Lin and Zhu (Child support)

This matter concerned an appeal by the liable parent, Mr Zhu, against a departure determination made by the Registrar of Child Support. The determination had the effect of increasing Mr Zhu's assessed child support liability based on benefits he derived from his business. The appeal was heard by Magistrate Hewson.

The primary legal issue before the court was whether the Registrar had erred in making the departure determination. Specifically, the court was required to consider whether Mr Zhu's income, property, and financial resources, including the benefits he derived from his business, had been properly assessed and whether these factors justified a departure from the standard assessment of child support.

Magistrate Hewson found that the Registrar had failed to properly consider the evidence regarding the benefits Mr Zhu derived from his business. The court determined that the Registrar had not adequately taken into account the full extent of Mr Zhu's financial capacity and the benefits he received, which were not reflected in his declared income. The court applied the principles of the *Child Support (Registration and Collection) Act 1988*, focusing on the need to ensure that child support assessments accurately reflect a liable parent's true financial position and capacity to pay.

The court set aside the Registrar's departure determination and substituted its own. The substituted determination adjusted Mr Zhu's child support liability to reflect the benefits derived from his business, thereby increasing his assessed obligation.