ category to record the reason why the Annual Declaration hasn’t been issued
        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 Current Signals screen doesn’t display or the ‘Applicant 1 RLS’ of ‘Applicant 2 RLS’ checkboxes aren’t selected
    • complete the manual TC603R form with details of the claim for the relevant tax year
      Note: Use Functions VIEW APPLICATION and VIEW AWARD to help you complete the form. Enter the details using version 1 of the relevant period, then add any change of circumstances in succession from later claim versions.
      Note: The form will lead you through various questions in order to create the annual review details for the customer. When the questions have finished, you must select the form and add the name and address of the customer on the front page in the space provided below ‘Please keep this for our records’.
      Note: The following exception may occur. If the household ended before the year of the Annual Declaration to be issued, the Annual Declaration won’t need issuing in this case.
      For example: in Function VIEW S17 DETAILS, the 2004-2005 award is shown as unissued and future-dated. In Function VIEW APPLICATION, there’s a household end date of 12/02/2004. TCO weren’t notified of the household end date until 27/03/2005. As the household ended before the start of the 2004-2005 claim, an Annual Declaration doesn’t need to be issued.
    • issue a manual Annual Declaration by printing off pages 2 and 3 of the form TC603D or pages 2, 3 and 4 of form TC603D2, as appropriate
      Note: Form TC603D2 must be sent when the year you’re finalising is the first award period and the income used for that first award is shown as estimated income. For all other cases, form TC603D must be sent.
      Note: If the household is ceased and was made by two customers, then an Annual Declaration must be issued to each customer. The Annual Declaration must include details for the whole household, including both customers. You can check for whether the household is ceased and was made by two customers by using Function VIEW APPLICATION.
    • enter customer details at the top and put an ‘X’ next to each part of the Annual Declaration that needs completing. Use the date the customer must reply by on form TC603R to complete the ‘provide actual figures by’ box on page 3
    • write ‘Building / Location / Floor number / Group’ (for example, St Mary’s / PRE / Ground Floor / 60-02) in red ink next to ‘TC603D’ or TC603D2 shown at the bottom left of the form TC603D or TC603D2 pages. This will ensure that the returned form will be sent to your team
      Note: It’s important you write your location in red ink to ensure the Post Room send the reply to the correct team.
    • complete form TC648 with
      • customer’s name
      • customer’s NINO
      • action taken
      • whether a form TC603D or TC603D2 was sent to the customer
    • set a BF date of 14 days on top of form TC648
      Note: The BF date is for two weeks so that you send the customer reminders after two weeks.
    • complete a Checklist and put with form TC648
      then
    • go to Step 5.

Step 5

As the Annual Declaration has never been served for the claim, access the AMBS Renewals Maintainer user role and then use Function MANAGE FINALISATION and go to the Notice Details screen

  • delete the 1st Specified Date (1SD) and 2nd Specified Date (2SD) already populated at the top of the Notice Details screen in the Specified Dates field. This must be done before you enter the issue date so the new specified dates can be populated
  • enter the date you’re issuing the Annual Declaration to the customer in the Issue Date field in the Manual S17 Notice box
  • select the ‘Issued to’ checkbox in this field. This will automatically set the specified dates
  • make a note of the 1SD and 2SD on form TC648. These can be found in the Specified Dates field
    Note: Don’t complete the Manual Issue Date field in the S17 Notice box in the centre of the screen. This is used by the Manual Correspondence Team only.
  • file the form TC648 in the designated cabinet
  • send the Annual Declaration forms to the customer
  • use Function MAINTAIN HOUSEHOLD NOTES and select the ‘Renewals & Reminders’ Category to enter the following
    ‘SU04 - Annual Declaration for XXXX/XXXX has been manually issued and reply required by XX/XX/20XX. 1SD XX/XX/20XX and 2SD XX/XX/20XX. Insert your team name that are processing the claim’
    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 6

Check if the correspondence is a reply to an enquiry you’ve sent or if the Annual Declaration has been returned

  • If the Annual Declaration has been returned
    • get form TC648 and the Checklist from the designated filing cabinet
      then
    • go to Step 7.
  • If the correspondence is a reply to an enquiry you’ve sent out
    Note: If the enquiry was to clear a Verification Failures work list item or an Unprocessed Change of Circumstances work list item, you must follow the guidance in Step 13 and Step 17 again to check in Function VIEW LINKED WORK ITEMS to check if the work list item hasn’t been previously cleared. If the Verification Failures work list item or Unprocessed Change of Circumstances work list item isn’t shown any longer, you no longer need to consider it when working the case. Note the Checklist accordingly.
    • get form TC648 and the Checklist from the designated filing cabinet
    • check if you now have all the information you need. Use the Checklist to help you
      • If you do have all the information you need, go to Step 30.
      • If you don’t have all the information you need, go to Step 27 to send a further enquiry for the missing information.
        Note: Complete all the checks before contacting the customer so that all the enquiries can be asked at the same time.

