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

This matter concerned an application by the Applicant to the Administrative Appeals Tribunal (AAT) concerning a decision by the Secretary of the Department of Social Services to raise and recover a debt of Parenting Payment (Single) (PPS). The Applicant sought to challenge whether the debt was owed to the Commonwealth, and if so, whether it should be recovered in full or if recovery should be waived or written off due to administrative error or special circumstances.

The Tribunal was required to determine whether the Applicant had been overpaid PPS, and consequently, whether a debt was due to the Commonwealth. Further, the Tribunal had to consider the provisions of the *Social Security (Administration) Act 1999* (Cth) regarding the recovery of social security debts, specifically whether the debt should be recovered in full, or if waiver or write-off was warranted under the Act.

The Tribunal's reasoning centred on the statutory framework governing social security payments and debt recovery. Section 1223(1) of the Act establishes that any social security payment made to a person to whom they were not entitled constitutes a debt due to the Commonwealth. The Tribunal noted the Applicant's obligation under section 66A(2) of the Administration Act to notify the Department of any changes in circumstances that might affect her payments within 14 days. The Tribunal also considered section 100(1) of the Administration Act, which outlines circumstances where a social security payment becomes payable at a reduced rate if a person fails to notify the Department of a change in circumstances after receiving a notice under section 68(2). The Applicant had received such notices requiring her to report changes within a specified period. The Tribunal found that the Applicant had failed to adequately report changes in her employment and business income, leading to an overpayment of PPS.

The Tribunal affirmed the reviewable decision, finding that a debt was due to the Commonwealth. The Applicant's failure to report changes in her circumstances, including commencing and operating family day care businesses, resulted in the overpayment. The Tribunal concluded that the circumstances did not warrant a waiver or write-off of the debt.