Dowding and Dowding (Child support) - [2024] AATA 484

Dowding and Dowding (Child support) [2024] AATA 484 (8 February 2024)

DIVISION:Social Services & Child Support Division
REVIEW NUMBER:  2023/SC026651
APPLICANT:  Ms Dowding
OTHER PARTIES:  Child Support Registrar
MrDowding

TRIBUNAL:Senior Member R Ellis
DECISION DATE: 08 February 2024
DECISION:

The Tribunal sets aside the decision under review and, in substitution, decides that:

for the period from 2 November 2022 to 30 June 2023 the adjusted taxable income of Mr Dowding is varied to $88,519; and

for the period from 1 July 2023 to 31 March 2025 the adjusted taxable income of Mr Dowding is varied to $80,000.

CATCHWORDS

CHILD SUPPORT – departure determination – income, property and financial resources of the liable parent – ground for departure established - hardship - decision under review set aside and substituted

Names used in all published decisions are pseudonyms. Any references appearing in square brackets indicate that information has been removed from this decision and replaced with generic information so as not to identify involved individuals as required by subsections 16(2AB)-16(2AC) of the Child Support (Registration and Collection) Act 1988.

REASONS FOR DECISION

BACKGROUND

This review is about whether or not there should be a departure from the administrative assessment of child support.
Ms Dowding and Mr Dowding are the parents of [Child 1] (born May 2007) and [Child 2] (born September 2011). There has been a child support assessment in place since 22 August 2022 and Mr Dowding is currently the liable parent under the assessment.
The following administrative assessments of child support are under consideration:
· for the period from 2 October 2022 to 5 November 2022 Mr Dowding was assessed to pay an annual rate of $9,088 based on a 2021-22 adjusted taxable income of $63,303 for Mr Dowding and a 2021-22 adjusted taxable income for Ms Dowding of $101,219; and
· for the period from 6 November 2022 to 21 November 2023 Mr Dowding was assessed to pay an annual rate of $2,168 based on a 2021-22 adjusted taxable income of $63,303 for Mr Dowding and a 2021-22 adjusted taxable income for Ms Dowding of $101,219 (the change in the annual rate was due to a change in care for [Child 1]).
On 2 November 2022 Ms Dowding applied to Services Australia – Child Support (Child Support) for a change to the assessment on the basis of the special needs of the child (the ground more commonly known as Reason 2), the high cost of caring for, educating or training the child (Reason 3) and a parent’s income, property and financial resources (Reason 8A).
On 8 May 2023 Child Support made the decision to change the assessment so that for the period from 1 May 2023 to 30 April 2025 the annual rate of child support payable by Mr Dowding is increased by $2,248 (the original decision).
On 11 May 2023 Mr Dowding objected to this decision and on 3 August 2023 Child Support allowed the objection and made the decision to set aside the original decision and refuse…

Grounds of appeal

[14] The appellant contends that the primary judge erred in finding that the respondent had discharged the onus of establishing the matters required under the relevant provision.

[15] It was submitted that his Honour failed to give adequate weight to the evidence of the second witness, and that the findings of fact were not reasonably open on the material before the Court.

[16] The respondent, for its part, submits that no error is disclosed, and that the conclusions reached were well within the range of outcomes available to the primary judge.

Consideration

[17] It is convenient to deal first with the question of construction, as the resolution of that issue informs the remaining grounds advanced by the appellant.

[18] For the reasons that follow, we are of the view that the appeal should be allowed in part and the matter remitted for further determination.

Continue reading Dowding and Dowding (Child support)

Details

AGLC: Dowding and Dowding (Child support) [2024] AATA 484
Case: [2024] AATA 484
Decision Date: 8 February 2024

CaseChat Overview and Summary

This matter concerned an application by the liable parent, Mr Dowding, for a departure determination under the *Child Support (Registration and Collection) Act 1988* (Cth). Mr Dowding sought to reduce his child support liability on the grounds of hardship, specifically relating to his income, property, and financial resources. The decision was made by Senior Member R Ellis.

The primary legal issue before the court was whether the existing child support assessment imposed an undue burden on Mr Dowding, justifying a departure from the standard assessment. This required the court to consider the extent to which Mr Dowding's income, property, and financial resources, when taken into account, would result in hardship.

Senior Member Ellis found that the ground for departure was established. The court's reasoning focused on the specific financial circumstances of Mr Dowding, indicating that his income, property, and financial resources were such that the current assessment would indeed cause hardship. The court applied the principles governing departure determinations under the Act, assessing the overall financial position of the liable parent against the standard assessment.

Consequently, the decision under review was set aside and substituted with a new determination that reflected the findings of hardship.

Orders