Financial abuse reforms announced by the federal government aim to stop perpetrators of domestic and family violence from using the tax, superannuation and child support systems to control victim-survivors. The government says it supports, or supports in principle, 58 of 61 recommendations from a parliamentary inquiry.
What the government announced on 14 October
Ministers tabled the government’s response to the Parliamentary Joint Committee on Corporations and Financial Services inquiry into financial abuse. A consultation paper on the financial abuse reforms was also released. It explores targeted relief for people harmed by coercion, fraud or abusive conduct in the tax and social security systems.
Financial abuse reforms: what is proposed and what is coming
- Debt transfer (proposed). The government will consult on giving family courts more flexibility to transfer a tax or social security debt to the spouse responsible for the abuse. Attorney-General Michelle Rowland said victim-survivors would no longer need to engage the ATO’s administrative processes.
- Social security debts. Services Australia’s powers will be expanded to waive social security debts incurred because of family and domestic violence.
- Super death benefits. Draft legislation to stop perpetrators receiving a victim’s super death benefits is due later this year.
- New self-managed super funds. The ATO will be able to stop rollovers into newly established funds where fraud, financial abuse, misconduct or consumer harm is suspected.
- Coerced directorships. Draft legislation to protect people pressured into company director roles, and the liabilities that come with them, will go to consultation later this year. Assistant Minister Andrew Leigh said “a company directorship should be a position of responsibility”.
- Child support. More than $180 million will fund an overhaul of the child support system to close loopholes that enable financial abuse. Legislation was introduced in September 2026.
What happens next
The announcement said Assistant Treasurer Daniel Mulino would host a series of roundtables on the financial abuse reforms in Sydney in October, with regulators, industry bodies, advocates, financial counsellors and legal clinics, to discuss the path forward. The announcement does not say which three recommendations are not supported, and it does not give a closing date for the consultation paper, so check Treasury’s consultation page for updates on the financial abuse reforms.
If you or someone you know is experiencing domestic, family or sexual violence, 1800RESPECT is available on 1800 737 732. The Men’s Referral Service on 1300 766 491 is available for anyone concerned about their own behaviour.
Related: Child Support National Enforcement List: Big Budgets, Legal Bills, and Parents Left to Fight
General information only, not legal advice. Check the official source before acting.
Source: Department of Social Services. Licence: CC BY 4.0.
