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Parental Leave Pay (PPL) debts between employers and employees 107-04070020

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For Paid Parental Leave Employer Processing Team (PPLEPT) staff.

This document outlines how to identify who is responsible for repaying the PPL debt and to apportion Parental Leave Pay (PPL) debts between employer and employee.

On this page:

Investigating underdetermined PPL debts

Actioning a Q318 letter to apportion debts between employers and employees

Financial year and Australian Taxation Office (ATO) details when a PPL debt was actioned

Investigating underdetermined PPL debts

Table 1

Expand table

Step

Action

1

PPL debt roles

The Paid Parental Leave Employer Processing Team (PPLEPT) are responsible for:

  • Identifying undetermined debts from PPL paid to the employer
  • Applying small debt waivers to employer debts
  • Issuing a Q318 letter to the employer
  • Reviewing Q318 responses, and:
    • raise employer PPL debt
    • create a manual debt for an employee

Debt Staff are responsible for:

If a PPLEPT Service Officer is allocated a:

PPLEPT Service Officer, if there is a due:

2

Employer debt shell

Where a change of circumstance is notified, a debt shell may generate for the PPLEPT to investigate and if required, send a Q318 letter to the employer to find out from whom the debt should be recovered.

Note: before contacting the employer or sending a Q318, checks must be done to make sure a Q318 has not already been issued to the employer, the debt shell is correct and that the debt does not fall under the small debt waiver threshold and provisions.

There are circumstances where a debt shell is created incorrectly due to:

  • a system issue
  • staff coding, or
  • the regranting of a PPL claim

A Q318 is not required to be issued to an employer, where the debt is to be:

To proceed with the Q318 process, go to Step 3.

3

Identifying an undetermined PPL employer debt

If exceptional circumstances have occurred, such as the death of the PPL claimant, staff must request the employer urgently return the Q318 to minimise debt impacts.

If exceptional circumstances:

  • do not exist, go to Step 6
  • do exist, make 2 genuine attempts to contact the employer or authorised officer/contact using:
    • existing contact numbers on the employer's record
    • business website
    • ABN lookup
    • Google search
    • White Pages, and
    • more recent/alternate contact details for the employer in the employee's claim

Was the first attempt to contact the employer's authorised officer/authorised contact successful?

  • Yes:
    • tell the employer a Q318 form will be sent to them to seek more information. Ask the employer to return the Q318 information as a priority
    • on the employer record in Process Direct, record details on a Note. Use Fast Note - select Auto text, use Families > PPLEPT > Debt Investigation
    • go to Step 6
  • No, go to Step 4

4

Unsuccessful contact with the employer's Authorised Officer

On the employer’s record in Customer First:

  • Record details on a DOC. Use Fast Note - select Auto text, use Families > PPLEPT > Debt Investigation
  • Go to the Activity List (AL) screen and find the debt activity/Investigation <Debt ID> DOC to be placed on Hold for 1 day
    • Select the debt shell/Investigation <Debt ID> DOC
    • Fom the Selection Options box, select the (H) Hold/resubmit for action on a future date
    • Key the Resubmit Date in the field on the Activity Details (AY) screen
    • Select Continue
  • Procedure ends here

5

Attempt second or subsequent phone contact

When the Investigation <Debt ID> DOC falls due, make a second genuine attempt to contact the employer's authorised officer/authorised contact using:

  • existing contact numbers on the employer's record
  • business website
  • ABN lookup
  • Google search
  • White Pages, and
  • more recent/alternate contact details for the employer in the employee's claim

Was the second attempt to contact the employer's authorised officer/authorised contact successful?

  • Yes:
    • tell the employer a Q318 will be sent to them to seek more information. Ask the employer to return the Q318 information as a priority
    • on the employer's record in Process Direct, annotate and close the Investigation <Debt ID> Note as follows:
      Second attempt to contact employer was successful.
      Who was spoken to: [insert contact full name]
      Information provided or discussed with the employer: [record full details of discussion]
    • go to Step 6
  • No, on the employer's record in Process Direct:
    • annotate and close the Investigation <Debt ID> Note as follows:
      Second attempt to contact employer was unsuccessful.
      [record the contact number(s), date/time and who was contact attempted with]
    • go to Step 6

6

Sending the Q318 letter

The letter has the following details:

  • Date
  • Employee legal name (first, middle and last name)
  • Employee reference (if provided by the employer)
  • Employer's authorised officer:
    • Business Hub registered ABN, Process Direct displays the Authorised Officer's name. Where there is no authorised officer recorded, attempt to contact the business to inform them to update the authorised officer details. Continue to issue the Q318 selecting the name option as 'To whom it may concern'
    • Not registered in Business Hub, the Organisation Contact Summary (OSCS) screen displays current and end dated CBOS contacts. All current CBOS contacts are Authorised Officers and able to sign the Q318
  • External claim reference ID
  • Period that the debt relates to
  • Estimated amount of the debt (Item A on the Q318)
  • Amount held by the organisation (Item B on the Q318)
  • Amount withheld as PAYG tax deduction (Item C on the Q318)
  • Amount paid to the employee (Item D on the Q318)

The notice will tell the employer:

  • To stop paying PPL to the employee or third party
  • They may need to amend their payroll records to make sure the employees payment summary is correct

Where a liquidator is appointed or registered to a business the OSCS screen and a display on access (DOA) DOC will be updated with the authorised contact details.

