Holder and Horvath (Child support)

This matter concerned an application by the father, Mr Holder, for a departure determination under the *Child Support (Registration and Collection) Act 1988* (Cth) concerning the child support payable for the parties' child. The application was heard by Registrar Ellis SM in the Federal Circuit and Family Court of Australia. The father sought to depart from the assessment of child support on the basis that the costs of the child's special needs significantly affected the costs of maintaining the child, and that the financial resources of both parents were relevant to this determination.

The primary legal issue before the Court was whether the grounds for departure under section 117 of the *Child Support (Registration and Collection) Act 1988* were established. Specifically, the Court was required to determine if the costs associated with the child's special needs were such that they significantly affected the costs of maintaining the child, and if the financial resources of both the father and the mother were relevant considerations in making a departure determination.

The Registrar considered the evidence presented regarding the child's special needs and the associated expenses. The Court applied the principles outlined in section 117 of the Act, which permits a departure from a child support assessment where specific grounds are met. The Registrar found that the evidence established that the costs of the child's special needs did indeed significantly affect the costs of maintaining the child, and that the financial circumstances of both parents were relevant to the assessment. Consequently, the Registrar determined that a ground for departure was established.

The Registrar set aside the original child support assessment and substituted a new decision, thereby departing from the standard assessment.