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Social Security Amendment (Further Simplification) Act 2004

  • - C2004A01258
  • In force - Latest Version
Act No. 23 of 2004 as made
An Act to amend the Social Security Act 1991, and for related purposes
Administered by: Social Services
Originating Bill: Social Security Amendment (Further Simplification) Bill 2003
Date of Assent 25 Mar 2004
Table of contents.
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1 Short title
2 Commencement
Expand 3 Schedule(s)3 Schedule(s)
1070 When this Part applies
1070A Effect of this Part
1070B Qualification—general rule
1070C Common requirements (about aged care residence, home ownership and rent)
1070D Specific requirement (carer payments and certain age, disability support and wife pensions)
1070E Specific requirement (bereavement allowance, widow B pension and certain parenting payments)
1070F Specific requirement (certain disability support pensions)
1070G Specific requirement (youth allowance)
1070H Specific requirement (mature age allowance under Part 2.12B, newstart allowance, partner allowance, sickness allowance or widow allowance)
1070J Specific requirement (certain parenting payments)
1070K Rate depends on social security payment and family situation
1070L Rate for carer payments and certain age, disability support and wife pensions
1070M Rate for bereavement allowance, widow B pension and certain parenting payments
1070N Rate for disability support pension (person aged under 18)
1070P Rate for disability support pension (person aged between 18 and 21)
1070Q Rate for youth allowance, mature age allowance under Part 2.12B, newstart allowance, partner allowance, sickness allowance and widow allowance
1070R Rate for certain parenting payments
1070S Division has effect for purposes of Part
1070T Rent threshold amount
1070U Fortnightly rent
1070V Rent paid by a member of certain couples
1070W Partner with a rent increased pension
1070X Partner with a rent increased benefit
Expand 1070Y Indexation of certain amounts for CPI increases before commencement1070Y Indexation of certain amounts for CPI increases before commencement
1161A Application of Part to supplementary compensation affected payments

 

 

 

 

 

 

Social Security Amendment (Further Simplification) Act 2004

 

No. 23, 2004

 

 

 

 

 

An Act to amend the Social Security Act 1991, and for related purposes

  

  


Contents

1............ Short title............................................................................................ 1

2............ Commencement.................................................................................. 2

3............ Schedule(s).......................................................................................... 2

Schedule 1—Rent assistance                                                                                           3

Social Security Act 1991                                                                                            3

Schedule 2—Miscellaneous                                                                                            30

Social Security Act 1991                                                                                          30

 


 

 

Social Security Amendment (Further Simplification) Act 2004

No. 23, 2004

 

 

 

An Act to amend the Social Security Act 1991, and for related purposes

[Assented to 25 March 2004]

The Parliament of Australia enacts:

1  Short title

                   This Act may be cited as the Social Security Amendment (Further Simplification) Act 2004.

2  Commencement

             (1)  Each provision of this Act specified in column 1 of the table commences, or is taken to have commenced, on the day or at the time specified in column 2 of the table.

 

Commencement information

Column 1

Column 2

Column 3

Provision(s)

Commencement

Date/Details

1.  Sections 1 to 3 and anything in this Act not elsewhere covered by this table

The day on which this Act receives the Royal Assent.

25 March 2004

2.  Schedule 1

1 July 2004.

1 July 2004

3.  Schedule 2, items 1 to 17

1 July 2004.

1 July 2004

4.  Schedule 2, items 18 to 34

The day on which this Act receives the Royal Assent.

25 March 2004

5.  Schedule 2, items 35 and 36

1 July 2004.

1 July 2004

6.  Schedule 2, item 37

The day on which this Act receives the Royal Assent.

25 March 2004

Note:          This table relates only to the provisions of this Act as originally passed by the Parliament and assented to. It will not be expanded to deal with provisions inserted in this Act after assent.

             (2)  Column 3 of the table is for additional information that is not part of this Act. This information may be included in any published version of this Act.

3  Schedule(s)

                   Each Act that is specified in a Schedule to this Act is amended or repealed as set out in the applicable items in the Schedule concerned, and any other item in a Schedule to this Act has effect according to its terms.


 

Schedule 1Rent assistance

  

Social Security Act 1991

1  Paragraphs 23(4AA)(f) and (g)

Repeal the paragraphs, substitute:

                      (f)  1070W;

                     (g)  1070X;

2  Paragraph 1061P(1)(c)

Repeal the paragraph, substitute:

                     (c)  the applicable rate for item 2 of the table in section 1070L (rent assistance).

3  Paragraph 1061P(2)(c)

Repeal the paragraph, substitute:

                     (c)  the applicable rate for item 1 of the table in section 1070L (rent assistance).

4  Point 1064‑A1 (method statement, step 3)

Omit “(using MODULE D)”, substitute “in accordance with paragraph 1070A(b)”.

5  Point 1064‑A2

Omit “(see points 1064‑D7 and 1064‑D8 below)”, substitute “(see section 1070V)”.

6  Section 1064 (Module D)

Repeal the Module.

7  Point 1066‑A1 (method statement, step 3)

Omit “(using MODULE D)”, substitute “in accordance with paragraph 1070A(b)”.

8  Point 1066A‑A2

Omit “(see points 1066A‑EA14, 1066A‑EA15, 1066A‑EB15 and 1066A‑EB16 below)”, substitute “(see section 1070V)”.

9  Section 1066 (Module D)

Repeal the Module.

