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Bill
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Veterans’ Affairs and Other Legislation
Amendment (Pension Reform) Bill 2009
- Schedule 1—Increased pension and income support supplement
- Schedule 2—Indexation using the Pensioner and Beneficiary Living Cost Index
- Schedule 3—Indexation using combined couple benchmark
- Schedule 4—Supplements
- Schedule 5—Adjustments because of Carbon Pollution Reduction Scheme
- Schedule 6—Income tests
- Schedule 7—Work bonus
- Schedule 8—Pension bonus scheme
- Schedule 9—Transitional arrangements
- Schedule 10—Pension age for persons other than veterans
- Schedule 11—Advance payments
- Schedule 12—Amendments relating to aged care
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Veterans’ Affairs and Other Legislation
Amendment (Pension Reform) Bill 2009
Veterans’ Entitlements Act 1986
1 After section 5G
Insert:
5GA Pension supplement rate definitions
(1) In this Act, the combined couple rate of pension supplement is $2,199.60.
Note 1: This rate is indexed 6 monthly in line with CPI increases (see sections 59B to 59E).
Note 2: This rate is an annual rate.
(2) In this Act, the combined couple rate of minimum pension supplement is $1,185.60.
Note 1: This rate is indexed 6 monthly in line with CPI increases (see sections 59B to 59E).
Note 2: This rate is an annual rate.
(3) In this Act, a person’s minimum pension supplement amount is the amount worked out by:
(a) applying the applicable percentage in the following table to the combined couple rate of minimum pension supplement; and
(b) if:
(i) the person is not partnered; and
(ii) the amount resulting from paragraph (a) is not a multiple of $2.60;
rounding the amount up or down to the nearest multiple of $2.60 (rounding up if the amount is not a multiple of $2.60 but is a multiple of $1.30).
|
Item |
Person’s family situation |
Use this % |
|
1 |
Not member of couple |
66.33% |
|
2 |
Partnered |
50% |
|
3 |
Member of illness separated couple |
66.33% |
|
4 |
Member of respite care couple |
66.33% |
Note: A person’s minimum pension supplement amount is an annual rate.
(4) In this Act, a person’s pension supplement basic amount depends on which family situation in the following table applies to the person. The person’s pension supplement basic amount is the corresponding amount set out in the table.
|
Item |
Person’s family situation |
Amount |
|
1 |
Not member of couple |
$509.60 |
|
2 |
Partnered |
$426.40 |
|
3 |
Member of illness separated couple |
$509.60 |
|
4 |
Member of respite care couple |
$509.60 |
Note 1: Each amount in the table will be indexed 6 monthly in line with CPI increases (see sections 59B to 59E).
Note 2: A person’s pension supplement basic amount is an annual rate.
(5) In this Act, the daily rate of tax-exempt pension supplement , for a person who is receiving a service pension or income support supplement is the amount a day worked out using the table.
|
Tax-exempt pension supplement |
||
|
Item |
Payment received |
Amount a day of tax-exempt pension supplement |
|
1 |
Service pension |
The amount worked out by: (a) subtracting the person’s pension supplement basic amount from the person’s pension supplement amount; and (b) dividing the result of paragraph (a) by 364 |
|
2 |
Income support supplement |
The person’s minimum pension supplement amount divided by 364 |
Note: The portion of the person’s service pension or income support supplement equal to the tax-exempt pension supplement is exempt from income tax (see sections 52-65 and 52-70 of the Income Tax Assessment Act 1997 ).
(6) If a person is receiving a service pension at a rate that:
(a) is worked out under subpoint SCH6-A1(4) of Schedule 6 and is the revised rate; or
(b) is worked out under subpoint SCH6-A1(5) of Schedule 6;
subsection (5) applies in relation to the person and the pension as if the person had a pension supplement amount equal to what would be the person’s pension supplement amount if the person were receiving the service pension at the rate worked out under subpoint SCH6-A1(4) of Schedule 6 and equal to the provisional rate.
2 Paragraph 1(1)(aa) of Schedule 6
Repeal the paragraph.
3 Subclause 1(1) of Schedule 6 (note 1)
Omit “rent assistance and pharmaceutical allowance”, substitute “pension supplement and rent assistance”.
4 Clause 4 of Schedule 6
Repeal the clause, substitute:
Service pension
(1) If a person’s rate of service pension is affected by a reduction under any or all of the following:
(a) Module E (ordinary/adjusted income test) of the Rate Calculator;
(b) Module F (assets test) of the Rate Calculator;
(c) section 59T (compensation recovery);
the reduction is to be applied as follows (in descending order):
|
Item |
Component of the rate |
|
1 |
all of the rate apart from the person’s pension supplement amount and any increase under Module C (rent assistance) of the Rate Calculator |
|
2 |
the portion of the person’s pension supplement amount equal to the person’s pension supplement basic amount |
|
3 |
(a) if an election by the person under subsection 60A(1) is in force—any remaining portion of the person’s pension supplement amount; or (b) otherwise—any remaining portion of the person’s pension supplement amount to the extent to which it exceeds the person’s minimum pension supplement amount |
|
4 |
the amount of any increase under Module C |
|
5 |
the person’s minimum pension supplement amount |
Note: Table item 5 will not apply if an election by the person under subsection 60A(1) is in force, as the rate would have already been reduced to nil.
(2) If a person’s rate of service pension:
(a) is worked out under subpoint SCH6-A1(4) of Schedule 6 and is the revised rate; or
(b) is worked out under subpoint SCH6-A1(5) of Schedule 6;
subclause (1) applies in relation to the person and the pension as if:
(c) paragraphs (1)(a) and (b) were omitted; and
(d) the person had a pension supplement amount equal to what would be the person’s pension supplement amount if the person were receiving the service pension at the rate worked out under subpoint SCH6-A1(4) of Schedule 6 and equal to the provisional rate.
Income support supplement
(3) If a person’s rate of income support supplement is affected by a reduction under any or all of the following:
(a) Module E (ordinary/adjusted income test) of the Rate Calculator;
(b) Module F (assets test) of the Rate Calculator;
(c) section 59T (compensation recovery);
the reduction is to be applied as follows (in descending order):
|
Item |
Component of the rate |
|
1 |
all of the rate apart from any increase under Module C (rent assistance) of the Rate Calculator and the person’s minimum pension supplement amount |
|
2 |
the amount of any increase under Module C |
|
3 |
the person’s minimum pension supplement amount |
Quarterly pension supplement
(4) If:
(a) the rate (the main rate ) of a person’s service pension or income support supplement is to be reduced as described in subclause (1) (applying of its own force or as affected by subclause (2)) or subclause (3); and
(b) an election by the person under subsection 60A(1) is in force;
the person’s quarterly pension supplement is reduced to the same extent (if any) that the component of the main rate that would correspond to the person’s minimum pension supplement amount would be reduced under subclause (1) or (3) were the election not in force.
Note: The reduction will be disregarded unless the person’s quarterly pension supplement is reduced to nil (see subsection 60C(4)).
5 Subpoint SCH6-A1(4) of Schedule 6 (method statement 3, step 5)
Repeal the step, substitute:
Step 5. Add:
(a) the ceiling rate; and
(b) any amount obtained under step 2A; and
(c) any amount obtained under step 4;
and, if an election by the person under subsection 60A(1) (about quarterly pension supplement) is in force, subtract the person’s minimum pension supplement amount. The result is the revised rate .
6 Subpoint SCH6-A1(5) of Schedule 6 (method statement 4, step 4)
Repeal the step, substitute:
Step 4. Add:
(a) the ceiling rate; and
(b) any amount obtained under step 1A; and
(c) any amount obtained under step 3;
and, if an election by the person under subsection 60A(1) (about quarterly pension supplement) is in force, subtract the person’s minimum pension supplement amount. The result is the person’s rate of service pension .
Note: The amount of a fortnightly instalment of service pension may be reduced by an advance payment deduction (see Division 6 of Part IVA).
