Commonwealth Consolidated Acts Commonwealth Consolidated ActsPart 1 -- Seniors health card income test
1 Point 1071 - 1 (method statement, after step 1)
Insert:
Step 1A. If, at the test time, the person, or the person's partner (if any), has at least one long - term financial asset (see point 1071 - 13), work out the person's deemed income amount under:
(a) if, at the test time, the person is not a member of a couple--point 1071 - 11A; or
(b) if, at the test time, the person is a member of a couple--point 1071 - 11B.
Step 1B. Work out the sum of the amounts at step 1 and step 1A (if any).
2 Point 1071 - 1 (method statement, steps 3, 4 and 5)
Omit "person's adjusted taxable income for the reference tax year", substitute "amount at step 1B".
3 After point 1071 - 11
Insert:
Deemed income amount
1071 - 11A This is how to work out the person's deemed income amount under this point:
Method statement
Step 1. Work out the total value of all of the person's long - term financial assets (see point 1071 - 13) at the test time.
Step 2. Work out under section 1076 the amount of ordinary income the person would be taken to receive per year on the financial assets:
(a) on the assumption that the only financial assets of the person were the financial assets referred to in step 1; and
(b) on the assumption that the total value of the person's financial assets were the amount at step 1.
Step 3. The result at step 2 is the person's deemed income amount .
1071 - 11B This is how to work out the person's deemed income amount under this point:
Method statement
Step 1. Work out the total value of all of the person's long - term financial assets (see point 1071 - 13) at the test time.
Step 2. If, at the test time, the person's partner has reached the minimum age mentioned in section 301 - 10 of the Income Tax Assessment Act 1997 , work out the total value of all of the person's partner's long - term financial assets (see point 1071 - 13) at the test time.
Step 3. Work out under section 1077 the amount of ordinary income the couple would be taken to receive per year on the financial assets:
(a) on the assumption that section 1077 applied to the person and the person's partner; and
(b) on the assumption that the only financial assets of the person and the person's partner were the financial assets referred to in steps 1 and 2; and
(c) on the assumption that the total value of the couple's financial assets were the sum of the amounts at steps 1 and 2.
Step 4. Divide the amount at step 3 by 2: the result is the person's deemed income amount .
4 Section 1071 (at the end of the Seniors Health Card Taxable Income Test Calculator)
Add:
Long - term financial asset
1071 - 13 For the purposes of this Part, a long - term financial asset is:
(a) a financial investment within the meaning of paragraph ( i) of the definition of financial investment in subsection 9(1), where the asset - tested income stream (long term) arises under a complying superannuation plan (within the meaning of the Income Tax Assessment Act 1997 ) that is not a constitutionally protected fund (within the meaning of that Act); or
(b) a financial investment within the meaning of paragraph ( j) of the definition of financial investment in subsection 9(1).
Note: Schedule 7 to the Social Services and Other Legislation Amendment (2014 Budget Measures No. 6 ) Act 2014 preserves the rules in this Calculator for a certain kind of long - term financial asset that was being provided to a person immediately before 1 January 2015 where the person held a seniors health card immediately before that day provided that, since that day, the person has held a seniors health card.
5 Application provisions
(1) The amendments made by items 1 to 4 apply in relation to working out whether a person is qualified for a seniors health card on a day occurring on or after the commencement of those items.
(2) However, if:
(a) a person held a seniors health card under Division 2 of Part 2A.1 of the Social Security Act 1991 immediately before 1 January 2015; and
(b) either:
(i) an asset - tested income stream (long term), that is an account - based pension within the meaning of the Superannuation Industry (Supervision) Regulations 1994 , was being provided to the person immediately before 1 January 2015; or
(ii) an asset - tested income stream (long term), that is an annuity (within the meaning of the Superannuation Industry (Supervision) Act 1993 ) provided under a contract that meets the standards determined in an instrument under subparagraph 1099DAA(1)(b)(ii) of the Social Security Act 1991 , was being provided to the person immediately before 1 January 2015;
the amendments made by items 1 to 4 do not apply in relation to the person and that asset - tested income stream (long term).
(3) Subitem ( 2) ceases to apply to the person at the end of the first day on which the person ceases to hold a seniors health card under Division 2 of Part 2A.1 of the Social Security Act 1991 .