10  Point 1066A‑A1 (method statement, step 4)

Omit “(using MODULE EA if the person is under 18, or MODULE EB if the person is at least 18)”, substitute “in accordance with paragraph 1070A(b)”.

11  Section 1066A (Modules EA and EB)

Repeal the Modules.

12  Point 1067G‑A1 (method statement, step 3)

Omit “(if any) for rent assistance using Module D below”, substitute “per fortnight (if any) for rent assistance in accordance with paragraph 1070A(a)”.

13  Section 1067G (Module D)

Repeal the Module.

14  Point 1068‑A1 (method statement, step 3)

Omit “(if any) for rent assistance (using MODULE F)”, substitute “per fortnight (if any) for rent assistance in accordance with paragraph 1070A(a)”.

15  Section 1068 (Module F)

Repeal the Module.

16  Paragraphs 1068A(5)(c) and (d)

Repeal the paragraphs.

17  Point 1068A‑A1 (method statement, step 3)

Omit “using Module D below”, substitute “in accordance with paragraph 1070A(b)”.

18  Section 1068A (Module D)

Repeal the Module.

19  Point 1068B‑A2 (method statement, step 2)

Omit “using Module F below”, substitute “in accordance with paragraph 1070A(a)”.

20  Point 1068B‑A3 (method statement, step 2)

Omit “using Module F below”, substitute “in accordance with paragraph 1070A(a)”.

21  Section 1068B (Module F)

Repeal the Module.

22  After Part 3.6A

Insert:

Part 3.7Rent assistance

Division 1Operation of this Part

1070  When this Part applies

                   This Part applies if the rate of a person’s social security payment is to be calculated in accordance with any of the following Rate Calculators:

                     (a)  Pension Rate Calculator A (carer payments and certain age, disability support and wife pensions);

                     (b)  Pension Rate Calculator C (bereavement allowance and widow B pension);

                     (c)  Pension Rate Calculator D (certain disability support pensions);

                     (d)  Youth Allowance Rate Calculator;

                     (e)  Benefit Rate Calculator B (mature age allowance under Part 2.12B and newstart, partner, sickness and widow allowance);

                      (f)  Pension PP (Single) Rate Calculator or Benefit PP (Partnered) Rate Calculator (parenting payments).

1070A  Effect of this Part

                   If a person to whom this Part applies qualifies for rent assistance in accordance with Division 2, to help cover the cost of rent:

                     (a)  if paragraph (b) does not apply—the amount per fortnight worked out in accordance with Division 3 is added to the person’s maximum basic rate for the social security payment; or

                     (b)  if the rate of the person’s social security payment is to be calculated in accordance with Pension Rate Calculator A, C or D, or the Pension PP (Single) Rate Calculator—the amount per fortnight worked out in accordance with Division 3 is multiplied by 26 to calculate an amount per year and the amount per year is added to the person’s maximum basic rate for the social security payment.

Division 2Qualification for rent assistance

1070B  Qualification—general rule

                   A person qualifies for rent assistance if the person satisfies:

                     (a)  the common requirements set out in section 1070C; and

                     (b)  any specific requirement, set out in a later section of this Division, applicable to the person’s social security payment.

1070C  Common requirements (about aged care residence, home ownership and rent)

                   The common requirements are that:

                     (a)  the person is not an aged care resident, and is not taken to be an aged care resident for the purposes of the Rate Calculator concerned; and

                     (b)  the person is not an ineligible homeowner; and

                     (c)  the person pays, or is liable to pay, rent, other than Government rent, in respect of a period in respect of premises in Australia; and

                     (d)  the person’s fortnightly rent is more than the rent threshold amount (see section 1070T).

1070D  Specific requirement (carer payments and certain age, disability support and wife pensions)

             (1)  If the rate of the person’s social security payment is to be calculated in accordance with Pension Rate Calculator A and subsection (2) applies, the specific requirement applicable to the person’s social security payment is that set out in subsection (3).

             (2)  This subsection applies if:

                     (a)  the following conditions are satisfied:

                              (i)  the person is not a member of a couple, or is a member of an illness separated couple, a respite care couple or a temporarily separated couple;

                             (ii)  the person is entitled to be paid family tax benefit; or

                     (b)  the following conditions are satisfied:

                              (i)  the person is a member of a couple, other than an illness separated couple, a respite care couple or a temporarily separated couple;

                             (ii)  the person, or the person’s partner, is entitled to be paid family tax benefit.

             (3)  The specific requirement is that:

                     (a)  in a paragraph (2)(a) case—the person’s maximum Part A rate of family tax benefit does not include rent assistance; and

                     (b)  in a paragraph (2)(b) case—the maximum Part A rate of family tax benefit of the person, or the person’s partner, does not include rent assistance.

1070E  Specific requirement (bereavement allowance, widow B pension and certain parenting payments)

                   If:

                     (a)  the rate of the person’s social security payment is to be calculated in accordance with Pension Rate Calculator C or the Pension PP (Single) Rate Calculator; and

                     (b)  the person is entitled to be paid family tax benefit;

the specific requirement applicable to the social security payment is that the person’s maximum Part A rate of family tax benefit does not include rent assistance.

1070F  Specific requirement (certain disability support pensions)

             (1)  If the rate of the person’s social security payment is to be calculated in accordance with Pension Rate Calculator D, the specific requirement applicable to the social security payment is that the person complies with subsection (2) or (3).