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Step 7

Consider the information provided on the manual TC603R form

  • If you do have all the information you need and the Annual Declaration is signed, make a note of this on form TC648 and the Checklist, then go to Step 8.
  • If you do have all the information you need and the Annual Declaration is unsigned only, accept the Annual Declaration as signed, make a note of this on form TC648 and the Checklist, then go to Step 8.
  • If you don’t have all the information you need but the Annual Declaration has been signed, make a note of this on form TC648 and the Checklist, then go to Step 8.
  • If you don’t have all the information you need and the Annual Declaration hasn’t been signed, make a note of this on form TC648 and the Checklist, then go to Step 8.
    Note: An Annual Declaration is incomplete where no benefits or earnings are indicated on the Annual Declaration and/or where the statement for the customers’ personal circumstances isn’t answered. If either of the customers has provided an income figure, then the remaining income questions don’t need to be pursued.
    Note: If you’re dealing with a ceased claim where the household has ended and the claim was made up of two customers, you must have replies from both customers for the reply to be classed as complete.

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Step 8

Has the customer been asked to confirm actual income for PY-1 as well as confirm their PY income on the Annual Declaration?

  • yes. Are all the PY and PY-1 details complete on the Annual Declaration?
    • yes, update the Checklist and then go to Step 9.
    • no
      • make a note of the information you need from the customer
      • update the Checklist
        then
      • go to Step 9.
  • no, go to Step 9.

Note: You must always check to establish whether the Annual Declaration is PY and PY-1 incomplete and get information for both years at the same time.

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Step 9

Check the Annual Declaration to determine if the customer and/or their partner has answered the change in personal circumstances question

  • If they have answered the question, do they have a change of circumstances to report?
    • yes. Has the customer provided all the information for the change of circumstances?
      • yes, make a note that you’ve all the information you need, update the Checklist and then go to Step 10.
      • no, make a note of the information you need from the customer, update the Checklist and then go to Step 10.
    • no, make a note that a response to this question is required from the customer and then go to Step 10.
  • If they haven’t answered the question, make a note that this question hasn’t been answered and then go to Step 10.

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Step 10

Use Function VIEW S17 DETAILS and go to the Current Position screen to check if any of the signals ‘Compliance’, ‘SCO’ or ‘Inhibited’ are set if the Current Signals screen displays

  • If the signals aren’t set, update the Checklist, then go to Step 11.
  • If any of the signals are set, use Function VIEW HOUSEHOLD NOTES to obtain the contact details of the Claimant Compliance Officer (CCO) dealing with the claim. Contact the CCO to find out what action they’re taking
    Note: If the details of the CCO aren’t held in Household Notes, use TCM0322160.
    • If the CCO tells you to continue your action, update the Checklist, then go to Step 11.
    • If the CCO tells you to stop your action, ask them when an update will be available and use this date to set an action or BF date. If the case is
      • on the Unprocessed Change of Circumstances work list, use Function MAINTAIN WORKLIST to set the action date. Make sure you select the Retained checkbox
      • on a spreadsheet, update the spreadsheet with the relevant information and set the BF date
      • correspondence, update the Checklist, set the BF date and file in the designated filing cabinet
        then, in all these cases
      • use Function MAINTAIN HOUSEHOLD NOTES and select the ‘Renewals & Reminders’ category 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.
      • take no further action.

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Step 11

On the Current Position screen

  • select [View Signals]. You’ll be taken to the Current Signals screen
  • check if the ‘Complex’ signal is set
    • If the ‘Complex’ signal is set
      • send all the correspondence to the International Team with a covering form TC648 stating that it is a manual renewal
      • use Function MAINTAIN HOUSEHOLD NOTES and select the ‘Renewals & Reminders’ Category to enter the following
        ‘SU05 - All correspondence relating to Manual Issue of Annual Declaration sent to European Economic Area Team’
        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 ‘Complex’ signal isn’t set, update the Checklist and then go to Step 12.

