Processing Manual Follow-up (MFU) tax activities for benefit transfers 107-19061235

In the customer's record, identify why the payment summary was not issued.

A negative amount is identified in the Other Adjustments section of the Tax Detailed Explanation page:

• as a benefit transfer (BTR), go to Step 2
• as an advance recovery (RCV), see Processing Manual Follow-up (MFU) tax activities for Advance recoveries
• as a manual adjustment, see Processing Manual Follow-up (MFU) tax activities for debt processing

Identify the Benefit type(s) for the period of the benefit transfer. Navigate to the Allowance/Benefit History (ABH) and/or the Pensions Status History (PNSH) screens and note the:

• new and original benefit types
• the AMR
• benefit transfer period

Note: the benefit transfer period will be from the grant date of the ‘new’ benefit and the date the ‘old’ benefit was paid to. A customer may have received more than one benefit type in the benefit transfer period. See the Resources page for examples.

Go to the Tax Year to Date (TXYTD) screen and key the dates for the relevant financial year.

The Tax Detailed Explanation can be navigated by selecting the payment summary information date range for the original benefit type. Expand Calculation Summary > Payments and cross check payments on the Payment Summary (PS) screen.

Deduct the negative adjustment amount listed under Other Adjustment Summary > Adj Type BTR from the original benefit amount for each reportable component:

• only include adjustments which have been delivered/paid within the relevant Financial Year
• check the breakdown of payments via the Rate Summary of the activity which coded the BTR and the Assessment Details (!ASSDTLS) screen in Customer First
• see Taxable and non-taxable (tax exempt) payments for Centrelink Payment Summary for reportable components

The Tax Detailed Explanation can be navigated by selecting the payment summary information date range for the new benefit type. Expand Calculation Summary > Payments and cross check payments detailed on the Payment Summary (PS) screen.

Add the positive adjustment amount listed under Other Adjustment Summary > Adj Type BTR to the new benefit amount for each reportable component:

• check the breakdown of payments via Rate Summary and the Assessment Details (!ASSDTLS) screen in Customer First
• see Taxable and non-taxable (tax exempt) payments for Centrelink Payment Summary for reportable components

See Step 4 in Debts resulting from internal transfers and clearances.

The calculations for arrears resulting from benefit transfers are based on the period the arrears payment is intended for, and not the date the arrears payment was delivered, as shown on the PS screen.

Confirm the breakdown of payment components for the period of the benefit transfer arrears by checking these screens:

• Payment Details Component (PDC) for the period the arrears payment was intended
• Centrelink Payment Summary, see Using the Tax YTD Totals (TXYTD) screen, and
• the Assessment Details (ASSDTLS)

Specialist Tax Details Adjustment (TXAJ) screen access is required to complete this Step.

The amounts to be amended on the TXGS screen for the:

• original benefit(s) as calculated in Step 3 minus any debt adjustments or Advance recoveries, within the relevant financial year
• new benefit, is the amount as calculated in Step 4 minus any debt adjustments or Advance recoveries, within the relevant financial year

Use the calculated figures to amend the TXGS/TXGD screens.

• go to the TXGS screen
• on the line to be amended, key ‘C’ > [Enter] to view the TXGD screen
• change the original and new benefit lines to the correct figure using reason 'TFR'
• complete the activity

Note: manual corrections are overridden when a tax calculation occurs for the same financial year.

See Safeguarding customer privacy when raising and recovering debts, before issuing the Payment summary. Take the appropriate actions to protect the customer’s privacy.

Issue the payment summary once the MFU tax activity has passed Quality On Line (QOL) checking.

To issue the payment summary:

• go to the TXGS screen and key 'I' against the line to be issued
• complete the MFU tax activity
• record details, use Fast Note - select Auto text, use Debts > Updates > Tax MFU Actioned

If the BTR crosses into the current financial year and requires manual adjustment, supress the payment summary:

• go to the TXGS screen for the customer
• Suppress Auto Issue Y/N indicator set to Y

Note: this will not stop the payment summary being issued.

This will generate a MFU at the end of the current financial year. Debt Staff may need to amend tax details and reissue the payment summary to the customer.

If the benefit transfer calculations are complex:

• escalate via site-based escalation process
• if the issue cannot be resolved, lodge a request with the Centrelink Payments Support Team (CPST) via mySupport. See the Resources page for the webform