Person who has not turned 18

             (2)  The person complies with this subsection if:

                     (a)  the person has not turned 18; and

                     (b)  one of the following applies:

                              (i)  the person is a member of a couple and, if the person’s partner is living with the person in their home, the person’s partner is not receiving incentive allowance;

                             (ii)  the person is in disability accommodation;

                            (iii)  the person is independent;

                            (iv)  the person is living away from the person’s parental home because of a medical condition of the person; and

                     (c)  if:

                              (i)  the person is not a member of a couple, or is a member of an illness separated couple, a respite care couple or a temporarily separated couple; and

                             (ii)  the person is entitled to be paid family tax benefit;

                            the person’s maximum Part A rate of family tax benefit does not include rent assistance; and

                     (d)  if:

                              (i)  the person is a member of a couple, other than an illness separated couple, a respite care couple or a temporarily separated couple; and

                             (ii)  the person, or the person’s partner, is entitled to be paid family tax benefit;

                            the maximum Part A rate of family tax benefit of the person, or the person’s partner, does not include rent assistance.

Person who has turned 18

             (3)  The person complies with this subsection if:

                     (a)  the person has turned 18; and

                     (b)  one of the following applies:

                              (i)  the person is a member of a couple and, if the person’s partner is living with the person in their home, the person’s partner is not receiving incentive allowance;

                             (ii)  the person is in disability accommodation;

                            (iii)  the person is living away from the person’s parental home permanently or indefinitely; and

                     (c)  if:

                              (i)  the person is not a member of a couple, or is a member of an illness separated couple, a respite care couple or a temporarily separated couple; and

                             (ii)  the person is entitled to be paid family tax benefit;

                            the person’s maximum Part A rate of family tax benefit does not include rent assistance; and

                     (d)  if:

                              (i)  the person is a member of a couple, other than an illness separated couple, a respite care couple or a temporarily separated couple; and

                             (ii)  the person, or the person’s partner, is entitled to be paid family tax benefit;

                            the maximum Part A rate of family tax benefit of the person, or the person’s partner, does not include rent assistance.

             (4)  For the purposes of applying the definition of living away from the person’s parental home in subsection (3), a step‑parent or guardian is taken to be a parent.

1070G  Specific requirement (youth allowance)

             (1)  If the rate of the person’s social security payment is to be calculated in accordance with the Youth Allowance Rate Calculator, the specific requirement applicable to the social security payment is that:

                     (a)  the person:

                              (i)  is independent but is not an accommodated independent person; or

                             (ii)  is not independent and is required to live away from home; and

                     (b)  the person does not have a partner with a rent increased pension; and

                     (c)  if:

                              (i)  the person is not a member of a couple, or is a member of an illness separated couple, a respite care couple or a temporarily separated couple; and

                             (ii)  the person is entitled to be paid family tax benefit;

                            the person’s maximum Part A rate of family tax benefit does not include rent assistance; and

                     (d)  if:

                              (i)  the person is a member of a couple, other than an illness separated couple, a respite care couple or a temporarily separated couple; and

                             (ii)  the person, or the person’s partner, is entitled to be paid family tax benefit;

                            the maximum Part A rate of family tax benefit of the person, or the person’s partner, does not include rent assistance.

             (2)  In this section, accommodated independent person and required to live away from home have the same meanings as in Part 3.5.

1070H  Specific requirement (mature age allowance under Part 2.12B, newstart allowance, partner allowance, sickness allowance or widow allowance)

             (1)  If the rate of the person’s social security payment is to be calculated in accordance with Benefit Rate Calculator B, the specific requirement applicable to the social security payment is that set out in subsection (2).

             (2)  The specific requirement is that:

                     (a)  if the person:

                              (i)  is not a member of a couple; and

                             (ii)  is not living away from the principal home of a parent permanently or indefinitely;

                            the person has turned 25; and

                     (b)  the person does not have a partner with a rent increased pension; and

                     (c)  if:

                              (i)  the person is not a member of a couple, or is a member of an illness separated couple, a respite care couple or a temporarily separated couple; and

                             (ii)  the person is entitled to be paid family tax benefit;

                            the person’s maximum Part A rate of family tax benefit does not include rent assistance; and

                     (d)  if:

                              (i)  the person is a member of a couple, other than an illness separated couple, a respite care couple or a temporarily separated couple; and

                             (ii)  the person, or the person’s partner, is entitled to be paid family tax benefit;

                            the maximum Part A rate of family tax benefit of the person, or the person’s partner, does not include rent assistance.

             (3)  For the purposes of subparagraph (2)(a)(ii), a step‑parent or guardian is taken to be a parent.

1070J  Specific requirement (certain parenting payments)

                   If the rate of the person’s social security payment is to be calculated in accordance with the Benefit PP (Partnered) Rate Calculator, the specific requirement applicable to the social security payment is that:

                     (a)  the person’s partner is not receiving a rent increased pension; and

                     (b)  if:

                              (i)  the person is a member of an illness separated couple, a respite care couple or a temporarily separated couple; and

                             (ii)  the person is entitled to be paid family tax benefit;

                            the person’s maximum Part A rate of family tax benefit does not include rent assistance; and

                     (c)  if:

                              (i)  the person is a member of a couple, other than an illness separated couple, a respite care couple or a temporarily separated couple; and

                             (ii)  the person, or the person’s partner, is entitled to be paid family tax benefit;

                            the maximum Part A rate of family tax benefit of the person, or the person’s partner, does not include rent assistance.