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Step 12

On the Current Position screen

  • select [View Signals]. You’ll be taken to the Current Signals screen
  • check if the ‘Appeal’ signal is set
    • If the ‘Appeal’ signal isn’t set, go to Step 13.
    • If the ‘Appeal’ signal is set, use Function VIEW HOUSEHOLD NOTES to obtain the contact details of the Appeals Officer dealing with the claim. Contact them to find out what action they are taking
      • If the Appeals officer tells you to continue your action, to renew and finalise, update the Checklist, then go to Step 13.
      • If the Appeals officer tells you to only renew, update the Checklist, then go to Step 13.

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Step 13

Use Function VIEW LINKED WORK ITEMS

  • enter the customer’s NINO in the Key Entry Data screen
  • select [OK]. You’ll be taken to the View Linked Work Items screen, which will display details of all the Work Lists with outstanding work items on for the NINO entered
  • check if the work item is on the Verification Failures work list
    • If the work item is on the Verification Failures work list, make a note of the MU number where the Verification Failures work list item is and then go to Step 14.
    • If the work item isn’t on the Verification Failures work list, update the Checklist and then go to Step 17.
      Note: If you’ve already checked for a Verification Failures work list item and you’re dealing with a reply to an enquiry, you must follow these steps again to check that the Verification Failures work list item hasn’t been previously cleared.

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Step 14

Use Function MAINTAIN WORKLIST

  • select the Verification Failures work list from the drop down list for the Work list Type field
  • select the MU number you noted at Step 13 from the drop down list for the MU 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
    Note: All the entries for the Verification Failures work list are displayed for your MU.
  • filter the items using the NINO to select the work item that you want to work. Follow the guidance in TCM0140180
    • If there is a work item on the Verification Failures work list , go to Step 15.
    • If there isn’t a work item on the Verification Failures work list, update the Checklist and then go to Step 17.

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Step 15

In Function MAINTAIN WORKLIST, select the work item

  • select ‘File’ on the toolbar menu
  • select ‘Next Function’ from the options available. You’ll be taken to the Select Next Function screen
  • select Function MANAGE VERIFICATION FAILURES
  • check the reason for the verification failure
    • If the reason is rule 2B, 4, 5 or 12, go to Step 16.
    • If the reason is any other rule, update the Checklist with the verification failure rule number and then go to Step 17.

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Step 16

Use Function VIEW HOUSEHOLD NOTES and follow the relevant guidance in TCM0076000, TCM0078000 or TCM0080000 to check if you’ve all the information that you need to work the verification failure

  • If you don’t have all the information you need
    • make a note of the information you need from the customer
    • update the Checklist
      then
    • go to Step 17.
  • If you do have all the information you need, update the Checklist and then go to Step 17.

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Step 17

Use Function VIEW LINKED WORK ITEMS

  • enter the customer’s NINO in the Key Entry Data screen
  • select [OK]. You’ll be taken to the View Linked Work Items screen, which will display details of all the Work Lists with outstanding work items on for the NINO entered
  • make a note of the MU where the Unprocessed Change Of Circumstances work list item is held
  • use Function MAINTAIN WORKLIST to check if there is a work item on the Unprocessed Change of Circumstances work list
    • If there is a work item, make a note of the MU number where the Unprocessed Change Of Circumstances work list item is and then go to Step 18.
    • If there isn’t a work item, update the Checklist
      then
      • If the Annual Declaration is unsigned only, go to Step 30.
      • If the Annual Declaration is incomplete, go to Step 27.
      • If the Annual Declaration is incomplete and unsigned, go to Step 27.
      • If any other circumstances apply, go to Step 19.
        Note: If you’ve already checked for an Unprocessed Change of Circumstances work list item and you’re dealing with a reply to an enquiry, you must follow these steps again to check that the Unprocessed Change of Circumstances work list item hasn’t been previously cleared.
        Note: If the Annual Declaration has been issued due to a work item on the Unprocessed Change of Circumstances work list, don’t clear this item until all other actions are complete.

