Reabald and Checett (Child support)

[2024] AATA 1875

Reabald and Checett (Child support) [2024] AATA 1875 (10 May 2024)

DIVISION:Social Services & Child Support Division

REVIEW NUMBER:  2024/BC027499

APPLICANT:  Mr Reabald

OTHER PARTIES:  Child Support Registrar

Ms Checett

TRIBUNAL:Member P Jensen

DECISION DATE:  10 May 2024

DECISION:

The decision under review is set aside and the matter is sent back to the Child Support Registrar for reconsideration in accordance with a direction that Mr Reabald paid $1,820 in child support in respect of the period from 4 May 2023 to 3 August 2023.

CATCHWORDS

CHILD SUPPORT – child support agreement – child support paid privately in advance –changed to collection by Child Support – collection of arrears – payments made fully or partly during arrears period – decision under review set aside and sent back with direction

Names used in all published decisions are pseudonyms. Any references appearing in square brackets indicate that information has been omitted from this decision and replaced with generic information so as not to identify involved individuals as required by subsections 16(2AB)-16(2AC) of the Child Support (Registration and Collection) Act 1988.

REASONS FOR DECISION

1. Mr Reabald and Ms Checett are the parents of two children. A child support case was registered with Services Australia – Child Support (Child Support) in 2016. From time to time, Child Support assessed Mr Reabald’s rate of child support payable. For many years Ms Checett attended privately to the collection of child support.

2. On 4 August 2023, Ms Checett made two applications. First, she applied to have Child Support collect the ongoing child support payable. Child Support decided to grant that application. Neither parent objected to that decision. Second, she applied pursuant to section 28A of the Child Support (Registration and Collection) Act 1988 to have Child Support collect the child support arrears owing in respect of the preceding three months, namely 4 May 2023 to 3 August 2023 (the Arrears Period). Child Support calculated that Mr Reabald had been required to pay $2,585.66 in respect of the Arrears Period but he had only paid $1,950.00. It decided to collect arrears of $635.66. Mr Reabald objected to that decision. An objections officer disallowed the objection. Mr Reabald applied to the Tribunal for further review. I heard the matter on 10 May 2024. Mr Reabald and Ms Checett gave sworn evidence via MS Teams. The only issue in dispute in respect of the decision under review is the quantum of the arrears.

3. Mr Reabald’s evidence can be summarised as follows. He paid child support monthly in advance for many months. For example, on 16 May 2022 he paid his child support for June 2022 and on 15 June 2022 he paid his child support for July 2022: see page 53 of the hearing papers. In July 2022 he started paying his child support in advance on a fortnightly basis. For example, on 20 July 2022 he paid his child support for the period from 1 August 2022 to 14 August 2022: see page 52 of the hearing papers. He provided extracts from his bank account statements in support of that evidence. He continued to make fortnightly payments in advance up to and including 2 August 2023. The final payment was for the fortnight from 14 August 2023 to 27 August 2023.

4. I referred Ms Checett to the evidence that Mr Reabald provided in support of his account of events. She said she was unable to confirm that his evidence was correct but she acknowledged that it was “probably correct”. I accept Mr Reabald’s evidence concerning his advance payments.

5. As I explained during the hearing, I did some calculations prior to the hearing. I explained the relevant calculations to Mr Reabald and Ms Checett. Neither parent took issue with any of the calculations.

6. Mr Reabald paid Ms Checett $280 on 12 April 2023 for the fortnight from 24 April 2023 to 7 May 2023. Four of those days –- 4 May 2023 to 7 May 2023 –- fall within the Arrears Period. It follows that $80 of the $280 payment was in respect of the Arrears Period.

7. Mr Reabald paid Ms Checett $280 on 19 July 2023 for the fortnight from 31 July 2023 to 13 August 2023 and, for similar reasons, $80 of that payment was in respect of the Arrears Period.

8. Mr Reabald also made the following payments in respect of fortnights that fell entirely within the Arrears Period: $280, $280, $290, $240, $290 and $280. In summary, he paid $1,820 in respect of the Arrears Period. The matter will be sent back to Child Support on that basis (thereby allowing for any subsequent changes to Mr Reabald’s rate of child support payable during the Arrears Period to be taken into account).

9. As an aside, both parents agreed that Mr Reabald owed Ms Checett a separate debt as a result of Child Support’s reconciliation of his estimate of his 2022–23 adjusted taxable income. They agreed that the balance of that debt currently stands at approximately $970. I noted that $200 of the $280 payment that Mr Reabald made directly to Ms Checett on 19 July 2023 and the $280 payment that he made directly to Ms Checett on 2 August 2023 were payments in respect of the period from 4 August 2023 to 27 August 2023. The $480 was not taken into account when calculating Mr Reabald’s arrears in respect of the Arrears Period and it was not taken into account by Child Support when calculating his ongoing liability to it from 4 August 2023. I observed that if both parents wanted to bring the $480 to account, they could credit it against Mr Reabald’s debt of approximately $970, however that was a mere observation which did not have any legal authority whatsoever and it does not form part of my formal decision.

DECISION

The decision under review is set aside and the matter is sent back to the Child Support Registrar for reconsideration in accordance with a direction that Mr Reabald paid $1,820 in child support in respect of the period from 4 May 2023 to 3 August 2023.