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

This matter concerned an application to the Administrative Appeals Tribunal (AAT) for a review of a decision by an Authorised Review Officer (ARO). The ARO had affirmed a decision to apply a 14-week interim care period for Family Tax Benefit (FTB) for the period 15 September 2017 to 21 December 2017. The applicant sought to have the care percentage determination reconsidered, arguing that the Other Party had not taken reasonable action to comply with existing Family Court orders regarding the care of their child, T.

The central legal issue before the Tribunal was whether the Other Party had taken "reasonable action" to ensure compliance with the Family Court's care orders during the interim period, as required by section 35C of the A New Tax System (Family Assistance) Act 1999. This determination was crucial for establishing whether the 14-week interim period, during which the applicant had 100% actual care of T, should apply for FTB purposes, or if the original care percentage order should be maintained.

The Tribunal reasoned that "reasonable action" was not confined to a strict definition but encompassed a range of efforts to ensure compliance with care arrangements. The evidence indicated that the Other Party had engaged in numerous actions, including negotiating with the applicant, attending T's school, attempting care handovers at the applicant's home (on one occasion with police), seeking legal advice, and participating in a Family Dispute Resolution conference. While the applicant contended that the Other Party's actions were not to his satisfaction and that she refused some of his suggestions, the Tribunal found that these factors did not negate the reasonableness of her overall efforts. The Tribunal concluded that the Other Party had consistently taken reasonable steps to ensure compliance with the care arrangement, thereby affirming the decision to apply the interim care period.