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Step 18

In Function MAINTAIN WORKLIST

  • select the Unprocessed Change Of Circumstances work list from the drop down list for the Work list Type field
  • select the MU number you noted at Step 17 from the drop down list for the MU 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
    Note: All the entries for the Unprocessed Change of Circumstances work list are displayed for your MU.
  • filter the items using the NINO to select the work item that you want to work. Follow the guidance in TCM0140180
    • If there isn’t a work item on the Unprocessed Change of Circumstances work list, update the Checklist
    • then
      • If the Annual Declaration is unsigned only, go to Step 30.
      • If the Annual Declaration is incomplete, go to Step 27.
      • If the Annual Declaration is incomplete and unsigned, go to Step 27.
      • If any other circumstances apply, go to Step 19.
    • If there is a work item on the Unprocessed Change of Circumstances work list
      • follow the guidance in TCM0272400 to make a note of the missing information, but don’t apply the change
      • make a note on the form TC648 and Checklist of the missing information you need to apply the change
        then
      • go to Step 19.

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Step 19

Make a note of the following details from the Annual Declaration and make a note of which customer it applies to

  • whether in receipt of Income Support (IS), Jobseeker’s Allowance (JSA), Employment and Support Allowance (ESA) or Pension Credit (PC)
    Note: Any relevant qualifying benefit boxes will be selected.
  • any earnings as an employee
  • any income from self-employment
  • any other income present
    then
  • go to Step 20.

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Step 20

Use Function AMEND APPLICATION and make a note of the following

  • enter the customer’s NINO in the Key Entry Data screen
  • select the All checkbox
  • select [OK]. You’ll be taken to the Applicant Details screen
  • select the relevant claim year
  • select ‘Inc1’ on the toolbar menu. You’ll be taken to the Income Applicant 1 screen
  • select ‘History’ on the toolbar menu
  • select IS, JSA or PC as appropriate from the options available
    Note: From 27/10/2008 JSA will mean either JSA or ESA.
  • check if
    • the customer or partner has been in receipt of IS, JSA, ESA or PC for the whole of the award period you’re finalising
    • the customer or partner hasn’t been in receipt of IS, JSA, ESA or PC for the whole award period you’re finalising
      Note: Repeat this for customer 2 if applicable.
  • select ‘Wk1’ on the toolbar menu. You’ll be taken to the Work Details - Applicant 1 screen
  • select ‘History’ on the toolbar menu
  • (if available) select ‘Place Of Work’ from the options available. You’ll be taken to the Place of Work History screen
  • check the employment start and end dates and make a note of
    • the start and end dates of employment for the customer or partner that shows they were employed for part or all of the award period you’re finalising
    • the start and end dates of self employment for the customer or partner that shows they were self-employed for part or all of the award period you’re finalising
      Note: Repeat this for customer 2 if applicable.
      then
    • go to Step 21.

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Step 21

Using the information that you noted from the Annual Declaration and the details in Function AMEND APPLICATION for the actual claim, compare all the details and establish the reason the claim is incompatible from the following reasons

Note: Use TCM0322400 to assist you in establishing the reason for the incompatibility.

  • the claim states the customer has been in receipt of IS, JSA, ESA or PC for the whole award period, but none of the qualifying benefits boxes have been selected on the Annual Declaration
  • the claim shows the customer hasn’t been in receipt of IS, JSA, ESA or PC for the whole award period, but one or more of the qualifying benefits boxes has been selected on the Annual Declaration
  • the claim shows start and end dates of employment for the customer or partner, showing they were employed for some or all of the award period, but there isn’t any employed income for the customer or partner on the Annual Declaration
  • the claim shows start and end dates of self-employment for the customer or partner, showing they were self-employed for some or all of the award period, but there isn’t any self-employed income for the customer or partner on the Annual Declaration
    • If claim is incompatible, update the Checklist and then go to Step 22.
    • If claim isn’t incompatible, update the Checklist and then go to Step 23.

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Step 22

Make a note of the correct information required from the customer to clear the incompatible reason. Follow the guidance in TCM0272200

Note: Don’t contact the customer at this stage.

then

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Step 23

Use the information noted in Step 19 from the Annual Declaration to check for

  • Social Security benefits
  • earnings
  • self-employed earnings
    then
  • go to Step 24.

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Step 24

Use Function AMEND APPLICATION and make a note of the following

  • enter the customer’s NINO in the Key Entry Data screen
  • select the All checkbox
  • select [OK]. You’ll be taken to the Applicant Details screen
  • select the relevant claim year
  • select ‘Inc1’on the toolbar menu for customer 1 to view the actual income details. You’ll be taken to the Income - Applicant 1 screen
  • make a note of the following PY-1 details
    • any income figure in the Social Security Benefits fields
    • any earnings in the Earnings field
    • any self-employed earnings in the self-employed field
      Note: Repeat this for customer 2 if applicable
      then
    • go to Step 25.

