Jansink and Thibault (Child support)

This matter concerned an appeal by the father, Mr Jansink, against a departure determination made by the Registrar of the Child Support Agency. The dispute centred on the assessment of the father's income for child support purposes, specifically in relation to a redundancy payment he received. The appeal was heard by Member S Letch of the Child Support Special Powers Tribunal.

The primary legal issue before the Tribunal was whether the Registrar had erred in including the entirety of the father's redundancy payment as income when calculating his child support liability. The Tribunal was required to consider the provisions of the *Child Support (Registration and Collection) Act 1988* (Cth) and relevant case law concerning the assessment of lump sum payments and the principles of departure from the standard assessment formula.

Member Letch reasoned that a redundancy payment, while a financial resource, should not automatically be treated as income in the same way as regular earnings. The Tribunal applied the principle that such payments are often intended to compensate for loss of future earnings and may be used for specific purposes, such as paying off debts or providing a buffer during a period of unemployment. In this instance, the Tribunal found that the Registrar had failed to adequately consider the nature of the redundancy payment and its likely impact on the father's capacity to pay child support over time. The Tribunal concluded that the Registrar's decision was not justified and that a departure from the standard assessment was warranted.

The Tribunal set aside the Registrar's departure determination and substituted its own. The father's child support liability was recalculated, taking into account a reduced assessment of his income that did not include the full redundancy payment.