How to Change a Child Support Assessment in Special Circumstances in Australia

When should you apply for a change of assessment?

The change-of-assessment process is for cases where the ordinary child support formula does not fairly reflect special circumstances. It is not a general appeal simply because one party believes the amount is too high or too low.

Services Australia can only make a departure determination where a recognised reason exists because of the special circumstances of the case. It must then consider whether changing the assessment would be just and equitable and otherwise proper.

You can apply only while there is an active child support assessment for the relevant child. If you have several separate child support cases, form CS1970 states that you must make a separate application for each case you want changed.

What are the 10 reasons for changing an assessment?

Your application must establish at least one recognised reason. More than one reason can be raised in the same application where the facts support them.

1. High costs of spending time with or communicating with the child. The costs of maintaining the child are significantly affected by high costs of enabling a parent to spend time with or communicate with the child. Services Australia states that the relevant costs must exceed 5% of the adjusted taxable income used in the assessment. Transport, accommodation and communication costs may be relevant. If the parent cares for the child for at least 52 nights a year, only travel costs are considered under this reason.
2. Special needs of the child. The costs of raising the child are significantly affected by special needs, which may include a physical, mental or learning disability or a special talent or ability. Relevant evidence can include medical information, treatment costs, support-service receipts and estimates of future costs.
3. Care, education or training intended by both parents. The costs are significantly affected because the child is being cared for, educated or trained in the way both parents intended, such as agreed private schooling. Evidence of the shared intention and the actual costs is important.
4. The child's financial resources. The assessment is unfair because of the child's income, earning capacity, property or other financial resources. Centrelink income-support payments are not treated as the child's financial resources for this reason.
5. Money, goods or property already provided for the child. The assessment is unfair because the payer has paid or transferred money, goods or property to the child, receiving parent or another person for the child's benefit, including in some cases as part of a property settlement.
6. High childcare costs for a child under 12. The costs of raising the child are significantly affected by childcare costs. For a parent, the costs must be more than 5% of their adjusted taxable income; for a non-parent carer they must be at least 25% of the costs of the child. Only actual costs after rebates, refunds and other assistance are counted.
7. Necessary expenses reducing a parent's capacity to support the child. Necessary expenses, such as unusually high medical expenses in an appropriate case, significantly reduce the parent's capacity to provide financial support. The applicant needs to explain why the expense is necessary and what makes the circumstances special.
8. Income, earning capacity, property or financial resources of a parent. The assessment is unfair because the income, earning capacity, property or financial resources of one or both parents are not properly reflected. This can include resources outside adjusted taxable income or circumstances where a parent's earning capacity is greater than the income being used. Services Australia can also initiate a change of assessment itself on these grounds.
9. Duty to maintain another child or person. A parent's capacity to support the child is significantly reduced by a legal duty to maintain another child or person, associated special needs, necessary expenses, or high costs of spending time with or communicating with a person they have a duty to maintain.
10. Responsibility for a resident child. A parent's responsibility to maintain a resident child who is not legally their child significantly reduces their capacity to support the child covered by the assessment. Services Australia applies specific conditions concerning the resident child's age, relationship, financial need and the ability of the child's legal parents to provide support.

What evidence should you provide?

The documents should prove the facts behind the reason you select and, where relevant, show the financial effect. Services Australia may decide the matter using the application, the other party's response and supporting documents, although it can ask for more information.

Depending on the reason, useful evidence can include:

• payslips, financial statements, profit and loss statements and balance sheets;
• receipts, invoices and records of payments;
• medical certificates or reports from registered medical practitioners;
• school enrolment records, fee statements or evidence of the parents' agreed education plans;
• court orders, parenting plans or agreements;
• bank statements showing transfers of money;
• childcare invoices and evidence of rebates or government assistance;
• travel and accommodation receipts and reasonable estimates of future costs;
• documents showing a legal obligation to support another person.

Incomplete information can delay consideration of the application. The Registrar may request further documents and can require information where necessary.