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Step 25

Using the information that you noted from the Annual Declaration and the details in Function AMEND APPLICATION for the actual claim, compare all the details and establish if the details are PY-1 incompatible

Note: A claim is PY-1 incompatible if the income types held on the computer aren’t the same as the details on the Annual Declaration.

then

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Step 26

If the claim

  • is PY-1 incompatible
    • update the Checklist
    • make a note of the correct information required from the customer to clear the PY-1 incompatible reason. Follow the guidance in TCM0272200
      Note: Don’t contact the customer at this stage.
      then
    • go to Step 27.
  • isn’t PY-1 incompatible, update the Checklist
    • If no other information is required from the customer, go to Step 30.
    • If any other information is required from the customer, go to Step 27.

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Step 27

Phone the customer for the missing information. Follow the guidance in TCM0094080.

  • If the missing information is obtained
    • update the Checklist
      then
    • go to Step 30.
  • If the missing information can’t be obtained by phone because there isn’t a phone number or there isn’t an answer or the customer doesn’t have all the information required, go to Step 28.

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Step 28

If you’re

  • sending an incomplete or incomplete and unsigned Annual Declaration back to the customer for completion
    • complete form TC829
    • enter a reply date in paragraph 4 on the form of 14 days in the future
    • enter your phone number in place of the helpline number
    • write ‘Building / Location / Floor number / Group’ (This content has been withheld because of exemptions in the Freedom of Information Act 2000) in red ink next to the ‘TC829’ shown at the bottom left of the form TC829. This will ensure that the form is returned to your team
      Note: It’s important you write your location in red ink to ensure the Post Room send the reply to the correct team.
    • print off
      • pages 2 and 3 of form TC603D and complete the relevant customer details boxes at the top
        or
      • pages 2, 3 and 4 of form TC603D2 and complete the relevant customer details boxes at the top
    • put an ‘X’ against the appropriate missing sections on the form TC603D or TC603D2
    • request any further information that you need from the customer as a result of the checks
    • send form TC829 with the pages of form TC603D or TC603D2 to the customers
      Note: If the household is ceased because of a household breakdown and was made up of two customers, the forms must be issued to each customer.
    • put a note on top of form TC648 stating the action you’ve taken and set a BF date of 14 days at the top of the form TC648
    • update the Checklist
    • if the Annual Declaration is being sent out due to the case being an Unprocessed Change of Circumstances work list item, use Function MAINTAIN WORKLIST to set an action date on the Unprocessed Change of Circumstances work list for 14 days. Make sure you select the Retained checkbox
    • file form TC648 and the Checklist in the designated cabinet
    • take no further action.
  • requesting missing information from the Annual Declaration and information required as a result of the manual checks
    • send form TC829 (using option 3) to the customer to request the information you need
    • put a note on top of the form TC648 stating the action you’ve taken and set a BF date of 14 days at the top of the form TC648
    • update the Checklist
    • if the enquiry is being sent out due to the case being an Unprocessed Change Of Circumstances work list item, use Function MAINTAIN WORKLIST to set an action date on the Unprocessed Change of Circumstances work list for 14 days. Make sure you select the Retained checkbox
    • file form TC648 and the Checklist in the designated cabinet
    • use Function MAINTAIN HOUSEHOLD NOTES and select the ‘Renewals & Reminders’ category to record your action
      Note: You must follow the guidance in TCM0152060 when you record the note and also follow the guidance in TCM0152160.
    • take no further action.

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Step 29

If the action date has expired and you haven’t received a reply from the customer, use Function VIEW HOUSEHOLD NOTES to establish whether a reminder has already been issued