Before running the Debt Action script, check the debt shell amount and obtain the following information:

  • Employer CRN
  • Debt Id - Cxxxxxx
  • Employer's authorised officer information (OSCS screen)
  • Employee:
    • CRN
    • Employee legal name (first, middle and last name)
    • Caim reference ID
    • Employee ID number (either from P1EMP screen in Process Direct or if not then from online claim)
  • The date when the child was born or entered care
    • before 1 July 2023
    • after 1 July 2023
  • Reason for debt for example, NRQ (viewed in Process Direct on the P1FLX screen under Withdrawn/Rejected/Cancelled PPL days)

Note: to be accepted by PPLEPT, the Q318 letter must be signed by the employer's authorised officer (unless the employer is in liquidation).

To send the Q318, go to Step 7.

7

Run the Debt Action script to send a Q318

In Customer Record, go to the employer's record and open the Debt Action script.

Note: make sure the letter complies with the mandatory standards, see the Resources page. When writing the employer or employee's name (whether alias or preferred name), only use a capital letter for the first letter of each name.

In the Debt Action script, check the populated information is correct and update the following sections:

  • Action to take, select Action a new debt activity. Select Next
  • Phone numbers, check staff name, region code PEP and 13 number is 131 158. Select Next
  • Actionable debts, select 'the relevant debt id'. Select Next
  • Payment type selection > PPL/DAP > select relevant payment type for children born or entered care:
    • before 1 July 2023 Paid Parental Leave - Employer
    • after 1 July 2023 Parental Leave Pay (Employer)
    • select Next
  • Resolution and storage - Part 1:
    • Is the debt activity to be finalised as a No Debt, no change, leave as No
    • Storage indicator, select On File, select Next
  • Paid Parental Pay (Employer), select No - send a Q318 now

For the Q318 information request - debt investigation - letter options:

  • Select attention <authorised person>
  • Key the name of the authorised officer/authorised contact in the Authorised Person field
  • Check employee CRN populated
  • Key the employee's:
    • Title - drop down box
    • First name
    • Middle name
    • Surname
  • Select to include Employee ID
    • (if known) key employee ID number into the Employee ID field
  • Overpayment box (top right corner), do not change:
    • Event date
    • Start date
    • End date
    • Amount ($)
  • Claim box, key employee claim reference ID select Next
  • End script, select OK
  • Go to the Activity List (AL) screen and find the debt activity to be placed on Hold. Note: to hold an activity, key an H next to the debt activity located on AL. Press [Enter]
  • If the employer is:
    • registered in Business Hub (Bhub), change the debt resubmit date for 15 days from today
    • not registered in Bhub, change the debt resubmit date to 14 days and allow extra time for surface mail delivery
  • In the auto populated debt DOC on the employer's record, staff must:
  • Close the Q318 DOC

Is the employer registered for Business Hub?

  • Yes, go to Step 8
  • No:
    • PPLEPT to issue the Q318 manually to allow the employer to respond
    • procedure ends here

8

Create a task in Process Direct for the employer to upload the Q318 response

For employers to upload a document in Business Hub, a task must be initiated.

This must be done on the same day the 'Q318 information request' letter is sent.

Before creating the task for the employer, obtain the following employee details:

  • CRN
  • Claim Reference ID
  • First Name
  • Family Name
  • Date of Birth

To create the task:

  • Select the Business Hub Request Documents tile
  • Search for the organisation. Note: CRN must be keyed as 10 consecutive characters with no spaces, for example 408XXXXXXA
  • Select the organisation
  • Select Search for Claimants
  • Key the employee's CRN, Claim Reference ID, First Name, Family Name and Date of Birth
  • Select Go, the employee will display below Existing Customer Details
  • Select + Select in the Action column (right side), a task pop-up box will appear
  • In the task pop-up box, select Request Debt Investigation Q318
  • Select Save
  • Update the:
    • Authority to request: Paid Parental Leave Act 2010
    • Information to be supplied within: 14 days
    • Required for: Incomplete Application
    • Staff notes required: No
  • Select from the available documents the Other document for Claimant
  • Select Open left slider; Close right slider, an Additional Details pop-up box will appear
  • Select Add as no additional details or notes are required
  • Select Finish

After the task is created:

  • an outstanding task generates for the employer in Business Hub
  • the employer gets an email notification. It says they can provide the requested documents through the Upload Requested Documents icon in Business Hub

In the employer's PPE record:

  • go to the Process Direct Inbox, find and open the relevant work item. Take note of the Application ID number
  • annotate and save the Q318 Sent/Debt ID/Employee's Surname Note with the work item's Application ID number related to the employee

Procedure ends here.

9

Allocated a returned Q318 or work item

The employer has 14 days to respond to a Q318 request, allowing extra time for mail delivery.

Before raising debts, check the Process Direct Inbox for a returned Q318 work item. To view if the employer has provided a Q318 via Business Hub, select the Process Direct Inbox tile:

  • Search using the Application ID or the employers CRN. The CRN must be 10 consecutive characters with no spaces. For example. 408XXXXXXA
  • Select Go
  • Find and select the relevant Debt Investigation Q318 received work item
  • Select the Documents icon to view any uploaded documents:
    • Select View (below Doc View)
    • Download box, select Open file

If the employer has:

  • returned the Q318 via CBOS, find the document in the OOM via the Human Services Workspace (myHSI) staff online portal
  • has not returned via Bhub or CBOS, check for any emails in the PPLEPT mailbox or uploads via Document Tools

Has the employer returned a Q318?