What information will the other parent see?

This process involves significant information sharing. Services Australia does not normally give the other party your personal details from Part A of the application during the change-of-assessment process.

However, it normally gives the other party a copy of Part B and the supporting documents so that they have an opportunity to respond. You are responsible for removing personal details from those materials that you do not want disclosed where appropriate.

Services Australia specifically advises applicants to consider removing details such as phone numbers, home and email addresses, workplaces, children's school or childcare locations, vehicle registration numbers and information that could identify a residence, business or location. Consider confidentiality obligations before supplying mediation or similarly protected documents.

If disclosure may create a health or safety risk, tell Services Australia. Different disclosure rules can apply if the matter later reaches the Administrative Review Tribunal.

What evidence should you leave out?

Services Australia states that it will not accept offensive, abusive or derogatory material, statements from children, or information obtained illegally. Statements from children include recordings, text messages and social-media material. An application containing prohibited offensive material may not proceed in its submitted form.

How do you submit the application?

A change-of-assessment application cannot be made merely by asking for the change during a phone call. The application must be made in writing in the manner specified by Services Australia.

Use form CS1970 - Application to change your assessment - Special Circumstances. Services Australia recommends calling the Child Support enquiry line first to check whether this process is appropriate.

The easiest submission method is to upload the completed form and supporting documents using a Child Support online account linked to myGov. The form also provides options for submitting documents by fax or post.

Can the assessment be changed retrospectively?

The Registrar can make a prospective change and has limited power to change an assessment for an earlier period. Under the Child Support Guide, a change-of-assessment determination may extend to up to 18 months before the date the application is lodged.

If a person seeks a departure for a period more than 18 months but less than 7 years before the court application, the legislation provides a separate court process requiring leave. This is different from the ordinary administrative CS1970 procedure.

Because the period affected can depend on the circumstances and legal route, clearly identify in your application the period for which you are seeking a change.

What happens after you apply?

If the application proceeds, Services Australia normally sends the relevant application material and supporting documents to the other party and gives them an opportunity to respond. Their response and supporting documents can then be provided to the applicant.

Both parties must generally be given an opportunity to be heard by the decision maker. Services Australia may contact each party to discuss the application, response and financial circumstances. The decision maker weighs the written and oral information and supporting evidence and may request more documents.

The process must also be procedurally fair. If Services Australia proposes to rely on information adverse to a party, that party must be given an opportunity to know about and respond to that information.

A recognised reason does not automatically produce the amount requested. Services Australia must also decide whether a departure is just and equitable and otherwise proper. It can:

• refuse to change the assessment;
• change it in the way requested; or
• make a different change from the one requested.

The parties receive a notice of decision explaining the result and reasons. If the assessment is changed, Services Australia amends the administrative assessment to give effect to the decision.

What if you disagree with the decision?

A change-of-assessment decision carries objection rights. For a decision that is not about a care percentage, the normal Services Australia deadline is 28 days from the day you receive the decision letter. A person living outside Australia in a reciprocating jurisdiction generally has 90 days. A late objection can be considered where an extension is granted.

Services Australia first conducts the objection review. If you remain dissatisfied after the objection decision, you may be able to apply to the Administrative Review Tribunal for review, subject to the applicable review deadline.

Common mistakes to avoid

• Applying only because the amount feels unfair. You need facts supporting at least one recognised statutory reason.
• Using this process when a simpler child support update applies. Services Australia recommends calling first because matters such as some income changes may have another route.
• Sending conclusions without evidence. Show the expense, income, agreement, medical circumstance or financial resource relied on and how it affects the assessment.
• Forgetting that supporting material is usually shared. Review Part B and every attachment for unnecessary personal or location information before lodging.
• Including statements from children or illegally obtained material. Services Australia says these will not be considered.
• Failing to identify the period you want changed. Retrospective powers are limited, so specify the period clearly.
• Assuming Services Australia must grant the exact change requested. It may refuse the application or make a different departure after considering both parties and the statutory fairness tests.