EXPLANATORY STATEMENT
STATUTORY RULES 1989 NO. 258
ISSUED BY AUTHORITY OF THE TREASURER
CHILD SUPPORT REGULATIONS (AMENDMENT)
The purpose of these regulations is to prescribe matters that are required or permitted to be prescribed, or which are necessary or convenient to be prescribed for giving effect to the Child Support (Registration and Collection) Act 1988, provided they are not inconsistent with the Act.
The Child Support (Registration and Collection) Act 1988 was the first part of a legislative package which aimed to reform child support so as to reduce the number of children in poverty and to make sure that parents with a capacity to pay do not abandon the financial responsibility of supporting their children to the social security system.
The second part of the legislative package is contained in the Child Support (Assessment) Act 1989 which will enable parents of children to have child support amounts administratively assessed rather than having to obtain a court order.
Regulation 5(1) provides for the conversion of amounts payable under registrable maintenance liabilities that arise under court orders or agreements. With registrable maintenance liabilities being extended to include assessments that arise under the Child Support (Assessment) Act 1989, a similar provision is necessary for assessments.
Notes on the regulation to be amended is set out below:
COMMENCEMENT
Regulation 1 provides that these Regulations commence on 1 October 1989.
CONVERSION OF AMOUNTS PAYABLE UNDER REGISTRABLE MAINTENANCE LIABILITIES
Regulation 2 provides for the extension of the conversion facility contained in subregulation 5(1) to all registrable maintenance liabilities which arise under the Child Support (Assessment) Act 1989 or the Child Support (Registration and Collection) Act 1988.
Overview
The Child Support (Registration and Collection) Act 1988 was enacted to overhaul the child support system in Australia with the primary objective of reducing child poverty and ensuring that parents who have the financial means to support their children do not shift this responsibility to the social security system. This Act is a foundational piece of legislation within a broader legislative framework that also includes the Child Support (Assessment) Act 1989, which allows for the administrative assessment of child support rather than requiring court orders. The Child Support Regulations (Amendment) 1989, issued under the authority of the Treasurer, provide further clarification and detail on the implementation of these Acts. These regulations, which commenced on 1 October 1989, were designed to address the need for converting amounts payable under registrable maintenance liabilities that arise from court orders or agreements, including those under the new Child Support (Assessment) Act 1989 and the original Act. This amendment ensures a smooth transition and consistency in the application of child support regulations.
Scope and Application
The Child Support (Registration and Collection) Act 1988 applies to individuals and entities involved in child support matters within Australia, encompassing both the Commonwealth and state jurisdictions. This Act targets parents who have a financial capacity to contribute to the support of their children, ensuring that such financial responsibilities are not deferred to the social security system. The legislation extends its reach to include all registrable maintenance liabilities, whether they arise from court orders, agreements, or assessments under the Child Support (Assessment) Act 1989. The Child Support Regulations (Amendment) Statutory Rules 1989 further prescribe the operational details necessary for the effective implementation of the Act, ensuring consistency and facilitating the conversion of amounts payable under registrable maintenance liabilities. These regulations commence on 1 October 1989 and extend the conversion facility to include all liabilities arising under the relevant Acts.
Key Provisions
The Child Support (Registration and Collection) Regulations (Amendment) 1989 (F1996B00888) primarily serves to prescribe matters required or permitted for giving effect to the Child Support (Registration and Collection) Act 1988, ensuring consistency with the Act and extending the scope of registrable maintenance liabilities to include assessments under the Child Support (Assessment) Act 1989 (Regulation 2). These regulations are designed to streamline the child support system, making it easier for parents to meet their financial obligations towards their children while reducing child poverty. Regulation 1 specifies that these regulations commence on 1 October 1989, ensuring a timely implementation aligned with the legislative framework.
Entities and individuals subject to these regulations must comply with the provisions that extend the conversion facility for amounts payable under registrable maintenance liabilities to include assessments arising under both the Child Support (Assessment) Act 1989 and the Child Support (Registration and Collection) Act 1988 (Regulation 2). This means that any amounts that were previously payable under court orders or agreements, and now also under administrative assessments, can be converted and managed under the new regulatory framework. Parties must ensure that they are aware of these changes and adapt their practices accordingly to avoid non-compliance.
Failure to comply with these regulations may result in legal consequences. While the specific penalties are not detailed in the explanatory statement, it is implied that breaches could lead to civil or criminal penalties under the relevant Acts. Typically, non-compliance with child support regulations can attract fines and, in severe cases, imprisonment. The exact penalties would be governed by the provisions of the Child Support (Registration and Collection) Act 1988 and the Child Support (Assessment) Act 1989, which may include financial penalties for non-payment or administrative fines for procedural breaches. The severity of the penalties would depend on the nature and extent of the breach, as well as any mitigating or aggravating factors.