Views on Child Support Needed

September 3, 2010 New Zealand Finance

The First Ride Is Always FreeA new consultation process has been launched to determine changes that are required to make New Zealand’s child support more fair and equitable.

The New Zealand Inland Revenue Department (IRD) has announced that it has launched a new initiative to determine the ideal national structure of the child support system, including the formulas used to determine payments, penalties and debt rules. The proposed changes are outlined in a Government paper Support Children, released on September 2nd.

Announcing the need for a change in the child support system, Peter Dunne, Revenue Minister of New Zealand, said “The reality is that family life in New Zealand has changed considerably in the 18 years since the current scheme was introduced.” He added that families’ financial situations are now more complicated then when the child support laws were introduced, requiring an update. He added that it is more common to see separated parents to take greater involvement in children’s upbringing, further adding to the antiquity of the present laws.

Peter Dunne said that ultimately it would be better that systems were instated for separating parents that would place child support as a last resort and not a first option. However, when the child support scheme is required, Peter Dunne said that he wants to see “a situation where paying parents are more likely to comply with their obligations voluntarily.”

The discussion documents can be found on the IRD’s website.

Photo by Cristian V.