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

PART 4 - OVERPAYMENTS AND DEBT RECOVERY

Division 2 - Amounts recoverable under this Act

SECTION 71F Debts in respect of CCS or ACCS for individual - provider at fault

When this section applies

71F(1)

This section applies if:

(a) an amount (the CCS/ACCS amount ) is paid to an individual by way of CCS or ACCS for a session of care provided by a child care service of a provider; and

(b) all or part of the CCS/ACCS amount (the attributable component ) is paid to the individual because the provider has:

(i) made a false or misleading statement; or

(ii) failed to comply with the family assistance law; and

(c) the individual incurs a debt under subsection 71B(1) or 71C(1) for the CCS/ACCS amount.

If debt is incurred before reconciliation

71F(2)

View history reference

If the individual incurs the debt before the individual meets the CCS reconciliation conditions for the income year in which the session of care occurs, then:

(a) the amount of the debt is taken to be reduced by the amount of the attributable component; and

(b) the amount of the attributable component is instead a debt due to the Commonwealth by the provider.

If debt is incurred after reconciliation

71F(3)
If the individual incurs the debt after the individual meets the CCS reconciliation conditions for the income year in which the session of care occurs, then:

(a) the amount of the debt is taken to be the amount of the withholding component of the CCS/ACCS amount (see subsection (4) ); and

(b) the amount of the fee reduction component of the CCS/ACCS amount (see subsection (5) ) is a debt due to the Commonwealth by the provider.

71F(4)
The withholding component of the CCS/ACCS amount is the amount that would be the withholding amount under subsection 67EB(3) , if it were assumed that:

(a) subsections 67EB(3) and (4) applied for the purposes of this section; and

(b) references to a payment in subsection 67EB(3) were instead references to the CCS/ACCS amount.

71F(5)
The fee reduction component of the CCS/ACCS amount is the CCS/ACCS amount less the withholding component of the CCS/ACCS amount.

View history note

History

S 71F substituted by No 38 of 2023, s 3 and Sch 1 item 2, applicable in relation to a session of care that is provided on a day that occurs on or after 29 June 2023. S 71F formerly read:

SECTION 71F Debts in respect of CCS or ACCS for individual - provider at fault
71F
If:

(a) an individual is paid an amount of CCS or ACCS for one or more sessions of care provided by a child care service of a provider; and

(b) all or part of the amount (the attributable amount ) is paid to the individual because the provider has:

(i) made a false or misleading statement; or

(ii) failed to comply with the family assistance law; and

(c) the individual incurs a debt under subsection 71B(1) or 71C(1) that is wholly or partly comprised of the attributable amount;
then:

(d) the individual is taken not to have incurred as a debt under subsection 71B(1) or 71C(1) so much of the amount of the debt as is equal to the attributable amount; and

(e) the attributable amount is instead a debt due to the Commonwealth by the provider.

S 71F substituted by No 125 of 2019, s 3 and Sch 2 item 2, effective 13 December 2019. S 71F formerly read:

SECTION 71F Debts in respect of CCS or ACCS for individual - provider at fault
71F(1)
The Secretary may make a determination for an individual and a provider in the circumstances referred to in subsection (2). If the Secretary does so:

(a) the individual is taken not to have incurred a debt that, apart from the determination, was incurred by the individual under subsection 71B(1) or 71C(1); and

(b) the amount of the debt is instead a debt due to the Commonwealth by the provider.

71F(2)
The circumstances are that:

(a) the provider:

(i) makes a false or misleading statement; or

(ii) fails to comply with the family assistance law; and

(b) because of the statement or failure, the individual is paid an amount of CCS or ACCS for one or more sessions of care provided by a child care service of the provider; and

(c) the individual incurs a debt under subsection 71B(1) or 71C(1) in relation to the payment.

S 71F substituted by No 22 of 2017, s 3 and Sch 1 item 97, effective 2 July 2018. For application, saving and transitional provisions, see note under Pt 3A heading. S 71F formerly read:

SECTION 71F Debts arising under more than one provision
71F(1)
If:

(a) a debt is due to the Commonwealth by an individual under subsection 71B(1) or section 71C; and

(b) part or all of the amount of the debt is attributable to a false or misleading statement etc. made by an approved child care service as referred to in section 71E; and

(c) a debt is due by the service to the Commonwealth under section 71E in respect of the false or misleading statement etc.;
the amount of the debt due by the individual under subsection 71B(1) or section 71C that is also a debt owed by the service under subsection 71E is, despite the operation of subsection 71B(1) or section 71C, not an amount of the debt owed by the individual.

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History

S 71F(1) amended by No 30 of 2003, s 3 and Sch 2 item 28, by substituting " subsection 71B(1) or section 71C " for " section 71B or 71C " (wherever occurring), effective 15 April 2003.

71F(2)
If:

(a) a debt is due to the Commonwealth by an approved child care service under subsection 71B(1) or section 71C; and

(b) part or all of the amount of the debt is attributable to a false or misleading statement by an individual as referred to in section 71D; and

(c) a debt is due by the individual to the Commonwealth under section 71D in respect of the false or misleading statement;
the amount of the debt due by the service under subsection 71B(1) or section 71C that is also a debt owed by the individual under section 71D is, despite the operation of subsection 71B(1) or section 71C, not an amount of the debt owed by the service.

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History

S 71F(2) amended by No 30 of 2003, s 3 and Sch 2 item 28, by substituting " subsection 71B(1) or section 71C " for " section 71B or 71C " ' (wherever occurring), effective 15 April 2003.

S 71F inserted by No 45 of 2000, s 3 Sch 2 item 78, effective 1 July 2000. For transitional provisions see note under s 69.