10

Q318 returned via CBOS or Business Hub

If the Q318 is returned via:

  • CBOS:
    • Go to the employer's record in Process Direct
    • Upload the Q318 letter via the Documents icon
    • Annotate and close the Q318 sent Note with the documents provided and any relevant details
    • To action the Q318, go to Table 2 > Step 1
  • Business Hub:
    • Go to the employer's record in Process Direct
    • Check the Documents icon to see if the Q318 is uploaded. If not already documented, staff to upload the Q318 letter via the Documents icon
    • Annotate and close the Q318 sent Note with the documents provided and any relevant details
    • Take note of the Application ID
  • To action the Q318, go to Table 2 > Step 1

11

Q318 is returned via email (PPLEPT mailbox)

On the employer's record in Process Direct:

  • Check the Documents icon to see if the Q318 is uploaded. If not already documented, staff can upload a copy of the email and returned Q318 letter via the Documents icon
  • File any related emails in the relevant ‘month’ folder in the PPLEPT mailbox

To action the Q318, see Table 2 > Step 1


Actioning a Q318 letter to apportion debts between employers and employees

Table 2

Expand table

Step

Action

1

Review the Q318

Check the Authorised Officer has signed the Q318.

The Australian and overseas Authorised contacts must sign (includes electronic signature) and print their legal name (includes electronic) on the Q318.

A Q318 signed by an Authorised contact using their preferred name cannot be accepted. To make updates to an Authorised contact's name, see Employer registration for Parental Leave Pay (PPL).

Check if the business is registered for Business Hub (Bhub). If the business:

  • is registered with an ABN, view the Authorised Officer's in Process Direct, select the Business Hub Access Management icon
  • not registered or has appointed a liquidator, the Organisation Contact Summary (OSCS) screen in Process Direct displays current and end dated CBOS contacts. Note: all current CBOS contacts are Authorised Officers and able to sign the Q318

When reviewing the Q318, check to ensure:

  • It is signed by the employer's current Authorised Officer
  • The Authorised Officer has completed the information on the official Services Australia Q318 form. The Q318 is not to be accepted if the returned Q318 response is not the official form
  • The amounts recorded on the Q318 add up to the total debt shell amount
  • A figure is recorded in Q1, Q2 and Q3 (for example, $ value or 'Nil')

If Q3 has a $ value and Q2 has Nil, or Q2 value is more than Q3, staff must make one genuine attempt to contact the employer to confirm the completed Q318. If contact is unsuccessful:

  • leave a message for employer to call back to discuss PAYG refunding requirements, and
  • process the form using the provided amounts

Has the employer completed the Q318 correctly?

  • Yes, and is responding:
    • within 14 days and allowing extra time for surface mail delivery, go to Step 2
    • to amend previously provided Q318 or correct a raised debt, go to Step 11
  • No, and the debt is:

2

Check the PPL amount the employer has paid the employee

PPLEPT to make appropriate checks before actioning the Q318 to make sure the debt shell is still correct.

If the employer has received PPL, and:

  • has not paid any amounts to the employee or the Australian Taxation Office (ATO), go to Step 3
  • has paid all of the PPL to the employee (including withheld and Pay As You Go (PAYG) amounts), go to Step 4
  • has paid some of the PPL to the employee (including withheld and PAYG amounts), go to Step 6

3

Employer has received PPL but has not paid any amounts to the employee

Raise the debt against the employer, noting the date of receipt for the returned Q318.

In Customer Record, go to the employer's record and open the Debt Action script.

In the Debt Action script, check the populated information is correct and update the following sections:

  • Action to take, select 'Action a new debt activity'. Select Next
  • phone numbers, check staff name, region code PEP and 13 number is 131 158. Select Next
  • Actionable debts, select the 'relevant Debt Id'. Select Next
  • Payment type selection > PPL/DAP > select relevant payment type for children born or entered care:
    • before 1 July 2023 Paid Parental Leave – Employer
    • after 1 July 2023 Parental Leave Pay (Employer)
    • Select Next
  • Resolution and storage - Part 1:
    • Is the debt activity to be finalised as a No Debt, no change leave as No
    • Storage indicator, select On File
    • Select Next
  • Action and notification, no change
    • Select Next
  • Parental Leave Pay (Employer):
    • Has a Paid Parental Leave information request (Q318) been received? select Yes
    • Estimated amount auto populates with amount on Q318 is Item A, no change
    • Date information request was returned auto populates. If required update the date using the drop down box (use date Q318 was uploaded on Document Tools)
    • Amount held by organisation key amount from Q318 - Item B
    • Amount withheld as PAYG tax deduction key amount from Q318 - Item C
    • Amount provided to the employee key amount from Q318 - Item D
    • Total: inputted amounts will auto calculate to match the estimated amount
    • Select Next
  • Confirm period and amount - raise:
    • Start date, no change
    • End date, no change
    • What is the amount overpaid?, no change (this amount auto populates from Q318 - Item B)
    • Amount received in debt period? Key amount from Q318 - Item A
    • How was the debt calculated, select By the mainframe ADEX
    • Was the debt due to, no change
    • Select Next
  • Qualification or payability reasons
    • Reasons: Claimant not entitled to this payment, no change
    • What was the date of event? auto populates, no change
    • Select Next
  • Act Reference Selection: auto selects PPL paid by Employer and debt is not due to false and misleading statement, no change
  • Select Next
  • Employee CRN: auto populates, no change
  • Select Next
  • Raise Debt - DOC text screen, no change
  • Select Next
  • Advice of Debt Display, no change
  • Select Next
  • Debt references, no change
  • Select Next
  • Before selecting OK on the confirm pop up box:
    • on the mainframe screen, on the component amount (OPCA) screen, press [Enter]
    • when the account payable (OPAOD) screen displays, select OK on the pop-up box to confirm
  • Do you want to complete the activity?, select Yes, complete it select Next
  • Information pop up box will display select OK
  • Script completed
  • Close the script

The action required for the work item depends on how the Q318 was returned, if:

Via Bhub

In the Process Direct Inbox, update the Transaction status:

  • Search using the Application ID
  • Select Go
  • Select the Status icon:
    • Select Change Status
    • In Possible Status, select Completed from the dropdown menu
    • Select Save
Not via Bhub (email)

Staff cannot update the work item status in Process Direct. To update the work item status:

  • Go to Customer First Workspace, search for Online Interaction Summary
  • On the search criteria:
    • key Application ID in the Activity ID field
    • select Search > Application ID (below Result List) > Change Status > Completed

Note: the system will automatically cancel the work item 16 days after the date it was created.