7 Subpoint SCH6-A1(6) of Schedule 6 (method statement 5, step 9A)
Repeal the step, substitute:
Step 9A. Add:
(a) the ceiling rate; and
(b) any amount obtained under step 2;
and, if an election by the person under subsection 60A(1) (about quarterly pension supplement) is in force, subtract the person’s minimum pension supplement amount. The result is the increased rate .
8 Subpoint SCH6-A1(7) of Schedule 6 (method statement 6, step 4)
Repeal the step, substitute:
Step 4. Add:
(a) the ceiling rate; and
(b) any amount obtained under step 1A; and
(c) any amount obtained under step 3;
and, if an election by the person under subsection 60A(1) (about quarterly pension supplement) is in force, subtract the person’s minimum pension supplement amount. The result is the person’s rate of income support supplement .
Note: The amount of a fortnightly instalment of income support supplement may be reduced by an advance payment deduction (see Division 6 of Part IVA).
9 Part 2 of Schedule 6 (Module BA)
Repeal the Module, substitute:
Module BA — Pension supplement
Pension supplement
SCH6-BA1 A pension supplement amount is to be added to the person’s maximum basic rate.
Residents in Australia etc.
SCH6-BA2 If the person is residing in Australia and:
(a) is in Australia; or
(b) is temporarily absent from Australia and has been so for a continuous period not exceeding 13 weeks;
the person’s pension supplement amount is:
(c) if an election by the person under subsection 60A(1) is in force—the amount worked out under point SCH6-BA4; and
(d) otherwise—the amount worked out under point SCH6-BA3.
Residents in Australia etc.—no election in force
SCH6-BA3 The person’s pension supplement amount is the amount worked out by:
(a) applying the applicable percentage in the following table to the combined couple rate of pension supplement; and
(b) if:
(i) the person is not partnered; and
(ii) the amount resulting from paragraph (a) is not a multiple of $2.60;
rounding the amount up or down to the nearest multiple of $2.60 (rounding up if the amount is not a multiple of $2.60 but is a multiple of $1.30).
|
Item |
Person’s family situation |
Use this % |
|
1 |
Not member of couple |
66.33% |
|
2 |
Partnered |
50% |
|
3 |
Member of illness separated couple |
66.33% |
|
4 |
Member of respite care couple |
66.33% |
Note: For combined couple rate of pension supplement , see subsection 5GA(1).
Residents in Australia etc.—election in force
SCH6-BA4 The person’s pension supplement amount is the amount worked out as follows:
(a) work out the amount for the person under point SCH6-BA3 as if the election were not in force;
(b) from that amount, subtract the person’s minimum pension supplement amount.
Persons absent from Australia for more than 13 weeks
SCH6-BA5 If the person is not covered by point SCH6-BA2, the person’s pension supplement amount is the person’s pension supplement basic amount.
Part 2 — Quarterly pension supplement and seniors supplement
Veterans’ Entitlements Act 1986
10 After Part IIIC
Insert:
Part IIID — Quarterly pension supplement
(1) This Part applies to a person if:
(a) the person is receiving a service pension or income support supplement (the main payment ); and
(b) the person is residing in Australia and:
(i) is in Australia; or
(ii) is temporarily absent from Australia and has been so for a continuous period not exceeding 13 weeks.
(2) For the purposes of subsection (1), it does not matter if the rate of the person’s main payment would become nil were an election by the person under subsection 60A(1) to come into force.
60A Quarterly pension supplement
(1) The person may, in a manner or way approved by the Commission, make an election to receive the person’s minimum pension supplement amount on a quarterly basis as a separate payment.
(2) An election comes into force as soon as practicable after it is made.
(3) An election ceases to be in force if the main payment ceases to be payable to the person.
(4) The person may, in a manner or way approved by the Commission, revoke an election. A revocation takes effect as soon as practicable after it happens.
(5) Quarterly pension supplement is payable to the person in relation to each day on which an election is in force.
60B Rate of quarterly pension supplement
(1) The person’s annual rate of quarterly pension supplement is the person’s minimum pension supplement amount.
(2) The person’s daily rate of quarterly pension supplement is worked out by dividing the person’s annual rate by 364.
(3) This section has effect subject to subclause 4(4) of Schedule 6.
60C Payment of quarterly pension supplement
(1) Quarterly pension supplement is to be paid by instalments.
(2) An instalment of quarterly pension supplement is to be paid to a person as soon as is reasonably practicable on or after the first supplement test day (the current test day ) that follows a day on which an election by the person under subsection 60A(1) is in force.
(3) The amount of the instalment is worked out by multiplying the person’s daily rate of quarterly pension supplement by the number of days during the test period for which an election by the person under subsection 60A(1) is in force.
(4) If:
(a) an election by the person under subsection 60A(1) is in force on a particular day; and
(b) apart from this subsection, the portion of the instalment of the person’s quarterly pension supplement that corresponds to that day would be reduced under subclause 4(4) of Schedule 6, but not reduced to a nil amount;
the amount of that portion of the instalment is not to be reduced under subclause 4(4) of Schedule 6.
(5) In this section:
supplement test day means:
(a) 20 March; or
(b) 20 June; or
(c) 20 September; or
(d) 20 December.
test period means the period:
(a) starting on the most recent supplement test day before the current test day; and
(b) ending on the day immediately before the current test day.
11 Part VIIAD
Repeal the Part, substitute:
Part VIIAD — Seniors supplement
118P Eligibility for seniors supplement
Person holds a seniors health card
(1) A person is eligible for seniors supplement if:
(a) the person is the holder of a seniors health card; and
(b) the person is not receiving any of the following:
(i) a service pension;
(ii) income support supplement;
(iii) a social security pension or social security benefit;
(iv) seniors supplement under the Social Security Act.
Person holds a gold card
(2) A person is eligible for seniors supplement if:
(a) the person is the holder of a gold card; and
(b) the person has reached qualifying age; and
(c) the person:
(i) is in Australia; or
(ii) is temporarily absent from Australia and has been so for a continuous period not exceeding 13 weeks; and
(d) the person is not receiving any of the following:
(i) a service pension;
(ii) income support supplement;
(iii) a social security pension or social security benefit;
(iv) seniors supplement under the Social Security Act.
(3) In this section:
gold card means a card known as the Repatriation Health Card—For All Conditions, that evidences a person’s eligibility, under this Act or the Military Rehabilitation and Compensation Act 2004 , to be provided with treatment for all injuries or diseases.
118PA When seniors supplement is payable
(1) Seniors supplement is payable to a person in relation to each day on which the person is eligible for the supplement.
(2) However, seniors supplement is not payable to the person in relation to a day if:
(a) before that day:
(i) the person had elected not to be covered by this Part; and
(ii) that election had not been withdrawn; or
(b) subsection 122A(1C) (failing to nominate a bank account) applies to the person.
Division 2 — Rate of seniors supplement
118PB Rate of seniors supplement
(1) The person’s annual rate of seniors supplement is the amount worked out by:
(a) applying the applicable percentage in the following table to the combined couple rate of minimum pension supplement; and
(b) if:
(i) the person is not partnered; and
(ii) the amount resulting from paragraph (a) is not a multiple of $2.60;
rounding the amount up or down to the nearest multiple of $2.60 (rounding up if the amount is not a multiple of $2.60 but is a multiple of $1.30).
|
Item |
Person’s family situation |
Use this % |
|
1 |
Not member of couple |
66.33% |
|
2 |
Partnered |
50% |
|
3 |
Member of illness separated couple |
66.33% |
|
4 |
Member of respite care couple |
66.33% |
Note: For combined couple rate of minimum pension supplement , see subsection 5GA(2).
(2) The person’s daily rate of seniors supplement is worked out by dividing the person’s annual rate by 364.
Division 3 — Payment of seniors supplement
118PC Payment of seniors supplement
(1) Seniors supplement is to be paid by instalments.
