6.4.1 Overview of Reconciliation
This section gives an overview of reconciliation.
Reconciliation is the process of determining an individual's eligibility for FTB and/or CCB. The process also determines an individual's correct rate of payment for the relevant income year (1.1.R.23). Depending on an individual's circumstances, this involves comparing the FTB and/or CCB received during the relevant income year, based on their estimated ATI (1.1.A.20), maintenance income (1.1.M.10) (for FTB), and child care usage (for CCB), with their actual entitlement based on their:
- actual ATI (provided in part by the ATO),
- actual maintenance income (FTB Part A only), and
- Statements of Child Care Usage (1.1.S.120) or Attendance Record Reports (1.1.A.115) submitted by approved services (1.1.A.90).
The purpose of reconciliation is to determine whether an individual was eligible to receive payment and, if so, whether they received their correct entitlement.
An adjustment takes place in cases where reconciliation shows a difference between the amount of FA the individual received, based on estimated income, and their correct entitlement, based on actual income.
The following table shows where more information on reconciliation can be found.
|Subject||For more information refer to|
|General information about reconciliation||184.108.40.206 Reconciliation Process|
|Information about the FTB Part A supplement||220.127.116.11 Reconciliation Process|
|How ATI is verified||18.104.22.168 Verification of Adjusted Taxable Income|
|Treatment of individuals who have had periods on income support during the relevant income year||22.214.171.124 Income Test Exemptions for Individuals in Receipt of Income Support|
|How maintenance income affects reconciliation||126.96.36.199 FTB Reconciliation Due to Maintenance Income|
|How the Maintenance Action Test affects reconciliation||188.8.131.52 Impact of Maintenance Action Test on FTB Reconciliation|
|How reconciliation is undertaken for CCB||184.108.40.206 CCB Reconciliation & Child Care Usage/Attendance Information|
|When an individual is not required to lodge a tax return||220.127.116.11 Valid Reasons for Not Lodging a Tax Return|
|Treatment of individuals who are required to lodge a tax return but do not do so||18.104.22.168 Non-lodger Process|
|Raising of debts due to not lodging a tax return where required to do so||22.214.171.124 Outcomes of Non-lodger Process|
|Reconciliation for an individual who has been in the same relationship throughout the relevant income year||126.96.36.199 Reconciliation - Current Partners|
|Reconciliation for an individual who separates from a partner during the relevant income year||188.8.131.52 Reconciliation - Ex-partners|
|Reconciliation where ex-partners do not lodge a tax return||184.108.40.206 Reconciliation - Ex-partners|
|Reconciliation where an individual dies||220.127.116.11 Death of Individual|
|Reconciliation where a partner dies||18.104.22.168 Death of Partner|
|Reconciliation where an FTB child dies||22.214.171.124 Death of FTB or Regular Care Child|
Act reference: FA(Admin)Act section 105 Secretary may review certain decisions on own initiative