What is the test for reducing income for the purpose of avoiding child support obligations?

Prince Edward Island, Canada


The following excerpt is from A.E.F. v. L.A.F., 2011 PESC 23 (CanLII):

The applicant accepts that a parent is not permitted to take deliberate steps to reduce his or her income for the purpose of avoiding support obligations. Where a parent has engaged in such a deliberate course of action, the court will impute income in addition to that which has been reported by the parent. (Underhay v. MacDonald, [2004] P.E.I.J. No. 98 at para. 19.)

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