Commonwealth Consolidated Acts

SOCIAL SECURITY AND VETERANS' ENTITLEMENTS LEGISLATION AMENDMENT (ONE-OFF PAYMENTS TO INCREASE ASSISTANCE FOR OLDER AUSTRALIANS AND CARERS AND OTHER MEASURES) ACT 2006 - SCHEDULE 1

Part   1 -- Main amendments

Social Security Act 1991

1   After Part   2.2B

Insert:

Part   2.2C -- 2006 one - off payment to older Australians

93Y   2006 one - off payment to older Australians

Qualified if this section applies

  (1)   A person is qualified for a 2006 one - off payment to older Australians if subsection   (2), (3) or (4) applies to the person.

Qualified because of income support payments

  (2)   This subsection applies to a person if:

  (a)   the person has reached pension age on or before 9   May 2006; and

  (b)   the person was receiving an income support payment, other than service pension or income support supplement, in respect of a period that includes 9   May 2006; and

  (c)   the person was receiving that payment because of a claim the person made on or before 9   May 2006; and

  (d)   on 9   May 2006, the person:

  (i)   was in Australia; or

  (ii)   was temporarily absent from Australia and had been so for a continuous period not exceeding 13 weeks.

Qualified because qualified for seniors concession allowance

  (3)   This subsection applies to a person if:

  (a)   on 9   May 2006, the person was qualified for seniors concession allowance under section   1061U; or

  (b)   both:

  (i)   on or before 9   May 2006, the person made a claim for a seniors health card under Division   1 of Part   3 of the Administration Act and had not withdrawn that claim on or before 9   May 2006; and

  (ii)   on 9   May 2006, the person either was qualified for the card or would have been so qualified but for being temporarily absent from Australia for a continuous period not exceeding 13 weeks.

Qualified because receiving certain allowances

  (4)   This subsection applies to a person if:

  (a)   the person was receiving a widow allowance, mature age allowance or partner allowance in respect of a period that includes 9   May 2006; and

  (b)   the person was receiving that allowance because of a claim the person made on or before 9   May 2006; and

  (c)   on 9   May 2006, the person:

  (i)   was in Australia; or

  (ii)   was temporarily absent from Australia and had been so for a continuous period not exceeding 13 weeks.

One one - off payment only

  (5)   A person is entitled to one payment only under this section, regardless of how many times the person qualifies under this section.

  (6)   Despite anything else in this section, a person is not qualified for a payment under this section if the person is eligible for a payment under section   118ZZB of the Veterans' Entitlements Act.

93Z   Amount of the one - off payment

  (1)   The amount of the one - off payment under section   93Y to a person who qualifies for the payment because of subsection 93Y(2) or (4) is worked out using this table, having regard to the person's situation on 9   May 2006:

  (2)   The amount of the one - off payment under section   93Y to a person who qualifies for the payment because of subsection 93Y(3) is $102.80.

2   Certain claims that would otherwise be taken to have been made on or before 9   May 2006

For the purposes of the provisions inserted by item   1, disregard the effect of section   15 of the Social Security (Administration) Act 1999 , so far as it relates to the Secretary becoming satisfied of a matter, as mentioned in that section, after 9   May 2006.

3   After section   1223AB

Insert:

1223ABAA   Debts arising in respect of one - off payments to older Australians

  (1)   This section applies in relation to an individual who has been paid a 2006 one - off payment to older Australians (the relevant payment ) under Part   2.2C.

  (2)   If the individual qualified for the relevant payment because of subsection 93Y(2), a relevant determination is a determination made under Part   3 of the Administration Act because of which the individual was receiving the payment referred to in paragraph 93Y(2)(b).

  (3)   If the individual qualified for the relevant payment because of subsection 93Y(3) and because of holding or having held a seniors health card, a relevant determination is a determination made under Part   3 of the Administration Act because of which the person was granted the seniors health card.

  (4)   If the individual qualified for the relevant payment because of subsection 93Y(4), a relevant determination is a determination made under Part   3 of the Administration Act because of which the individual was receiving the allowance referred to in paragraph 93Y(4)(a).

  (5)   If:

  (a)   after the relevant payment was made to the individual, a relevant determination in relation to the individual, at least so far as it relates to 9   May 2006 or to a period that includes that day, is or was (however described) changed, revoked, set aside, or superseded by another determination; and

  (b)   the decision to change, revoke, set aside or supersede the relevant determination is or was made for the reason, or for reasons including the reason, that the individual knowingly made a false or misleading statement, or knowingly provided false information; and

  (c)   had the change, revocation, setting aside or superseding occurred on or before 9   May 2006, the relevant payment would not have been made;

the amount of the relevant payment is a debt due to the Commonwealth by the individual.

