The Divorce Act Changes Explained
Provincial child support service
Deeming of income
(Section 25.1(1.2), Divorce Act)
Deeming of income
(1.2) For the purposes of subsection (1), if a spouse does not provide the income information, a provincial child support service may deem the income of that spouse to be the amount determined in accordance with the method of calculation set out in the law of the province or, if no such method is specified, in accordance with the method prescribed by the regulations.
None.
What is the change
This amendment allows a provincial child support service to deem the income of a spouse if they do not disclose appropriate income information. The deeming of income must be done in accordance with a method of calculation set out in provincial law. If provincial law provides no such method of calculation, Divorce Act regulations will apply.
Reason for the change
Previously, in cases where there was a Divorce Act order, provincial child support services were not allowed to deem the income of a spouse who did not provide income information. This created serious problems for child support services; some spouses deliberately withheld their income information preventing recalculation and sometimes denying children adequate support. The new approach ensures that the recalculation officer follows a specific method to deem income and that no discretion is used in the deeming process. Most provinces and territories calculate deemed income using a method set out under their laws. If provinces and territories do not have a method set out in their laws, regulations under the Divorce Act would apply.
When
March 1, 2021.
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