  • If a reminder hasn’t previously been issued and
    • the original enquiry was sent due to the claim being incomplete or incomplete and unsigned
      • issue reminder form TC829R to the customer
        Note: If the household is ceased because of a household breakdown and was made up of two customers, then a reminder must be issued to each customer that hasn’t already replied
      • write ‘Building / Location / Floor number / Group’ (This content has been withheld because of exemptions in the Freedom of Information Act 2000) in red ink next to ‘TC829R’ shown at the bottom left of the form TC829R. This will ensure the form is returned to your team
        Note: It’s important you write your location in red ink to ensure the Post Room send the reply to the correct team.
      • put a note on top of the form TC648 stating the action you’ve taken and set a BF date of 26 days at the top of the form TC648
      • update the Checklist
      • if the Annual Declaration is being sent out due to the case being an Unprocessed Change Of Circumstances work list item, use Function MAINTAIN WORKLIST to set an action date on the Unprocessed Change of Circumstances work list for 14 days. Make sure you select the Retained checkbox
      • file form TC648 and Checklist in the designated cabinet
      • take no further action.
    • the original enquiry was sent for any other reason
      • issue reminder form TC829R to the customer
        Note: If the household is ceased because of a household breakdown and was made up of two customers, then a reminder must be issued to each customer that hasn’t already replied.
      • write ‘Building / Location / Floor number / Group’ (This content has been withheld because of exemptions in the Freedom of Information Act 2000) in red ink next to ‘TC829R’ shown at the bottom left of the form TC829R. This will ensure the form is returned to your team
        Note: It’s important you write your location in red ink to ensure the Post Room send the reply to the correct team.
      • put a note on top of form TC648 stating the action you’ve taken and set a BF date of 14 days at the top of the form TC648
      • update the Checklist
      • if the Annual Declaration is being sent out due to the case being an Unprocessed Change Of Circumstances work list item, use Function MAINTAIN WORKLIST to set an action date on the Unprocessed Change of Circumstances work list for 14 days. Make sure you select the Retained checkbox
      • file form TC648 and the Checklist in the designated cabinet
      • take no further action.
  • If a reminder has previously been issued, use Function MAINTAIN HOUSEHOLD NOTES to check for the missing information. If the missing information
    • isn’t recorded, go to Step 38.
    • is recorded, check your Checklist to make sure that all the information has been received to finalise the claim
      • If all the information has been received, go to Step 30.
      • If all the information hasn’t been received, go to Step 38.

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Step 30

Note: If you’ve come to this guidance from TCM0262260, don’t take any further action in this action guide, return to TCM0262260 at step 14.

If

  • you are dealing with a claim that has a verification failure
    • follow the relevant guidance in TCM0076000, TCM0078000 or TCM0080000 to resolve the failure
      Note: When you’re resolving the verification failure, enter the Annual Declaration details and any change of circumstances at the same time.
      then
    • go to Step 31.
  • you aren’t dealing with a verification failure
    • use Function AMEND APPLICATION and select the Correction option
    • enter the customer’s NINO in the Key Entry Data screen
    • select the All checkbox
    • select [OK]. You’ll be taken to the Select Application screen
    • select the appropriate claim
    • select [OK]. You’ll be taken to the Applicant Details screen
    • select ‘Inc1’ on the toolbar menu. You’ll be taken to the Income Applicant 1 screen
    • if appropriate, enter the customer’s income and earnings figures into the corresponding income fields for the appropriate year, ensuring you select ‘A’ for each entry
      Note: If the status of the income is ‘S’, the Amount field won’t be enabled. Changing the status to ‘A’ will enable the Amount field.
    • if appropriate, enter the customer’s IS, JSA, ESA or PC dates
    • if the customer has informed you of a change in circumstances, follow the relevant Changes guidance
      then
    • select [OK]. You’ll be taken to the Amend Finish screen
    • enter the date the notification was received in the Received Date field
    • select the source of the information from the ‘Source’ drop down menu
    • select ‘COC’ from the ‘Reason’ drop down menu
    • select [OK]
      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’re making will re-finalise the claim, follow the guidance in TCM0042260 before making any changes
          then, if you can make the change
        • select [OK] on the message
        • if one of the failures was ‘Unprocessed Change Of Circumstances’, use Function MAINTAIN WORKLIST to delete the work item from the Unprocessed Change of Circumstances work list
          then
        • go to Step 31.
      • If the message ‘S18 Refinalisation Rules - Actual Income for CCYY-CCYY is required. This change will not be accepted’ displays
        • you won’t 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] on the message
        • if one of the failures was ‘Unprocessed Change Of Circumstances’, use Function MAINTAIN WORKLIST to delete the work item from the Unprocessed Change of Circumstances work list
          then
        • go to Step 31.
      • 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’re making will re-finalise the claim
        • select [Cancel]. You’ll 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 any other circumstances apply
        • if one of the failures was ‘Unprocessed Change Of Circumstances’, use Function MAINTAIN WORKLIST to delete the work item from the Unprocessed Change of Circumstances work list
          then
        • go to Step 31.

