(1) This section applies if:
(a) a person has claimed a social security pension or a social security benefit; and
(b) on or after the first day of the period of 12 months ending at the end of the day the person made the claim, the person receives an amount of income in the form of a lump sum payment of arrears of periodic payments; and
(c) the lump sum payment is not income within the meaning of Division 1B or 1C of this Part; and
(d) the lump sum payment is not in relation to remunerative work undertaken by the person; and
(e) the lump sum payment is not an exempt lump sum; and
(f) the lump sum payment is not a payment of compensation.
(2) The Secretary may determine that the person is taken to have received the lump sum payment over such period, not exceeding 52 weeks, as the Secretary determines.
(3) The period determined by the Secretary must begin on the day on which the person received the lump sum payment.
(4) For each day in the period determined by the Secretary, the person is taken to have received an amount of ordinary income worked out by dividing the amount of the lump sum payment by the number of days in that period.