Family Assistance Legislation Amendment (Child Care) Act 2009 (50 of 2009)

Schedule 3   Recovery of debts

A New Tax System (Family Assistance) (Administration) Act 1999

3   Sections 71CAA and 71CAB

Repeal the sections, substitute:

71CAA Debts arising in respect of child care rebate where no entitlement

No entitlement to rebate arising from CCB by fee reduction

(1) If:

(a) an amount has been paid to an individual by way of child care rebate for a quarter under Subdivision AA of Division 4AA of Part 3 in respect of a period during which the individual is conditionally eligible for child care benefit by fee reduction in respect of a child; and

(b) the individual is not entitled to rebate in respect of the child and that period;

the amount is a debt due to the Commonwealth by the individual.

Note 1: For paragraph (b), the individual will not be entitled to rebate if a determination of no entitlement has been made under subsection 65EA(3) in respect of the child and the period.

Note 2: A determination of no entitlement under subsection 65EA(3) could arise as a decision substituted on review under Part 5.

(2) If:

(a) an amount has been paid to an individual by way of child care rebate in respect of a child for an income year as a result of:

(i) a determination under subsection 65EA(2) in respect of a period of care covered by a determination made under section 51B or subsection 51C(1); or

(ii) a determination under subsection 65EC(1) in respect of a period of care covered by a determination made under section 51B or subsection 51C(1); and

(b) the individual is not entitled to rebate in respect of the child and that period;

the amount is a debt due to the Commonwealth by the individual.

No entitlement to rebate arising from CCB for past period

(3) If:

(a) an amount has been paid to an individual by way of child care rebate in respect of a child for an income year as a result of:

(i) a determination under subsection 65EB(2) in respect of a period of care covered by a determination made under section 52E or subsection 52G(1); or

(ii) a determination under subsection 65EC(1) in respect of a period of care covered by a determination made under section 52E or subsection 52G(1); and

(b) the individual is not entitled to rebate in respect of the child and that period;

the amount is a debt due to the Commonwealth by the individual.

No entitlement to rebate arising from CCB by fee reduction or for past period - other situations

(4) If:

(a) an amount has been paid to an individual by way of child care rebate:

(i) for an income year, or for a quarter in an income year, in respect of a child; and

(ii) in circumstances other than those mentioned in subsection (1), (2), (3) or (5); and

(b) the individual is not entitled to rebate for that year in respect of the child;

the amount is a debt due to the Commonwealth by the individual.

No entitlement to rebate arising from CCB by single payment/in substitution

(5) If:

(a) an amount has been paid to an individual by way of child care rebate in respect of a child for a period:

(i) as a result of a determination under subsection 65ECA(2) in respect of a period of care covered by a determination made under section 53D or subsection 53E(1); or

(ii) in other circumstances because of the death of another individual; and

(b) the individual is not entitled to rebate in respect of the child and that period;

the amount is a debt due to the Commonwealth by the individual.

71CAB Debts arising in respect of child care rebate where overpayment

Overpayment of rebate arising from CCB by fee reduction - for a quarter

(1) If:

(a) an amount (the received amount ) has been paid to an individual by way of child care rebate for a quarter:

(i) under Subdivision AA of Division 4AA of Part 3; and

(ii) in respect of a period during which the individual is conditionally eligible for child care benefit by fee reduction in respect of a child; and

(b) the received amount is greater than the amount (the correct amount ) of rebate to which the individual is entitled under subsection 65EA(2) or 65EC(1) in respect of the child and that period;

the difference between the received amount and the correct amount is a debt due to the Commonwealth by the individual.

Note: A determination of entitlement under subsection 65EA(2) or 65EC(1) could arise as a decision substituted on review under Part 5.

Overpayment of rebate arising from CCB by fee reduction - for an income year

(2) If:

(a) an amount (the received amount ) has been paid to an individual by way of child care rebate in respect of a child for an income year in respect of a period of care covered by a determination made under section 51B or subsection 51C(1); and

(b) the received amount is greater than the amount (the correct amount ) of rebate to which the individual is entitled under subsection 65EA(2) or 65EC(1) in respect of the child and that period;

the difference between the received amount and the correct amount is a debt due to the Commonwealth by the individual.

Note: A determination of entitlement under subsection 65EA(2) or 65EC(1) could arise as a decision substituted on review under Part 5.

Overpayment of rebate arising from CCB for past period

(3) If:

(a) an amount (the received amount ) has been paid to an individual by way of child care rebate in respect of a child for an income year in respect of a period of care covered by a determination made under section 52E or subsection 52G(1); and

(b) the received amount is greater than the amount (the correct amount ) of rebate to which the individual is entitled under subsection 65EB(2) or 65EC(1) in respect of the child and that period;

the difference between the received amount and the correct amount is a debt due to the Commonwealth by the individual.

Note: A determination of entitlement under subsection 65EB(2) or 65EC(1) could arise as a decision substituted on review under Part 5.

Overpayment of rebate arising from CCB in substitution

(4) If:

(a) an amount (the received amount ) has been paid to an individual by way of child care rebate in respect of a child for a period of care covered by a determination made under section 53D or subsection 53E(1); and

(b) the received amount is greater than the amount (the correct amount ) of rebate to which the individual is entitled under subsection 65ECA(2) in respect of the child and that period;

the difference between the received amount and the correct amount is a debt due to the Commonwealth by the individual.

Note: A determination of entitlement under subsection 65ECA(2) could arise as a decision substituted on review under Part 5.

71CAC Debts arising in respect of child care rebate paid to wrong account

Subject to subsection 93A(5), if:

(a) a payment by way of child care rebate is made to a financial institution for the credit of an account kept with the institution (the incorrect account ); and

(b) the Secretary is satisfied that the amount paid to the institution was intended to be paid for the credit of an account kept in the name of someone who was not the person or one of the persons in whose name or names the incorrect account was kept;

an amount equal to the amount of the payment made to the institution is a debt due to the Commonwealth by the person, or jointly and severally by the persons, in whose name or names the incorrect account was kept.