Centrelink action when an application for child support assessment is rejected by Child Support 277-51010040

When Child Support rejects an application for child support, they:

• advise the customer by letter
• email a weekly ineligible report to the Child Support Unit (CSU) to advise details of rejected child support applications so that Centrelink can follow up child support action

Check the weekly ineligible report and where required:

• update the Maintenance Action Test (MAT) code for each relevant child on the customer's record
• create and transfer a DOC for Families and Child Care Processing Services staff to action as soon as possible

The DOC states why Child Support has rejected the application, and that the MAT code has been updated, possibly reducing Family Tax Benefit (FTB) Part A to base rate for the child.

Check that the customer is eligible to apply for a child support assessment.

Also, check that an application for child support assessment is needed.

Is an application needed?

• Yes, go to Step 4
• No:
• advise customer what action they need to take, if any, to satisfy the Maintenance Action Test (MAT)
• see the Resources page for an example of the Free Text (Q999) to issue to the customer
• update the MAT code for child if the customer takes reasonable action
• procedure ends here

These reasons are options in the Ineligibles script.

• Child was 18 years of age or over on the day of application, go to Step 5
• Parents were still in a genuine domestic relationship on the day of application, go to Step 6
• Paying parent was not proven nor presumed to be parent of the claimed child, go to Step 7
• Paying parent was not a resident for tax purposes on the day of application or paying parent is overseas, whereabouts unknown. See Action to obtain child support when the paying parent is overseas.
  Procedure ends here
• Receiving parent was not an eligible carer on the day of application, go to Step 8

From 1 January 2012, the Maintenance Action Test (MAT) applies until the end of the school year in which an FTB child turns 18 years of age. To receive more than the FTB Part A base rate past an FTB child's 18th birthday the customer is required to apply for an extension to their child support case.

If the child:

• Has completed year 12 or equivalent or is not in full time secondary study, the MAT does not apply. Procedure ends here
• Is in full-time secondary study, the customer is required to apply for an extension to the child support assessment until the end of the school year in which the child turns 18 years of age. Note: this application must be made prior to the child's 18th birthday
• advise the customer that because they have not obtained an extension to the child support assessment, the MAT requirement will not be met and only FTB Part A base rate will be payable from the child's 18th birthday
• record details on a DOC
• procedure ends here

Customers cannot apply for child support from a person they are currently living with as a partner.

Is the customer still living with the person they claimed child support from?

• Yes, check this person is the parent of the child:
• If so, check the child is in a current relationship group on the customer's record. See How to group children on a customer's record
• If another person is the child's parent, contact the customer to advise what action needs to be taken (e.g. the parent will need to apply for a child support assessment). See the Resources page for an example of the Free Text (Q999) to issue to the customer
• Check the child is in the correct 'ENT'itled group on the customer's record
• No, ask customer to re-contact Child Support

A Manual Follow-up (MFU) activity may be created where the customer has applied for child support from a person who is recorded as their current partner. Send a Q099 letter (Payer is in current relationship with payee) advising the customer to contact:

• Child Support - if they recently reconciled with the other parent, or
• Centrelink - if the customer is no longer in a relationship with the other parent

Record details on a DOC.

Procedure ends here.

In cases where a person claims a child was conceived via self-administered Artificial Conception Procedure (ACP), (donor is known to the customer), and the person did not have a partner at the time the child was conceived (or their partner did not consent), they should be referred to Child Support for a decision on whether the donor is a parent for child support purposes. This will then determine whether reasonable maintenance action needs to be taken.

If Child Support determines the donor is not a parent for child support purposes, the person will not be required to take reasonable maintenance action to receive more than the base rate for the child. An IVF exemption should be recorded in these cases. For coding requirements, see How to group children on a customer's Family Tax Benefit (FTB) record.

In all other cases, contact the customer by phone to discuss whether documentary evidence of parentage is available. For more information, see Centrelink action on proving parentage for child support.

Note: check if the paying parent is in a reciprocating country and proof of parentage does not exist. If so, refer to Action to obtain child support when the paying parent is overseas.

To send written request, see the Resources page for an example of the Free Text (Q999) to issue to the customer.

If customer does not know the identity of the other parent, refer the customer to a social worker to apply for an exemption from seeking child support.

If the customer has named the parent but cannot obtain evidence, refer customer to legal advice to discuss their options:

• The customer may, apply to a court with family law jurisdiction to issue a declaration under section 106A of the Child Support (Assessment) Act 1989 that they are entitled to an assessment against the named parent. A court may require DNA testing to assist in making a decision in these cases
• The customer may need to reapply for a child support assessment when they obtain evidence of parentage
• If the customer provides evidence of legal advice stating it is unlikely that either an objection to Child Support or application to the court would be successful, the customer should be given an exemption from the MAT, as parentage cannot be proven. Consultation with a social worker may be needed in these cases

Record details on a DOC.

Procedure ends here.

This means that Child Support has rejected the customer's application for a child support assessment because the customer is not eligible to apply for a child support assessment.

If the Child Support rejection is correct, update the MAT code to 'CRR' (Child Support Refused Registration) from the date the rejected application was made. This will ensure the child passes the MAT and any maintenance income received will still be assessed.

Note: if a child is being cared for under a child welfare law and Child Support has advised the child is ineligible, go to Step 9.

Record details on a DOC and finalise activity on AR screen.

This means that Child Support has rejected the customer's application for a child support assessment because the child is an ineligible child. Section 22 of the Child Support (Assessment) Act 1989 outlines the exclusion of certain children from coverage of the Act. See the References page for link.

If it has been determined that a child is being cared for under a child welfare law and Child Support has advised the child is ineligible, 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)
• Due Date: end date of relevant period, for example the end date of the court order
• Source: INT
• Date of Receipt: today's date
• Notes: 'Child/ren was cared for under child welfare law, review set for end date of court order to review MAT code CRR. To action refer to OB 277-51010040.'
• Keywords: MATREV
• 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.

Update the MAT code to 'CRR' (Child Support Refused Registration) from the date the rejected application was made or if the circumstances existed prior to that date the MAT pass code 'CRR' may be backdated to an earlier date. Special circumstances do not need to be established to backdate the MAT pass code 'CRR' to 1 July of the previous financial year. However, in order to backdate any further, special circumstances for backdating must first be established. This will ensure the child passes the MAT and any maintenance income received will still be assessed.

Record details on a DOC and finalise activity on AR screen.

Note: if the claimant is a parent and a welfare law applies, seek policy advice.