Veterans' Entitlements Act 1986
6 Point 118ZZA - 1 (method statement, after step 1)
Insert:
Step 1A. If, at the test time, the person, or the person's partner (if any), has at least one long - term financial asset (see point 118ZZA - 12), work out the person's deemed income amount under:
(a) if, at the test time, the person is not a member of a couple--point 118ZZA - 10A; or
(b) if, at the test time, the person is a member of a couple--point 118ZZA - 10B.
Step 1B. Work out the sum of the amounts at step 1 and step 1A (if any).
7 Point 118ZZA - 1 (method statement, steps 3, 4 and 5)
Omit "person's adjusted taxable income for the reference tax year", substitute "amount at step 1B".
8 After point 118ZZA - 10
Insert:
Deemed income amount
118ZZA - 10A This is how to work out the person's deemed income amount under this point:
Method statement
Step 1. Work out the total value of all of the person's long - term financial assets (see point 118ZZA - 12) at the test time.
Step 2. Work out under section 46D the amount of ordinary income the person would be taken to receive per year on his or her financial assets:
(a) on the assumption that the only financial assets of the person were the financial assets referred to in step 1; and
(b) on the assumption that the total value of the person's financial assets were the amount at step 1.
Step 3. The result at step 2 is the person's deemed income amount .
118ZZA - 10B This is how to work out the person's deemed income amount under this point:
Method statement
Step 1. Work out the total value of all of the person's long - term financial assets (see point 118ZZA - 12) at the test time.
Step 2. If, at the test time, the person's partner has reached the minimum age mentioned in section 301 - 10 of the Income Tax Assessment Act 1997 , work out the total value of all of the person's partner's long - term financial assets (see point 118ZZA - 12) at the test time.
Step 3. Work out under section 46E the amount of ordinary income the couple would be taken to receive per year on their financial assets:
(a) on the assumption that the only financial assets of the person and the person's partner were the financial assets referred to in steps 1 and 2; and
(b) on the assumption that the total value of the couple's financial assets were the sum of the amounts at steps 1 and 2.
Step 4. Divide the amount at step 3 by 2: the result is the person's deemed income amount .
9 Section 118ZZA (at the end of the Seniors Health Card Income Test Calculator)
Add:
Long - term financial asset
118ZZA - 12 For the purposes of this Division, a long - term financial asset is:
(a) a financial investment within the meaning of paragraph ( i) of the definition of financial investment in subsection 5J(1), where the asset - tested income stream (long term) arises under a complying superannuation plan (within the meaning of the Income Tax Assessment Act 1997 ) that is not a constitutionally protected fund (within the meaning of that Act); or
(b) a financial investment within the meaning of paragraph ( j) of the definition of financial investment in subsection 5J(1).
Note: Schedule 7 to the Social Services and Other Legislation Amendment (2014 Budget Measures No. 6 ) Act 2014 preserves the rules in this Calculator for a certain kind of long - term financial asset that was being provided to a person immediately before 1 January 2015 where the person held a seniors health card immediately before that day provided that, since that day, the person has held a seniors health card.
10 Application provisions
(1) The amendments made by items 6 to 9 apply in relation to working out whether a person is qualified for a seniors health card under Part VIIC of the Veterans' Entitlements Act 1986 on a day occurring on or after the commencement of those items.
(2) However, if:
(a) a person held a seniors health card under Part VIIC of the Veterans' Entitlements Act 1986 immediately before 1 January 2015; and
(b) either:
(i) an asset - tested income stream (long term), that is an account - based pension within the meaning of the Superannuation Industry (Supervision) Regulations 1994 , was being provided to the person immediately before 1 January 2015; or
(ii) an asset - tested income stream (long term), that is an annuity (within the meaning of the Superannuation Industry (Supervision) Act 1993 ) provided under a contract that meets the standards determined in an instrument under subparagraph 46YA(1)(b)(ii) of the Veterans' Entitlements Act 1986 , was being provided to the person immediately before 1 January 2015;
the amendments made by items 6 to 9 do not apply in relation to the person and that asset - tested income stream (long term).
