Carpenter and Secretary, Department of Social Services (Social services second review)

This matter concerned an appeal by Mr Carpenter against a decision by the Secretary of the Department of Social Services regarding an age pension debt. The dispute centred on whether the debt, or a portion thereof, should be waived due to administrative error or special circumstances. The case was heard by Mr Conrad Ermert, a Member of the Tribunal.

The primary legal issues before the Tribunal were whether the outstanding debt was attributable solely to an administrative error made by the Commonwealth, which would necessitate waiver under section 1237A(1) of the relevant Act, or whether the debt could be waived under section 1237AAD, which pertains to special circumstances. The Tribunal was required to determine if Mr Carpenter had acted in good faith and if any error was exclusively on the part of the Commonwealth.

The Tribunal considered evidence that Mr Carpenter's income from his superannuation fund increased significantly between 2012 and 2014. While Mrs Carpenter testified that they believed they had provided all necessary information and had been advised by a Centrelink officer that no further action was required regarding their superannuation withdrawals, the Tribunal noted that Centrelink had issued notices advising of the need to report changes in income. Crucially, the Tribunal found that Mr Carpenter did not advise Centrelink of his increased income for the periods in question, thereby contributing to the error that resulted in the debt. Consequently, the debt was not found to be attributable solely to an administrative error by the Commonwealth, and the conditions for mandatory waiver under section 1237A(1) were not met.

As no other provisions for waiver were applicable, the Tribunal affirmed the reviewable decision, finding that the debt for the periods not covered by concessions remained recoverable.