Maintenance Action Test (MAT) for customers with shared care 277-51070080

The customer would receive more than the base rate of Family Tax Benefit (FTB) Part A for a child but for their level of shared care.

The number of nights and actual care percentage are displayed on the FTB Shared Care (FSC) screen.

Care assessment information for a mutual customer will be transferred between Child Support and Centrelink. Service Officers can view this information and if necessary update the Care Alignment Details page.

Does the Maintenance Action Test (MAT) apply for this child?

In some cases, it is not applicable for a customer to take action to obtain child support.

• Yes, go to Step 2
• No, ensure that:
• the child is grouped correctly
• the MAT code is correct, unless a blind pensioner exemption applies or the child is over 16 years
• record any private maintenance income received. Procedure ends here

Does the customer have at least 35% actual care of the child?

• Yes, go to Step 4
• No, go to Step 3

The customer does not need to obtain child support for the child, however they may choose to apply.

The MAT code for the child will be automatically updated to 'L35' (exempt) from the date the actual level of care reduced to 34% or less (recorded on FSC screen).

Advise the customer that their level of care will be taken into account by Child Support when calculating child support liability.

Record any private maintenance income received for the child.

Before 1 July 2008

Customers with less than 30% care of a child were not eligible to apply for a child support assessment. If the level of care increased to 30% or more, the customer needed to take reasonable action to obtain child support within 13 weeks (91 days) of the date of the change in the care arrangements to satisfy the MAT.

If the customer was not eligible to apply for a child support assessment, the MAT code for the child would automatically be updated to 'L30' (exempt) from the same date of event on the FSC screen.

Procedure ends here.

The customer needs to satisfy MAT to be entitled to more than the base rate of FTB Part A for the child.

The MAT code for the child will automatically update to 'DMA' (deciding maintenance action) from the date the actual level of care increased to 35% or more.

For retrospective assessments outside the 13 week (91 day) auto processing will register a 'NMA' (no maintenance action) status from day 92 limiting FTB part A to the base rate. Manual updating of the MAT codes will be required for any periods after day 91 if appropriate maintenance action was in progress or an exemption was applicable.

Child Support care terminating event: If a care change is advised outside of 26 weeks, the child support assessment may end retrospectively from the day before the care changed under the Child Support care date of effect rules.

If the customer who is now caring for the child claims FTB, they will need to apply for a child support assessment within the 13 week Deciding Maintenance Action (DMA) period if they wish to meet MAT, unless an exemption applies.

For example, Mum and dad have one child Charlie. Charlie is in mum’s 100% care. Charlie moves to dad’s 100% care on the 1 March. Dad contacts on 5 October to advise of the care change and to claim FTB. Charlie’s child support assessment is ended from 28 February. A DMA period applies from 1 March for 13 weeks. After the DMA period ends, dad will only meet MAT if he makes an application for a child support assessment. A child support assessment will only begin from the date of application. If dad made an application on 5 October, he will meet MAT from this day but will have failed MAT from the 1 June until the 4 October.

Is the customer a payer in an existing child support case?

• Yes, go to Step 6
• No:
• to be considered by Centrelink as taking reasonable maintenance action, the customer needs to apply for a child support assessment
• for more information about action the customer needs to take see Maintenance Action Test
• voluntary maintenance may need to be coded if the customer is receiving voluntary payments prior to having a child support assessment
• if the customer wishes to apply for child support, go to Step 5

Customers need to contact Child Support to apply for a child support assessment.

Customers may make an application for a child support assessment online via the Services Australia website. Online is the preferred option for child support applications.

Does the customer want to apply right now?

Customers can be warm transferred to Child Support directly via Services Australia Workspace. Warm transfer may be a more appropriate action when the customer has no immediate online access and is already receiving FTB A at base rate due to no maintenance action. For contact details, see Child Support.

Where we have confirmation that the customer has applied for a child support assessment, their MAT can be updated accordingly. Refer to maintenance action in progress should be recorded. Go to Reasonable maintenance action table, Step 9 in Maintenance Action Test (MAT) for Family Tax Benefit (FTB) customers.

Procedure ends here

From 1 July 2008, where the care of the child is shared, or where the care of the children of the case is split, Child Support will register only one child support case instead of two. Both parents will be linked to the case, and Child Support will determine the 'payee' and 'payer'. Even though one party may have more than 35% care of a child, they will not need to apply for child support if they are the 'payer' to the case.

Note: if the payee requests an end to the child support assessment, the payer may need to apply for a new assessment. If the payee's child support case is ended due to an exemption, e.g. due to family and domestic violence, the payer will not be required to apply for a new child support assessment. The Resources page of Exemptions from seeking child support for Family Tax Benefit (FTB) customers has family and domestic violence examples where customers share the care of a child, or have one or more child each in care, and there is only one child support case rather than two.

If both parties have had their circumstances taken in to account for a child support case, both parties are considered to have met the Maintenance Action Test (MAT) for the relevant child/ren. However, there is currently no data electronically received from Child Support to indicate that the child/ren in the paying parent's care are meeting the MAT.