Division 3Rate of rent assistance

1070K  Rate depends on social security payment and family situation

                   A person’s rate of rent assistance depends on the person’s social security payment and the person’s family situation.

1070L  Rate for carer payments and certain age, disability support and wife pensions

             (1)  The person’s rate of rent assistance is worked out under this section if the rate of the person’s social security payment is to be calculated in accordance with Pension Rate Calculator A.

             (2)  Using the following table, work out which family situation applies to the person and calculate rate A for the person using the formula in column 3. This is the person’s rate of rent assistance per fortnight but only up to the person’s maximum rent assistance rate. If the person is not a single person sharing accommodation, the person’s maximum rent assistance rate is rate B worked out using column 4 of the table. If the person is a single person sharing accommodation, the person’s maximum rent assistance rate is two‑thirds of rate B.

 

Rate of rent assistance

Column 1

Item

Column 2

Person’s family situation

Column 3

Rate A

Column 4

Rate B

1

Not a member of a couple

$93.20

2

Partnered and partner does not have rent increased pension

$88.00

3

Partnered and partner:

(a) is receiving a social security pension; and

(b) has rent increased pension

$44.00

4

Partnered and partner:

(a)  is receiving a service pension or income support supplement; and

(b) has rent increased pension; and

(c)  does not have a dependent child or dependent children

$44.00

5

Partnered and partner:

(a)  is receiving a service pension or income support supplement; and

(b) has rent increased pension; and

(c)  has 1 or 2 dependent children

$54.80

6

Partnered and partner:

(a)  is receiving a service pension or income support supplement; and

(b) has rent increased pension; and

(c)  has 3 or more dependent children

$62.00

7

Partnered—member of an illness separated couple

$93.20

8

Partnered—member of a respite care couple

$93.20

9

Partnered—member of a temporarily separated couple

$88.00

10

Partnered (partner in gaol)

$93.20

1070M  Rate for bereavement allowance, widow B pension and certain parenting payments

             (1)  The person’s rate of rent assistance is worked out under this section if the rate of the person’s social security payment is to be calculated in accordance with Pension Rate Calculator C or the Pension PP (Single) Rate Calculator.

             (2)  Using the following table, calculate rate A for the person using the formula in column 2. This will be the person’s rate of rent assistance per fortnight but only up to the person’s maximum rent assistance rate. If the person is not a single person sharing accommodation, the person’s maximum rent assistance rate is rate B worked out using column 3 of the table. If the person is a single person sharing accommodation, the person’s maximum rent assistance rate is two‑thirds of rate B.

 

Rate of rent assistance

Column 1

Item

Column 2

Rate A

Column 3

Rate B

1

$93.20

1070N  Rate for disability support pension (person aged under 18)

             (1)  The person’s rate of rent assistance is worked out under this section if the rate of the person’s social security payment is to be calculated in accordance with Pension Rate Calculator D and the person has not turned 18.

             (2)  Using the table below, work out which family situation applies to the person and calculate rate A for the person using the formula in column 3. This is the person’s rate of rent assistance per fortnight but only up to the person’s maximum rent assistance rate. The person’s maximum rent assistance rate is rate B worked out using column 4 of the table.

 

Rate of rent assistance

Column 1

Item

Column 2

Person’s family situation

Column 3

Rate A

Column 4

Rate B

1

Not a member of a couple and:

(a) in disability accommodation; or

(b) independent

$93.20

2

Partnered and partner does not have rent increased pension

$88.00

3

Partnered and partner:

(a) is receiving a social security pension; and

(b) has rent increased pension

$44.00

4

Partnered and partner:

(a) is receiving a service pension or income support supplement; and

(b) has rent increased pension; and

(c) does not have a dependent child or dependent children

$44.00

5

Partnered and partner:

(a) is receiving a service pension or income support supplement; and

(b) has rent increased pension; and

(c) has 1 or 2 dependent children

$54.80

6

Partnered and partner:

(a) is receiving a service pension or income support supplement; and

(b) has rent increased pension; and

(c) has 3 or more dependent children

$62.00

7

Partnered—member of an illness separated couple

$93.20

8

Partnered—member of a respite care couple

$93.20

9

Partnered—member of a temporarily separated couple

$88.00

10

Partnered (partner in gaol)

$93.20

1070P  Rate for disability support pension (person aged between 18 and 21)

             (1)  The person’s rate of rent assistance is worked out under this section if the rate of the person’s social security payment is to be calculated in accordance with Pension Rate Calculator D and the person has turned 18.

             (2)  Using the table below, work out which family situation applies to the person and calculate rate A for the person using the formula in column 3. This is the person’s rate of rent assistance per fortnight but only up to the person’s maximum rent assistance rate. The person’s maximum rent assistance rate is rate B worked out using column 4 of the table.