If the amount overpaid is less than the small debt waiver threshold, the debt will need to be manually waived. See Small debt waivers.

Procedure ends here.

4

Employer has received PPL and has paid all the PPL to the employee (including withheld and PAYG amounts)

To raise the debt for the gross amount on the employee record, noting the date of receipt for the returned Q318.

In Customer Record, go to the employer's record and open the Debt Action script.

In the Debt Action script, check the populated information is correct and update the following sections:

  • Action to take, select 'Action a new debt activity', select Next
  • Phone numbers, check staff name, region code PEP and 13 number is 131 158 select Next
  • Actionable debts, select the relevant Debt Id, select Next
  • Payment type selection > PPL/DAP > select relevant payment type for children born or entered care:
    • before 1 July 2023 Paid Parental Leave – Employer
    • after 1 July 2023 Parental Leave Pay (Employer)
    • Select Next
  • Resolution and storage:
    • Is the debt activity to be finalised as a No Debt, no change leave as No
    • Storage indicator, select On File
    • Select Next
  • Action and notification, no change, select Next
  • Parental Leave Pay (Employer):
    • Has a Paid Parental Leave information request (Q318) been received, select Yes
    • Estimated amount auto populates (amount on Q318 is item A), no change
    • Date information request was returned, auto populates. If required update the date using the drop down box, use date Q3118 was uploaded on Document Tools
    • Amount held by organisation key amount from Q318 - Item B
    • Amount withheld as PAYG tax deduction key amount from Q318 - Item C
    • Amount provided to the employee key amount from Q318 - Item D
    • Total: inputted amounts will auto calculate to match the estimated amount
    • Select Next
  • Confirm period and amount - raise, no change, select Back
  • Actionable debts, select the relevant Debt Id, select Next
  • Payment type selection > PPL/DAP > select relevant payment type for children born or entered care:
    • before 1 July 2023 Paid Parental Leave – Employer
    • after 1 July 2023 Parental Leave Pay (Employer)
    • Select Next
  • Resolution and storage - Part 1:
    • Is the debt activity to be finalised as a No Debt, select Yes
    • Storage indicator, no change
    • Select Next
  • No debt reason selection box, select Third Party Debt select Next
  • User input, key employee CRN, select OK
  • No debt - DOC text. Copy and complete the following text:
    Debt has been set to 0 because employer advised by Q318 returned on [DD/MM/YYYY]’ of the following:
    • PPL held by business (from Q318 - Item B): $ [insert amount]
    • PPL held as PAYG deduction (from Q318 - Item C): $ [insert amount]
    • PPL provided to the employee (from Q318 - Item D): $ [insert amount]
  • Select Next
  • Debt references, no changes > Next
  • Do you want to complete the activity? No change, select Next
  • Informationpop up box will display saying debt activity for employer has been finalised. Select OK
    Note:     a debt shell will automatically create on the employee's record, which will require action
  • Script completed
  • Close the script

Go to Step 5.

5

Update the auto created debt shell on employee's record for full PPL paid

Update the auto created debt shell with the details from the Q318 and out the activity for the Debt team to review and raise.

In Customer First, go to the employee's record and update the debt activity:

  • On the Activity List (AL) screen, select the relevant debt press [Enter]
  • On the Modify/Assess Debt (OPMA) screen, complete the following:
    • Reason, key NEP or DUP
    • Section of Act, key 166 or 167
    • Start date, key start of debt period (for example, working on a PPL day or resignation) from Q318
    • End date, key end date of debt period from Q318
    • Calculated amount (Item C + Item D), key gross amount paid to employee
    • Select Continue 3 times
  • In the Nxt field, key AL and find the manual debt shell
  • Delete RGNPEP and PAE keywords (if shown)
  • Add keywords DQRPEP and PPL (if not already recorded)
  • For PAC debts add DMNPAC keyword (if not shown) select Continue
  • For PLC debts, system will auto add DMNPLC keyword select Continue

The debt notice (Account Payable) explains to employees they can ask for a refund of the PAYG withholding amount included in the debt. They can request this from either their employer or the Australian Taxation Office (ATO). This will depend on:

  • the date the employee gets the debt notice, and
  • if they take action before or after the end of the financial year

The action required for the work item depends on how the Q318 was returned, if:

via Bhub

In the Process Direct Inbox, update the Transaction status by:

  • search using the Application ID
  • select Go
  • select the Status icon:
    • select Change Status
    • in Possible Status, select Completed from the dropdown menu
    • select Save
not via Bhub (email)

Staff cannot update the work item status in Process Direct. To update the work item status:

  • go to Customer First Workspace, search for Online Interaction Summary
  • on the search criteria:
    • key Application ID in the Activity ID field
    • select Search > Application ID (below Result List) > Change Status > Completed

Note: the system will automatically cancel the work item 16 days after the date it was created.

Procedure ends here.

6

Employer has received PPL and some of the PPL has been paid to the employee (including withheld and PAYG amounts)

Raise a debt against the employer for all amounts not paid to the employee, noting the date of receipt for the returned Q318.

