Commonwealth of Australia

Social Security Act 1991

Social Security Exempt Lump Sum
Determination No. 3 of 2003

I, Leonie Corver, Acting Assistant Secretary, Seniors and Means Test Branch and a delegate of the Secretary of the Department of Family and Community Services, make this determination under paragraph 8(11)(d) of the Social Security Act 1991.

Dated 21 August 2003.

L Corver

Acting Assistant Secretary, Seniors and Means Test Branch

Part 1 Preliminary

1.1 Name of determination

 This determination is the Social Security Exempt Lump Sum Determination No. 3 of 2003.

1.2 Commencement

 This determination commences on the date it is signed.

1.3 Interpretation

 In this determination:

 Act means the Social Security Act 1991;

 Centrelink means the Commonwealth Services Delivery Agency established under the Commonwealth Services Delivery Agency Act 1997;

 social security payment has the same meaning as in subsection 23(1) of the Social Security Act 1991.

Part 2 Exempt Lump Sums

2.1 Amount or class of amounts

(1) Paragraph 8(11)(d) of the Act provides that an amount, or class of amounts, received by a person is an exempt lump sum if the amount, or class of amounts, is determined to be an exempt lump sum.

King Island resident

(2) If:

(a) a person was resident on King Island at anytime during the period 1 July 1990 to 30 June 2001; and

(b) that person was in receipt of:

(i) a social security payment that was payable on or after 1 July 1991; or

(ii) a pension, benefit or allowance under Part IV, V, VI, XIII or XIV or Schedule 1B or a rehabilitation allowance under Part XVI of the Social Security Act 1947 that was payable before 1 July 2001; and

(c) that person receives an ex gratia payment, as a result of the Prime Minister’s decision of 17 July 2003, from Centrelink that is made, or has been made, to the person for the period of residence of that person on King Island;

 then, subject to clause 2.2:

(d) the payment mentioned in paragraph 2.1(2)(c) is an exempt lump sum.

Furneaux Group of Islands resident

(3) If:

(a) a person was resident on the Furneaux Group of Islands at anytime during the period 1 July 1990 to 30 June 2001; and

(b) that person was in receipt of:

(i) a social security payment that was payable on or after 1 July 1991; or

(ii) a pension, benefit or allowance under Part IV, V, VI, XIII or XIV or Schedule 1B or a rehabilitation allowance under Part XVI of the Social Security Act 1947 that was payable before 1 July 2001; and

(c) that person receives an ex gratia payment, as a result of the Prime Minister’s decision of 17 July 2003, from Centrelink that is made, or has been made, to the person for the period of residence of that person on the Furneaux Group of Islands;

 then, subject to clause 2.2:

(d) the payment mentioned in paragraph 2.1(3)(c) is an exempt lump sum.

2.2 Application—Exempt Lump Sums

 Subject to clause 2.3, it is appropriate to determine that an amount, or class of amounts paid, to a person as mentioned in paragraph 2.1(2)(c) or 2.1(3)(c) is an exempt lump sum for the purposes of paragraph 8(11)(d) of the Act from the date that the payment is made.

2.3 Claim for ex gratia payment—time limit

 This determination does not apply to a person if the person has not made a claim for the ex gratia payment to Centrelink because of that person’s residence on either King Island or the Furneaux Group of Islands during the period specified in paragraph 2.1(2)(a) or 2.1(3)(a) by the end of 31 December 2003.