 

Rate of rent assistance

Column 1

Item

Column 2

Person’s family situation

Column 3

Rate A

Column 4

Rate B

1

Not a member of a couple and:

(a) in disability accommodation; or

(b) living away from the person’s parental home permanently or indefinitely

$93.20

2

Partnered and partner does not have rent increased pension

$88.00

3

Partnered and partner:

(a) is receiving a social security pension; and

(b) has rent increased pension

$44.00

4

Partnered and partner:

(a) is receiving a service pension or income support supplement; and

(b) has rent increased pension; and

(c) does not have a dependent child or dependent children

$44.00

5

Partnered and partner:

(a) is receiving a service pension or income support supplement; and

(b) has rent increased pension; and

(c) has 1 or 2 dependent children

$54.80

6

Partnered and partner:

(a) is receiving a service pension or income support supplement; and

(b) has rent increased pension; and

(c) has 3 or more dependent children

$62.00

7

Partnered—member of an illness separated couple

$93.20

8

Partnered—member of a respite care couple

$93.20

9

Partnered—member of a temporarily separated couple

$88.00

10

Partnered (partner in gaol)

$93.20

1070Q  Rate for youth allowance, mature age allowance under Part 2.12B, newstart allowance, partner allowance, sickness allowance and widow allowance

             (1)  The person’s rate of rent assistance is worked out under this section if the rate of the person’s social security payment is to be calculated in accordance with the Youth Allowance Rate Calculator or Benefit Rate Calculator B.

             (2)  Using the table below, work out which family situation applies to the person and calculate rate A for the person using the formula in column 3. This is the person’s rate of rent assistance per fortnight but only up to the person’s maximum rent assistance rate. If the person is not a single person sharing accommodation, the person’s maximum rent assistance rate is rate B worked out using column 4 of the table. If the person is a single person sharing accommodation, the person’s maximum rent assistance rate is two‑thirds of rate B.

 

Rate of rent assistance

Column 1

Item

Column 2

Person’s family situation

Column 3

Rate A

Column 4

Rate B

1

Not a member of a couple

$93.20

2

Partnered—partner does not have rent increased benefit

$88.00

3

Partnered—partner has rent increased benefit

$44.00

4

Partnered—member of an illness separated couple

$93.20

5

Partnered—member of a respite care couple

$93.20

6

Partnered—member of a temporarily separated couple

$88.00

7

Partnered (partner in gaol)

$93.20

1070R  Rate for certain parenting payments

             (1)  The person’s rate of rent assistance is worked out under this section if the rate of the person’s social security payment is to be calculated in accordance with Benefit PP (Partnered) Rate Calculator.

             (2)  Using the table below, work out which family situation applies to the person and calculate rate A for the person using the formula in column 3. This is the person’s rate of rent assistance per fortnight but only up to the person’s maximum rent assistance rate. The person’s maximum rent assistance rate is rate B worked out using column 4 of the table.

 

Rate of rent assistance

Column 1

Item

Column 2

Person’s family situation

Column 3

Rate of rent assistance

Column 4

Maximum rate

1

Partnered—partner does not have rent increased benefit

$88.00

2

Partnered—partner has rent increased benefit

$44.00

3

Partnered—member of an illness separated couple

$93.20

4

Partnered—member of a respite care couple

$93.20

5

Partnered—member of a temporarily separated couple

$88.00

6

Partnered (partner in gaol)

$93.20

Division 4Certain concepts used in this Part

1070S  Division has effect for purposes of Part

                   This Division has effect for the purposes of this Part.

1070T  Rent threshold amount

             (1)  If the rate of a person’s social security payment is to be calculated in accordance with Pension Rate Calculator C or the Pension PP (Single) Rate Calculator, the person’s rent threshold amount is $82.80.

             (2)  In any other case, a person’s rent threshold amount is worked out in accordance with subsection (3).

             (3)  First, identify which of sections 1070L, 1070N, 1070P, 1070Q and 1070R applies to work out the rate of rent assistance for the person’s social security payment. Next, identify which family situation in the table in that section applies to the person. The person’s rent threshold amount is the amount in the formula in column 3 of the table, in relation to the family situation, that is deducted from fortnightly rent.

Example:    If a person who is not a member of a couple receives an age pension, the person’s rent threshold amount is worked out as follows. First, identify section 1070L as the section applicable to an age pension. Then identify the family situation in item 1 of the table in that section as applicable to the person. Finally, the person’s rent threshold amount is $82.80, being the amount that, in the formula in column 3 of that table, is deducted from the person’s fortnightly rent. Indexation of the $82.80 has been ignored for the purposes of this example.

1070U  Fortnightly rent

                   Fortnightly rent is the fortnightly rent paid or payable by the person whose rate of social security payment is being calculated.

1070V  Rent paid by a member of certain couples

Rent paid by a member of a couple where person’s partner is living with the person in their home

             (1)  If a person is a member of a couple and the person’s partner is living with the person in their home, any rent that the person’s partner pays or is liable to pay in respect of the home is to be treated as paid or payable by the person.

Rent paid by a member of an illness separated, respite care couple or temporarily separated couple

             (2)  If a person is a member of an illness separated couple, respite care couple or temporarily separated couple, any rent that the person’s partner pays or is liable to pay in respect of the premises or lodgings occupied by the person is to be treated as paid or payable by the person.

1070W  Partner with a rent increased pension

                   A person has a partner with a rent increased pension if:

                     (a)  the partner is living with the person in their home; and

                     (b)  the partner receives a social security pension, service pension or income support supplement; and

                     (c)  the rate of the pension or supplement is increased to take account of rent paid or payable by the person.

1070X  Partner with a rent increased benefit

Youth Allowance Rate Calculator

             (1)  If the rate of a person’s social security payment is to be calculated in accordance with the Youth Allowance Rate Calculator, the person’s partner has a rent increased benefit if the partner:

                     (a)  is living with the person in their home; and

                     (b)  either:

                              (i)  is receiving a social security benefit the rate of which is increased to take account of rent; or

                             (ii)  would be receiving such a benefit but for the amount of the person’s ordinary income reduction under point 1067G‑H31.

