Beta This part of GOV.UK is being rebuilt – find out what this means

HMRC internal manual

Tax Credits Manual

From
HM Revenue & Customs
Updated
, see all updates

Extra information: glossary: R

RDC error codes

The following list is a list of codes that appear on the ‘Application Notes’ field when the claim has been captured through Rapid Data Capture (RDC)

  • 6016 - Invalid name (provide)
  • 6018 - Invalid NINO
  • 6019 - Invalid sex
  • 6021 - Invalid bank details
  • 6031 - Invalid Child DOB / Adoption date / connexions date / 50+ date
  • 6083 - Invalid amount (for all financial values)
  • 6099 - Appointee field
  • 6134 - Invalid DOB
  • 6723 - Both Country fields completed (Nationality / Work)
  • 6725 - Double entry CTC recipient
  • 6728 - Double entry WTC recipient
  • 6738 - Both incapacitated
  • 6739 - No employed income
  • 6740 - No s/e income
  • 6741 - CC and FTE selected.

Recovery status

This is the current status of the outstanding overpayment. It will be one of the following statuses

  • Cleared
  • Cross Year Recovery
  • Direct (Pre N to P)
  • Direct (Post N to P)
  • Informal Arrangement
  • Local Recovery
  • Local Recovery (ENF)
  • Notional (Not CYR)
  • Suspended.

Reduced rate election

A reduced rate of National Insurance Contributions paid by married women and some widows who chose this option before 5 April 1978, when the option was abolished.

Any woman paying the reduced rate after this date relinquishes the option if her marriage is annulled or dissolved.

Regular contact

Regular contact should be given its normal everyday meaning. Contact

  • doesn’t only mean visiting, it includes letters and phone calls
  • should happen at recurring intervals that are evenly spaced or frequent but not casual.

Visits made weekly or monthly should be regarded as regular contact.

Relevant post

Relevant post is incoming post relevant to the claim form. It’s relevant because the information in the letter is needed when calculating the amount of tax credits the customer is entitled to. The following items are relevant post

  • information on a change of address
  • information on a change of name
  • information on a change to bank details
  • change / information on annual income details
  • details on an outstanding Disability Living Allowance/Personal Independence Payment claim for the customer, partner or a child in the family
  • information on a change to work details
  • information on annual child care charges
  • information relating to the end of a household.

Remand

The customer is under investigation on suspicion of committing a crime and has been detained in prison awaiting trial.

Remission

A remission is used to write off an overpayment or part of an overpayment. The amount of the debt that has been written off is removed (remitted) from the customer’s account.

A remission can be

  • Manual - where the remission has been created manually
  • Auto - where the remission is made automatically by the tax credits computer because the overpayment is below a certain amount
  • Auto contra manual - where a manual remission has automatically been cancelled by the tax credits computer
  • Auto manual - a remission that can only be automatically re-applied following an Auto contra manual remission

Remission class

When a remission is made, it’s given a class. The possible remission classes are

  • Class 1 - Gone unknown - used when the customer has gone away either abroad or in the UK and their address is unknown
  • Class 2 - Death no estate and insolvency - used when the overpayment cannot be recovered because of the customers insolvency or death
  • Class 3 - Imprisonment for failing to repay overpaid tax credit - used when the customer has been imprisoned for not repaying their tax credits overpayment

Note: This class is only for use by Recovery Offices and the Enforcement and Insolvency Service (EIS).

  • Class 4 - Not worth further pursuit
    • used automatically when the overpayment is £100 or less
      • or
    • used when the overpayment is over £100 but it’s been decided that it wouldn’t be cost effective to pursue repayment

Note: This class is only for use by Recovery Offices and the Enforcement and Insolvency Service (EIS).

  • Class 5A - Hardship - used when the customer satisfies certain hardship criteria and cannot repay the overpayment or reasonably be forced to pay
  • Class 5B - Official error - used when the customer has been overpaid as a result of a mistake made by HMRC and the customer could reasonably have thought that their award was correct

Note: This class is only for use by Tax Credit Office.

  • Class 7 - Gone abroad - used when the customer has gone abroad and their foreign address is known. However, contact with that address has failed to secure payment and it’s been decided that it isn’t practical to pursue this

Note: This class is only for use by Recovery Offices and the Enforcement and Insolvency Service.

  • Class 8 - Composition - used when the customer has offered to pay less than the total amount of the overpayment, on the grounds of inability to pay the full amount. If the customer’s offer is accepted the remainder of the overpayment is remitted under this class

Note: This class is only for use by Recovery Offices and the Enforcement and Insolvency Service.

  • Class 9 - Equity - used when due to enforcement action the customer provides evidence that leads to HMRC accepting that the overpayment is less than the final amount demanded. The difference between these figures is then remitted under this class

Note: This class is only for use by Recovery Offices and the Enforcement and Insolvency Service.

  • Class 10 - Miscellaneous / non-statutory concession - used when
    • the remission cannot be made under any other class and court proceedings are not appropriate
      • or
    • the customer has been granted compensation and the overpayment has been offset against the compensation due
      • or
    • an unusual situation has arisen - for example, the outbreak of ‘Foot and Mouth’

Note: This class is only for use by Recovery Offices and the Enforcement and Insolvency Service.

  • Class 11 - Income Support / NTC Nominal set-off - used when the customer should have been entitled to Income Support following a reduction in their hours of work to below 16 hours weekly. The amount of the overpaid award that would have been payable as Income Support is remitted under this class

Note: This class is only for use by Tax Credit Office.

  • Class 13 - Other - used when the remission cannot be made under any other class - for example, by Claimant Compliance to ‘discharge’ overpayments duplicating TC33 (NTC) charges prior to April 2005.

Remunerative work

Remunerative work means

  • work for an employer in return for wages salary or some other measurable reward. The payment must be made in cash or kind
  • (if the person is a self-employed earner) work carried out other than as an employed earner for a reward or profit.

Renewal period

The renewal period is the period between the beginning of the tax year (6 April) and the following 31 January.

During this period, all customers are sent an Annual Review form TC603R to check that the information we hold for them is complete and correct.

Customers who are required to, will also be sent an Annual Declaration form TC603D to complete and return in order that we can finalise their previous award and if appropriate renew their current award.

Retained note

A retained note isn’t specific to a particular tax year.

If a note is marked as ‘Retained’ it will always be visible regardless of which tax year you’re viewing.

There is space for a maximum of 25 retained notes.

Only the following work areas can mark a note as retained, or remove a ‘Retained’ marker

  • Appeals
  • Compliance
  • Debt Management
  • International Team
  • Persons From Abroad.

RLS

RLS means ‘Returned Letter Service’.

RLS is when the Post Office return to the sender a letter they are unable to deliver. The envelope will be returned with a red sticker or stamp indicating the reason for the non-delivery.

For example: the address still exists but the employer is no longer located there or the customer no longer resides there.

RTI

RTI means ‘Real Time Information’. It was introduced from April 2014.

Employers and Occupational Pension providers submit PAYE information to HMRC each time they make a payment and this is known as Real Time Information.

RTI income will be recorded under the status ‘R’. This income type will be visible on screens where income details are shown.