How to Challenge a CSA Income Assessment
7
June 2022
The assessment of child support by the Services Australia Child Support, otherwise known as the Child Support Agency (CSA) under the formula requires a determination of what is the ‘child support assessable income. In some cases this can be a complicated process.
If one of the parents is dissatisfied with the assessment they can challenge it by way of a ‘departure application’.
A complex case recently came before the court that involved the consideration of the father’s military pensions.
Facts:
- There were two children aged 11 & 9. The mother had primary care and she was in receipt of a Centrelink benefit.
- Prior to the marriage and birth of the children the father had a car accident which resulted in a brain injury. His only source of income was 2 pensions: a Military Super, which was taxed and a total and permanent disability (TPD) veteran’s pension, which was not taxed.
- The mother sought a departure from the CSA assessment on the basis that the father’s real income was more than his taxed Military Super and should include the TPD pension, the difference being approximately $30,000 vs $60,000 per annum. At the time of the hearing the father was being cared for by his parents, lived in his parent’s home and was putting aside $400 a week into a superannuation account, with the intent to provide for his residential care at an RSL facility in the future.
- The tribunal departed from the CSA assessment and used the father’s higher income in assessing Child Support. The father appealed to the court.
- The court granted the appeal and returned the matter to the tribunal for rehearing before a differently constituted panel. The tribunal again took the higher income and the father again appealed to the court.
- On the second appeal the court excluded the father’s veterans pension.
We hope this information is helpful. If you require family law advice, call Michael Lynch Family Lawyers on (07) 3221 4300 to arrange a fixed-cost no-obligation initial face-to-face or over the phone or by Zoom appointment with a family law solicitor.