Benefit Rate Calculator B

             (2)  If the rate of a person’s social security payment is to be calculated in accordance with Benefit Rate Calculator B, the person’s partner has a rent increased benefit if the partner:

                     (a)  is living with the person in their home; and

                     (b)  either:

                              (i)  is receiving a social security benefit the rate of which is increased to take account of rent; or

                             (ii)  would be receiving such a benefit but for the amount of the person’s ordinary income reduction under point 1068‑G14.

Benefit PP (Partnered) Rate Calculator

             (3)  If the rate of a person’s social security payment is to be calculated in accordance with the Benefit PP (Partnered) Rate Calculator, the person’s partner has a rent increased benefit if the partner:

                     (a)  is living with the person in their home; and

                     (b)  either:

                              (i)  is receiving a social security benefit the rate of which is increased to take account of rent; or

                             (ii)  would be receiving such a benefit but for the application of the income test under Module H of the Youth Allowance Rate Calculator, Module D of the Austudy Payment Rate Calculator, Module G of Benefit Rate Calculator B or Module D of the Benefit PP (Partnered) Rate Calculator.

Division 5Transitional indexation of rent assistance and rent threshold amounts

1070Y  Indexation of certain amounts for CPI increases before commencement

             (1)  If any of the following (the pre‑indexation amount):

                     (a)  an amount in the table in any of sections 1070L to 1070R as inserted by the Social Security Amendment (Further Simplification) Act 2004 (ignoring this section);

                     (b)  the rent threshold amount in subsection 1070T(1) as so inserted;

would have been different, assuming the pre‑indexation amount had (ignoring subsection 1192(5)) been indexed on 20 September 2003 and 20 March 2004 under Division 2 of Part 3.16 of this Act as amended by that Act, then, for the purposes of this Act, the different amount is taken to have been substituted for the pre‑indexation amount in the table or subsection inserted by that Act.

Note:          As a result of the normal operation of Division 2 of Part 3.16, the amounts will then continue to be indexed in line with CPI increases each 20 September and 20 March.

             (2)  The Minister must arrange for a copy of the tables in sections 1070L to 1070R, and a statement of the rent threshold amount in subsection 1070T(1), as affected by subsection (1) of this section to be published in the Gazette as soon as reasonably practicable after the commencement of this Part.

23  Subsection 1188F(8) (method statement, paragraph (b) of step 4)

Omit “Table F in point 1068‑F15”, substitute “the table in section 1070Q”.

24  Subsection 1188F(9) (method statement, paragraph (b) of step 6)

Omit “Table F in point 1068‑F15”, substitute “the table in section 1070Q”.

25  Section 1190 (table items 17, 17A, 18, 18AA, 18A and 18B)

Repeal the items, substitute:

 

17

Rent assistance

Maximum rent assistance for social security payments

MRA

[Part 3.7—sections 1070L and 1070N to 1070R—Table—column 4—all amounts]

[Part 3.7—section 1070M—Table—column 3—amount]

18

Rent threshold amount

RTA

[Part 3.7—sections 1070L and 1070N to 1070R—Table—formulas in column 3—all amounts deducted from fortnightly rent]

[Part 3.7—section 1070M—Table—formula in column 2—amount deducted from fortnightly rent]

[Part 3.7—subsection 1070T(1)—amount]

26  Section 1191 (table items 11, 11A, 12, 12AA, 12A and 12B)

Repeal the items, substitute:

 

11

Rent assistance

MRA

(a) 20 March

(b) 20 September

(a) December

(b) June

highest June or December quarter before reference quarter (but not earlier than June quarter 1979)

$0.20

12

RTA

(a) 20 March

(b) 20 September

(a) December

(b) June

highest June or December quarter before reference quarter (but not earlier than June quarter 1979)

$0.20

27  Subsection 1192(5)

Repeal the subsection, substitute:

             (5)  The first indexation of rent assistance under items 11 and 12 of the CPI Indexation Table in subsection 1191(1) (being those items as substituted by the Social Security Amendment (Further Simplification) Act 2004) is to take place on 20 September 2004.

28  Paragraph 1210(1)(a)

Omit “the rent assistance Module of a Rate Calculator”, substitute “Part 3.7 (rent assistance)”.

29  Paragraph 1210(1)(c)

Omit “the rent assistance Module”, substitute “Part 3.7”.

30  Paragraph 1210(1)(d)

Omit “the rent assistance Module”, substitute “Part 3.7”.

31  Subsection 1210(2) (column 3 of the table)

Repeal the column.

32  Application

The amendments made by this Schedule apply in respect of instalment periods beginning on or after 1 July 2004.


 

Schedule 2Miscellaneous

  

Social Security Act 1991

1  Subsection 5(1) (definition of homeless person)

Repeal the definition.

2  Subsection 5(1) (definition of independent)

Omit “and 3.5”, substitute “, 3.4A, 3.4B, 3.5 and 3.7”.

3  Subsection 5(1) (definition of independent young person)

Repeal the definition.

