4.4.6 Income support claim pending for FTB or regular care child

Pending claim

A reassessment of entitlement is required where an FTB or regular care child makes a claim for a:

• social security pension (1.1.S.90) or benefit (1.1.S.60), or
• LMP (1.1.L.10) payment, or
• prescribed educational scheme (1.1.P.100) payment where the child is aged 16 or more.

Centrelink must:

• cancel the individual's FTB entitlement if the child is the individual's only FTB or regular care child, or
• vary the daily rate of the individual's FTB entitlement so that no FTB is paid for the child who has claimed one of the specified payments.

Date of effect of cancellation

The date of effect of the cancellation or rate reduction is the day after the end of the last instalment period before the variation takes place (for example, date paid to plus 1) or at a later date as determined by the Secretary.

Child's claim rejected

If the FTB or regular care child's claim for payment, as set is rejected, the FTB cancellation or rate reduction determination must be varied. The date of effect of this variation is the date of effect of the FTB cancellation or rate reduction. The variation restores the determination that applied before the cancellation or rate reduction was made.

Claim rejected for reason that would affect FTB entitlement

If the FTB or regular care child's claim for payment was rejected, withdrawn or taken not to have been made, because of a personal circumstance that would affect the FTB individual's eligibility for that child, their FTB must be reassessed from the date the change in the child's circumstances occurred. As a result, the lower rate or cancellation of entitlement takes effect from the day the change in the child's circumstances affected entitlement for FTB.