Politics · Australia · 13 hrs ago
Australia considers shifting abuse-related debts to perpetrators
Australia’s federal government is consulting on shifting abuse-related debts from victim-survivors to the spouse responsible for financial abuse.
The proposal would let courts transfer tax or social security debts during family law proceedings.
Financial abuse can involve using these systems to create debts as part of coercive control, leaving people with financial insecurity after a relationship ends.
The government also wants to prevent perpetrators of family and domestic violence from receiving a victim’s superannuation death benefit.
It plans to give the tax office powers to stop some super transfers when there are concerns about abuse, fraud or harm.
The changes are part of the government’s response to a parliamentary inquiry and include measures on coerced company directorships and child support.
Draft legislation is due for consultation later this year, while the government also plans to expand powers to waive some social security debts linked to family and domestic violence.
Australia’s federal government is consulting on giving courts more flexibility to transfer tax or social security debts caused by financial abuse to the spouse responsible.
The proposal would apply in family law proceedings.
The reforms are part of the government’s response to a parliamentary inquiry into financial abuse.
Other announced measures include restricting perpetrators’ access to victims’ superannuation death benefits and preventing some superannuation rollovers.
The government says financial abuse can leave victim-survivors with debts, financial insecurity and lost opportunities after a relationship ends.
- Who
- Australia’s federal government is consulting on the proposal.
- What
- Courts could be given greater flexibility to transfer tax or social security debts linked to financial abuse to the spouse responsible.
- When
- Announced on October 14, 2026.
- Where
- Australia.
- Why
- The government says financial systems should not be used as tools for abuse and the reforms respond to a parliamentary inquiry into financial abuse.
This story does not have two clearly opposing sides.
The government introduced legislation to close child support system loopholes that facilitated financial abuse and coercive behaviour.
ABC News reported that Assistant Treasurer Daniel Mulino was taking steps to combat financial abuse.
The federal government announced consultation on transferring some tax or social security debts to the spouse responsible for financial abuse.
The government said draft legislation on preventing perpetrators from receiving victims’ superannuation death benefits would be released.
- Debt types
- Tax or social security debts
- Parliamentary inquiry
- Parliamentary Joint Committee inquiry into financial abuse
- Child support investment
- More than $180 million
- Women affected
- One in six
- Men affected
- One in 13
What people are saying
Financial abuse is often one part of a broader pattern of coercion, control and abuse designed to remove a person's independence and limit their choices
We have a responsibility to ensure our financial systems cannot be used as a tool for abuse, and that victim-survivors receive the support they need to rebuild their lives
Once money leaves the safety of larger institutional super funds and moves into a self-managed fund, it can be very difficult to recover
We need to address the risks built into the system, identify abuse before people's savings are transferred, and make sure the professionals people rely on aren't enabling that abuse