(1) Schedule 1, page 4 (after line 6), after item 3, insert:

3A Section 70

Repeal the section, substitute:

(1) Subject to subsection (2), if an amount has been paid by way of family assistance, the amount is a debt due to the Commonwealth only to the extent to which a provision of:

(2) Where an overpayment is made and:

(2) Schedule 1, page 4 (after line 6), after item 3, insert:

3B At the end of paragraph 77(1)(f)

Add “including the fair instalment repayment options provided for in section 91; and

(3) Schedule 1, page 4 (after line 6), after item 3, insert:

3C After subsection 77(1)

Insert:

(1A) Where a person does not notify the Secretary of a choice in accordance with paragraph (1)(fa) within 10 working days of receipt of notification of the right to make a choice of repayment method, the Secretary may determine the method of repayment.

(4) Schedule 1, page 4 (after line 6), after item 3, insert:

3D Subsection 82(1)

Before “recoverable”, insert “, subject to the Secretary first offering the person the options outlined in paragraph 77(1)(f),”.

(5) Schedule 1, page 4 (after line 6), after item 3, insert:

3E Subsection 87(1)

After “may”, insert “with the prior written consent of the person”.

(6) Schedule 1, page 4 (after line 6), after item 3, insert:

3F At the end of section 87

Add:

(5) Where a person has accrued a debt as a result of deliberate misrepresentation or omission, the Secretary may, without the consent of the person, direct the Commissioner of Taxation to apply the whole or part of the person's income tax refund to the debt.

(7) Schedule 1, page 4 (after line 6), after item 3, insert:

3G At the end of section 91

Add:

(6) In this section, where an overpayment has been made and the overpayment was not caused by deliberate fraud or omission by or on behalf of the person receiving the payment, then the arrangement entered into under subsection (1) or (1A) must not (unless the debtor agrees) require repayment: