SolvedPAYE7011 | Appeals and reviews: decision makers and reviewers: reviewer (Action Guide)
From HM Revenue & Customs · PAYE Manual
This guidance applies from 1 April 2009.
Further technical guidance on reviews can be found in the Appeals, Reviews and Tribunals Guidance at ARTG4020 onwards.
Where a request for a review is made following an appeal against a fixed automatic penalty or employer segmentation banding, take the following steps 1 - 15. The guide is presented as follows.
Steps 1 - 2
Step 3
Step 4
Steps 5 - 7
Step 8
Step 9 - 14
Step 15
Initial action
1. If a request for review has been received directly by the Review Unit following an offer of review
On day of receipt
Check appeal received
Acknowledge request and seek representations if appropriate
Record case on any local case management system
Use EBS Function AMEND EMPLOYER SUMMARY to access Employer Notes to note receipt of request for review
Request file / papers from decision maker
BF for 7 days
When file / papers are received, pass to reviewing officer
2. If the request for review was received at a local office and the request and the papers have been referred onto the Review Unit
Check the papers to see that an acknowledgement has already been sent by the decision maker. If not, send an acknowledgement
Record case on any local case management system
Pass request and papers to reviewing officer
Use EBS Function AMEND EMPLOYER SUMMARY to access Employer Notes to record action taken
Review the appeal in line with reasonable excuse criteria
Note: Where a review has been offered by HMRC, the time limit within which to notify the review conclusions is 45 days from the date HMRC receive the review acceptance. If the customer has requested a review, the time limit is 45 days from the day HMRC send their view of the matter, unless a different period is agreed with the customer (see ARTG4030).
In the exceptional event that more time is needed, this should be requested as soon as possible. Further guidance on this is in ARTG4690
Decision favourable to customer
4. Issue letter SA637 to the customer (and a copy to the agent where applicable)
Use ECS to discharge the penalty(ies)
A revised penalty determination will be issued automatically to the employer confirming your decision
Update any local case management system
File the papers at the Review Unit
Use EBS Function AMEND EMPLOYER SUMMARY to access Employer Notes to record action taken and the location of the papers in the Review Unit
Make a note of the grounds of appeal
Decision not favourable to customer
5. Within 45 (or 90) days (or other agreed period) of receipt of review request
Send a review conclusion letter - SA638 - to the customer (and a copy to the agent where applicable) setting out the reasons why you are unable to accept that there is a reasonable excuse. This letter will set out the customer’s options to either accept the decision or to send their appeal to the Tribunal, and will explain that the case will be closed if the customer takes no action within 30 days
Where the return is still outstanding ask for it to be filed
Update any local case management system
Use EBS Function AMEND EMPLOYER SUMMARY to access Employer Notes to record the action taken and the location of the papers
BF for 45 days. Then follow step 6 or 7
6. If the customer accepts the decision
Using ECS, remove the standover and release the penalty
A revised penalty determination will be issued automatically to the employer confirming your decision
File the papers at the Review Unit
Using EBS Function AMEND EMPLOYER SUMMARY access Employer Notes and record action taken and location of the papers
Update any local case management system
7. If there is no response received in the Review Unit after 45 days
Using any locally agreed process between the Clearing House and the Review Unit, check to see if the appeal has been sent to the Tribunals Service
If yes
Take no further action regarding the penalty and go to step 9
If no
Issue letter SA636 (Review officers deemed determination of appeal) to the customer (and send a copy to the agent if applicable)
Using ECS, remove the standover and release the penalty
A revised penalty determination will be issued automatically to the employer confirming your decision
File the papers at the Review Unit
Using EBS Function AMEND EMPLOYER SUMMARY access Employer Notes, and record action taken and location of the papers
Update any local case management system
Review not concluded within 45 days (or other agreed timescale)
8. If the review conclusion letter cannot be sent within 45 days (or any longer period previously agreed) see ARTG4850. If further time is not agreed the decision is treated as upheld and we must notify the customer
Issue letter SA640 to the customer (and a copy to the agent if applicable)
Use EBS Function AMEND EMPLOYER SUMMARY to access Employer Notes to record the action taken and the location of the papers