Exception: if the customer has not taken reasonable steps to change from being the payer under a child support agreement to the payee following a significant change in care, they will fail the MAT. See Maintenance Action Test (MAT) for Family Tax Benefit (FTB) customers for further details on reasonable MAT requirements for these cases.

In the customer's record, update the MAT code to NMA from the date it is determined the customer is not taking reasonable action. See Maintenance Action Test (MAT) codes for further details.

As part of their normal 'In Scope' work, the Integrated Care team and Child Support Unit will apply the 'MWP' workaround code for customers impacted by the 'one child support case' issue.

Where it is determined that the Integrated Care Team has recently updated the customer's record and have not updated the MAT details to apply the 'MWP' workaround; send a Fast Note with relevant information to the Integrated Care Team, select Auto text, use Families > Updates > INC Update to MAT Required.

In all other cases, send a Fast Note with relevant information to the Child Support Unit. Use Fast Note - select Auto Text, use Families > Update > CSU update to MAT required.

Keywords: The CSU update to MAT required Fast Note template automatically includes the relevant 'ACTCSU' keyword. If the request is urgent, the 'URGENT' keyword must be manually added to the Fast Note.

The CSU and Integrated Care Team will investigate each case with Child Support to confirm the customer's details.

Once it has been confirmed with Child Support that the customer and the relevant child/ren have been taken into account for child support purposes, the following workaround is required to increase the paying customer's FTB Part A to more than base rate.

For FTB instalment customers, arrears resulting from a review are limited to the start of the previous financial year.

For CSU and Integrated Care Team staff only

Update the maintenance action code for the relevant child/ren to 'MWP' (Manual workaround - Pass MAT test) from the relevant date. Note: the date cannot be any earlier than 1 July of the previous financial year.

To ensure the 'MWP' exemption code is not applied indefinitely, a review should be set. In Customer First, create a manual review on the Review Registration (RVR) screen and complete the fields as follows:

• Service Reason: FTB
• Review Reason: OTH (Other Reasons)
• Due Date: 12 months from the date 'MWP' is coded
• Source: INT
• Date of Receipt: today's date
• Notes: 'MWP MAT code in place from xx/xx/xxxx due to one CSA case. Return to OB 277-51070080 for action.'
• Keywords: CSUREV
• Workgroup: leave blank
• Position: leave blank
• Transfer to Region: leave blank

The review will mature on the Due Date coded in the RVR activity. Workload Management will allocate the review for manual action.

Upon expiry of the 12 month review, Is the MWP code still appropriate?

• Yes, code a further 12 monthly review using the details above
• No, end date and replace with a new applicable MAT code

If the group does not show Payer details, update the Find Payer (MNFP) screen with the other parent's CRN.

Include details of coding on a DOC, list relevant children and any other relevant information, including any details provided by Child Support and the date of effect of any arrears.

From March 2012, the automated 'PPW' code will result in Payers to a child support case automatically passing the Maintenance Action Test (MAT) for their child/ren in limited circumstances.

The introduction of the 'PPW' code will (in limited circumstances) result in the 'payer' of a child support case automatically passing the MAT for their child/ren where their FTB claim is finalised within the 91 day (13 week) 'Deciding Maintenance Action' (DMA) period and where an active child support case is already in place for the 'payee' of the child support case for the respective child/ren.

A consequential reassessment resulting from a Child Support data load can result in the removal of the 'PPW' code. Once removed, the code cannot be manually reinstated. Where one of these records is identified and the customer remains 'payer' to a child support case, the 'MWP' code (Manual workaround - Pass MAT test) will need to be applied in these cases by either the Child Support Unit (CSJ) or the Integrated Care Team (INC).

A long term solution is not yet available.

If the customer cannot be identified as Payer to the child support case at the time their FTB claim is finalised, they will continue to have the 'DMA' applied for 91 days (13wks) commencing from the later of:

• date the child was born
• date the care of the child increased to 35% or more
• date of separation from the child's other parent
• date the child entered their care

At the end of the 'DMA' period, the customer will automatically fail the MAT.

As part of their normal 'In Scope' work, the Integrated Care team and Child Support Unit will apply the 'MWP' workaround code for customer's identified as impacted by the 'one child support case' issue.

Where it is determined that the Integrated Care Team has recently updated the customer's record and have not updated the MAT details to apply the 'MWP' workaround; send a Fast Note with relevant information to the Integrated Care Team using Auto Text – select Families > Updates > INC Update to MAT Required.

In all other cases, send a Fast Note with relevant information to the Child Support Unit. Use Fast Note - select Auto Text, use Families > Update > CSU update to MAT required.

Keywords: The CSU update to MAT required Fast Note template automatically includes the relevant 'ACTCSU' keyword. If the request is urgent, the 'URGENT' keyword must be manually added to the Fast Note.

The CSU and Integrated Care Team will investigate each case with Child Support to confirm the customer's details.

Once it has been confirmed with Child Support that the customer and the relevant child/ren have been taken into account for child support purposes, the following workaround is required to increase the paying customer's FTB Part A to more than base rate.