In Customer Record, access the employer's record and open the Debt Action script:

In the Debt Action script, check the populated information is correct and update the following sections:

  • Action to take, select 'Action a new debt activity', select Next
  • Phone numbers, check staff name, region code PEP and 3 number is 131 158, select Next
  • Actionable debts, select the relevant Debt Id, select Next
  • Payment type selection > PPL/DAP > select relevant payment type for children born or entered care:
    • before 1 July 2023 Paid Parental Leave – Employer
    • after 1 July 2023 Parental Leave Pay (Employer)
    • Select Next
  • Resolution and storage
    • Is the debt activity to be finalised as a No debt, no change, leave as No
    • Storage indicator, select On file
    • Select Next
  • Parental Leave Pay (Employer):
    • Has a Paid Parental Leave information request (Q318) been received, select Yes
    • Date information request was returned auto populates, if required update the date using the drop down box use date Q318 was uploaded on Document Tools
    • Amount held by organisation key amount from Q318 - Item B
    • Amount withheld as PAYG tax deduction key amount from Q318 - Item C
    • Amount provided to the employee key amount from Q318 - Item D
    • Total: inputted amounts will auto calculate to match the estimated amount
    • Select Next
  • Confirm period and amount - raise:
    • Start date, no change
    • End date, no change
    • What is the amount overpaid? no change (the amount auto populates from Q318 - Item B)
    • Amount received in debt period, no change (this amount auto-populates from Q318 - Item A)
    • How was the debt calculated, select By the mainframe ADEX
    • Was the debt due to, no change
    • Select Next
  • Qualification or payability reasons
    • Reasons: Claimant not entitled to this payment, no change
    • What was the date of event? auto populates, no change
    • Select Next
  • Act Reference Selection: auto selects PPL paid by Employer and debt is not due to false and misleading statement, no change, select Next
  • Employee CRN: auto populates, no change, select Next
  • Raise debt - DOC text screen, no change, select Next
  • Advice of Debt Display, no change, select Next
  • Debt references, no change, select Next
  • Before selecting OK on the confirm pop up box:
    • on the mainframe screen, on component amount (OPCA) screen, key the employer debt amount > [Enter]. Note: the OPCA screen may display multiple entitlement periods within a financial year. Where an employer has passed on some of the funds to the employee, enter the amounts in the Calc Amt column of the PPL component type lines until they total the full amount held by the organisation (from Q318 - Item B). Zero the remaining lines as required
    • when the account payable (OPAOD) screen displays, select OK on the pop-up box to confirm
  • Do you want to complete the activity? No change, select Next
  • Information pop up box will display saying debt activity for employer has been finalised. Select OK
    Note:     a debt shell will automatically create on the employee's record requiring action.
  • Script completed
  • An automatic DOC will be placed on the employer's record
  • Close the script and the Investigation <Debt ID> DOC

Go to Step 7.

7

Update the debt shell on the employee's record for partial PPL paid

The PPLEPT will update the debt shell with the details from the Q318 and out the activity for the Debt team to review and raise.

In Customer First, go to the employee's record and update the relevant debt activity on the Modify/Assess Debt (OPMA) screen:

  • Reason, key NEP or DUP
  • Section of Act, key 166 or 167
  • Start date, key start of debt period (for example, working on a PPL day, termination or resignation) from Q318
  • End date, key end date of debt period from Q318
  • Calculated amount (Item C + Item D), key gross amount paid to employee
  • Select Continue twice

In the Nxt field, key AL:

  • Find and select the relevant debt shell
  • Select Transfer activity to another site/region radio button, Select Continue
  • Delete RGNPEP and PAE keywords (if shown)
  • Add keywords DQRPEP and PPL (if not already recorded)
    • For PAC debts, add DMNPAC keyword (if not shown), select Continue
    • For PLC debts, system will auto add DMNPLC keyword, select Continue

The action required for the work item depends on how the Q318 was returned, if:

via Bhub

In the Process Direct Inbox, update the Transaction status by:

  • Search using the Application ID
  • Select Go
  • Select the Status icon:
    • Select Change Status
    • In Possible Status, select Completed from the dropdown menu
    • Select Save

not via Bhub (email)

Staff cannot update the work item status in Process Direct. To update the work item status:

  • Go to Customer First Workspace, search for Online Interaction Summary
  • On the search criteria:
    • key Application ID in the Activity ID field
    • select Search > Application ID (below Result List) > Change Status > Completed

Note: the system will automatically cancel the work item 16 days after the date it was created.

Was the employer’s determined debt less than the small debt waiver?

8

Employer debt is less than small debt waiver

If the determined debt raised in Step 6 (employer has received some PPL) for the employer is less than the small debt waiver. See Small debt waivers.

Procedure ends here.

9

Q318 incorrectly completed or not returned and debt not yet raised

If allocated a due undetermined debt shell and the Q318 has not been returned or incorrectly completed, go to Step 10.

If the undetermined debt due date has not yet lapsed (HLD) but the employer has provided an incorrectly completed Q318, make one genuine attempt to contact the employer to discuss:

  • Why Services Australia is not able to accept the Q318
  • What needs to be corrected on the Q318
  • Explain to the employer that if a correct Q318 is not provided by the due date, the debt would be raised in full on the employer
  • Due date for the Q318 to be provided

On the employer record, in Process Direct:

  • Annotate and close the Q318 Note with:
    • Why the Q318 is not accepted
    • Contact attempt time, date and numbers
    • If contact is successful record conversation had with the employer, including the full name of who was spoken to
  • Upload the Q318 (if applicable) via the Documents icon
  • Make sure any work item for the debt in Process Direct remains open
  • Do not change the HLD date for the debt shell

Procedure ends here.