(2) An instalment of seniors supplement is to be paid to a person as soon as is reasonably practicable on or after the first seniors supplement test day (the current test day ) that follows a day on which the person is eligible for seniors supplement.
(3) The amount of the instalment is worked out by multiplying the person’s daily rate of seniors supplement by the number of days during the test period for which the person was eligible for seniors supplement.
(4) In this section:
seniors supplement test day means:
(a) 20 March; or
(b) 20 June; or
(c) 20 September; or
(d) 20 December.
test period means the period:
(a) starting on the most recent supplement test day before the current test day; and
(b) ending on the day immediately before the current test day.
Veterans’ Entitlements Act 1986
12 Part VIIA
Repeal the Part, substitute:
Part VIIA — Veterans supplement
Division 1 — Eligibility for veterans supplement
(1) Subject to this section, a person is eligible for veterans supplement under this section if:
(a) the person is receiving a pension whose rate is specified under subsection 30(2); or
(b) but for subsection 13(7), a pension would have been payable to the person at a rate specified under subsection 30(2); or
(c) the person is eligible for pharmaceutical benefits under the scheme known as the Repatriation Pharmaceutical Benefits Scheme.
(2) A person is not eligible for veterans supplement under this section if:
(a) the person is receiving a social security payment; or
(b) the person is receiving service pension; or
(c) the person is a war widow/war widower—pensioner.
Note: For war widow/war widower—pensioner see section 5Q.
(3) A person who leaves Australia otherwise than temporarily is not eligible for veterans supplement under this section after the day on which he or she left Australia.
(4) A person who is temporarily absent from Australia and has been so absent for more than 26 weeks is not eligible for veterans supplement under this section after the first 26 weeks of the absence.
118B Veterans supplement for certain Part II and Part IV pensioners or for World War 1 veterans
(1) Subject to this section, a person is eligible for veterans supplement under this section if:
(a) the person is eligible for a pension at a rate specified in subsection 22(4); or
(b) the person is eligible for a pension at a rate specified in section 24; or
(c) the person is eligible for a pension, the rate of which is increased under subsection 27(2) by an amount specified in any of items 1 to 8 of the table in subsection 27(1); or
(d) the person is eligible for a pension at the rate specified in subsection 30(1) and the person is under qualifying age.
Note: For qualifying age see section 5Q.
(2) Subject to this section, a person is eligible for veterans supplement under this section if the person is:
(a) a veteran who rendered eligible war service during World War 1; or
(b) a Commonwealth veteran who rendered continuous full-time service during World War 1; or
(c) an allied veteran who rendered continuous full-time service during World War 1.
Note: For World War 1 see subsections 5B(1) and (3).
(3) A person is not eligible for veterans supplement under this section if:
(a) the person is receiving a social security payment; or
(b) the person is receiving service pension or income support supplement; or
(c) the person is receiving seniors supplement under this Act or the Social Security Act; or
(d) the person is receiving MRCA supplement under Division 4 of Part 7 of Chapter 4, or Division 5 of Part 2 of Chapter 5, of the MRCA.
(4) A person who leaves Australia otherwise than temporarily is not eligible for veterans supplement under this section after the day on which he or she left Australia.
(5) A person who is temporarily absent from Australia and has been so absent for more than 26 weeks is not eligible for veterans supplement under this section after the first 26 weeks of the absence.
Division 2 — Rate of veterans supplement
118C Rate of veterans supplement—section 118A
The rate of veterans supplement under section 118A is $6.00 per fortnight.
Note: The amount specified in this section is adjusted annually in line with CPI increases under section 198F.
118D Rate of veterans supplement—section 118B
The rate of veterans supplement under section 118B is $6.00 per fortnight.
Note: The amount specified in this section is adjusted annually in line with CPI increases under section 198F.
13 Part VIIB
Repeal the Part.
14 Subsection 121(7) (definition of pension )
After “includes”, insert “veterans supplement under Part VIIA or”.
15 Section 198F
Repeal the section, substitute:
198F Indexation of veterans supplement
(1) This section applies to the dollar amount mentioned in the following provisions:
(a) section 118C;
(b) section 118D.
(2) The dollar amount mentioned in that provision, for an indexation day on which the indexation factor is greater than one, is replaced by the amount that is worked out using the following formula:
(3) The indexation factor for an indexation day is the number worked out using the following formula:
(4) The indexation factor is to be calculated to 3 decimal places, but increased by 0.001 if the 4th decimal place is more than 4.
(5) If an amount worked out under subsection (2) is not a multiple of 20 cents, the amount is to be rounded down to the nearest multiple of 20 cents.
(6) In this section:
indexation day means 1 January 2010 and each later 1 January.
Military Rehabilitation and Compensation Act 2004
16 Division 4 of Part 7 of Chapter 4 (heading)
Repeal the heading, substitute:
Division 4 — MRCA supplement for members and former members
17 Section 220A
Repeal the section.
18 Subsection 221(1)
Omit “a telephone allowance”, substitute “MRCA supplement under this section”.
Note: The heading to section 221 is altered by omitting “ telephone allowance ” and substituting “ MRCA supplement ”.
19 Paragraph 221(1)(b)
Omit “ 1986 ); and”, substitute “ 1986 ).”.
20 Paragraph 221(1)(c)
Repeal the paragraph.
21 Subsection 221(1) (note)
Omit “telephone allowance”, substitute “MRCA supplement”.
22 Subsection 221(2)
Omit “a telephone allowance”, substitute “MRCA supplement under this section”.
23 Paragraph 221(2)(b)
Omit “ 1986 ); and”, substitute “ 1986 ).”.
24 Paragraph 221(2)(c)
Repeal the paragraph.
25 Subsection 221(2) (note)
Omit “telephone allowance”, substitute “MRCA supplement”.
26 Subsection 222(1)
Omit “a telephone allowance on or after the next telephone allowance payday”, substitute “MRCA supplement under section 221 after the day on which he or she left Australia”.
Note: The heading to section 222 is altered by omitting “ Telephone allowance ” and substituting “ MRCA supplement ”.
27 Subsection 222(2)
Omit “a telephone allowance”, substitute “MRCA supplement under section 221”.
28 Subsection 222(3)
Omit “the telephone allowance”, substitute “MRCA supplement under section 221”.
Note: The heading to subsection 222(3) is altered by omitting “ telephone allowance ” and substituting “ MRCA supplement ”.
29 Subsections 222(4) and (5)
Repeal the subsections, substitute:
Persons receiving other payments
(4) Even though a person is eligible for MRCA supplement under subsection 221(2), the supplement is not payable to the person if he or she is receiving MRCA supplement under subsection 221(1).
(5) Even though a person is eligible for MRCA supplement under section 221, the supplement is not payable to the person if he or she is receiving:
(a) veterans supplement under section 118B of the Veterans’ Entitlements Act 1986 ; or
(b) a telephone allowance under the Social Security Act 1991 ; or
(c) MRCA supplement under Division 5 of Part 2 of Chapter 5.
30 Sections 223 to 225
Repeal the sections, substitute:
The rate of MRCA supplement that is payable under section 221 is the rate of veterans supplement that is payable from time to time under section 118D of the Veterans’ Entitlements Act 1986 .
224 Payment of MRCA supplement
A person’s MRCA supplement under section 221 is payable on each pension payday (within the meaning of subsection 5Q(1) of the Veterans’ Entitlements Act 1986 ) on which:
(a) the person is eligible for the MRCA supplement; and
(b) the MRCA supplement is payable to the person.
Note: If a trustee is appointed under section 432, then the MRCA supplement would be payable to the trustee.
31 Division 5 of Part 2 of Chapter 5 (heading)
Repeal the heading, substitute:
Division 5 — MRCA supplement for wholly dependent partners
32 Section 244A
Repeal the section.
33 Section 245
Omit “a telephone allowance”, substitute “MRCA supplement under this section”.
Note: The heading to section 245 is altered by omitting “ telephone allowance ” and substituting “ MRCA supplement ”.
