How does Scaling work?

We just got our results back, which is great, but I've been hearing mixed answers as to if they are scaled or not? From my understanding they are but some people are saying they are not. Also, to calculate our ATAR do they then take the overall result of the cohort and scale in your final score?

For example I got an 85 in methods as my lowest mark, but is that mark already scaled and my higher marks will count towards my ATAR or will it contribute to the scaling of my ATAR as methods is a "high-scaling subject"?