Explaining Family Tax Benefit (FTB) reconciliation overpayments due to child support issues 277-51190030

Confirm with the customer if child support action was taken for the period of the overpayment.

Go to the Assessment Explanation screen for FTB (AXFTB)

Check maintenance action for each child:

• select child
• check Effect Dates [F8] for relevant financial year
• Eligible Part A field displays Base No Maintenance Action, if Maintenance Action Test (MAT) not met for any period in financial year

Go to the Mtce Ent'ment Group Summary (MNGS) screen.

Select each payer group to ensure the Mtce Entitlement Group Details (MNGD) screen is correct for the relevant financial year.

If grouping update is required, see How to group children on a customer's FTB record.

Go to Group Annual Entitlement (MNGE) screen to confirm the customer's and/or partner's annual child support entitlement.

Go to Assessment Method Group (MNGM) screen to find out which assessment method (entitlement or disbursement) was used during the relevant financial year to estimate maintenance income.

Confirm if the customer collects child support privately or through Child Support.

Press [F10]/[F11] to scroll through maintenance screens.

Go to the FAO Reconciliation and Claim Summary (FRCS) screen.

Change the Income Year: field to the relevant financial year, code 'M' beside the original reconciliation line and press [Enter].

The FAO Lump Sum & Reco Maint Summary (LRMS) screen will show assessed child support for the relevant financial year and reconciliation assessment.

• The Instal Ann Maint ($): field displays the annualised child support used during the calculation period to work out the rate of FTB instalment payments during the financial year
• The Reco Ann Maint ($): field displays the annualised child support amount which was used at reconciliation. Note: if re-reconciliation has occurred, the ReReco Ann Maint ($): field would display the annualised child support amount used at re-reconciliation
• The Income Source: field indicates the source of the maintenance income amount:
• CLS - from the customer's FTB lump sum claim lodged with Centrelink
• CLK - from the Centrelink system, i.e. provided by the customer, partner, ex-partner or Child Support
• PYM - Previous year maintenance

'S'elect the first period line on the LRMS screen to display the FTB Lump Sum & Reco Maint Details (LRMD) screen.

This shows assessed child support for the relevant financial year and reconciliation assessment for that period. The LRMD screen explains how maintenance income was assessed for this customer. For example, if the customer has multiple assessments, the annualised figure is displayed.

The C/P: field shows whether the customer or their partner received child support from a payer.

If the customer is being assessed under the Centrelink instalment source (CLK), the entitlement group ID will show in the Entitlement Grp ID/Payer ID: field.

If the customer is being assessed under the lump sum claim source, the Payer ID will display in this field.

Go to the FRCS screen.

Code 'M' beside the original reconciliation line and press [Enter] selecting the original reconciliation line.

On the LRMS screen check if the amount in the Instal Ann Maint ($): column is less than the Reco Ann Maint $: column then this would indicate a maintenance overpayment unless the Reco Inc $: amount is under the Maintenance Income Free Area (MIFA) shown on the LRMS screen

After checking the system, is it still clear the overpayment was due to a child support issue?

• Yes, go to Step 6
• No, see Customer enquires about a reconciliation overpayment for other possible reasons for the overpayment. Procedure ends here

If necessary, to achieve the correct FTB reconciliation result, maintenance income details can be amended on the Override Maintenance Income (MNOI) screen. Procedure ends here.

Part A supplement , Part B supplement and Single Income Family Supplement (SIFS) are included for eligible customers in the reconciliation calculation once adequate income/ not required to lodge details are available.

FTB top-ups, including supplement and SIFS entitlement, are automatically used for debt offsetting.

Advise the customer of the result and record a DOC.

The minimum standards required for the DOC are as follows (figures used are only for example):

• Summary line (Sum: field):
• CUS PHO re: FTB O/P of $1234 for 00/01. 19/03/02.
• Text (Txt: field):
• FTB reconciliation overpayment of $1234 explained to the customer
• CUS was overpaid FTB A from 01/07/xx to 30/06/xx
• CUS maint assessment for 01/07/xx = $xxxx
• CUS maint assessment for 01/10/xx = $xxxx
• Apportioned annualised maint amount = $xxxx
• Actual maint income received from Child Support = $xxxx
• Repayment options discussed with the CUS