34 Paragraph 245(b)
Omit “ 1986 ); and”, substitute “ 1986 ).”.
35 Paragraph 245(c)
Repeal the paragraph.
36 Section 245 (note)
Omit “telephone allowance”, substitute “MRCA supplement”.
37 Subsection 246(1)
Omit “a telephone allowance on or after the next telephone allowance payday”, substitute “MRCA supplement under section 245 after the day on which he or she left Australia”.
Note: The heading to section 246 is altered by omitting “ Telephone allowance ” and substituting “ MRCA supplement ”.
38 Subsection 246(2)
Omit “a telephone allowance”, substitute “MRCA supplement under section 245”.
39 Subsection 246(3)
Omit “the telephone allowance”, substitute “MRCA supplement under section 245”.
Note: The heading to subsection 246(3) is altered by omitting “ telephone allowance ” and substituting “ MRCA supplement ”.
40 Subsections 246(4) and (5)
Repeal the subsections, substitute:
Persons receiving other payments
(4) Even though a wholly dependent partner is eligible for MRCA supplement under section 245, the supplement is not payable to the partner if he or she is receiving:
(a) veterans supplement under section 118B of the Veterans’ Entitlements Act 1986 ; or
(b) a telephone allowance under the Social Security Act 1991 ; or
(c) MRCA supplement under Division 4 of Part 7 of Chapter 4.
41 Sections 247 to 249
Repeal the sections, substitute:
The rate of MRCA supplement that is payable under section 245 is the rate of veterans supplement that is payable from time to time under section 118D of the Veterans’ Entitlements Act 1986 .
248 Payment of MRCA supplement
A wholly dependent partner’s MRCA supplement under section 245 is payable on each pension payday (within the meaning of subsection 5Q(1) of the Veterans’ Entitlements Act 1986 ) on which:
(a) the partner is eligible for the MRCA supplement; and
(b) the MRCA supplement is payable to the partner.
Note: If a trustee is appointed under section 432, then the MRCA supplement would be payable to the trustee.
42 Division 4 of Part 4 of Chapter 6 (heading)
Repeal the heading, substitute:
Division 4 — MRCA supplement for members, former members and dependants
43 Section 300
Omit “a pharmaceutical allowance”, substitute “MRCA supplement under this section”.
Note: The heading to section 300 is altered by omitting “ pharmaceutical allowance ” and substituting “ MRCA supplement ”.
44 Section 300 (note)
Omit “pharmaceutical allowance”, substitute “MRCA supplement”.
45 Subsection 301(1)
Omit “a pharmaceutical allowance”, substitute “MRCA supplement under section 300”.
Note: The heading to section 301 is altered by omitting “ Pharmaceutical allowance ” and substituting “ MRCA supplement ”.
46 Subsection 301(2)
Omit “a pharmaceutical allowance”, substitute “MRCA supplement under section 300”.
47 Subsection 301(3)
Omit “the pharmaceutical allowance”, substitute “MRCA supplement under section 300”.
Note: The heading to subsection 301(3) is altered by omitting “ pharmaceutical allowance ” and substituting “ MRCA supplement ”.
48 Subsections 301(4) and (5)
Repeal the subsections, substitute:
When MRCA supplement is not payable
(4) Even though a person is eligible for MRCA supplement under section 300, the supplement is not payable to the person if:
(a) he or she is receiving veterans supplement under section 118A of the Veterans’ Entitlements Act 1986 ; or
(b) he or she is receiving a pharmaceutical allowance under the Social Security Act 1991 ; or
(c) he or she is a wholly dependent partner of a deceased member.
49 Section 302
Omit “pharmaceutical allowance”, substitute “MRCA supplement”.
Note: The heading to section 302 is altered by omitting “ pharmaceutical allowance ” and substituting “ MRCA supplement ”.
50 Section 302
After “is the rate”, insert “of veterans supplement”.
51 Section 303
Omit “pharmaceutical allowance”, substitute “MRCA supplement under section 300”.
Note: The heading to section 303 is altered by omitting “ pharmaceutical allowance ” and substituting “ MRCA supplement ”.
52 Paragraphs 303(a) and (b)
Omit “allowance”, substitute “MRCA supplement”.
53 Section 303 (note)
Omit “allowance”, substitute “MRCA supplement”.
Income Tax Assessment Act 1997
54 Section 52-65 (table item 12.1)
Repeal the item, substitute:
|
12.1 |
Quarterly pension supplement |
Exempt |
Not applicable |
55 Section 52-65 (table item 16A.1)
Repeal the item, substitute:
|
16A.1 |
Seniors supplement |
Exempt |
Not applicable |
56 Section 52-65 (table item 18.1)
Repeal the item.
57 Section 52-65 (table item 20A.1)
Repeal the item.
58 Section 52-65 (after table item 21.1)
Insert:
|
21A.1 |
Veterans supplement |
Exempt |
Not applicable |
59 At the end of section 52-70
Add:
; and (d) so much of the payment as is equal to the tax-exempt pension supplement for the payment.
60 Section 52-75 (table item 12)
Repeal the item, substitute:
|
12 |
Quarterly pension supplement |
Part IIID |
Not applicable |
61 Section 52-75 (table item 16A)
Repeal the item, substitute:
|
16A |
Seniors supplement |
Part VIIAD |
Not applicable |
62 Section 52-75 (table item 18)
Repeal the item.
63 Section 52-75 (table item 20A)
Repeal the item.
64 Section 52-75 (after table item 21)
Insert:
|
21A |
Veterans supplement |
Part VIIA |
Not applicable |
65 Section 52-114 (table item 10)
Omit “Telephone allowance”, substitute “MRCA supplement”.
66 Section 52-114 (table item 10)
Omit “and 245”, substitute “, 245 and 300”.
67 Section 52-114 (table item 20)
Repeal the item.
Military Rehabilitation and Compensation Act 2004
68 Section 3
Omit “an allowance such as a telephone allowance, a pharmaceutical allowance,”, substitute “veterans supplement,”.
69 Subsection 5(1) (paragraph (c) of the definition of compensation )
Repeal the paragraph, substitute:
(c) MRCA supplement under section 221, 245 or 300;
70 Subsection 5(1) (paragraph (e) of the definition of compensation )
Omit “Chapter 6;”, substitute “Chapter 6.”.
71 Subsection 5(1) (paragraph (f) of the definition of compensation )
Repeal the paragraph.
72 Section 269
Omit “a pharmaceutical allowance”, substitute “MRCA supplement”.
73 Section 278
Omit “a pharmaceutical allowance”, substitute “MRCA supplement”.
74 Paragraph 388(5)(a)
Omit “telephone allowance”, substitute “MRCA supplement”.
75 Paragraph 398(2)(a)
Omit “telephone allowance”, substitute “MRCA supplement”.
76 Paragraph 401(2)(a)
Omit “telephone allowance”, substitute “MRCA supplement”.
77 Subsection 402(2)
Omit “telephone allowance”, substitute “MRCA supplement”.
78 Paragraph 403(3)(b)
Omit “telephone allowance”, substitute “MRCA supplement”.
79 Subparagraph 8(8)(y)(viia)
Repeal the subparagraph, substitute:
(viia) veterans supplement under Part VIIA of that Act; or
80 Subparagraph 8(8)(y)(viib)
Omit “seniors concession allowance”, substitute “seniors supplement”.
81 Subsection 44(2)
Repeal the subsection, substitute:
(2) Subsection (1) does not apply to a person if the person’s rate would be nil merely because an election by the person under subsection 1061VA(1) is in force.
82 Subsection 98(2)
Repeal the subsection, substitute:
(2) Subsection (1) does not apply to a person if the person’s rate would be nil merely because an election by the person under subsection 1061VA(1) is in force.
83 Subsection 148(2)
Repeal the subsection, substitute:
(2) Subsection (1) does not apply to a person if the person’s rate would be nil merely because an election by the person under subsection 1061VA(1) is in force.
