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

This matter concerned an application by the Applicant to the Administrative Appeals Tribunal for a review of a decision by the Secretary, Department of Social Services, regarding the recovery of debts arising from overpayments of Family Tax Benefit (FTB) and Schoolkids Bonus (SKB). The Applicant had been paid these benefits based on having 100% care of her daughter, but following notification from her ex-husband regarding shared care arrangements, Centrelink determined she was only entitled to payments based on 50% care from July 2013 and 0% care from January 2016. This resulted in debts totalling $7,738.27. The Applicant had been making fortnightly repayments of $128.40 since December 2016.

The Tribunal was required to determine whether the Applicant had been overpaid FTB and SKB, if these amounts constituted legally recoverable debts, and if so, whether all or part of the debts should be written off or waived. The Tribunal was satisfied that the Applicant had been overpaid the sum of $7,738.27, and that this amount was a legally recoverable debt under the relevant legislation.

In considering whether the debt should be written off, the Tribunal referred to section 95 of the Family Assistance Act, which allows for write-off in cases of severe financial hardship. However, the Tribunal found that as the Applicant was making regular repayments, she had capacity to repay the debt, and there were no other grounds for write-off. Regarding waiver, the Tribunal considered sections 97 to 102 of the Administration Act. The Applicant indicated she was willing to pay the debt, stating, "I will happily pay the debt" and "I will pay the debt," despite expressing dissatisfaction with her treatment by public servants and her living circumstances.

Consequently, the Tribunal found that the debt should not be written off or waived. The decision under review was affirmed.