Update local case management system
BF for 45 days. Then follow step 6 or 7
Notification from Clearing House of appeal to Tribunal
9. Note: We expect appeals to be decided by paper review unless an oral hearing is requested.
If the employer requests an oral hearing go to step 14
Time limit - HMRC must send a statement of their case to the Tribunals Service and a copy to the customer, within 42 days from receiving a copy of the notice of appeal to the Tribunal
Further technical guidance on appeals to the Tribunal for any circumstances not covered in this guide is at ARTG8200 onwards
If at any time after a notification has been received from the Clearing House of an appeal to the Tribunal, you decide not to defend this appeal, contact the Tribunals Service immediately to advise that the appeal is not to be defended and write to the customer. (This would be in exceptional circumstances, such as new information or change of opinion regarding reasonable excuse)
Follow step 4 (Decision favourable to the employer) but do not issue a SA637 letter. Issue a separate letter advising the customer of the situationOtherwise go to step 10
10. Have HMRC received an appeal?
If Yes - go to step 11
If No - See ARTG8230 - contact the customer to check what they want to do. Explain that they must appeal to HMRC first before the appeal can be heard by the Tribunal
If the conclusion is to accept the appeal to Tribunal as also being an appeal to HMRC, notify customer and Tribunal. Go to step 12 and deal with the appeal as if it were a direct appeal to Tribunal made at same time as appeal to HMRC
11. Is there an ongoing review?
No - go to step 12
Yes - inform Tribunal Service that review is ongoing. See ARTG4640 for action after review is concluded
12. Is the appeal sent to the Tribunal after a decision maker’s letter (SA633) or review conclusion letter (SA 638)?
Yes - Go to step 13
No - take the following action for direct appeals sent to the Tribunal at the same time as the appeal to HMRC (or treated as such from step 10)
Consider grounds of appeal under reasonable excuse criteria
If you decide that reasonable excuse tests are met
Follow step 4 but do not issue letter SA637
Issue a separate notification to customer that appeal accepted
Inform Tribunal Service that appeal not to be defended
If you decide that reasonable excuse tests are not met and that the appeal should proceed to the Tribunal, go to step 13
If an appeal was made to HMRC at the same time as the appeal was sent to the Tribunal and we have already upheld the penalty or surcharge - go to step 13
13. Complete ‘Paper Hearing Submission’ form
Note: The time limit for completing and submitting this to the Tribunals Service is 42 days from date notification of the appeal was received.
Send the Paper Hearing Submission form and required documents to Tribunals Service within the time limit
Send a copy of Paper Hearing Submission form and documents to customer
Update any local case management system
Use EBS Function AMEND EMPLOYER SUMMARY to access Employer Notes to record action taken
14. Notification received from Ministry of Justice of decision
If the decision is favourable to the customer - follow procedure at step 4 - but do not issue SA637 letter
If decision favourable to HMRC
Using ECS, remove the standover and release the penalty
A revised penalty determination will be issued automatically to the employer confirming your decision
File the papers at the Review Unit
Using EBS Function AMEND EMPLOYER SUMMARY access Employer Notes to record action taken and location of the papers
Send letter to customer to advise of tribunal decision and that the penalty is now payable
All cases
Close case on any local case management system
Complete Management Information Statistics as required
Feedback to decision maker if necessary
If election for oral hearing
15. If at any stage there is an election by the customer for an oral hearing, immediately complete ‘Paper Hearing Submission’ form and send this together with the complete file / papers to the Local Compliance/Appeals Unit contact.
If HMRC wish to elect for an oral hearing in any default paper hearing case, permission must be sought from Tax Administration Advice first through your line management. There would need to be exceptional circumstances for this.