Skip to navigation Skip to content

Stage 1– low-income non-enforcement (LINE) period 277-05050000

This document outlines information about the application of a LINE period for Stage 1 Child Support cases, including overseas liabilities.

On this page:

Activating LINE periods - suspending Stage 1 case liability

Ending LINE periods - Stage 1 liability

Activating LINE periods - suspending Stage 1 case liability

Table 1

Step	Action
1	Receive application An application to apply a LINE period can be received verbally, on a form, or otherwise in writing. Services Officers may be processing a LINE application: from a previously documented phone call, or in real time including an application received in writing
2	Check eligibility for LINE period The eligibility conditions for a LINE period are: the liability must be an Australian court order or court registered agreement for child maintenance or a child and/or spousal maintenance order made by, or a child and/or spousal maintenance agreement registered by, a judicial authority of a reciprocating jurisdiction - LINE does not apply to Australian spousal maintenance liabilities however it does apply to overseas spousal maintenance liabilities the application must be made by the payer if the liability is an Australian child maintenance order or court registered agreement, it must not already provide for a reduction in income or unemployment - this requirement does not apply to overseas liabilities the case must be collected, and the payer must receive or have applied for a Centrelink pension or benefit If the payer is unemployed but does not receive or has not applied for a Centrelink pension or benefit, they cannot apply for a LINE period. For example, they are not eligible because their new partner is employed. Advise the payer they have the option to apply to court to have the order varied. Does the application meet all the above conditions for LINE? Yes, go to Step 3 No, go to Step 5
3	Record Application Record the payer's application as an Opt-Out in the Case Collection Details window, as a pended application, using the reason of Low Enforcement Line Period. See Low-income non-enforcement (LINE) period Cuba process help.
4	Centrelink confirmation Complete the Centrelink/Child Support exchange of information macro, selecting the Prescribed Income Test (PIT) information check box. The macro generates an email to the Centrelink Child Support Unit to confirm if the payer receives or has applied for a Centrelink pension or benefit. Update the initial Communication window notepad to record that a PIT form has been sent to Centrelink. When the PIT form is returned: the response will be attached to the View Correspondence window by the Mail Handling team, and a CSU Response Received intray generates to notify the Service Officer the response has been received Does Centrelink advise the PIT is satisfied? Yes, go to Step 6 No, they advise the PIT is not satisfied. Go to Step 5
5	Reject LINE application Contact the customer to discuss their options. See Contact with Child Support customers. Reject a LINE period application if Centrelink advise the payer does not satisfy the PIT. To process a LINE rejection, see Low-income non-enforcement (LINE) period Cuba process help.
6	Process LINE application If Centrelink confirms the payer satisfies the PIT, determine the start date for the LINE period. A LINE period starts on the day the payer first satisfied the PIT except if it will: create an overpayment for the payee, or includes any day which was non-collect If either of above occurs, the period must start from another day. The LINE period should be started on the earliest date of these events: the day the payer made their application for a LINE period the day an overpayment will not be produced, or the day after the case is collect Determine the start date of the LINE period Process the application, see Low-income non-enforcement (LINE) period Cuba process help
7	Customer notification Cuba automatically produces the following letters: MOO3-1 - a letter to the applicant (either payer or payee) to advise that an application to opt out has been rejected, and MOO3-2 - a letter to both clients to advise that an application to opt out has been accepted Check that the letters are correct and appropriate to the circumstances of the case. See Letters Cuba process help.

Ending LINE periods - Stage 1 liability

Table 2

Step	Action
1	End the LINE period The 3 circumstances that end a LINE period are: the payer ceases to receive a Centrelink pension or benefit the payer does not satisfy the Prescribed Income Test (PIT) in regard to a Centrelink pension or benefit paid for a particular fortnight, or the liability ends There is no automated indicator where a person ceased to receive Centrelink pension or benefit or when they do not satisfy the PIT. When Child Support becomes aware of 1 of the above conditions, document it in the Case Collection Details window.
2	Determine the date LINE period ends The date the LINE period ends is either: the date the Centrelink pension or benefit payment ceased, or the first benefit payment period, which is fortnight in which the payer did not satisfy the PIT Contact the customer to determine an end date. In some circumstances, the PIT may not be met for a short or temporary period. For example, high casual wages earned one fortnight while on JobSeeker Payment (JSP). Discuss with the customer if a new election for a LINE period is required. If unsure of the exact dates involved, contact Centrelink to confirm.
3	Process end of LINE period/letters To process a LINE period end, see Low-income non-enforcement (LINE) period Cuba process help. The following letters automatically generate to the payer and payee informing them the case is now for collection by Child Support: MOI1-1 - a letter to a payee to advise that line period was ended and child support is again payable, or MOI1-2 - a letter to payer to advise that a low income non enforcement period has ended and child support is again payable Check the letters are correct, see Letters Cuba process help.