4  Subsection 17(1) (at the end of the definition of compensation affected payment)

Add:

                ; or (l)  any of the following:

                              (i)  an advance pharmaceutical allowance;

                             (ii)  a telephone allowance, other than a telephone allowance payable to the holder of a seniors health card;

                            (iii)  an employment entry payment;

                            (iv)  an education entry payment;

                             (v)  a pensioner education supplement;

                            where, in order to be qualified for the allowance, payment or supplement, a person must be receiving, or receiving at a particular time, another kind of payment and that other kind of payment (the underlying compensation affected payment) is a compensation affected payment to which any of paragraphs (aa) to (k) applies; or

                    (m)  a fares allowance, where:

                              (i)  if subparagraph 1061ZAAA(1)(b)(i), (ii) or (iii) applies—the allowance or payment (the underlying compensation affected payment) mentioned in that subparagraph is a compensation affected payment to which any of paragraphs (aa) to (k) of this definition applies; or

                             (ii)  if subparagraph 1061ZAAA(1)(b)(iv) applies—in order to be qualified for the supplement mentioned in that subparagraph, a person must be receiving another kind of payment and that other kind of payment (the underlying compensation affected payment) is a compensation affected payment to which any of paragraphs (aa) to (k) of this definition applies; or

                     (n)  a CDEP Scheme Participant Supplement, where the pension, payment or allowance (the underlying compensation affected payment) mentioned in paragraph 1188D(2)(a) is a compensation affected payment to which any of paragraphs (aa) to (k) of this definition applies.

5  Subsection 19A(2) (definition of independent)

Omit “and 3.5”, substitute “, 3.4A, 3.4B, 3.5 and 3.7”.

6  Point 1066A‑B1 (cell at table item 1 of Table B, column 2)

Repeal the cell, substitute:

 

 

Not a member of a couple and person:

(a) is under 18 years of age; and

(b) is not independent; and

(c) is not living away from the person’s parental home because of a medical condition of the person

 

 

 

 

7  Point 1066A‑B1 (cell at table item 2 of Table B, column 2)

Repeal the cell, substitute:

 

 

Not a member of a couple and person:

(a) is under 18 years of age; and

(b) either:

(i) is independent; or

(ii) is living away from the person’s parental home because of a medical condition of the person

 

 

 

 

8  Point 1066A‑B1 (cell at table item 3 of Table B, column 2)

Repeal the cell, substitute:

 

 

Not a member of a couple and person:

(a) has reached 18 years of age; and

(b) is living at home of parent or parents; and

(c) is not independent

 

 

 

 

9  Point 1066A‑B1 (cell at table item 4 of Table B, column 2)

Repeal the cell, substitute:

 

 

Not a member of a couple and person:

(a) has reached 18 years of age; and

(b) either:

(i) is not living at a home of parent or parents; or

(ii) is living at a home of parent or parents, but is independent

 

 

 

 

10  Point 1066A‑B1 (Table B, note 2)

Repeal the note, substitute:

Note 2:       For dependent child and independent see section 5.

11  Point 1066B‑B1 (cell at table item 1 of Table B, column 2)

Repeal the cell, substitute:

 

 

Not a member of a couple and person:

(a) is under 18 years of age; and

(b) is not independent; and

(c) is not living away from the person’s parental home because of a medical condition of the person

 

 

 

 

12  Point 1066B‑B1 (cell at table item 2 of Table B, column 2)

Repeal the cell, substitute:

 

 

Not a member of a couple and person:

(a) is under 18 years of age; and

(b) either:

(i) is independent; or

(ii) is living away from the person’s parental home because of a medical condition of the person

 

 

 

 

13  Point 1066B‑B1 (cell at table item 3 of Table B, column 2)

Repeal the cell, substitute:

 

 

Not a member of a couple and person:

(a) has reached 18 years of age; and

(b) is living at home of parent or parents; and

(c) is not independent

 

 

 

 

14  Point 1066B‑B1 (cell at table item 4 of Table B, column 2)

Repeal the cell, substitute:

 

 

Not a member of a couple and person:

(a) has reached 18 years of age; and

(b) either:

(i) is not living at a home of parent or parents; or

(ii) is living at a home of parent or parents, but is independent

 

 

 

15  Point 1066B‑B1 (Table B, note 2)

Repeal the note, substitute:

Note:          For dependent child and independent see section 5.

16  Subsection 1067(1) (definition of independent, note)

Omit “Part 2.11”, substitute “Parts 2.11, 3.4A, 3.4B and 3.7”.

17  Subsection 1067A(1)

Omit “Part 2.11”, substitute “Parts 2.11, 3.4A, 3.4B and 3.7”

18  Subsection 1083(1)

Omit “receives”, substitute “earns, derives or receives”.

19  Subsection 1083(2)

Omit “receives”, substitute “earns, derives or receives”.

20  After subsection 1106(2) (before note 1)

Insert:

             (3)  Paragraph (1)(a) does not apply if:

                     (a)  the source of the income is a deprived asset, or

                     (b)  the income is earned, derived or received from a transaction involving a deprived asset.

21  Section 1106 (note 1)

Omit “Note 1”, substitute “Note”.

22  Section 1106 (note 2)

Repeal the note.

23  Subsection 1109(1) (note 3)

Repeal the note.

24  Section 1110

Repeal the section.

25  Subsection 1118(1)

After “subparagraph 501E(1)(d)(iv)”, insert “, Division 1B of Part 3.10”.

26  Subsection 1118(2)

After “this Act”, insert “(other than Division 1B of Part 3.10)”.

27  Subsection 1118B(1)

After “subparagraph 263(1)(d)(iv)”, insert “, Division 1B of Part 3.10”.