10

Q318 not returned or incorrectly completed

The PPLEPT team are:

  • to make appropriate checks to make sure the debt shell is still correct
  • not required to call the employer, and
  • to raise the debt in full on the employer

In Customer Record, access the employer's record and open the Debt Action script:

In the Debt Action script, check the populated information is correct and update the following sections:

  • Action to take, select 'Action a new debt activity'. Select Next
  • Actionable debts, select the relevant Debt Id. Select Next
  • Resolution and storage:
    • Is the debt activity to be Finalised as a No Debt? no change
    • storage indicator to use in DOC, select No documentation. Select Next
  • Paid Parental Leave – (Employer), select No - Q318 not required
  • Confirm period and amount - raise:
    • Amount received in debt period, key the full amount
    • How was the debt calculated, select By the mainframe ADEX > Next
  • On the DOC screen, add the relevant text. For example:
    • Q318 has not been returned, 'Q318 Request for information letter sent to employer DD/MM/YYYY. As at today, the Q318 has not been returned. Failure to provide the information requested has resulted in the whole amount being raised as a debt against the employer', or
    • Q318 has been returned but incorrectly completed, 'Q318 returned by employer DD/MM/YYYY. This has been completed incorrectly which has resulted in the full amount being raised as a debt against the employer. Reason form is incorrect: (record reason). See Parental Leave Pay (PPL) debt raising, debt offsetting and recovery
  • Select Next
  • On the mainframe screen, on the component amount (OPCA) screen. Press [Enter]
  • When the Account Payable (OPAOD) screen displays, select OK on the pop-up box to confirm
  • Do you want to complete the activity? select Yes, complete it > Next
  • End of script
  • An automatic DOC will be placed on the employer's record
  • Close the script and the Investigation < Debt ID> DOC

The action required for the work item depends on how the Q318 was returned, if:

via Bhub

In the Process Direct Inbox, update the Transaction status by:

  • search using the Application ID
  • select Go
  • select the Status icon:
    • select Change Status
    • in Possible Status, select Completed from the dropdown menu
    • select Save
not via Bhub (email)

Staff cannot update the work item status in Process Direct. To update the work item status:

  • Go to Customer First Workspace, search for Online Interaction Summary
  • On the search criteria:
    • Key Application ID in the Activity ID field
    • Select Search > Application ID (below Result List) > Change Status > Completed

Note: the system will automatically cancel the work item 16 days after the date it was created.

Procedure ends here

11

Review a provided or amended Q318

An employer may respond outside the 14 days to a previous Q318 request for the following reasons:

  • for the first time after the debt was raised
  • provide an amendment to the previously returned Q318

Based on the amended information, previously raised debts on the employer and/or employee record may require being amended and/or new debts raised.

Based on the Q318 responses, decide the action(s) required to the employer and/or employee's debt (there may be multiple). To:

12

Amending a raised employer debt not fully recovered due to amended or corrected Q318

If the employer has given more details that requires a debt to be amended, take note of the Debt Id to be amended.

When running the Debt Action script, if the Debt end date is a future date and error 'End date cannot be in the future' presents on the employer's record in Process Direct:

  • Upload the Q318 (if applicable) via the via the Documents icon
  • Record details, use Fast Note - select Auto text, use Families > PPLEPT > Debt ID end date in the future
  • Manually hold the Future end date <Debt ID> Note until the debt end date +1

In Customer Record, access the employer’s record to be amended and open the Debt Action script:

In the Debt Action script, check the populated information is correct and update the following sections:

  • Action to take, select 'amend an existing debt'. Select Next
  • Phone numbers, check staff name, region code PEP and 3 number is 131 158. Select Next
  • actionable debts, select the relevant Debt Id. Select Next
  • DOC storage indicator, no change. Select Next
  • Debt dates and other details:
    • Date of event, no change
    • Start date, no change
    • End date, no change
    • Date of notification, key the date the revised Q318 was received
    • Acknowledgement date, key today's date
    • Was the debt due to: no change
    • Additional reference number: no change
    • Select Next
  • Debt reason selection:
    • Debt category, select No suitable choice
    • What action do you wish to take, select Continue to the script
    • Select Next
  • Debt amount:
    • What is the amount overpaid?, key the revised amount on the Q318 (from Item B)
    • How was the debt calculated, select By the mainframe ADEX
    • Select Next
  • Debt action script, amend date, reason selection:
    • Why is the debt amount/recovery fee being charged?, select reviewed/recalculated (not at the customer's request)
    • What prompted the review of the debt?, select further information given
    • Do you want the letter sent?, no change
    • What period of time is available to appeal a decision? no change
    • Select Next
  • Select OK to confirm, press [Enter] on the mainframe screen, select OK
  • On the component amount (OPCA) screen, change the amount under the Calc Amt$ to the revised amount press [Enter]. Select OK
    Note:     the OPCA screen may display multiple entitlement periods within a financial year. Where an employer has passed on some of the funds to the employee, enter the amounts in the Calc Amt column of the PPL component type lines until these total the full amount held by the organisation (taken from Q318 - Item B). Zero the remaining lines as required
  • OPDC and DOC comments, no change, select Next
  • Do you want to complete the activity?, no change, select Continue
  • Advice to customer - reason for debt change(s), no change, select Next
  • Advice to customer - interest charge warning:
    • funds recoverable, select Yes then Next
    • no funds recoverable, select No then Next
  • Advice to customer wording - reason for debt change(s). Note: Service Officers must use the approved Debt script letter text Q053 - PPL employer debt letter text below. Update as required but do not edit or add unapproved wording. Once updated, copy and paste the following 2 bullets points as separate paragraphs into this section:
    • Free text paragraph 1
      The reason for the change is that we have received additional information from (insert company name) on (insert date additional information received) advising the following information for (employee first, middle and last name) <remove if not required: employee identification number (employee ID number)>
      Select Next
    • Free text paragraph 2
      You advised us the amount held by you for your employee {employee's first name} is <${debt amount}!0.00>. The amount of PAYG tax withheld from your employee's Parental Leave Pay was ${amount}. The amount of Parental Leave Pay you provided your employee was ${amount}.
    • Select Next
    • Free text paragraph 3, no change. Select Next
  • Select Next 2 times
  • Confirm pop up box will display and script will pause on the variable data (LDD) screen. This will allow for staff to review the letter content, updating the phone number to 131 158. Select OK
  • Debt action script, end of script, select OK