84 Subsection 199(2)
Repeal the subsection, substitute:
(2) Subsection (1) does not apply to a person if the person’s rate would be nil merely because an election by the person under subsection 1061VA(1) is in force.
85 Subsection 316(2)
Repeal the subsection, substitute:
(2) Subsection (1) does not apply to a person if the person’s rate would be nil merely because an election by the person under subsection 1061VA(1) is in force.
86 Subsection 364(2)
Repeal the subsection, substitute:
(2) Subsection (1) does not apply to a person if the person’s rate would be nil merely because an election by the person under subsection 1061VA(1) is in force.
87 Paragraph 408CA(2)(b)
Omit “or Division 2 of Part VIIA of the Veterans’ Entitlements Act”.
88 Paragraph 500I(2)(b)
Omit “or Division 2 of Part VIIA of the Veterans’ Entitlements Act”.
89 Subsection 547(2)
Repeal the subsection, substitute:
(2) Subsection (1) does not apply to a person if the person’s rate would be nil merely because an advance pharmaceutical allowance has been paid to the person under the social security law.
90 Paragraph 572(2)(b)
Omit “or Division 2 of Part VIIA of the Veterans’ Entitlements Act”.
91 Paragraph 608(2)(b)
Omit “or Division 2 of Part VIIA of the Veterans’ Entitlements Act”.
92 Paragraph 677(2)(b)
Omit “or Division 2 of Part VIIA of the Veterans’ Entitlements Act”.
93 Paragraph 732(2)(b)
Omit “or Division 2 of Part VIIA of the Veterans’ Entitlements Act”.
94 Paragraph 771HC(2)(b)
Omit “or Division 2 of Part VIIA of the Veterans’ Entitlements Act”.
95 Subsection 1061G(2)
Repeal the subsection.
96 Section 1061JC (paragraphs (a) to (c) of the note)
Repeal the paragraphs.
97 Subsection 1061JD(1)
Omit “(1)”.
98 Subsection 1061JD(2)
Repeal the subsection.
99 Section 1061R
Repeal the section, substitute:
1061R Telephone allowance not payable in some circumstances
Even though a person is qualified for a telephone allowance, the allowance is not payable to the person if:
(a) t he person is receiving a social security payment for which a pension supplement amount is used to work out the rate of the payment, with a pension supplement amount that is more than the person’s pension supplement basic amount; or
(b) the following subparagraphs apply to the person:
(i) the person is qualified for the telephone allowance because of the application of subsection 1061Q(3C), (3F) or (3G) to the person in relation to a social security payment the person has ceased to receive;
(ii) immediately before the cessation of the payment, a pension supplement amount was used to work out the rate of the payment;
(iii) that pension supplement amount was more than the person’s pension supplement basic amount; or
(c) an election by the person under subsection 1061VA(1) is in force; or
(d) the person is receiving seniors supplement under this Act or the Veterans’ Entitlements Act; or
(e) the person is receiving MRCA supplement under section 221 or 245 of the Military Rehabilitation and Compensation Act; or
(f) the person is receiving veterans supplement under section 118B of the Veterans’ Entitlements Act; or
(g) both:
(i) the person is a member of a couple (other than an illness separated, temporarily separated or respite care couple); and
(ii) the person’s partner is receiving veterans supplement under either subsection 118B(2) of the Veterans’ Entitlements Act or a determination under subsection 5R(1) of that Act.
Note 1: For the purposes of subparagraph (b)(i), subsections 1061Q(3C) and (3G) have an extended application (see subsections 1061Q(3D), (3E) and (3H)).
Note 2: For member of a couple , illness separated couple , temporarily separated couple and respite care couple , see section 4.
Note 3: Subsection 118B(2) of the Veterans’ Entitlements Act covers certain categories of World War I veterans.
Note 4: The relevant determination under subsection 5R(1) of the Veterans’ Entitlements Act provides eligibility for veterans supplement to certain categories of World War I Australian mariners.
100 Subsection 1061S(1) (cell at table item 4, column 2)
Repeal the cell, substitute:
|
Partnered, and: (a) partner getting pension or benefit; or (b) partner is a holder of a seniors health card; and: (c) partner is not getting telephone allowance; and (d) if the partner were taken to be qualified for telephone allowance, section 1061R would not prevent telephone allowance from being payable to the partner |
101 Subsection 1061S(1) (cell at table item 5, column 2)
Repeal the cell, substitute:
|
Partnered, and: (a) partner getting pension or benefit; or (b) partner is a holder of a seniors health card; and: (c) partner is getting telephone allowance; or (d) if the partner were taken to be qualified for telephone allowance, section 1061R would prevent telephone allowance from being payable to the partner |
102 Subsection 1061S(1) (cell at table item 7, column 2)
Repeal the cell, substitute:
|
Partnered, and: (a) partner not getting veterans supplement under section 118B of the Veterans’ Entitlements Act; and (b) partner not getting MRCA supplement under section 221 or 245 of the Military Rehabilitation and Compensation Act |
103 Subsection 1061S(1) (cell at table item 8, column 2)
Repeal the cell, substitute:
|
Partnered, and: (a) partner getting veterans supplement under section 118B of the Veterans’ Entitlements Act; or (b) partner getting MRCA supplement under section 221 or 245 of the Military Rehabilitation and Compensation Act |
104 Subsection 1061SA(1) (cell at table item 4, column 2)
Repeal the cell, substitute:
|
Partnered, and: (a) partner getting pension or benefit; or (b) partner is a holder of a seniors health card; and: (c) partner is not getting telephone allowance; and (d) if the partner were taken to be qualified for telephone allowance, section 1061R would not prevent telephone allowance from being payable to the partner |
105 Subsection 1061SA(1) (cell at table item 5, column 2)
Repeal the cell, substitute:
|
Partnered, and: (a) partner getting pension or benefit; or (b) partner is a holder of a seniors health card; and: (c) partner is getting telephone allowance at the increased rate; or (d) if the partner were taken to be qualified for telephone allowance, section 1061R would prevent telephone allowance from being payable to the partner |
106 Subsection 1061SA(1) (cell at table item 7, column 2)
Repeal the cell, substitute:
|
Partnered, and: (a) partner not getting veterans supplement under section 118B of the Veterans’ Entitlements Act; and (b) partner not getting MRCA supplement under section 221 or 245 of the Military Rehabilitation and Compensation Act |
107 Subsection 1061SA(1) (cell at table item 8, column 2)
Repeal the cell, substitute:
|
Partnered, and: (a) partner getting veterans supplement under section 118B of the Veterans’ Entitlements Act; or (b) partner getting MRCA supplement under section 221 or 245 of the Military Rehabilitation and Compensation Act |
108 Subsection 1061SA(1) (table item 11)
Repeal the item.
109 Subsection 1061SA(3)
Omit “or 11”.
110 Paragraph 1061TA(2)(b)
Omit “seniors concession allowance”, substitute “seniors supplement”.
111 After subsection 1061VA(2)
Insert:
(2A) An election ceases to be in force if the main payment ceases to be payable to the person.
112 Paragraph 1061ZAAZA(2)(ea)
Omit “seniors concession allowance”, substitute “seniors supplement”.
113 Point 1064-A1 (note 5)
Omit “1168”, substitute “1173”.
Note: This item fixes an incorrect cross-reference.
114 Subparagraph 1064-H1(aa)(ii)
Repeal the subparagraph, substitute:
(ii) apart from this point, the person’s rate of pension would be nil merely because an election by the person under subsection 1061VA(1) is in force; and
115 Subparagraph 1065-E1(aa)(ii)
Repeal the subparagraph, substitute:
(ii) apart from this point, the person’s rate of pension would be nil merely because an election by the person under subsection 1061VA(1) is in force; and
116 Subparagraph 1066-H1(aa)(ii)
Repeal the subparagraph, substitute:
(ii) apart from this point, the person’s rate of pension would be nil merely because an election by the person under subsection 1061VA(1) is in force; and
117 Points 1066A-D2 and 1066A-D3
Repeal the points, substitute:
No pharmaceutical allowance if person receiving veterans supplement or MRCA supplement
1066A-D2 Pharmaceutical allowance is not to be added to a person’s maximum basic rate if the person is receiving:
(a) veterans supplement under section 118A of the Veterans’ Entitlements Act; or
(b) MRCA supplement under section 300 of the Military Rehabilitation and Compensation Act.