28  Subsection 1121(1)

After “this Act”, insert “(other than Division 1B of Part 3.10)”.

29  Subsection 1124A(1) (note 3)

Repeal the note.

30  Subsection 1125(1) (note 3)

Repeal the note.

31  Subsection 1125A(1) (note 3)

Repeal the note.

32  Subsection 1126(1) (note 3)

Repeal the note.

33  Subsection 1126A(1) (note 3)

Repeal the note.

34  Subsection 1126B(1) (note 3)

Repeal the note.

35  After subsection 1161(6)

Insert:

          (6A)  Subject to section 1161A, this Part applies to a compensation affected payment to which paragraph (l), (m) or (n) of the definition of that expression in subsection 17(1) applies if:

                     (a)  the compensation is received on or after 1 July 2004; and

                     (b)  either:

                              (i)  if the compensation affected payment to which that paragraph applies is one in respect of which a claim must be made for a person to be qualified for the payment—a claim is made for the payment on or after 1 July 2004; or

                             (ii)  if the compensation affected payment to which that paragraph applies is not one in respect of which a claim must be made for a person to be qualified for the payment—the compensation affected payment is received on or after 1 July 2004.

36  After section 1161

Insert:

1161A  Application of Part to supplementary compensation affected payments

             (1)  For the purposes of this section:

                     (a)  a reference to a supplementary compensation affected payment is a reference to a compensation affected payment to which paragraph (l), (m) or (n) of the definition of compensation affected payment in subsection 17(1) applies; and

                     (b)  a supplementary compensation affected payment relates to any allowance, supplement, pension or payment of a kind that, in the applicable paragraph of the definition of compensation affected payment in subsection 17(1), is labelled as the underlying compensation affected payment.

             (2)  Except as mentioned in this section, this Part does not apply to a supplementary compensation affected payment.

             (3)  If:

                     (a)  as a result of the operation of section 1169, any underlying compensation affected payment to which a supplementary compensation affected payment relates was not payable in relation to the day on which the supplementary compensation affected payment was received; or

                     (b)  as a result of the operation of section 1173 or 1174, the rate of any underlying compensation affected payment to which a supplementary compensation affected payment relates was reduced to nil in relation to the day on which the supplementary compensation affected payment was received; or

                     (c)  the following conditions are satisfied:

                              (i)  the rate of any of the compensation affected payments that would have been made as mentioned in subparagraph 1181(1)(b)(ii) or (2)(d)(ii) or 1184A(2)(c)(ii) or (3)(d)(ii) is nil;

                             (ii)  the compensation affected payment is an underlying compensation affected payment to which a supplementary compensation affected payment relates;

                            (iii)  the underlying compensation affected payment was made in relation to the day on which the supplementary compensation affected payment was received; or

                     (d)  an adverse determination mentioned in subsection 1184I(1) has the effect that:

                              (i)  any underlying compensation affected payment to which a supplementary compensation affected payment relates is cancelled or suspended in relation to the day on which the supplementary compensation affected payment was received; or

                             (ii)  the rate of any underlying compensation affected payment to which a supplementary compensation affected payment relates is reduced to nil in relation to the day on which the supplementary compensation affected payment was received;

then:

                     (e)  in any case—the supplementary compensation affected payment is not payable; and

                      (f)  if paragraph (d) applies—for the purposes of subsection 1184I(1), the amount of the supplementary compensation affected payment is taken to be an amount that the person in relation to whom it was made is liable to pay to the Commonwealth because of the determination.

             (4)  If:

                     (a)  any of:

                              (i)  the payments of the compensation affected payment mentioned in paragraph 1179(b); or

                             (ii)  the compensation affected payments mentioned in paragraph 1184A(1)(a);

                            is an underlying compensation affected payment to which a supplementary compensation affected payment relates; and

                     (b)  the underlying compensation affected payment was made in relation to the day on which the supplementary compensation affected payment was received;

then the sum mentioned in that paragraph is increased by the amount of the supplementary compensation affected payment.

             (5)  If:

                     (a)  the rate of any of the compensation affected payments that would have been made as mentioned in subparagraph 1181(1)(b)(ii) or (2)(d)(ii) or 1184A(2)(c)(ii) or (3)(d)(ii) is nil; and

                     (b)  the compensation affected payment is an underlying compensation affected payment to which a supplementary compensation affected payment relates; and

                     (c)  the underlying compensation affected payment was made in relation to the day on which the supplementary compensation affected payment was received;

then the difference mentioned in paragraph 1181(1)(b) or (2)(d) or 1184A(2)(c) or (3)(d) is increased by the amount of the supplementary compensation affected payment.

             (6)  If a compensation affected payment that would have been reduced as mentioned in subsection 1184A(4):

                     (a)  would have been reduced to nil; and

                     (b)  is an underlying compensation affected payment to which a supplementary compensation affected payment relates; and

                     (c)  was received in relation to the day on which the supplementary compensation affected payment was received;

then the recoverable amount mentioned in subsection 1184A(4) is increased by the amount of the supplementary compensation affected payment, but only to the extent that the sum of all increases under this subsection in relation to the periodic compensation payments does not exceed the sum of the amounts of those payments.

37  Application

            The amendments made by items 1 to 3 and 5 to 17 of this Schedule apply in respect of instalment periods beginning on and after 1 July 2004.

 

 

 

[Minister’s second reading speech made in—

House of Representatives on 16 October 2003

Senate on 27 November 2003]

(165/03)