  (6)   If:

  (a)   an individual qualified for the relevant payment because of subsection 93Y(3) and because of having claimed a seniors health card; and

  (b)   the individual knowingly made a false or misleading statement, or knowingly provided false information, in relation to the claim; and

  (c)   but for that statement or information, the relevant payment would not have been paid to the individual;

the amount of the relevant payment is a debt due to the Commonwealth by the individual.

  (7)   Apart from section   1224AA, the other provisions of this Part under which debts arise do not apply in relation to payments to which this section applies.

Social Security (Administration) Act 1999

4   After section   12A

Insert:

12AAA   2006 one - off payment to older Australians

    A claim is not required for 2006 one - off payment to older Australians.

5   Subsection 47(1) (after paragraph   (g) of the definition of lump sum benefit )

Insert:

  (ga)   2006 one - off payment to older Australians; or

6   After section   47A

Insert:

47AA   Payment of 2006 one - off payment to older Australians

    If an individual is qualified for a 2006 one - off payment to older Australians, the Secretary must pay the payment to the individual in a single lump sum:

  (a)   on the date that the Secretary considers to be the earliest date on which it is reasonably practicable for the payment to be made; and

  (b)   in such manner as the Secretary considers appropriate.

Veterans' Entitlements Act 1986

7   After Part   VIIC

Insert:

Part   VIID -- 2006 one - off payment to older Australians

118ZZB   2006 one - off payment to older Australians

Eligible if this section applies

  (1)   A person is eligible for a 2006 one - off payment to older Australians if subsection   (2) or (3) applies to the person.

Eligible because of income support payments

  (2)   This subsection applies to a person if:

  (a)   the person has reached qualifying age within the meaning of subsection 118OA(2) on or before 9   May 2006; and

  (b)   a service pension or an income support supplement was payable to the person in respect of a period that includes 9   May 2006; and

  (c)   the pension or supplement was payable because of a claim the person made on or before 9   May 2006; and

  (d)   on 9   May 2006, the person:

  (i)   was in Australia; or

  (ii)   was temporarily absent from Australia and had been so for a continuous period not exceeding 13 weeks.

Eligible because eligible for seniors concession allowance

  (3)   This subsection applies to a person if:

  (a)   on 9   May 2006, the person was eligible for seniors concession allowance under section   118PA; or

  (b)   both:

  (i)   on or before 9   May 2006, the person made a claim for a seniors health card under Division   2 of Part   VIIC and had not withdrawn that claim on or before 9   May 2006; and

  (ii)   on 9   May 2006, the person either was eligible for the card or would have been so eligible but for being temporarily absent from Australia for a continuous period not exceeding 13 weeks.

One one - off payment only

  (4)   A person is entitled to one payment only under this section, regardless of how many times the person becomes eligible under this section.

118ZZC   Amount of the one - off payment

  (1)   The amount of the one - off payment under section   118ZZB to a person who is eligible for the payment because of subsection 118ZZB(2) is worked out using this table, having regard to the person's situation on 9   May 2006:

  (2)   The amount of the one - off payment under section   118ZZB to a person who is eligible for the payment because of subsection 118ZZB(3) is $102.80.

118ZZD   Claim not required for 2006 one - off payment to older Australians

    A claim is not required for 2006 one - off payment to older Australians.

118ZZE   Payment of 2006 one - off payment to older Australians

    If an individual is eligible for a 2006 one - off payment to older Australians, the Commission must pay the payment to the individual in a single lump sum:

  (a)   on the date that the Commission considers to be the earliest date on which it is reasonably practicable for the payment to be made; and

  (b)   in such manner as the Commission considers appropriate.

118ZZF   Debts arising in respect of 2006 one - off payment to older Australians

  (1)   This section applies in relation to an individual who has been paid a 2006 one - off payment to older Australians (the relevant payment ) under this Part.

  (2)   If the individual was eligible for the relevant payment because of subsection 118ZZB(2), a relevant determination is a determination made under Part   III or Part   IIIA because of which the pension or supplement referred to in paragraph 118ZZB(2)(b) was payable.

  (3)   If the individual was eligible for the relevant payment because of subsection 118ZZB(3) and because of holding or having held a seniors health card, a relevant determination is a determination made under this Act because of which the person became the holder of the card.

