Commonwealth Consolidated Acts

CHILD SUPPORT LEGISLATION AMENDMENT (REFORM OF THE CHILD SUPPORT SCHEME--NEW FORMULA AND OTHER MEASURES) ACT 2006 - SCHEDULE 6

Part   1 -- Amendments

Child Support (Assessment) Act 1989

3   Subsection 98S(3A)

Repeal the subsection.

5   After paragraph 117(2)(a)

Insert:

  (aa)   that, in the special circumstances of the case, the capacity of either parent to provide financial support for the child is significantly reduced because of the responsibility of the parent to maintain another child (the resident child ) of the parent;

6   Subparagraph 117(2)(c)(ii)

Omit "child; or", substitute "child.".

7   Subparagraphs 117(2)(c)(iii) and (iv)

Repeal the subparagraphs.

8   Subsection 117(2) (note)

Repeal the note.

9   Subsection 117(3)

Repeal the subsection, substitute:

Parent's responsibility to maintain resident child

  (2A)   The ground for departure mentioned in paragraph   (2)(aa) is taken not to exist in respect of a resident child unless:

  (a)   the resident child normally lives with the parent, but is not a child of the parent; and

  (b)   the parent is, or was, for 2 continuous years, a member of a couple; and

  (c)   the other member of the couple is, or was, a parent of the resident child; and

  (d)   the resident child is aged under 18; and

  (e)   the resident child is not a member of a couple; and

  (f)   neither parent of the resident child is able to support the resident child due to:

  (i)   the death of the parent; or

  (ii)   the ill - health of the parent; or

  (iii)   the responsibility of the parent to care for another child; and

  (g)   the court is satisfied that the resident child requires financial assistance.

High costs involved in enabling parent to care for a child

  (2B)   A parent's costs involved in enabling the parent to care for a child can only be high for the purposes of subparagraph   (2)(a)(iv) or (2)(b)(i) if the costs that have been or will be incurred, during a child support period, total more than 5% of the amount worked out by:

  (a)   dividing the parent's adjusted taxable income for the period by 365; and

  (b)   multiplying the quotient by the number of days in the period.

  (2C)   If a parent has at least regular care of a child, then the only costs that can be taken into account for the purposes of subsection   (2B) are costs related to travel to enable the parent to care for the child.

10   Section   117A

Repeal the section.

11   Subsection 118(2A)

Repeal the subsection.

Part   2 -- Application provision

12   Application

The amendments made by this Schedule apply in respect of:

  (a)   an application made under section   98B of the Assessment Act after this item commences; and

  (b)   a determination in respect of which parties were notified under section   98M of the Assessment Act after this item commences; and

  (c)   an application made under section   116 of the Assessment Act after this item commences, even if the application relates to a decision made before this item commences:

  (i)   to make, or refuse to make, a determination under Part   6A of that Act; or

  (ii)   to make an administrative assessment under subsection 66(1) of that Act.