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

This matter concerned an appeal by the applicant, Mr Karamanlidis, against a decision by the Secretary of the Department of Social Services regarding Family Tax Benefit (FTB) top-up payments. The applicant, a self-employed individual with one child, had received FTB payments based on an income estimate for the 2013/2014 financial year. To receive FTB supplements for that year, he was required to lodge his tax return by 30 June 2015. The dispute arose because his tax return was lodged a few weeks after this deadline, and the Department subsequently determined he was not eligible for the top-up payments. The applicant contended that special circumstances prevented him from lodging his tax return within the prescribed time.

The primary legal issues before the court were whether special circumstances existed that prevented the applicant from lodging his 2013/2014 taxation return by the 30 June 2015 deadline, and consequently, whether he was entitled to receive FTB top-up payments for that income year. The court was required to assess the applicant's claim that his sister's health issues and his understanding of a conversation with Centrelink constituted such special circumstances.

The court applied a two-part test, previously adopted by tribunals in similar cases, to determine if the applicant was entitled to the FTB top-up payments. Firstly, it considered whether the circumstances were "special" in the applicant's case. Secondly, it assessed whether these special circumstances actually prevented him from lodging his tax return within the required timeframe. The court found that the applicant's sister, who was crucial in preparing his financial information for his accountants, experienced a significant health issue requiring surgery, which impeded her ability to provide the necessary documentation. Coupled with the applicant's belief, stemming from an earlier conversation with Centrelink, that he had been granted some leeway regarding the lodgement date, the court was satisfied that special circumstances did exist and that these prevented timely lodgement.

Consequently, the court set aside the decision of the Administrative Appeals Tribunal made on 11 February 2016. The applicant was deemed entitled to receive the FTB "top-up" supplementary payments for the 2013/2014 financial year.