Adjusting amounts on a payment summary 103-07020000

Check the period of debt. If the debt relates to a period:

• within the last 5 years, go to Table 2
• before 1 July 2003 and the customer has made a repayment on the debt, go to Table 3
• after 1 July 2003 that is more than 5 years ago and the customer has made a repayment on the debt, go to Step 2
• within the current payment summary period, no adjustment is required. Procedure ends here

Tax withheld can only be recovered in the current financial year, via the Tax Withheld Recovery (PIDR) screen.

If unable to access the Tax Adjustment Details (TXAJ) screen, refer to ICT. Complete a mySupport request (using the generic payment specific form). The Resources page contains a link to mySupport.

Adjust the payment summary by navigating to the Tax Payment Summary (TXGS) screen:

• Select the tax year to be adjusted
• Select correction
• Adjust the required fields
• Select continue

Issue the payment summary.

Tax processing will automatically update the Tax Payment Summary (TXGS) screen. An amended payment summary will be issued if there is a change to the payment amount, when:

• the payment summaries are within the past 5 years
• the customer has made a repayment on the debt, and
• the debt is classed as a Standard debt

For Parental Leave Pay (PPL) purposes

When a customer receives PPL through their employer and a debt occurs, the employer must amend their payment summary.

The employer has not issued a payment summary:

• The employer must adjust their payroll record. This is to ensure the overpaid amount is not reported as income on the employee's payment summary

The employer has issued a payment summary:

• within 28 days of becoming aware of the overpayment, the employer must give the employee
• an amending payment summary, or
• a letter containing details of the overpayment for the employee to provide to the ATO

If a negative amount is manually adjusted on the RAC screen, no further adjustment is required.

Adjusting this amount on the system will add the amount back onto the customer's tax details.

If a debt is raised for a payment made via the Education Student Assistance System (ESAS), the payment summary will not issue.

Manually prepare and send a payment summary to the customer for that financial year.

If a debt is raised:

• before that year's end of financial year processing, the debt will be included in the payment summary
• after that year's end of financial processing, manually amend and send the payment summary to the customer

Use the actual debt amount to calculate the amended payment summary.

Do not include any non-reportable components in:

• the calculations of the payment summary, and
• any tax adjustments

There are no adjustments for debts finalised no debt (FND) from an undetermined status.

There are no tax adjustments for debts waived before 1 July 2003.

Debts created in the National Selection Review System (NSRS):

• an adjustment must be made to the payment summary
• relating to the debt period

Do not include any non-reportable components in:

• the calculations of the payment summary, or
• any tax adjustments

The Rate Components (RAC) screen will help work out what adjustments have been made to the tax details, when the payment system created the debt.

The RAC screen shows:

• the total of the original debt
• the old and new rate components which form part of the debt

This allows calculation of the effect of the estimated debt on the customer's tax record. The adjustment is the difference between the estimated debt and the final debt amount that has been calculated and raised.

If manually adding a debt, no automatic adjustment is made to the tax system.

• Update the Tax payment summary (TXGS) screen
• Amend and issue the payment summary to the customer