Claiming Family Tax Benefit (FTB) instalments for children in care other than a newborn or adopted child 007-01030040

Separate procedures apply for customers:

• claiming family assistance and Parental Leave Pay (PPL) for a newborn child, and
• claiming FTB as a lump sum for a previous financial year

Customers can claim online. Customers can complete the claim in their own time without the need to speak to a Service Officer. A started online claim can be saved so the customer can continue with it later.

When the customer submits their claim they are advised of any documentation they will need to provide to support their claim, including proof of a child's birth. Customers who submit an online claim do not need to lodge a paper claim form.

Submitted online claims can be processed quickly as claim information is uploaded onto the customer's record when the claim is ready to finalise.

For a family deemed unable or unsuitable to complete an online claim, when helping eligible remote Indigenous customers or when helping customers in crisis or financial hardship it is reasonable for additional assistance to be provided. Service Officers and the Smart Centres Families and Child Care (FCC) Processing team, work in partnership to provide a suitable outcome. Where appropriate, the use of a verbal claim should be considered, if a claim is required. For verbal claims, the customer must agree to the privacy agreement before starting the claim. For these claims, the ACC can only be submitted if the customer meets the claim signature requirements by either accepting the Verbal Signature Declaration or returning a signed Families Declaration Form (FDF).

If the Verbal Signature Declaration has not been accepted, the workflow will generate a Families Declaration Form (FDF) for the customer to sign and return.

The activity can be referred to Families Processing for priority processing. See Progress of claim – Families claims

From 10 June 2019, FTB top-ups, supplements, lump sum claim amounts and instalment arrears amounts can be used to recover any family assistance, social security, student assistance and Paid Parental Leave scheme payment debts. This will occur even if the customer has a current payment arrangement. Previously, FTB amounts could only be used to recover FTB, Child Care Benefit (CCB) and Child Care Rebate (CCR) debts.

Where exceptional and/or unforeseen circumstances apply which may cause the customer to suffer severe financial hardship, customers can request to be temporarily excluded from debt recovery prior to any money being taken from their FTB arrears, lump sum or top-up payments.

The customer will be required to provide additional details via the online claim. When the customer submits their claim they are advised of any documentation they will need to provide to support their claim, including proof of a child's birth. Customers who submit an online or verbal claim do not need to lodge a claim form.

Customers currently receiving fortnightly FTB instalments who wish to add an older child (not a newborn) to their FTB record are not required to complete an online claim or lodge a claim form. They can verbally advise of an additional older child entering care. See Reassessment of Family Tax Benefit (FTB) for a current customer where an additional child enters care in the current or previous financial year

DVA customers may benefit from claiming FTB for a student child aged 16 years and over, particularly where the family is entitled to receive FTB Part B. These customers should be encouraged to use the Payment and Service Finder to compare their FTB and DVA entitlements.

If the customer is claiming for a child who has entered their care, the change of care must be confirmed before the claim can be finalised. Details of the care arrangement need to be provided and the arrangement confirmed with the other carer/s if required.

Customers should provide documents they have to confirm the care arrangements, for example adoption papers, letter from the state or territory child welfare authority, court order or parenting plan.

If a grandparent or third party carer contacts to advise they have gained care of a child; and the following conditions are met:

• the losing carer is the parent of the child, and
• there are no Court Orders or Child Protection orders in place for the care of the child

further information, including the following questions should be requested to help make a change of care decision:

• What is the reason for the change of care?
• Is the child going into the care of a grandparent or third party? If so, do they live in the same residence as the parent?
• What involvement will the parent continue to have with their child/ren whilst in the grandparent or third party's care?
• Is the reason for the change of care due to work related reasons and/or study?
• Who will be providing financially for the child whilst in the grandparent or third party's care?
• Is the child listed on your Medicare card?
• Who will be making the major decisions for the child about health, education and discipline?

Any evidence relevant to the decision must be documented and scanned to the record.

Note: if the Service Officer requires assistance in determining eligibility where there has been a change of care of a child from the parent to the grandparent or third party carer, get help from Local Peer Support (LPS) or a Service Support Officer (SSO) using standard escalation protocols.

Family Tax Benefit (FTB) is not payable to grandparents and non-parent carers who are caring for a child in a child care capacity, for example child attending child care (either child care centre/family day care or care by a relative/friend) or staying overnight with a grandparent, other relative or family friend. If the customer is the grandparent or non-parent carer of the child, a determination should be made whether the care is a change in care or child care while the parents are working, studying or away.

A determination should be made whether the care is a change in care (either formal or informal) or not. If a decision cannot be made based on the information supplied by the customer then evidence may be required to make the determination, see Evidence to support the actual care arrangements.

Customers need only lodge a Claim for Bereavement Payment (FA008) in the event of the death of a dependent child. Customers should be offered a referral to a Services Australia social worker for assistance.

The Families International Claims (FIC) team finalise claims lodged by customers who are overseas.

Newly arrived refugees with children may wish to test their eligibility for FTB. Children aged 16 or over:

• must satisfy the education/training requirements or have an exemption
• may also wish to test their eligibility for Youth Allowance (YA)

Customers claiming Family Tax Benefit Part A for a child that is not their or their partner’s biological or adopted child, may be eligible to receive Double Orphan Pension. Double Orphan Pension helps families with the costs of caring for orphaned children or children who are unable to be cared for by their parents in certain circumstances. For more information on eligibility and how to claim, see Double Orphan Pension (DOP).