Mulgrew and Mulgrew (Child support)

This matter concerned an appeal by the applicant, Ms Mulgrew, against a decision of the Child Support Registrar. The dispute centred on an application for a departure determination under section 117 of the *Child Support (Registration and Collection) Act 1988* (Cth) to vary the assessed child support payable by the respondent, Mr Mulgrew, on the grounds of the child’s high necessary costs of care, including childcare. The appeal was heard by the Federal Circuit and Family Court of Australia.

The primary legal issue before the court was whether the Registrar’s decision to refuse the departure determination was erroneous. Specifically, the court was required to consider whether the Registrar had properly assessed the applicant's claim that the child's high necessary costs of care, particularly childcare expenses, warranted a departure from the standard assessment. This involved an examination of the applicant's income and financial resources, as well as the respondent's earning capacity and any relevant health or medical issues that might impact his ability to meet a higher assessment.

The court found that the Registrar had failed to adequately consider the evidence presented regarding the child’s high necessary costs of care, particularly the significant expenditure on childcare. The court applied the principles outlined in the *Child Support (Registration and Collection) Act 1988*, which permit departure from a child support assessment where the costs of maintaining the child are significantly affected by specific circumstances, including high necessary costs of care. The court determined that the evidence supported a finding that these costs were indeed high and necessary, and that the respondent had the capacity to contribute to them.

Consequently, the court set aside the Registrar's decision and substituted its own determination. The court ordered that the child support assessment be varied to reflect the higher costs of care, thereby increasing the amount of child support payable by the respondent.