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

This matter concerned an appeal by the Applicant against decisions of the Respondent to raise and recover debts relating to parenting payment, carer payment, and rent assistance over various periods between 2000 and 2019. The Applicant had failed to disclose the purchase and sale of two properties, which impacted her eligibility and the rate of payments received. The Administrative Appeals Tribunal (AAT) was required to determine whether overpayments had occurred, if these constituted debts owed to the Commonwealth, and if so, whether they were recoverable.

The Tribunal considered the relevant provisions of the *Social Security Act 1991* (Cth) and the *Social Security (Administration) Act 1999* (Cth) regarding the calculation of payments and the creation of debts when a person receives an amount to which they are not entitled. The primary legal issue was whether the debts arising from the undisclosed assets and changes in living arrangements were recoverable, particularly in light of the Applicant's circumstances and the specific periods in question. The Tribunal noted that the obligation to report changes in circumstances rests with the payment recipient.

The Tribunal largely accepted the detailed findings of the Social Security Appeals Tribunal (SSAT) regarding the existence and quantum of overpayments for parenting payment and carer payment. However, the Tribunal clarified its jurisdiction concerning certain periods for carer payment and rent assistance, limiting its review to the dates before the SSAT. Crucially, the Tribunal found that while debts did arise, the Respondent conceded that it was appropriate to waive recovery of the whole amount of most of these debts under section 1237AAD of the *Social Security Act 1991*.

Consequently, the Tribunal set aside the Respondent's decisions and substituted its own. It determined that while overpayments of parenting payment and carer payment had occurred, recovery of these debts was waived. Similarly, the overpayment of rent assistance was also waived. The Tribunal affirmed the decision regarding a recoverable debt for rent assistance between 1 May 2014 and 14 May 2019.