No pharmaceutical allowance if partner receiving veterans supplement or MRCA supplement and not a service pensioner
1066A-D3 Pharmaceutical allowance is not to be added to a person’s maximum basic rate if:
(a) the person is a member of a couple; and
(b) the person’s partner is receiving:
(i) veterans supplement under section 118A of the Veterans’ Entitlements Act; or
(ii) MRCA supplement under section 300 of the Military Rehabilitation and Compensation Act; and
(c) the person’s partner is not receiving a service pension.
118 Paragraph 1066A-D4(a)
Repeal the paragraph, substitute:
(a) the person has received an advance pharmaceutical allowance under Part 2.23 of this Act; and
119 Point 1066A-D7
Repeal the point.
120 Subparagraph 1066A-I1(aa)(ii)
Repeal the subparagraph, substitute:
(ii) apart from this point, the person’s rate of pension would be nil merely because an advance pharmaceutical allowance has been paid to the person under Part 2.23 of this Act; and
121 Points 1066B-D2 and 1066B-D3
Repeal the points, substitute:
No pharmaceutical allowance if person receiving veterans supplement or MRCA supplement
1066B-D2 Pharmaceutical allowance is not to be added to a person’s maximum basic rate if the person is receiving:
(a) veterans supplement under section 118A of the Veterans’ Entitlements Act; or
(b) MRCA supplement under section 300 of the Military Rehabilitation and Compensation Act.
No pharmaceutical allowance if partner receiving veterans supplement or MRCA supplement and not a service pensioner
1066B-D3 Pharmaceutical allowance is not to be added to a person’s maximum basic rate if:
(a) the person is a member of a couple; and
(b) the person’s partner is receiving:
(i) veterans supplement under section 118A of the Veterans’ Entitlements Act; or
(ii) MRCA supplement under section 300 of the Military Rehabilitation and Compensation Act; and
(c) the person’s partner is not receiving a service pension.
122 Paragraph 1066B-D4(a)
Repeal the paragraph, substitute:
(a) the person has received an advance pharmaceutical allowance under Part 2.23 of this Act; and
123 Point 1066B-D7
Repeal the point.
124 Subparagraph 1066B-F1(aa)(ii)
Repeal the subparagraph, substitute:
(ii) apart from this point, the person’s rate of pension would be nil merely because an advance pharmaceutical allowance has been paid to the person under Part 2.23 of this Act; and
125 Point 1067G-C2
Repeal the point, substitute:
No pharmaceutical allowance if partner receiving veterans supplement or MRCA supplement and not a service pensioner
1067G-C2 Pharmaceutical allowance is not to be added to a person’s maximum basic rate if:
(a) the person is a member of a couple; and
(b) the person’s partner is receiving:
(i) veterans supplement under section 118A of the Veterans’ Entitlements Act; or
(ii) MRCA supplement under section 300 of the Military Rehabilitation and Compensation Act; and
(c) the person’s partner is not receiving a service pension.
126 Point 1067L-C2
Repeal the point, substitute:
No pharmaceutical allowance if partner receiving veterans supplement or MRCA supplement and not a service pensioner
1067L-C2 Pharmaceutical allowance is not to be added to a person’s maximum basic rate if:
(a) the person is a member of a couple; and
(b) the person’s partner is receiving:
(i) veterans supplement under section 118A of the Veterans’ Entitlements Act; or
(ii) MRCA supplement under section 300 of the Military Rehabilitation and Compensation Act; and
(c) the person’s partner is not receiving a service pension.
127 Points 1068-D4 and 1068-D5
Repeal the points, substitute:
No pharmaceutical allowance if person receiving veterans supplement or MRCA supplement
1068-D4 Pharmaceutical allowance is not to be added to a person’s maximum basic rate if the person is receiving:
(a) veterans supplement under section 118A of the Veterans’ Entitlements Act; or
(b) MRCA supplement under section 300 of the Military Rehabilitation and Compensation Act.
No pharmaceutical allowance if partner receiving veterans supplement or MRCA supplement and not a service pensioner
1068-D5 Pharmaceutical allowance is not to be added to a person’s maximum basic rate if:
(a) the person is a member of a couple; and
(b) the person’s partner is receiving:
(i) veterans supplement under section 118A of the Veterans’ Entitlements Act; or
(ii) MRCA supplement under section 300 of the Military Rehabilitation and Compensation Act; and
(c) the person’s partner is not receiving a service pension.
128 Paragraph 1068-D6(a)
Repeal the paragraph, substitute:
(a) the person has received an advance pharmaceutical allowance under Part 2.23 of this Act; and
129 Point 1068-D9
Repeal the point.
130 Paragraph 1068-J1(aa)
Repeal the paragraph, substitute:
(aa) any of the following subparagraphs applies:
(i) apart from this point, the person’s rate would be greater than nil;
(ii) apart from this point, the person’s rate would be nil merely because an advance pharmaceutical allowance has been paid to the person under Part 2.23 of this Act;
(iii) apart from this point, the person’s rate would be nil merely because an election by the person under subsection 1061VA(1) is in force;
(iv) apart from this point, the person’s rate would be nil merely because of both of the matters mentioned in subparagraphs (ii) and (iii); and
131 Point 1068A-C2
Repeal the point, substitute:
No pharmaceutical allowance if person receiving veterans supplement or MRCA supplement
1068A-C2 Pharmaceutical allowance is not to be added to a person’s maximum basic rate if the person is receiving:
(a) veterans supplement under section 118A of the Veterans’ Entitlements Act; or
(b) MRCA supplement under section 300 of the Military Rehabilitation and Compensation Act.
132 Paragraph 1068A-C3(a)
Repeal the paragraph, substitute:
(a) the person has received an advance pharmaceutical allowance under Part 2.23 of this Act; and
133 Point 1068A-C6
Repeal the point.
134 Paragraph 1068A-F1(a)
Repeal the paragraph, substitute:
(a) any of the following subparagraphs applies:
(i) apart from this point, the person’s rate would be greater than nil;
(ii) apart from this point, the person’s rate would be nil merely because an advance pharmaceutical allowance has been paid to the person under Part 2.23 of this Act;
(iii) apart from this point, the person’s rate would be nil merely because an election by the person under subsection 1061VA(1) is in force;
(iv) apart from this point, the person’s rate would be nil merely because of both of the matters mentioned in subparagraphs (ii) and (iii); and
135 Points 1068B-E2 and 1068B-E3
Repeal the points, substitute:
No pharmaceutical allowance if person receiving veterans supplement or MRCA supplement
1068B-E2 Pharmaceutical allowance is not to be included in a person’s maximum basic rate if the person is receiving:
(a) veterans supplement under section 118A of the Veterans’ Entitlements Act; or
(b) MRCA supplement under section 300 of the Military Rehabilitation and Compensation Act.
No pharmaceutical allowance if partner receiving veterans supplement or MRCA supplement and not a service pensioner
1068B-E3 Pharmaceutical allowance is not to be included in a person’s maximum basic rate if:
(a) the person is a member of a couple; and
(b) the person’s partner is receiving:
(i) veterans supplement under section 118A of the Veterans’ Entitlements Act; or
(ii) MRCA supplement under section 300 of the Military Rehabilitation and Compensation Act; and
(c) the person’s partner is not receiving a service pension.
136 Paragraph 1068B-E4(a)
Repeal the paragraph, substitute:
(a) the person has received an advance pharmaceutical allowance under Part 2.23 of this Act; and
137 Point 1068B-E7
Repeal the point.