For CSU and Integrated Care Team staff only:

• Update the maintenance action code for the relevant child/ren to 'MWP' (Manual workaround - Pass MAT test) from the relevant date. Note: the date generally should not be any earlier than 1 July of the previous financial year. However, if the customer previously met the MAT due to ‘PPW’ and this code was retrospectively deleted, FTB re-reconciliation debts may result due to the customer failing the MAT. In this case, commence a refresh activity on the BA screen and code ‘MWP’ from the original ‘PPW’ date. This should resolve the re-reconciliation debts due to the MAT failure
• To ensure the 'MWP' exemption code is not applied indefinitely, the MWP must be reviewed. In Customer First, create a manual review on the Review Registration (RVR) screen and complete the fields as follows:
• Service Reason: FTB
• Review Reason: OTH (Other Reasons)
• Due Date: 12 months from the date 'MWP' is coded
• Source: INT
• Date of Receipt: today's date
• Notes: 'MWP MAT code in place from xx/xx/xxxx due to one CSA case. Return to OB 277-51070080 for action.'
• Keywords: CSUREV
• Workgroup: leave blank
• Position: leave blank
• Transfer to Region: leave blank
• The review will mature on the Due Date coded in the RVR activity. Workload Management will allocate the review for manual action
• Upon expiry of the 12 month review, if the use of the 'MWP' code is still appropriate, a further 12 monthly review must be coded
• If the group does not show Payer details, update the Find Payer (MNFP) screen with the other parent's CRN
• Include details of coding on a DOC. Use Fast Note - select Auto Text, use Families > Update > CSU Paying Parent Workaround/Review. List relevant children and any other relevant information, including any details provided by Child Support and the date of effect of any arrears

Care assessment information for a mutual customer will be transferred between Child Support and Centrelink. Service Officers can view this information and if necessary update the Care Alignment Details page.

Does the Maintenance Action Test (MAT) apply for this child?

In some cases, it is not applicable for a customer to take action to obtain child support.

• Yes, go to Step 2
• No, ensure that:
• the child is grouped correctly
• the MAT code is correct, unless a blind pensioner exemption applies or the child is over 16 years
• record any private maintenance income received. Procedure ends here

Does the customer now have more than 65% actual care of the child even though they are considered the payer under the agreement?

• Yes, go to Step 4
• No, go to Step 3

Advise the customer that they satisfy the MAT as they have an agreement in place.

These cases will be covered by the one case scenario workaround. See the Resources page for further details.

Procedure ends here.

Where an FTB child is the subject of a child support agreement and the payee under the agreement has less than 35% care (and a child support terminating event has not occurred) the agreement will end for the child. Note: the agreement may be suspended for 28 days after the care percentage changed, or up to 26 weeks in some cases. A suspension period is provided so that the agreement can re-start for the child if the person regains at least 35% care during the agreement suspension period.

Child support may become payable to the new carer (previously the payer) when the agreement ends or is suspended if there was already an administrative assessment in place when the agreement was accepted.

The MAT requirements when an agreement ends or is suspended for a child will vary depending upon whether:

• there was already an administrative assessment in place when the agreement was accepted (these cases are known as non-initiating agreements), or
• the agreement started the child support case (these cases are known as initiating binding agreements).

If the agreement is:

• an initiating binding child support agreement, go to Step 5
• a non initiating child support agreement, go to Step 6

Note: The MAT requirements are different for WA Ex-nuptial child support cases If a WA Ex-nuptial case presents, refer the case to the Child Support Program Branch via the mailbox.

If a customer who is a payer under an initiating binding child support agreement has an FTB child and their level of care increases to more than 65%, the agreement may end or be suspended for a period. In these cases, the customer will need to take reasonable maintenance action.

If the customer contacts, refer them to Child Support to discuss maintenance action. This will allow all required information to be obtained and advice given to the customer about their child support options.

The following information should also be provided to the customer in respect of MAT requirements:

Maintenance action required:

In order for the individual with increased care above 65%, (previous payer under the agreement) to satisfy the MAT for FTB purposes the following action will be required:

• When an initiating agreement is suspended for a child, the parent with increased care (above 65%) of the child is unable to apply to receive child support until the current agreement based assessment ends. They can make an election to end their agreement based assessment and then apply for a formula-based assessment (or an exemption, if applicable) in order to meet the MAT
• When an initiating agreement is ended for a child, the case for the child will end. The parent with increased care (above 65%) of the child must apply for an administrative assessment (or an exemption, if applicable) in order to satisfy the MAT

The customer’s FTB entitlement will then be based on the child support formula assessment, and they will meet the MAT. Procedure ends here.

If the customer does not take the necessary action to apply for child support, they will fail the MAT from the end of the DMA period (if applicable).

If the child support case was not started by the agreement and the agreement ends or is suspended, child support will be payable under a formula assessment to the parent (new payee) who has gained care of the child from the day the agreement ends.

They will therefore meet the MAT, unless a child support care suspension period applies beyond the normal 13 week Deciding Maintenance Action (DMA) period (if applicable). Procedure ends here