ATLAS – Adjustments back to 05th April 2011
- This topic has 12 replies, 1 voice, and was last updated 11 years, 5 months ago by
Claire Moses.
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August 17, 2011 at 2:59 pm #38833
Claire Moses
ParticipantWe have had a lot of cases where we are receiving ATLAS files and the tax credits are being removed from 05th April 2011
We have contacted Tax Credits and they have advised it is because the renewal forms are not being returned. Tax Credits also advised that they are allowing customers 60 days to return the form and they will then adjust / re-instate tax credits back to 05th April if they get the form back to them within the 60 days.
Until we realised there were a lot of cases, we were downloading the ATLAS files, removing tax credits and inserting a £999 income asking the customer what their change was (thinking it was an earnings change back to April)
Can I please ask how others are dealing with this?
August 18, 2011 at 7:36 am #109869walmslm
ParticipantNot sure if you’re on the same system but on Academy you can edit the ATLAS record effective date to the Monday following either notification / last paid date. When the tax credits are then re-instated you should get another ATLAS reocrd and any payments back to April will be classed as arrears.
August 18, 2011 at 7:51 am #109870Claire Moses
ParticipantThanks – yes we are on Academy
Can I just ask though – if we only do it from the Monday following the date of notification, and the customer doesnt get their renewal in with tax credits within the 60 days, surely they wont then be awarded arrears and shouldnt be entitled to tax credits?
My thought was that we should take the tax credits out because not returning the renewal form could indicate that the customer has had a significant change or just dont remember to return the form! I am just very wary of keeping tax credits in when they are not entitled – more so for the reason stated in the 1st paragraph above
Does this make sense?
August 18, 2011 at 8:07 am #109871walmslm
ParticipantBut if they received the money from April until now then you have to include it on the claim. I don’t think there are any provisions in the regulations to remove it from the claim just because the tax credit office are now deeming that money to have been overpaid, the fact is the money was received and therefore must be taken into account in the HB/CTB calculation.
August 18, 2011 at 8:32 am #109875Claire Moses
ParticipantThanks again – totally understand you view point but I am still concerned that there could be an underlying reason why they have not provided their renewal form i.e. increase in earnings / other CIC
Can I clarify then, your view is to amend from Monday following date of notification then if the customer returns the tax credits form and they re-assess, we follow their lead (in a nutshell!)?
August 18, 2011 at 8:44 am #109877walmslm
ParticipantYep thats it. If you wanted, you could always make your own investigation as to why the tax credit form has not been completed, maybe an attached letter with the new notifications or a telephone call / visit?
August 18, 2011 at 9:03 am #109878Claire Moses
ParticipantFab – thank you – its all making sense now!!
August 18, 2011 at 9:21 am #109879Anonymous
GuestThis is a copy of notes I have just issued to my staff. I waive my right to royalties 🙂
This is the tax credit position:
1. A tax credit award is made for a fixed period (most usually up to 31 March of the following year)
2. At the end of that period the award does not stop. The customer is sent a “review form”
3. When the award is finally reviewed (process starts after the end of the financial year) it may be retrospectively increased or decreased
4. Any adjustment to tax credits is made from future awards
5. If customer no longer entitled to tax credits they are billed for outstanding overpaymentsThis is the HB position:
1. HB uses the amount of tax credit the customer is getting now
2. It follows that you can’t retrospectively adjust a tax credit award, because the customer wasn’t getting the revised amount at the time
3. It also follows that you don’t put an end date in tax credit income unless the award stops. You can’t predict this in advanceATLAS is not handling this correctly. As the reprofiling awards are coming through the new amount is being inserted from last April, despite the fact there is an existing income. Please make sure that tax credit income is amended only from the date of change of the actual payment (the information should be there)
August 18, 2011 at 9:29 am #109880Claire Moses
ParticipantThanks ever so Chris – as you have waived your rights…………I shall issue to my staff! 😉
August 18, 2011 at 9:34 am #109881RobBox
ParticipantWe are taking change from paid to date, and ammending xml file which already holds this information, thanks Pete for that tip, to save assessment time checking CIS.
ATLAS is so “Slick” :bigsmile:
August 18, 2011 at 9:52 am #109882Claire Moses
ParticipantHi
Are you on Academy aswell? How do you change the xml file as I have just instructed staff to check CIS -so again, a time saver for us would be most welcome 🙂
August 18, 2011 at 10:02 am #109883RobBox
ParticipantHi Claire
Load the xml into Atlas Manager as normal, ID the April terminations. Do a ‘find’ on the xml for the NINO of the relevant claims and then change records in the Atlas manager to reflect the paid to date.
August 18, 2011 at 10:17 am #109884Claire Moses
ParticipantGreat – thanks
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