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Step 31

Use Function VIEW APPLICATION to check the effective date of the new claim. Has the customer submitted a new claim since the Annual Declaration you’re dealing with

  • no, go to Step 32.
  • yes
    • use Function AMEND APPLICATION
    • enter the customer’s NINO in the Key Entry Data screen
    • select the All checkbox
    • select [OK]. You’ll be taken to the Select Application screen
    • select the Annual Declaration claim you’re dealing with
    • select [OK]. You’ll be taken to the Applicant Details screen
    • select ‘Household’ on the toolbar menu
    • select ‘Details’ from the options available. You’ll be taken to the Household Details screen
    • enter the date immediately before the effective date of the new claim in the Household End Date field
    • use Function MAINTAIN HOUSEHOLD NOTES and select the ‘Renewals & Reminders’ category to record your action
      Note: You must follow the guidance in TCM0152060 when you record the note and also follow the guidance in TCM0152160.
    • go to Step 32.

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Step 32

Did you note on the Checklist that an Appeal Signal is present?

  • No, go to Step 34.
  • Yes. What action did the appeals officer tell you to continue with at Step 12?

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Step 33

Use Function MANAGE FINALISATION to renew CY without finalising PY.

  • enter the customer’s NINO in the Key Entry Data screen
  • select the All checkbox
  • select [OK]. You’ll be taken to the Select Household screen
  • select the appropriate claim
  • select [OK]. You’ll be taken to the Manage Finalisation screen
  • select [Process]. You’ll be taken to the Process screen
  • select ‘TCO’ from the Action Authority drop down menu
  • select ‘As Agreed’ from the Renew drop down menu
  • select [Renew]
    Note: If an error message displays, select [OK] or [Yes] as appropriate and continue with your action.
  • go to Step 36.

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Step 34

Use Function MANAGE FINALISATION

  • enter the customer’s NINO in the Key Entry Data screen
  • select the All checkbox
  • select [OK]. You’ll be taken to the Select Household screen
  • select the appropriate claim
  • select [OK]. You’ll be taken to the Manage Finalisation screen
  • select [Process]. You’ll be taken to the Process screen
  • select ‘TCO’ from the Action Authority drop down menu
  • select ‘As Agreed’ from the Renew drop down menu
  • select [Renew]
    Note: If an error message displays, select [OK] or [Yes] as appropriate and continue with your action.
    Note: If [Renew] isn’t available, go to Step 35.
  • use Function MAINTAIN WORKLIST to set an action date of three days in the future, to check if the claim has renewed. Make sure you select the Retained checkbox
  • use Function MAINTAIN HOUSEHOLD NOTES and select the ‘Renewals & Reminders’ category to record
    • the action you have taken
    • that you’re waiting for the claim to renew before finalising
      Note: You must follow the guidance in TCM0152060 when you record the note and also follow the guidance in TCM0152160.
      then, when the action date is reached
    • go to Step 35.

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Step 35

Use Function MANAGE FINALISATION

  • enter the customer’s NINO in the Key Entry Data screen
  • select the All checkbox
  • select [OK]. You’ll be taken to the Select Tax Credit Period screen
  • select the relevant claim year
  • select [OK]. You’ll be taken to the Manage Finalisation screen
  • select [OK]. You’ll be taken to the Process screen
  • select ‘TCO’ from the Action Authority drop down menu
  • select ‘As Agreed’ from the Finalise drop down menu
  • select [Finalise]
    Note: If an error message displays, select [OK] or [Yes] as appropriate and continue with your action.
  • use Function MAINTAIN WORKLIST to set an action date of three days in the future, to check if the claim has finalised. Make sure you select the Retained checkbox
  • use Function MAINTAIN HOUSEHOLD NOTES and select the ‘Renewals & Reminders’ category to record
    • the action you’ve taken
    • that you’re awaiting for the claim to finalise
      Note: You must follow the guidance in TCM0152060 when you record the note and also follow the guidance in TCM0152160.
      then, when the action date is reached
    • go to Step 37.

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Step 36

Use Function MAINTAIN HOUSEHOLD NOTES and select the ‘Renewals & Reminders’ category to record the following message

‘SJ05 - CY award renewed. PY is unfinalised due to the ongoing appeal.’