(3) Subitem ( 2) ceases to apply to the person at the end of the first day on which the person ceases to hold a seniors health card under Part VIIC of the Veterans' Entitlements Act 1986 .
Division 2--Technical amendments
11 Paragraph 1061ZG(1)(d)
Omit "taxable".
12 Subsection 1061ZG(3) (definition of reference tax year )
Omit "Taxable".
13 Part 3.9 (heading)
Repeal the heading, substitute:
Part 3.9 -- Seniors Health Card Income Test Calculator
14 Section 1071 (heading)
Repeal the heading, substitute:
1071 Seniors Health Card Income Test Calculator
15 Section 1071
Omit "Seniors Health Card Taxable Income Test Calculator at the end of this section", substitute "Seniors Health Card Income Test Calculator at the end of this section".
16 Section 1071
Omit "seniors health card taxable income test for", substitute "seniors health card income test for".
17 Section 1071 (Seniors Health Card Taxable Income Test Calculator) (heading)
Repeal the heading, substitute:
Seniors Health Card Income Test Calculat o r
18 Point 1071 - 1 (heading)
Repeal the heading, substitute:
Satisfying the seniors health card income test
19 Point 1071 - 1
Omit "satisfies the seniors health card taxable income test at", substitute "satisfies the seniors health card income test at".
20 Point 1071 - 1 (method statement, step 2)
Omit "taxable".
21 Point 1071 - 1 (method statement, step 3)
Omit "seniors health card taxable income limit", substitute "seniors health card income limit".
22 Point 1071 - 1 (method statement, step 4)
Omit "seniors health card taxable income limit, the person satisfies the seniors health card taxable income test", substitute "seniors health card income limit, the person satisfies the seniors health card income test".
23 Point 1071 - 1 (method statement, step 5)
Omit "seniors health card taxable income limit, the person does not satisfy the seniors health card taxable income test", substitute "seniors health card income limit, the person does not satisfy the seniors health card income test".
24 Point 1071 - 12 (heading)
Repeal the heading, substitute:
Seniors health card income limit
25 Point 1071 - 12
Omit "A person's seniors health card taxable income limit is worked out using the Seniors Health Card Taxable Income Limit Table. Work out which family situation in the table applies to the person. The person's seniors health card taxable income limit", substitute "A person's seniors health card income limit is worked out using the Seniors Health Card Income Limit Table. Work out which family situation in the table applies to the person. The person's seniors health card income limit".
26 Point 1071 - 12 (table)
Omit " Seniors Health Card Taxable Income Limit Table ", substitute " Seniors Health Card Income Limit Table ".
27 Part 3.12A (heading)
Repeal the heading, substitute:
Part 3.12A -- Provisions for Seniors Health Card income test
28 Section 1157A
Omit "Seniors Health Card Taxable Income Test Calculator", substitute "Seniors Health Card Income Test Calculator".
Veterans' Entitlements Act 1986
29 Point 118ZZA - 11 (table)
Omit " Seniors Health Card Taxable Income Limit Table ", substitute " Seniors Health Card Income Limit Table ".
30 Subsection 1061ZUB(2)
Omit "Throughout", substitute "For a concession card (other than a seniors health card), throughout".
31 After subsection 1061ZUB(2)
Insert:
(2A) For a concession card that is a seniors health card, throughout so much (if any) of the period of absence as occurs after the end of the period of 19 weeks beginning on the day the person leaves Australia, the person is not qualified for the concession card.
32 Paragraph 1061ZUB(3)(b)
Repeal the paragraph, substitute:
(b) the following:
(i) for a concession card (other than a seniors health card)--the period of 6 weeks beginning on the day the person leaves Australia;
(ii) for a concession card that is a seniors health card--the period of 19 weeks beginning on the day the person leaves Australia.
33 Application provision
The amendments made by items 30, 31 and 32 apply in relation to:
(a) a person's period of absence from Australia beginning on or after the commencement of those items; and
(b) a person's period of absence from Australia beginning before the commencement of those items, where:
(i) the person is continuously absent from Australia during the period beginning on the day the person leaves Australia and ending immediately before 1 January 2015; and
(ii) the length of that absence immediately before 1 January 2015 is less than 19 weeks.