138 Paragraph 1068B-G1(b)
Repeal the paragraph, substitute:
(b) any of the following subparagraphs applies:
(i) apart from this point, the person’s rate of benefit PP (partnered) would be greater than nil;
(ii) apart from this point, the person’s rate of benefit PP (partnered) would be nil merely because an advance pharmaceutical allowance has been paid to the person under Part 2.23 of this Act;
(iii) apart from this point, the person’s rate of benefit PP (partnered) would be nil merely because an election by the person under subsection 1061VA(1) is in force;
(iv) apart from this point, the person’s rate of benefit PP (partnered) would be nil merely because of both of the matters mentioned in subparagraphs (ii) and (iii); and
139 Section 1190 (table items 55 and 56)
Repeal the items, substitute:
|
55 |
Rate of telephone allowance for a person with a partner where the partner is not getting veterans supplement or MRCA supplement |
TA “partnered” (item 7) rate |
section 1061S—Table—column 3—item 7 |
|
56 |
Rate of telephone allowance for a person with a partner where the partner is getting veterans supplement or MRCA supplement |
TA “partnered” (item 8) rate |
section 1061S—Table—column 3—item 8 |
140 Section 1190 (table items 56AG and 56AH)
Repeal the items, substitute:
|
56AG |
Increased rate of telephone allowance for a person with a partner where the partner is not getting veterans supplement or MRCA supplement and the person has home internet |
TA (Internet) “partnered” (item 7) rate |
section 1061SA—Table—column 3—item 7 |
|
56AH |
Increased rate of telephone allowance for a person with a partner where the partner is getting veterans supplement or MRCA supplement and the person has home internet |
TA (Internet) “partnered” (item 8) rate |
section 1061SA—Table—column 3—item 8 |
141 Section 1190 (table item 56AK)
Repeal the item.
142 Subsection 1191(1) (table item 33AAC)
Repeal the item.
143 Subparagraph 1210(1)(b)(ii)
Omit “1168”, substitute “1173”.
Note: This item fixes an incorrect cross-reference.
Social Security (Administration) Act 1999
144 Subsection 48C(3)
Repeal the subsection, substitute:
(3) The amount of the instalment is worked out by multiplying the person’s daily rate of quarterly pension supplement by the number of days during the test period for which an election by the person under subsection 1061VA(1) is in force.
145 Section 123TC (paragraph (k) of the definition of category I welfare payment )
Repeal the paragraph, substitute:
(k) veterans supplement under section 118B of the Veterans’ Entitlements Act; or
146 Section 123TC (paragraph (m) of the definition of category I welfare payment )
Repeal the paragraph.
147 Section 123TC (paragraph (v) of the definition of category I welfare payment )
Omit “or VIIA”.
148 Section 123TC (paragraph (k) of the definition of category Q welfare payment )
Omit “(other than an advance pharmaceutical allowance in relation to an age pension or a carer payment)”.
Veterans’ Entitlements Act 1986
149 Section 5 (index of definitions)
Insert the following entry in its appropriate alphabetical position, as determined on a letter-by-letter basis:
|
combined couple rate of minimum pension supplement |
5GA(2) |
150 Section 5 (index of definitions)
Insert the following entry in its appropriate alphabetical position, as determined on a letter-by-letter basis:
|
combined couple rate of pension supplement |
5GA(1) |
151 Section 5 (index of definitions)
Insert the following entry in its appropriate alphabetical position, as determined on a letter-by-letter basis:
|
minimum pension supplement amount |
5GA(3) |
152 Section 5 (index of definitions)
Insert the following entry in its appropriate alphabetical position, as determined on a letter-by-letter basis:
|
pension supplement amount |
5Q(1) |
153 Section 5 (index of definitions)
Insert the following entry in its appropriate alphabetical position, as determined on a letter-by-letter basis:
|
pension supplement basic amount |
5GA(4) |
154 Section 5 (index of definitions)
Insert the following entry in its appropriate alphabetical position, as determined on a letter-by-letter basis:
|
quarterly pension supplement |
5Q(1) |
155 Section 5 (index of definitions)
Insert the following entry in its appropriate alphabetical position, as determined on a letter-by-letter basis:
|
seniors supplement |
5Q(1) |
156 Section 5 (index of definitions)
Insert the following entry in its appropriate alphabetical position, as determined on a letter-by-letter basis:
|
tax-exempt pension supplement |
5GA(5) |
157 Paragraph 5H(8)(ba)
Repeal the paragraph, substitute:
(ba) a payment of an instalment of a supplement under Part VIIA (veterans supplement);
158 Paragraph 5H(8)(ga)
Repeal the paragraph.
159 Paragraph 5H(8)(gb)
Omit “seniors concession allowance”, substitute “seniors supplement”.
160 Paragraph 5H(8)(zt)
Repeal the paragraph, substitute:
(zt) a payment of MRCA supplement under section 221, 245 or 300 of the MRCA;
161 Subsection 5NB(1) (paragraphs (d) and (e) of the definition of compensation affected pension )
Repeal the paragraphs.
162 Subsection 5Q(1) (definition of Australia )
Repeal the definition, substitute:
Australia , when used in a geographical sense, includes the external Territories for the purposes of section 5PAA, Parts III, IIIA and IIIAB, Division 8A of Part IIIB, Subdivision E of Division 11 of Part IIIB, sections 52ZO and 58A, Parts IIID, VIIA, VIIAD and VIIC, section 132 and Schedule 6.
163 Subsection 5Q(1)
Insert:
pension supplement amount , for a person:
(a) whose rate of service pension is worked out under subpoint SCH6-A1(2) or (3) of Schedule 6; or
(b) whose rate of service pension is worked out under subpoint SCH6-A1(4) of Schedule 6 and is the provisional rate worked out under that subpoint;
means the amount worked out and added under the pension supplement Module of the Rate Calculator.
164 Subsection 5Q(1)
Insert:
quarterly pension supplement means the separate payment described in subsection 60A(1).
165 Subsection 5Q(1) (definition of seniors concession allowance )
Repeal the definition.
166 Subsection 5Q(1)
Insert:
seniors supplement means seniors supplement under Part VIIAD.
167 Subsection 5Q(1) (definition of utilities allowance )
Repeal the definition.
168 Subsection 36A(3)
Repeal the subsection, substitute:
(3) Subsection (2) does not apply to a veteran if the veteran’s rate would be nil merely because:
(a) an election by the veteran under subsection 60A(1) is in force; or
(b) the veteran has been paid an advance pharmaceutical allowance under Part 2.23 of the Social Security Act.
169 Subsection 37A(3)
Repeal the subsection, substitute:
(3) Subsection (2) does not apply to a veteran if the veteran’s rate would be nil merely because:
(a) an election by the veteran under subsection 60A(1) is in force; or
(b) the veteran has been paid an advance pharmaceutical allowance under Part 2.23 of the Social Security Act.
170 Subsection 38A(3)
Repeal the subsection, substitute:
(3) Subsection (2) does not apply to a person if the person’s rate would be nil merely because:
(a) an election by the person under subsection 60A(1) is in force; or
(b) the person has been paid an advance pharmaceutical allowance under Part 2.23 of the Social Security Act.
171 Subparagraph 53M(4)(b)(ii)
Omit “pension supplement under Module BA in Schedule 6”, substitute “partner’s pension supplement amount (worked out as if the partner was receiving a service pension worked out under subpoint SCH6-A1(2) of Schedule 6)”.
172 Subsections 58A(7) and (8)
Repeal the subsections, substitute:
(7) If:
(a) an amount of an instalment of service pension or income support supplement is payable to a person in relation to a particular day; and
(b) on that day, the person is residing in Australia and:
(i) is in Australia; or
(ii) is temporarily absent from Australia and has been so for a continuous period not exceeding 13 weeks; and
(c) there is no election by the person under subsection 60A(1) in force on that day; and
(d) apart from this subsection, the portion of the instalment corresponding to that day would be less than the person’s minimum daily rate, but more than a nil amount;
the amount of that portion of the instalment is to be increased to the person’s minimum daily rate.
