Maddox and Sala (Child support)

The case of *Maddox and Sala* concerned an application for a departure determination under the *Child Support (Registration and Collection) Act 1988* (Cth). The dispute involved the assessment of the income, property, and financial resources of both parents for the purpose of calculating child support. The decision under review was set aside and substituted by the court.

The primary legal issue before the court was whether to depart from the assessment of child support based on the actual financial circumstances of the parents, particularly considering benefits derived from a business. This required the court to examine the income and financial resources available to each parent and determine if the standard assessment would be unfair.

The court's reasoning focused on the benefits derived from the business, which were considered a financial resource of one of the parents. The court applied the principles of the *Child Support (Registration and Collection) Act 1988* to assess whether these benefits constituted income or a financial resource that should be taken into account for child support purposes. The court found that the standard assessment did not adequately reflect the parent's capacity to pay child support due to these business benefits.

Consequently, the court set aside the original departure determination and substituted its own, adjusting the child support assessment to reflect the full financial position of the parties.