Income from child support and spousal maintenance

• Income Child support and spousal maintenance income
• The Maintenance Income Test
• The Maintenance Action Test
• The Maintenance Income Free Area
• Find out more about the Maintenance Income Test

Child support and spousal maintenance income

For Family Tax Benefit Part A purposes, child support means financial support you receive from a child’s parent.

For Family Tax Benefit Part A purposes, spousal maintenance means financial support you receive from an ex-partner for your support.

Child support and spousal maintenance may include payments of cash, including lump sums, non-cash amounts and payments made to 3rd parties, for example, payments of mortgage, rent or school fees.

For Youth Allowance, ABSTUDY and Assistance for Isolated Children purposes, child support and spousal maintenance means:

• if you are a parent or guardian, any financial support you receive in the relevant financial year from an ex-partner for your support, or for a child not in your ex-partner's care - this income is counted for the Youth Allowance, ABSTUDY and Assistance for Isolated Children (AIC) parental income test. However, child support and spousal maintenance paid by a parent is deducted from their taxable income.
• financial support you receive from an ex-partner for the support of your partner or a child not in your ex-partner's care - this income is counted for the Youth Allowance and ABSTUDY partner income test.

Child support and spousal maintenance for Youth Allowance, ABSTUDY and Assistance for Isolated Children (AIC) purposes may include payments of cash, including lump sums, non-cash amounts and payments made to third parties, for example payments of mortgage, rent or school fees.

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The Maintenance Income Test

The Maintenance Income Test applies to Family Tax Benefit Part A. It is separate from the ordinary income test and applies to both child support and spousal maintenance collected by the Child Support Agency, collected privately, and non-cash amounts. You are exempt from the Maintenance Income Test if you are receiving a Blind Pension.

Go to the Maintenance Income Test page on our website.

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the Maintenance Action Test

To get more than the base rate of Family Tax Benefit Part A for children of a previous relationship, reasonable action to obtain child support must be taken. This is known as the Maintenance Action Test. Blind pensioners are exempt from the Maintenance Action Test.

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The Maintenance Income Free Area

The Maintenance Income Free Area is the amount of child support and spousal maintenance you can receive before your Family Tax Benefit Part A payment is reduced. Child support and spousal maintenance income above the free area reduces your Family Tax Benefit Part A payment by 50 cents in the dollar until the base child rate of Family Tax Benefit Part A is reached. Any child support and/or spousal maintenance you receive for expenses because of a child's disability or learning difficulty does not reduce Family Tax Benefit Part A at all.

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Find out more about the Maintenance Income Test

For more information about the Maintenance Income Test, phone the Family Assistance Office on 13 6150 or find your nearest Family Assistance Office in a Centrelink Customer Service Centre.

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