Child Support estimates (Pre 1 July 2010) 277-07070000

Answer: No, an estimate can only commence on the day that the person makes the election or the start or the new child support period whichever is the later. It cannot be backdated to the date of lodgement of the initial registration application. If there are special circumstances in the case and the liable parent has been significantly disadvantaged, it may be appropriate to suggest a Change of Assessment.

Answer: Yes. The estimate can be reviewed. See Child Support estimates review (Pre 1 July 2010) for details.

Answer: No, but their existing estimate may be able to be reviewed. See Child Support estimates review (Pre 1 July 2010). Also encourage the parent to lodge a new estimate at the end of the 2 months.

Answer: Sometimes. An estimate will commence from the date of the election except where the estimate is for a new child support period which has not yet commenced.

Answer: If a parent indicates that they wish to lodge a zero estimate use questioning to ascertain that there is no source of income at all for the remainder of the estimate period. An estimate can only be refused if the actual income over the estimate period is likely to be higher than the estimated income provided by the parent. If there are sufficient grounds to believe that the actual income will be higher than the estimated income refuse the estimate.

Even if a parent's income is zero at the time they make an estimate election this is not sufficient reason to accept a nil estimate. Further questioning is necessary to establish whether the parent expects to earn any income before the end of the child support period. For example, if a parent is no longer working but expects to receive a termination payment from their employer or a payment from their superannuation fund before the end of the child support period a nil estimate would not be accurate.

It is important to pay particular attention to parents who work on a contract basis for less than 12 months a year. For example, a contract teacher may have a contract ceasing in November but re-negotiates their contract in February the following year. During the intervening period, that person may state that they have no income however in the remainder of the child support period they will generally earn income. Ensure the customer is aware that they must advise if at any time their estimate becomes inaccurate.

An example of where an estimate of zero may be reasonable is where a parent is being fully supported by their spouse and expects this arrangement to continue until the end of the elected estimate period. In this situation if it can be established that the parent will have no other source of taxable income, the estimate should be accepted.

Answer: No. New estimates are prospective and only take effect from the date of notification. This will be the date of the phone call or the date the form is received.