PART 4
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OVERPAYMENTS AND DEBT RECOVERY
Division 2
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Amounts recoverable under this Act
SECTION 77
Notices in respect of debt
77(1)
If a debt by a person to the Commonwealth under a provision of this Part has not been wholly paid, the Secretary must give the person a notice specifying:
(a)
the date on which it was issued (the
date of the notice
); and
(b)
the reason the debt was incurred, including a brief explanation of the circumstances that led to the debt being incurred; and
(c)
the period to which the debt relates; and
(d)
the outstanding amount of the debt at the date of the notice; and
(e)
the day on which the outstanding amount is due and payable; and
(ea)
the effect of sections
78
and
78A
; and
(f)
that a range of options is available for repayment of the debt; and
(g)
the contact details for inquiries concerning the debt.
History
S 77(1) amended by No 55 of 2016, s 3 and Sch 12 item 1, by inserting para (ea), effective 1 January 2017. No 55 of 2016, s 3 and Sch 12 item 46(2) contains the following application and transitional provision:
…
(2)
If:
(a)
before the commencement of this item, the Secretary gave a person a notice under subsection 77(1) of the
A New Tax System (Family Assistance) (Administration) Act 1999
in relation to a debt; and
(b)
the whole or a part of that debt is outstanding immediately before that commencement;
then, on or after the commencement of this item, the Secretary must give the person another notice under subsection 77(1) of that Act, as amended by this Act, in relation to the debt.
…
77(2)
The outstanding amount of the debt is due and payable on the 28th day after the date of the notice.
77(3)
The Secretary may give more than one notice under subsection (1) in relation to a person and a debt of the person.
History
S 77(3) substituted by No 55 of 2016, s 3 and Sch 12 item 2, effective 1 January 2017. S 77(3) formerly read:
77(3)
If the debt has not been wholly paid and:
(a)
the person has failed to enter into an arrangement under section 91 to pay the outstanding amount of the debt; or
(b)
the person has entered into an arrangement under that section but has failed to make a payment in accordance with the arrangement or, if the arrangement has been amended, in accordance with the arrangement as amended;
the Secretary may give to the person a further notice specifying:
(c)
the date on which it was issued (the
date of the further notice
); and
(d)
the matters mentioned in paragraphs (1)(b) to (g); and
(e)
the effect of sections 78 and 78B; and
(f)
how the interest under section 78 is to be calculated.
77(4)
(Repealed by No 55 of 2016)
History
S 77(4) repealed by No 55 of 2016, s 3 and Sch 12 item 2, effective 1 January 2017. S 77(4) formerly read:
77(4)
A notice given under subsection (1) may also specify the matters mentioned in paragraphs (3)(e) and (f) and, if it does so, it is taken also to be a further notice given under subsection (3).
History
S 77, 78, 78A and 78B substituted for s 77 and 78 by No 47 of 2001, s 3 and Sch 3 item 3, effective 1 July 2001. Act No 47 of 2001, Sch 3 item 17, contained the following application provisions:
(1)
The amendment:
(a)
applies to a person in respect of a debt owed by the person to the Commonwealth immediately before 1 July 2001 under the family assistance law if, and only if, the person had not, before that day, been given a notice in respect of the debt under subsection
77(1)
of the
A New Tax System (Family Assistance) (Administration) Act 1999
as in force at any time before that day; and
(b)
applies to a person in respect of a debt owed by the person to the Commonwealth under the family assistance law that arises on or after that day.
(2)
To avoid doubt, sections
77
and
78
of the
A New Tax System (Family Assistance) (Administration) Act 1999
as in force immediately before 1 July 2001 continue to apply to a person in respect of a debt owed by the person to the Commonwealth immediately before that day as mentioned in paragraph
77(1)
(a) of that Act as so in force if the person had, before that day, been given a notice in respect of the debt under subsection
77(1)
of that Act as in force at any time before that day.
S 77 formerly read:
Interest payable on debt for failure to enter agreement to pay debt
77(1)
If:
(a)
a person owes a debt to the Commonwealth under a provision of this Part; and
(b)
the person owing the debt is a person who is not receiving instalments of family tax benefit; and
(c)
the Secretary has given the person a notice asking the person to pay the debt; and
(d)
at the end of the period of 21 days after the notice is given, the person:
(i)
has not entered into negotiations to pay the debt; or
(ii)
has entered into negotiations to pay the debt, but has not entered into an agreement to pay the debt by reasonable instalments;
the Secretary may give the person a notice advising the person of the following:
(e)
the amount of the debt;
(f)
that, unless the person, within 14 days after the notice is given:
(i)
pays the whole of the debt; or
(ii)
enters into an agreement to pay the debt by reasonable instalments;
interest may become payable on the debt;
(g)
how any interest that becomes payable is to be calculated.
History
S 77(1) amended by No 45 of 2000, s 3 Sch 2 item 80, by substituting para (b), effective 1 July 2000. For transitional provisions see note under s 69. Para (b) formerly read:
(b)
the person owing the debt is a person who is not receiving instalments of family tax benefit; and
(i)
the person owing the debt is a person who is not receiving instalments of family assistance; or
(ii)
the person owing the debt is an approved child care service who is not receiving group payments; and
77(2)
Subject to subsection (3), if:
(a)
the whole of the debt is not paid within 14 days after the person is given the notice; or
(b)
the person does not enter into an agreement to pay the debt within the 14 day period;
interest is payable by way of penalty on the debt by the person and the amount of the interest is to be worked out under subsection (4).
77(3)
The Secretary may determine in writing that interest is not payable on the debt if the Secretary is satisfied that the person intends to pay the debt as soon as is reasonably practicable having regard to the circumstances of the person.
77(4)
Interest is payable on the amount of the debt (excluding interest) as remains due from time to time:
(a)
on and from the day after the 14 day period ends; and
(b)
at the penalty interest rate.
77(5)
If:
(a)
interest is payable on the debt; and
(b)
an amount is paid for the purpose of paying the debt and the interest;
the amount so paid is to be applied as follows:
(c)
until the debt (excluding interest) is fully paid
-
in satisfaction of the amount of the debt that is due when the payment is made;
(d)
after the debt (excluding interest) is fully paid
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in satisfaction of the interest that had become payable on the debt before the debt was fully paid.
77(6)
If a person enters into an agreement to pay the debt by reasonable instalments, interest that would, apart from this subsection, become payable on the debt on and from the day on which the agreement is entered into is not payable.
77(7)
The interest that is payable on the debt is a debt due to the Commonwealth.
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