On the employer’s record, in Process Direct:

Go to Step 14.

13

Amending a raised employer debt fully recovered due to amended or corrected Q318

Before amending, if the Debt end date is a future date, on the employer's record in Process Direct:

  • Upload the Q318 (if applicable) via the Documents icon
  • Record details, use Fast Note - select Auto text, use Families > PPLEPT > Debt ID end date in the future
  • Manually hold the Future end date <Debt ID> Note until the debt end date +1

If the employer has given more details that need a fully recovered debt to be amended, in the employer’s record go to Customer First to manually amend a fully recovered debt on the OPDL screen:

  • Select the relevant debt Id, select Continue or press [Enter]
  • In the Nxt field, key OPDA, select Continue or press [Enter]
  • On the OPDA screen, in the record reason change, key FIN
  • Calculated (total) amount, key amended debt amount. Press [Enter]. Select Finalise
  • Complete and issue a manual Q053 - PPL employer debt letter

On the employer's record, in Process Direct:

  • Record details on a Note. Use Fast Note - select Auto text, use Families > PPLEPT > Employer debt - Amended
  • Annotate and close all related DOCs
  • Upload the Q318 (if applicable) via the Documents icon

If the debt becomes over recovered, in Customer First:

  • Transfer activity to another site/region radio button. Select Continue
  • Delete RGNPEP and PAE keywords (if shown)
  • For PAC debts, add DMNPAC keyword (if not shown). Select Continue
  • For PLC debts, system will auto add DMNPLC keyword. Select Continue

Go to Step 14.

14

Review an employee debt due to amended or corrected Q318

On the employee's record, check if a manual (undetermined) debt shell was created or if a debt has been raised based on the original (previous) Q318 response from the employer.

Actions required will vary depending on the debt status in response to the original Q318.

Based on the new Q318 response from the employer, has PPL been paid to the employee?

15

Debt status – Employee debt already raised

If, based on the new Q318 response, the employee debt is:

  • still required:
    • it is to be amended, see Debt ownership
    • annotate PPL - Q318 returned DOC with details of the returned Q318 and reason why the debt is to be amended
    • if a manual debt is to be raised for an employer, go to Step 18
    • otherwise, procedure ends here
  • not required:

16

Debt status - Employee debt undetermined

If an undetermined debt shell is still required, on the employee's record, go to Customer First and update the relevant debt activity with the new debt components (period/amount).

  • In the Nxt field, key AL and find the manual debt shell
  • Select the relevant debt shell
  • On the OPMA screen, update with the new debt period/amount
  • Select [Continue] 3 times
  • In the Nxt field, key AL and find the relevant debt shell
  • Select the relevant debt shell and select Transfer activity to another site/region radio button > Continue
  • Delete RGNPEP and PAE keywords (if shown)
  • Annotate PPL - Q318 returned DOC with details of the returned Q318 and reason why the debt (period/amount) has been amended
  • If a manual debt is to be raised for an employer, go to Step 18
  • Otherwise, procedure ends here

17

Manually raise a debt on the employee record

If the employer has given more details requiring a manual debt to be raised on the employee's record, go to Customer First and create a debt activity using the OPAD screen:

  • Benefit Type debt codes. Children born or entered care:
    • before 1 July 2023 PAC (employee record)
    • from 1 July 2023 PLC (employee record)
  • Reason, key NEP or DUP
  • Section of Act, key 166 or 167
  • Date of Event, key the date the event was coded on the employee record
  • Start date, key start of debt period (for example, working on a PPL day or resignation date)
  • End date, key end of debt period
  • Calculated amount (from Q318 Item C + Item D), key gross amount paid to employee
  • Addtnl Reference No, key employer's PPE CRN
  • Select Continue 3 times
  • Debt reference summary (OPDRS) screen will present on this screen staff to:
    • Take note of the created Debt ID
    • In the Nxt field, key AL then press [Shift] + [F4]
  • In the Nxt field, key AL and find the manual debt shell
  • Delete RGNPEP and PAE keywords (if shown)
  • Add keywords DQRPEP and PPL (if not already recorded)
    • For PAC debts, add DMNPAC keyword (if not shown). Select Continue
    • For PLC debts, system will auto add DMNPLC keyword. Select Continue
  • Record details on a DOC. Use Fast Note - select Auto text, use Families > PPLEPT > Employee - Q318 returned by Employer
  • Close the PPL - Q318 returned DOC

Procedure ends here.

18

Manually raise a debt on the employer's record

The employer may have given more details requiring a manual debt to be raised on the employer record as the original debt has already been made a no debt (zeroed).

Note: before running the Debt Action script, staff will need the employer's PPX CRN.

In Customer Record, go to the employer's record and open the Debt Action script.

