CLG 006 Certifying Officer Practice Exam

If a request for relief is denied, what must the individual remit?

1. Personal funds equal to the amount of the liability

2. Personal funds equal to the amount of liability less any amounts collected

3. No funds are required to be remitted

4. Only a partial payment is needed

The correct answer is: Personal funds equal to the amount of liability less any amounts collected

The correct answer is that the individual must remit personal funds equal to the amount of the liability less any amounts collected. This reflects the principle that if a request for relief has been denied, the individual is still responsible for the outstanding liability; however, they are allowed to subtract any amounts that have already been collected against that liability. This ensures that the individual is not penalized for amounts that have already been addressed, reflecting a fair approach to financial responsibility. In this context, opting to remit the total liability or only a partial payment would not accurately account for the previous collections, while stating that no funds are required completely disregards the obligation to remit a balance after a denial of relief. Therefore, the requirement to remit a specific amount, adjusted for any collections already made, is the most accurate and fair interpretation of the situation.