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CHILD SUPPORT (ASSESSMENT) ACT 1989 - SECT 39 Formula 5: Method statement using income of one parent where other parent not a resident of Australia or in special circumstances

CHILD SUPPORT (ASSESSMENT) ACT 1989 - SECT 39

Formula 5: Method statement using income of one parent where other parent not a resident of Australia or in special circumstances

  (1)   This is how to work out the annual rate of child support payable for a child for a day in a child support period if a non - parent carer of the child has applied for a parent of the child to be assessed in respect of the costs of the child because of subparagraph   25A(b)(ii) or (iii) (non - resident of Australia or special circumstances).

Method statement

Step 1.   Work out the parent's child support income for the day (see section   41) and double that income.

Step 2.   Work out the parent's percentage of care for the child for the day (see Subdivision B of Division   4 of Part   5).

Step 3.   Work out the parent's cost percentage for the child for the day (see section   55C).

Step 4.   If the parent is assessed in respect of the costs of another child who is in another child support case, work out the costs of the child for the day under section   55HA. Otherwise, work out the costs of the child for the day under sections   55G and 55H. Assume, in applying section   55G or 55HA and Schedule   1, that the reference to the child support income of the parent in the Costs of the Children Table is a reference to the amount worked out under step 1.

Step 5.   Work out the following rate:

  Start formula start fraction 1 over 2 end fraction times open square bracket Costs of the child for the day minus open bracket Parent's cost percentage for the child for the day times Costs of the child for the day close bracket close square bracket end formula

Step 6.   If the parent is not assessed in respect of the costs of another child who is in another child support case, the annual rate of child support payable by the parent for the child for the day is the rate worked out under step 5.

Step 7.   If the parent is assessed in respect of the costs of another child who is in another child support case, work out the parent's multi - case cap for the child for the day (see section   55E).

Step 8.   The annual rate of child support payable by the parent for the child for the day is the lower of:

  (a)   the rate worked out under step 5; and

  (b)   the parent's multi - case cap for the child for the day.

Step 9.   If there is only one non - parent carer who has a percentage of care for the child for the day, the parent must pay the annual rate of child support that is payable for the child under step 5 or 8 to the non - parent carer. If there are 2 non - parent carers who have a percentage of care for the child for the day, then, subject to section   40B, the parent must pay the annual rate of child support that is payable for the child under step 5 or 8 to the non - parent carers in accordance with section   40A.

Note:   Under section   40B, a non - parent carer of a child is not entitled to be paid child support unless he or she applies under section   25A in relation to the child.

  (2)   For the purposes of steps 4, 6 and 7 of the method statement in subsection   (1), a parent is taken to be assessed in respect of the costs of another child who is in another child support case if the parent is liable to pay child support for that child under an administrative assessment under the law of a reciprocating jurisdiction.