BSOG Step 4 – get your estimates right and prevent payment delays
However, in advance of this, operators will have already prepared and submitted the yellow PSV310 estimate form, detailing the eligible commercial kilometres that they expect to run for the forthcoming year and the projected vehicle kilometres and fuel usage that will be required.
Based on this information, the DfT make the four quarterly payments on account. Any problems with the submission or processing of this form can result in payment delays which can have a huge impact on cashflow.
Operators also need to be aware that once the form has been processed, the Department will not accept revised submissions where mileage had previously been omitted – therefore it is essential that the form is correct and submitted on time.
The main issues you should be aware of when compiling and submitting your BSOG estimate:
- Submit 3 to 4 weeks before year-end to ensure there is enough time for any DfT queries to be resolved.
- Ensure that tendered mileage is not included to avoid any queries from DfT.
- Complete the mileage comparator to help the DfT process the claim – this should compare last year’s estimated mileage by service (live & dead) to this year’s estimate. Reasons should be provided for all increases over 15%.
- Check that the kilometres per litre calculated at section 3 of the PSV310 yellow form is within 1kpl of the last estimate return. Such a change would represent a significant difference in operation / fleet composition and you will need to provide a reason to the DfT.
- For all new services appearing in the claim you must include timetables, maps and farecharts.
- The operator declaration at page 4 should be signed by a director of the business. The Department have recently advised that this should be a statutory director as listed at Companies House.