This document outlines how the Assistance for Isolated Children (AIC) Current Tax Year Assessment (SY042) is assessed by AIC Smart Centre staff. This form is used to assess eligibility for Additional Boarding Allowance taking into account parental income.
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Completing the Assistance for Isolated Children (AIC) Current Tax Year Assessment (SY042)
Assessing the AIC Current Tax Year Assessment (SY042)
Completing the Assistance for Isolated Children (AIC) Current Tax Year Assessment (SY042)
Table 1
Expand tableItem | Description |
1 | Completing or assessing?
For: - assisting applicants complete the SY042, see Item 2
- assessing the SY042, see Table 2
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2 | When does the SY042 need to be completed?
An applicant may be requested to complete the SY042 to tell Services Australia of a substantial decrease or increase in parental income when claiming or receiving AIC Additional Boarding Allowance (ABA). |
3 | Who completes the SY042?
The applicant needs to complete the whole form. If helping applicants to complete a claim form: - do not underline or make any comments on the claim that is to be signed by the applicant and lodged with Centrelink
- always use a separate sheet of paper to capture any notations or explanations to questions and attach this to the claim
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4 | Questions 1 to 5
The applicant will need to include: - their Customer Reference Number (CRN)
- their name and date of birth
- the student's name(s) and date of birth who the Additional Boarding Allowance (ABA) is for
- if there has been an increase or decrease in the base tax year
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5 | Questions 6 to 13
The applicant is to provide information about the decrease in income, including but not limited to: - the person's name with the decrease in income
- the date the income decreased
- how long it is expected to last
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6 | Question 14
Applicants must supply all received income for the form to be accepted and assessed, these include: - Taxable income: the parent/guardian's taxable income
- Overseas income: income earned outside Australia that is not taxable in Australia
- Net Investment Losses: total net investment losses
- Reportable super: reportable superannuation contributions
- Child support paid: amount paid as child support or to support a previous partner
- Reportable fringe benefits: reportable superannuation contributions include:
- discretionary employer superannuation contributions
- voluntary salary sacrificed amounts, and
- tax deductible superannuation contributions if self-employed
- Tax free pensions and benefits: total of all applicable amounts received from:
- Centrelink
- Department of Veterans' Affairs, or
- Military Rehabilitation and Compensation Commission
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7 | Questions 15 and 16
The applicant must answer all relevant answers on the form and accept the declaration by: - ticking the digital declaration, or
- printing and signing the form by hand
and - dating the declaration
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8 | Returning the SY042
Tell the applicant they can return the form by:  Online - using the Upload documents service- Post - using the address shown on the form
- In person - at a service centre, or in remote areas, with an Agent of Centrelink field officer
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Assessing the AIC Current Tax Year Assessment (SY042)
For Assistance for Isolated Children (AIC) Smart Centre staff only
Table 2: This table describes how staff assess eligibility for Additional Boarding Allowance (ABA) using the SY042.
Expand tableStep | Action |
1 | Check the claim form
Check the applicant has answered all relevant questions on the SY042 and has: - ticked the digital declaration, or
- printed and signed the form by hand, and
- dated the declaration
If details are missing or clarification is needed, make genuine attempts to contact the applicant by phone to obtain verbally. Is all required information available? |
2 | Assess eligibility for a current year assessment
This assessment only applies if the applicant is claiming or receiving Additional Boarding Allowance (ABA). Check the SY042 for the: - date of the drop in income and the reason for the decrease
- current tax year income details
Go to the Household Income and Assets (NHI) screen in the ISS system, and: - check the system for the base tax year income
- compare the current tax year income with the base tax year income
A current income assessment can only be applied where: - there has been a substantial decrease in income in the current financial year, and
- the decrease and the reason for the decrease is expected to last for at least 2 years from the later of:
- the date the income dropped, or
- 1 January in the year of study
- the estimate of current year income is reasonable based on available information
Reasons for a decrease can include but not limited to: retirement, invalidity, retrenchment, long term unemployment, drought, bushfires or other circumstances causing hardship. Note: if the decrease occurs after 30 June in the current year, the reduced income cannot be applied until 1 January of the following year. Does the applicant's decrease in income meet the above criteria? |
3 | Coding the current year income details
Updates must be made in the ISS system. To change to ISS AIC, code SVAIC in the Next field and select Enter. On the Household Income and Assets (NHI) screen code the following fields: - Date of Effect:. the later of:
- 1 January, or
- the date of the drop in income
Note: if the decrease in income is due to a parent ceasing work and annual leave or long service leave was paid out, add the number of weeks of paid leave to the date of decreased income. For example, if a parent ceased work on 1 March and they were paid 10 weeks annual and long service leave in their termination payment, the date of effect would be 10 May
- Financial Year Ending: as the current tax year
- Estimate field, 'N'
- Taxable income: the parent/guardian's estimated taxable income for the current tax year
- Source and DOR: as appropriate
- Action: 'I'nsert
- Select Continue
Go to Step 4. |
4 | Current year estimate coded
Due to system limitations, the Estimate field cannot be coded as a ‘Y’ on the NHI screen. - To prevent the applicant's ABA entitlement from continuing without supporting evidence, code the following fields on the Living Arrangement Details (EILA) screen:
- Living Arrangement Start Date: code the date advised by the applicant when their Notice of Assessment (NOA) will be available. Note: Parental Income Test (PIT) estimates can only be accepted until 1 April in the following year
- Annual Boarding Fees field, $1
- Action field, 'I'nsert
- Select Continue
- Finalise the assessment on the Assessment Results (AR) screen
- Record details on a DOC, including policy references for decision
Go to Step 5. |
5 | Issue a Q888 AIC Additional Boarding Allowance - Request for information letter
On the applicant's record, issue a Q888 AIC Additional Boarding Allowance - Request for information letter. For details, see Creating a Q999 or Q888 letter. Once the letter has been sent, go to Step 6. |
6 | Coding a manual review (RVR)
In Customer First, create a manual review on the Review Registration (RVR) screen and complete the fields as follows: - Service Reason: AIC
- Review Reason: REV (Manual Review)
- Due Date: code the date advised by the applicant when the NOA will be available
- Source: INT
- Date of Receipt: today's date
- Notes: ‘PIT details are coded as an estimate. For ABA to continue to paid, actual income is required. Request for information sent on XX/XX/20XX. See OB 108-02010030 Process > Table 2 > Step 6 to action MFU'
- Keywords: REVAIC
- Workgroup: leave blank
- Position: leave blank
- Transfer to Region: LPT
The review will mature on the Due Date coded in the RVR activity. Workload Management will allocate the review for manual action. Note: repeat this entire process to update all dependent sibling records. Procedure ends here. |
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