Volkmann and Drake (Child support)

This matter concerned an application for review by Mr Volkmann of a decision by an objections officer of the Department of Child Support. The dispute centred on the appropriate annual rate of child support payable for the parties' children, with Mr Volkmann seeking to have the assessment changed from a formula assessment to a minimum annual rate. The review was heard by the Administrative Appeals Tribunal.

The primary legal issue before the Tribunal was whether the case met the criteria for changing a child support assessment under section 98C of the Child Support (Assessment) Act 1989. Specifically, the Tribunal had to consider whether the existing assessment was unfair, having regard to the objects of the Act, which include ensuring children receive proper financial support from parents according to their capacity to provide it, and that parents' duty of support for their children has priority over other commitments except their own needs.

The Tribunal considered Mr Volkmann's financial circumstances, including his substantial income and capital return from his former firm, and his investment of a significant portion of this in his self-managed superannuation fund. It noted that Mr Volkmann had not arranged his financial affairs to ensure he could continue to make a similar contribution to child support after his retirement, stating he believed he had no future obligation beyond a modest amount due to Ms Drake's considerable wealth. The Tribunal also considered the objects of the Act, particularly the principle that parents with a like capacity to provide financial support should provide like amounts, and that the duty of support takes priority over other commitments. The Tribunal viewed the minimum annual rate as an insufficient level of support unless a parent genuinely needed to use all their resources for their own needs.