In the Debt Action script, check the populated information is correct and update the following sections:

  • Actionable debts, select Action a new debt activity. Select Next
  • Payment type selection > PPL/DAP > select relevant payment type for children born or entered care:
    • PAE (before 1 July 2023 employer record)
    • PLE (from 1 July 2023 employer record)
    • Select Next
  • Parental Leave Pay Employer:
    • Q318 has been received, select Yes
    • Total amount provided for the period, no change
    • Date information was returned (date on Document Tools)
    • Amount held by organisation (taken from Q318 - Item B)
    • Amount withheld as PAYG tax deduction (taken from Q318 - Item C)
    • Amount provided to the employee (taken from Q318 - Item D)
    • Total (will complete automatically)
    • Select Next
  • Confirm period and amount - raise:
    • Start date
    • End date
    • What is the amount overpaid?
    • Amount received in debt period? key in the amount to be raised
    • How was the debt calculated, select By the mainframe ADEX
    • Was the debt due to, no change, select Next
  • Add employee CRN, select Next
  • Debt Reference:
    • Reference Type, select PPX = PPL Employer Payroll Record
    • Reference CRN, add PPX CRN
    • Other Reference ID, leave blank
    • Reference Date of Event, date on Document Tools for updated Q318 select Next
  • Debt References, select No, select Next

Before selecting OK on the confirm pop up box on the mainframe screen, on the component amount (OPCA) screen press [Enter]. ForComponent type:

  • For children born or entered care:
    • before 1 July 2023, key either BASIC or FLEX
    • from 1 July 2023, key BLOCK
    • from 1 July 2025, key BLCS
  • Complete these fields:
    • Ben, key PPL
    • Qal, key EMP
    • Start date
    • End date
    • Calc Amt
  • Press [Enter] twice. Note: when raising a debt for a child born or entering care on or after 1 July 2025, make sure the correct debt component codes are used. This ensures accurate calculation and payment of the Paid Parental Leave Superannuation Contribution (PPLSC)
  • Select OK on the pop-up box to confirm
  • Do you want to complete the activity? select Yes, complete it. Select Next
  • End of script
  • Close the script and the Investigation < Debt ID> DOC
  • Annotate the original raised Debt DOC with the new Debt ID and the reason for creating a new Debt

Procedure ends here.

19

Debt already raised, revised Q318 incorrectly completed

Where a debt is already raised and the employer provides a revised Q318 which is incorrectly completed, make one genuine attempt to contact the employer about why Services Australia is not able to accept the revised Q318.

If contact is unsuccessful leave a message for the employer to call back to discuss the incorrectly completed Q318.

Do not amend the already raised debt.

On the employer's record in Process Direct:

  • annotate and close the Q318 raised Note with:
    • why the revised Q318 was not accepted, and
    • contact attempt time, date and numbers. If contact is successful record conversation had with the employer

Procedure ends here.


Financial year and Australian Taxation Office (ATO) details when a PPL debt was actioned

Table 3

Expand table

Step

Description

1

Debt actioned

If the debt was actioned:

  • before the end of the financial year, go to Step 2
  • after the end of the financial year and an ATO Notice of Assessment (NOA):

2

Debt actioned before the end of financial year

Services Australia will recover the gross amount of PPL overpaid to an employee. This includes Pay as you Go (PAYG) amounts withheld.

The employee has the right to a refund of the amount of PAYG withheld. They can ask for a refund of PAYG withheld from either the employer or the ATO.

The employer must refund the PAYG amount to the employee before the end of the financial year in which the overpayment occurs when the:

  • employer becomes aware that the employee received an overpayment of PPL, or
  • employee asks for a refund of the withholding amount

The employer must refund the PAYG amount to the employee even if they have paid this to the ATO. If this is the case, the employer can:

  • recover the refunded amount from the ATO as a debt, or
  • offset or reduce another payment to the ATO by the refunded withholding amount

The employer will need to include adjustments in their payroll records.

On their income tax return, the employee will include the total:

  • PAYG withheld, less any refunded amount, and
  • taxable income from their payment summary, less any overpaid PPL

Procedure ends here.

3

Debt was actioned after the end of financial year

PPL paid by Employer

If the overpayment occurred in a financial year prior to the year that it was identified, the employer does not need to refund the PAYG withholding amount.

Services Australia will:

  • recover the gross amount of the overpayment from the employee, and
  • tell them to recover the overpaid PAYG from the ATO

The employee will:

  • be able to show the debt notice (Account Payable) to the ATO as evidence of the overpayment
  • provide the amended total taxable income information from their revised payment summary or the debt notice in their income tax return

If the employee's income assessment for the previous year is not complete, they will get the benefit of the overpaid PAYG withholding amount in the calculation of their tax bill or refund.

They may ask for a payment arrangement with Services Australia that will allow them to repay the PAYG amount after they have recovered it from the ATO.

PPL paid by Services Australia

If Services Australia has paid the employee, the agency will issue an amended payment summary once:

  • the debt is raised, and
  • repayment has been received

The payment summary will display on the Tax Payment Summary (TXGS) screen. The ATO will automatically get the new tax information electronically.

Procedure ends here.

4

Debt was actioned after the end of the financial year and ATO Notice of Assessment (NOA) has been issued

The employee should lodge an amended assessment application with the ATO using:

  • the revised payment summary, or
  • the debt notice (Account Payable)

The ATO will:

  • subtract the gross amount of overpaid PPL from the employee's taxable income, and
  • fix their final income tax calculation for the relevant income year

This may result in an additional refund depending on the employee's tax liability.

Once fixed, the employee needs to tell government agencies such as Services Australia their revised income details. This may affect their eligibility for payments.

If the overpayment of PPL spans two financial years, the above processes apply to the portions of debt that attribute to each financial year.

Procedure ends here.