Reconciliation of family assistance payments 007-11000000

This document outlines how for customers who receive Family Tax Benefit (FTB), Child Care Subsidy (CCS), and Child Care Benefit (CCB), reconciliation of these payments occurs once the customer (and their partner) lodges their Income Tax Return with the Australian Taxation Office (ATO), if required. Positive or negative adjustments occur when a customer receives a payment that is greater than or less than they were entitled to receive. All CCB/CCR references relate to financial years prior to 2018/2019.

Government intent

Services Australia has a legal obligation to recover an overpaid amount under Social Security Law and Family Assistance Law. The ATO calculates the customer's actual adjusted taxable income received for the relevant financial year and sends this to Services Australia to work out the amount of FTB, CCS and/or CCB the customer should have received compared to what they did receive based on their estimated income. Services Australia takes action to recover overpayments in most cases. The ATO may also recover overpayments during reconciliation and lump sum claim processing.

Maintenance income

Services Australia also reconciles maintenance income a customer received in the relevant financial year with the amount of FTB they should have received based on this maintenance income. Any negative adjustment may be raised as an overpayment.

Debt offsetting

Debt offsetting may automatically apply during reconciliation or lump sum claim processing if the customer has an outstanding debt.

Notification of change in circumstances

Customers have a responsibility to notify any changes in their circumstances that may affect their entitlements or reduce their rate within a specified period. Claim forms, notices and advices issued, clearly state the events a person is obliged to tell Services Australia about. There are also provisions for penalties or imprisonment if a person misrepresents their circumstances or makes false or misleading statements.

Reconciliation of Family Tax Benefit (FTB)

Reconciliation of Child Care Subsidy (CCS)

Reconciliation of Child Care Benefit (CCB) for approved care

Australian Taxation Office (ATO) information not received for family assistance reconciliation or lump sum claim

Returned payments and their effect on family assistance reconciliation

Maintenance reconciliation for Family Tax Benefit (FTB)

Debt offsetting during family assistance reassessment, reconciliation and claim processing

Family assistance reconciliation and lump sum claim screens

Manual intervention into family assistance reconciliation

Customer enquires about reconciliation overpayment

Family assistance debts

Paid Parental Leave (PPL) and Dad and Partner Pay (DAP) debts