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

This matter concerned an appeal by Mr and Mrs Sullivan against a decision of the Secretary of the Department of Social Services regarding the calculation of their age pension rates. The Administrative Appeals Tribunal was required to determine how income and assets of a company, Tech Knowledges, should be attributed to Mr and Mrs Sullivan for the purposes of assessing their eligibility for and the rate of their age pension.

The central legal issue was the extent to which Mr and Mrs Sullivan should be attributed with the income and assets of Tech Knowledges, a company in which Mr Cowper held effective control. This attribution was crucial for determining the correct assessment of their age pension entitlements under relevant social security legislation and principles.

The Tribunal found that Mr Cowper's casting vote and effective control of Tech Knowledges significantly impacted Mr and Mrs Sullivan's involvement with the company's activities and administration. Consequently, the decision under review was set aside. The Tribunal directed that Mr Sullivan's age pension be assessed and calculated by attributing 35% of Tech Knowledges' income and assets during the period from 24 May 2016 to 13 March 2018, and 0% of income and 50% of assets from 14 March 2018 to 15 April 2019.