  (4)   If:

  (a)   after the relevant payment was made to the individual, a relevant determination in relation to the individual, at least so far as it relates to 9   May 2006 or to a period that includes that day, is or was (however described) changed, revoked, set aside, or superseded by another determination; and

  (b)   the decision to change, revoke, set aside or supersede the relevant determination is or was made for the reason, or for reasons including the reason, that the individual knowingly made a false or misleading statement, or knowingly provided false information; and

  (c)   had the change, revocation, setting aside or superseding occurred on or before 9   May 2006, the relevant payment would not have been made;

the amount of the relevant payment is a debt due to the Commonwealth by the individual.

  (5)   If:

  (a)   an individual was eligible for the relevant payment because of subsection 118ZZB(3) and because of having claimed a seniors health card; and

  (b)   the individual knowingly made a false or misleading statement, or knowingly provided false information, in relation to the claim; and

  (c)   but for that statement or information, the relevant payment would not have been paid to the individual;

the amount of the relevant payment is a debt due to the Commonwealth by the individual.

  (6)   If:

  (a)   an individual was eligible for the relevant payment because of subsection 118ZZB(3) and because of holding or having held a gold card; and

  (b)   the individual knowingly made a false or misleading statement, or knowingly provided false information, that resulted (directly or indirectly) in the individual becoming the holder of the gold card; and

  (c)   but for that statement or information, the relevant payment would not have been paid to the individual;

the amount of the relevant payment is a debt due to the Commonwealth by the individual.

  (7)   The other provisions of this Act under which debts arise do not apply in relation to payments to which this section applies.

  (8)   A debt that arises under this section is a recoverable amount within the meaning of subsection 205(8).

Part   2 -- Related amendments

Income Tax Assessment Act 1936

8   Subsection 159J(6) (after paragraph   (ad) of the definition of separate net income )

Insert:

  (adaa)   does not include 2006 one - off payment to older Australians under the Social Security Act 1991 or the Veterans' Entitlements Act 1986 ; and

  (adab)   does not include payments to older Australians under a scheme determined under Schedule   2 to the Social Security and Veterans' Entitlements Legislation Amendment (One - off Payments to Increase Assistance for Older Australians and Carers and Other Measures) Act 2006 ; and

Income Tax Assessment Act 1997

9   Section   11 - 15 (table item headed "social security or like payments")

Before:

insert:

10   After paragraph 52 - 10(1)(b)

Insert:

  (ba)   2006 one - off payment to older Australians; or

  (bb)   payments under the scheme referred to in subsection   (1CB); or

11   After subsection 52 - 10(1C)

Insert:

  (1CA)   Payments of 2006 one - off payment to older Australians under Part   2.2C of the Social Security Act 1991 are exempt from income tax.

  (1CB )   Payments to older Australians under the scheme determined under item   1 of Schedule   2 to the Social Security and Veterans' Entitlements Legislation Amendment (One - off Payments to Increase Assistance for Older Australians and Carers and Other Measures) Act 2006 are exempt from income tax.

12   Subsection 52 - 65(1)

Repeal the subsection   (but not the note), substitute:

  (1)   The table in this section tells you about the income tax treatment of veterans' affairs payments, other than:

  (a)   payments of pension bonus or DFISA bonus; or

  (b)   2006 one - off payment to older Australians; or

  (c)   payments under the scheme referred to in subsection   (1C).

13   After subsection 52 - 65(1A)

Insert:

  (1B)   Payments of 2006 one - off payment to older Australians under Part   VIID of the Veterans' Entitlements Act 1986 are exempt from income tax.

  (1C)   Payments to older Australians under the scheme determined under item   2 of Schedule   2 to the Social Security and Veterans' Entitlements Legislation Amendment (One - off Payments to Increase Assistance for Older Australians and Carers and Other Measures) Act 2006 are exempt from income tax.

14   Section   52 - 75 (before table item   1)

Insert:

Social Security Act 1991

15   After paragraph 8(8)(ya)

Insert:

  (yb)   2006 one - off payment to older Australians under the Veterans' Entitlements Act;

  (yc)   a payment under a scheme determined under Schedule   2 to the Social Security and Veterans' Entitlements Legislation Amendment (One - off Payments to Increase Assistance for Older Australians and Carers and Other Measures) Act 2006 ;

Veterans' Entitlements Act 1986

16   After paragraph 5H(8)(zza)

Insert:

  (zzaa)   2006 one - off payment to older Australians under Part   VIID;

  (zzab)   a payment under a scheme determined under Schedule   2 to the Social Security and Veterans' Entitlements Legislation Amendment (One - off Payments to Increase Assistance for Older Australians and Carers and Other Measures) Act 2006 ;