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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.

Last updated 25 April 2023

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.

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 and receive a settlement payment.

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 as income in your tax return
  • don't pay tax on the settlement payment.

The Services Australia website has more details, see information for people who have a class action settlement noticeExternal Link.

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.