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  • Services Australia income compliance class action settlement payments

    A settlement payment you receive from the Services Australia income compliance (Robodebt) class action is not taxable.

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    What is the income compliance program class action?

    The Income compliance class action (also known as the Robodebt class action) relates to Centrelink debts raised by income compliance reviews since July 2015.

    This information addresses the settlement payments individuals receive as a result of the class action.

    On 11 June 2021, the Federal Court approved the settlement of the class action. Eligible participants in the class action should have a letter from Services Australia.

    Settlement payment and your tax return

    If you receive a settlement payment because you were an eligible participant of this class action, you:

    • don’t need to declare the settlement payment in your tax return
    • don't pay tax on this payment.

    For more, see information for people who have a class action settlement noticeExternal Link on the Services Australia website.

    This information is also available in other languages on the Services Australia website. To find out if it is available in your language, see robodebt class action and settlement payments translationsExternal Link.

      Last modified: 06 Sep 2022QC 70331