A father seeking a reduction in child support payments by arguing that his children’s mother has access to a hidden asset pool worth more than $250,000 a year has been turned down by a judge.
The parents, who separated around 10 years ago, have been locked in an ongoing dispute that has seen 11 child support reviews sought between them.
The boys, aged 14 and 15, live in the day-to-day care of their mother in Christchurch. They spend time with their father fortnightly and during school holidays, averaging 100 to 101 nights a year.
Because this falls just short of the 102-night threshold, the father is not recognised as a carer under the Child Support Act 1991, which impacts the formula assessment of payments.
The father applied to the Family Court for a departure from the Inland Revenue Department (IRD) formula assessment, claiming the current payments are unjust and unfair. He argued that while the mother claims to have little personal income, she is involved as a director, shareholder, trustee, and beneficiary in a network of companies and trusts connected to her father.
