Legislative Amendments for NON-AGENCY PAYMENTS - Passed

Mr MILES (Braddon—Parliamentary Secretary [Cabinet] to the Prime Minister) (6.15 p.m.)—by leave—

I move government amendments Nos 1 to 5:

(1) Clause 2, page 2 (line 2), after"other than", insert "by Part 2 of Schedule 11A or".

(2) Clause 2, page 2 (after line 3), after subclause (2), insert:

(2A) Part 2 of Schedule 11A commences on 1 July 1999.

(3) Schedule 9, item 60, page 49 (lines 16 and 17), omit the item.

(4) Page 54 (after line 34), after Schedule 11, insert:

Schedule 11A Non-Agency payments

Part 1—Amendments commencing on 1 July 1998

Child Support (Registration and Collection) Act 1988

1 Section 71

Omit "Where", substitute "Subject to section 71D, if�.

2 Paragraph 71(b)

Repeal the paragraph, substitute:

(b) the payer or the payee applies to the Registrar to have the amount received by the payee treated as having been paid to the Registrar;

3 Section 71A

Omit "If�, substitute "Subject to section 71D, iS�.

4 Paragraph 71 A(b)

Repeal the paragraph, substitute:

(b) the payer or the payee applies to the Registrar, in the manner specified by the Registrar, to have the amount, or part of the amount, received by the third party treated as having been paid to the Registrar;

and

(c) the amount paid, or a part of the amount paid, was intended by both the payer or the payee to be paid in complete or partial satisfaction of an amount payable under the enforceable maintenance liability in relation to the child support enforcement period;

5 After section 71A

Insert:

71B Payments not in money

(1) For the purposes of sections 71 and 71A, if both the payer and the payee of an enforceable maintenance liability so intend:

(a) a payment in a form, other than money by the payer; or

(b) a transfer of any property or right by the payer; is taken to be an amount paid in complete or partial satisfaction of an amount payable under an enforceable maintenance liability.

(2) For the purpose of determining the amount to be credited under section 71 or 71A, in relation to the payment or transfer, against the liability of the payer to the Commonwealth, the amount of the payment or transfer is taken to be:

(a) the amount agreed by the payer and the payee; or

(b) if no amount is agreed, the amount determined by the Registrar.

71D Registrar may refuse to credit amounts in special circumstances

The Registrar may refuse to credit an amount under section 71 or 71A if satisfied that, in the special circum-stances of the particular case, the amount ought not to be credited.

Part 2—Amendments commencing on 1 July 1999

Child Support (Registration and Collection) Act 1988

6 At the end of section 28A

Add:

Amounts that would have been credited under section 71C

(7) To avoid doubt, a reference in this section to an unpaid amount payable under a liability does not include a reference to any amount that would have been credited against that liability under section 71C if the liability had been an enforceable maintenance liability at all relevant times.

7 At the end of section 39A

Add:

Amounts that would have been credited under section 71C

(8) To avoid doubt, a reference in this section to an unpaid amount payable under a liability does not include a reference to any amount that would have been credited against that liability under section 71C if the liability had been an enforceable maintenance liability at all relevant times.

8 After section 71 B

Insert:

71C Other payments of up to 25% of child support liability

(1) Subject to subsections (3) and (5) and section 71 D, in relation to any month for which the payer of an enforceable maintenance liability has an uncredited amount, the Registrar must, in spite of section 30, credit:

(a) if the uncredited amount does not exceed 25% of the payer�s enforceable maintenance liability for the month—that uncredited amount; or

(b) if it exceeds 25% of that liability—so much of that uncredited amount as does not exceed that liability;

against the liability of the payer to the Commonwealth in relation to the amount payable under the liability in relation to that month.

(2) if

(a) the payer has made a payment, to the payee of the enforceable maintenance liability or to another person, that is a payment of the kind specified in the regulations; and

(b) the amount of all such payments made by the payer in respect of the liability exceeds the sum of all the amounts credited under this section against the liability in relation to all the months preceding the month in question; the payer has an uncredited amount equal to the amount of that excess.

(3) Subject to subsection (4), the Registrar must not credit an amount under this section in relation to a month for which the payer has not paid to the Commonwealth an amount equal to the difference between:

(a) the amount payable by the payer to the Commonwealth under the enforceable maintenance liability in relation to that month; and

(b) the amount that is to be credited under subsection (1), or that would be so credited but for this subsection, in relation to that month.

(4) if the payer:

(a) did not pay that difference to the Commonwealth within the time required under section 66; and

(b) subsequently pays the amount of that difference to the Commonwealth;

the Registrar may credit against the liability of the payer in relation to the amount payable under the enforcement maintenance liability in relation to that month the amount that, but for subsection (3), would have been credited under subsection (1).

(5) This section does not apply in relation to a liability covered by section 18.

9 Section 71D

Omit "or 71A", substitute ", 71A or 71C".

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