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

then

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Step 37

Use Function MAINTAIN HOUSEHOLD NOTES and select the ‘Renewals & Reminders’ category to record the following message

‘SU07 - 20XX/20XX award has been finalised using the Annual Declaration details’

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

then

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Step 38

Use Function MANAGE FINALISATION and go to the Process screen

  • select ‘TCO’ from the Action Authority drop down menu
  • select ‘No Reply’ from the Finalisation drop down menu
  • select [Terminate]
  • use Function MAINTAIN WORKLIST to set an action date of three days in the future, to check if the claim has terminated. Make sure you select the Retained checkbox
  • use Function MAINTAIN HOUSEHOLD NOTES and select the ‘Renewals & Reminders’ category to record
    • the action you’ve taken
    • that you’re waiting for the claim to terminate
      Note: You must follow the guidance in TCM0152060 when you record the note and also follow the guidance in TCM0152160.
      then, when the action date is reached
  • use Function MANAGE FINALISATION and go back to the Process screen
  • select ‘No Reply’ from the Finalise drop down menu
  • select [Finalise]
    Note: If you noted on the checklist that an Appeal signal was present, you must not Finalise PY.
  • use Function MAINTAIN WORKLIST to set an action date of three days in the future, to check if the claim has been finalised. Make sure you select the Retained checkbox
  • use Function MAINTAIN HOUSEHOLD NOTES and select the ‘Renewals & Reminders’ category to record
    • the action you’ve taken
    • that you’re awaiting for the claim to finalise
      Note: You must follow the guidance in TCM0152060 when you record the note and also follow the guidance in TCM0152160.
      then, when the action date is reached
  • use Function MAINTAIN HOUSEHOLD NOTES and select the ‘Renewals & Reminders’ category to record the following
    SW07 - 20XX/20XX award has been finalised on the information held on the claim, customer didn’t respond to enquiries’
    Note: You must follow the guidance in TCM0152060 when you record the note and also follow the guidance in TCM0152160.
  • go to Step 39.

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Step 39

Use Function VIEW HOUSEHOLD NOTES to check if the following message has been entered, which will indicate that the claim is in manual payment

‘SU08 - R92TC No. XXXXXXX ISSD DD/MM/YYYY for WTC £XXX.XX, CTC £XXX.XX (delete as appropriate), total £XXX.XX. Manual PYT case - (insert reason for making manual payment and name or NINO of customer it is paid to). Period covered DD/MM/YYYY to DD/MM/YYYY. Next PYT due DD/MM/YYYY’

  • If the claim is in manual payment
    • use Function VIEW S17 DETAILS
    • enter the customer’s NINO in the Key Entry Data screen
    • select the All checkbox
    • select [OK]. You’ll be taken to the Select S17 Period screen
      Note: If you’re taken to the Select Household screen, select the relevant household and then select [OK]. You’ll then be taken to the Select S17 Period screen.
    • select the correct period
    • select [OK]. You’ll be taken to the Current Position screen
    • select [View Signals]. You’ll be taken to the Signals screen
    • check if the Payment Suspended marker is selected
      • If the Payment Suspended marker isn’t selected, go to Step 40.
      • If the Payment Suspended marker is selected, follow the guidance in TCM0220180
        then return to this guidance and
      • unset the Payment Suspension marker. Follow the guidance in TCM0212220
      • use Function MAINTAIN HOUSEHOLD NOTES and select the ‘Renewals & Reminders’ category 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.
        then
      • go to Step 40.
  • If the claim isn’t in manual payment, go to Step 40.

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Step 40

Has the case come from

  • an Unprocessed Change of Circumstances work list item, go to Step 41.
  • a spreadsheet, go to Step 42.
  • correspondence, go to Step 43.

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Step 41

Delete the Unprocessed Change of Circumstances work list item. Follow the guidance in TCM0140060

then

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Step 42

On the spreadsheet

  • mark the relevant work item as cleared
    then
  • go to Step 43.

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Step 43

If you are dealing with correspondence

  • close the document on DMS. For how to do this use TCM1000037, then
    • if you haven’t taken any action on the claim - for example, if the claim is a Compliance Termination - take no further action.
    • if you have processed the manual Annual Declaration, go to Step 44.
  • isn’t any correspondence, then
    • if you haven’t taken any action on the claim - for example, if the claim is a Compliance Termination - take no further action.
    • if you have processed the manual Annual Declaration, go to Step 44.

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Step 44

Have you renewed the claim and this action happened after 18 February in the award year after the year you’ve renewed?

  • no, take no further action.
  • yes, repeat this process to issue the Annual Declaration for the year you’ve just renewed.