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3.4.4: Joint election to suspend collection after a change in care

Context

A court order or court-registered agreement does not stop being in force when the child leaves the payee's care. However, the payer and payee can make a joint election for CSA to suspend collection of the amounts payable for the child.

Legislative references

Section 39B Child Support (Registration and Collection) Act 1988

Explanation

CSA cannot end a stage 1 liability when it is advised that the child for whom child support is payable has left the payee's care. Unlike a child support assessment, a court order, or a court-registered agreement for child maintenance does not end when the payee ceases to provide ongoing daily care for the child. A payer can apply to a court for a variation to the order in these circumstances. If a court varied the order, CSA would amend the register accordingly.

Since 29 May 1995 there is a simple administrative way for parents to deal with this situation. A payer and payee can make a joint election for CSA to suspend collection of the liability during a period when the child is not in the payee's care (section 39B).

Who can apply to have the liability not enforced?

The payer and the payee can make a joint election (section 39B(3)). The payer cannot make an election alone, nor can the payee.

When can a payer and payee make a joint election?

The payer and payee can make their joint election at any time during the 'overall non-care period'. The overall non-care period:

  • starts when the payee ceases to be the main provider of ongoing daily care for the child
  • ends when the payee resumes being the main provider of ongoing daily care, or when the liability ends, if that happens first (section 39B(2)).

A payer and payee cannot make a joint election after the payee has resumed being the main provider of ongoing daily care for the child.

For what period is the liability suspended?

CSA will suspend collection from the date the payee ceased to be the main provider of ongoing daily care for the child, as long as the payer and payee made their joint election to CSA within 28 days of that date. Otherwise, CSA will suspend collection from the date the payer and payee made their joint election (section 39B(3)).

A joint election has no effect if the suspension period is included in an existing low-income non-enforcement period.

Can the liability be suspended for only one child?

The payer and payee must make an election for a particular child or children for whom child maintenance is payable. CSA will suspend collection of the entire liability if the election is made for the only child, or all the children covered by the order or agreement. If the election is made for one, or some of the children, CSA will not enforce amounts attributable to that child (or those children), but the payer must continue paying the liability for the other children who remain with the payee (section 39B(4)).

What if the child returns to the care of the payee?

The payer or payee can elect for CSA to resume collecting the liability for the child when the child returns to payee's care (section 39B(5)). CSA will resume collection from the date the payee resumed ongoing daily care of the child, as long as the election was made within 28 days of that date. Otherwise, CSA will resume collection from the date of the election (section 39B(6)).

The election to have the liability enforced again will not take effect if at that time the liability is not enforceable because of a low-income non-enforcement period.

Example

M (payer) calls CSA on 23 March to say that child A is now living with M's parents. A left F's (payee) care on 15 March. CSA explains that M and F can make a joint election for CSA to suspend collection of the liability for A, otherwise CSA must continue to enforce the child maintenance order. M contacts F and together they call CSA on 25 March to make a joint election. CSA suspends collection from 15 March when A ceased living with F, because M and F made their the joint election within 28 days of that date.

Example

F (payer) calls CSA on 23 March to advise that child B left the care of M (payee) on 25 November. CSA explains that M and F can make a joint election for CSA to suspend collection of the liability for B, otherwise CSA must continue to enforce the child maintenance order. F and M have no contact. F asks CSA to contact M about the change in care. CSA speaks to M on 24 March. M confirms the change in care and makes an election for CSA to suspend collection of the liability for B. As both parties have made the election there is now a joint election, effective from 24 March, the date that the joint election is complete. The election was made more than 28 days after B left M's care, so CSA suspends collection from 24 March, the date of the joint election. F can apply to court for a variation to the court order to deal with amounts payable between 25 November and 23 March.


Version 1.0

Issued 1 October 2002

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