Shadow treasurer Jim Chalmers has accused the Morrison government of "hounding" families over child care payments, adding to their financial stresses in the run up to Christmas.
A News Corp investigation has found the new child care rebate system is in chaos with mums and dads having been wrongly ordered to pay back up to $5000 in subsidy payments.
Meanwhile, some parents owed money by the government - because they were underpaid the subsidy last year - still haven't got their cash, the Herald Sun newspaper reports.
"Australian families are doing it tough enough without this extra stress from the Morrison government," Dr Chalmers told reporters in Brisbane on Sunday.
"It is hard enough for families to make ends meet at Christmas without the government hounding them and putting extra pressure on them chasing these kinds of debts."
A Department of Human Services spokesperson told the newspaper a delay in processing outcomes was because "we've taken a measured and careful approach to this process".
Australian Associated Press