A report on Services Australia’s implementation of changes to its income compliance program in 2019 and 2020 has been released by the Commonwealth Ombudsman, Michael Manthorpe.
Mr Manthorpe said his office’s investigation sought assurances that Services Australia’s processes for identifying and refunding debts raised using income averaging was, and continues to be, fair and transparent.
“My office previously investigated this program in 2017 and 2019,” Mr Manthorpe said.
“The focus of the current report is on steps taken by Services Australia to remediate issues following the Government’s announcement on 19 November 2019 that Services Australia would no longer raise debts solely based on averaged income information received from the Australian Taxation Office.”
Mr Manthorpe noted that legal proceedings involving the issue were ongoing.
“This report does not traverse the matters of law subject to those proceedings,” he said.
“Rather, its focus is on how the debt refund process, impacting several hundred thousand Australians, has actually been administered.”
He said his report made nine recommendations focusing on communication, remediation of debts, reviews of debts, and possible future activities.
Mr Manthorpe said it also made seven additional comments where the issues raised no longer required action, but provided lessons for the future.
“I am pleased that Services Australia accepted seven of the nine recommendations,” Mr Manthorpe said.
The Ombudsman’s 52-page report can be accessed at this PS News link.