(8) In this section:
minimum daily rate , for a person, means 1 / 364 of the person’s minimum pension supplement amount.
173 Subsection 58K(1) (note 1)
Omit “Note 1”, substitute “Note”.
174 Subsection 58K(1) (note 2)
Repeal the note.
175 Section 59A (table item 2)
Repeal the item, substitute:
|
2 |
Combined couple rate of pension supplement |
PS rate |
subsection 5GA(1) |
|
2A |
Combined couple rate of minimum pension supplement |
PS minimum rate |
subsection 5GA(2) |
|
2B |
Pension supplement basic amount |
PS basic rate |
subsection 5GA(4) |
176 Section 59A (table items 18 and 19)
Repeal the items.
177 At the end of section 59A
Add:
Note: Indexing the PS minimum rate will also result in the indexation of the rate of quarterly pension supplement (see section 60B) and the rate of seniors supplement (see section 118PB).
178 Subsection 59B(1) (table item 1A)
Repeal the item, substitute:
|
1A |
PS rate |
(a) 20 March (b) 20 September |
(a) December (b) June |
highest June or December quarter before reference quarter (but not earlier than June quarter 2009) |
$5.20 |
|
1B |
PS minimum rate |
(a) 20 March (b) 20 September |
(a) December (b) June |
highest June or December quarter before reference quarter (but not earlier than June quarter 2009) |
$5.20 |
|
1C |
PS basic rate |
(a) 20 March (b) 20 September |
(a) December (b) June |
highest June or December quarter before reference quarter (but not earlier than December quarter 2008) |
$2.60 |
179 Before subsection 59C(2A)
Insert:
(2AB) The first indexation of amounts under items 1A, 1B and 1C of the CPI Indexation Table in subsection 59B(1) is to take place on 20 March 2010.
180 Section 59L
Repeal the section.
181 Subsection 59M(1)
Omit “, allowances”.
182 Paragraphs 59M(1)(g) and (h)
Repeal the paragraphs.
183 Subsections 59M(2), (3) and (4)
Omit “, allowance”.
184 Paragraph 59Q(7)(b)
Repeal the paragraph, substitute:
(b) if the person receives the lump sum compensation payment on or after 20 March 1997—the number worked out by using the formula:
where:
maximum basic rate means the amount specified in column 3 of item 1 in Table B in point SCH6-B1 of Schedule 6.
ordinary free area limit means the amount specified in column 3 of item 1 in Table E-1 in point SCH6-E6 of Schedule 6.
point SCH6-BA3 amount means the pension supplement amount worked out under point SCH6-BA3 of Schedule 6 for a person who is not a member of a couple (whether or not the person for whom the lump sum preclusion period is being worked out is a member of a couple and whether or not that point applies to the person for whom the lump sum preclusion period is being worked out).
185 Paragraphs 59U(2)(b) and (c)
Omit “1168”, substitute “1173”.
Note: This item fixes an incorrect cross-reference.
186 Paragraph 59U(3)(b)
Omit “1168”, substitute “1173”.
Note: This item fixes an incorrect cross-reference.
187 Part VIIAC
Repeal the Part.
188 Subsection 121(7) (definition of pension )
Omit “, loss of earnings allowance under section 108, utilities allowance under Part VIIAC or seniors concession allowance under Part VIIAD”, substitute “or loss of earnings allowance under section 108”.
189 Subsections 122A(1A) and (1C)
Omit “seniors concession allowance”, substitute “seniors supplement”.
Note: The heading to section 122A is altered by omitting “ allowance ” and substituting “ supplement ”.
190 Subsection 122A(1C)
Omit “the allowance”, substitute “the supplement”.
191 Subsection 122A(2) (definition of pension )
Omit “pension or”, substitute “pension, supplement or”.
192 Subsection 128A(1) (paragraph (d) of the definition of income payment )
Omit “(other than utilities allowance or seniors concession allowance)”.
193 Section 198E
Repeal the section.
194 Subpoint SCH6-A1(2) of Schedule 6 (method statement 1, step 3)
Repeal the step.
195 Subpoint SCH6-A1(2) of Schedule 6 (method statement 1, step 4)
Omit “, 2 and 3”, substitute “and 2”.
196 Subpoint SCH6-A1(2) of Schedule 6 (method statement 1, step 11, note 4)
Omit “(maximum basic rate first, then rent assistance and finally pharmaceutical allowance)”.
197 Subpoint SCH6-A1(3) of Schedule 6 (method statement 2, step 3)
Repeal the step.
198 Subpoint SCH6-A1(3) of Schedule 6 (method statement 2, step 4)
Omit “3”, substitute “2A”.
199 Subpoint SCH6-A1(4) of Schedule 6 (method statement 3, step 3)
Repeal the step.
200 Subpoint SCH6-A1(5) of Schedule 6 (method statement 4, step 2)
Repeal the step.
201 Subpoint SCH6-A1(6) of Schedule 6 (method statement 5, step 3)
Repeal the step.
202 Subpoint SCH6-A1(6) of Schedule 6 (method statement 5, step 4)
Omit “, 2 and 3”, substitute “and 2”.
203 Subpoint SCH6-A1(6) of Schedule 6 (method statement 5, step 12, note 4)
Omit “(maximum basic rate first, then rent assistance and finally pharmaceutical allowance)”.
204 Subpoint SCH6-A1(7) of Schedule 6 (method statement 6, step 2)
Repeal the step.
205 Part 2 of Schedule 6 (Module D)
Repeal the Module.
206 Subparagraph SCH6-G1(1)(a)(ii)
Omit “under Division 2 of Part VIIA of this Act or”.
Part 6 — Application, saving and transitional
207 Modifying pension supplement amounts for temporary singles’ rate
(1) For the period:
(a) starting on 20 September 2009; and
(b) ending on 19 March 2010;
the Veterans’ Entitlements Act 1986 (as amended by this Schedule) applies with the modifications set out in subitems (2) and (3).
(2) At the end of section 5GA of that Act, add:
(7) The temporary singles’ amount is $1,458.60.
(3) Omit point SCH6-BA3 of that Act, substitute:
Residents in Australia etc.—no election in force
SCH6-BA3 The person’s pension supplement amount is:
(a) if the person is partnered—50% of the combined couple rate of pension supplement; and
(b) otherwise—the temporary singles’ amount.
Note: For combined couple rate of pension supplement , see subsection 5GA(1).
208 Quarterly pension supplement
Part VIIAD of the Veterans’ Entitlements Act 1986 (as inserted by this Schedule) applies in relation to elections made under subsection 60A(1) of that Act (as inserted by this Schedule) on or after 1 July 2010.
209 Seniors concession allowance
(1) Despite the amendment made by item 11, Part VIIAD of the Veterans’ Entitlements Act 1986 , as in force immediately before the commencement of that item, continues to apply on and after that commencement in relation to the seniors concession allowance test day on 20 September 2009.
(2) For the purposes of subitem (1), section 198E of the Veterans’ Entitlements Act 1986 , as in force immediately before the commencement of this item, applies in relation to 20 September 2009.
(3) Despite the amendment made by item 55, table item 16A.1 in section 52-65 of the Income Tax Assessment Act 1997 (as in force immediately before the commencement of this item) continues to apply on and after that commencement in relation to payments of seniors concession allowance made before, on or after that commencement.
(4) Despite the amendment made by item 80, subparagraph 8(8)(y)(viib) of the Social Security Act 1991 (as in force immediately before the commencement of that item) continues to apply on and after that commencement in relation to payments of seniors concession allowance made before, on or after that commencement.
(5) Despite the amendment made by item 159, paragraph 5H(8)(gb) of the Veterans’ Entitlements Act 1986 (as in force immediately before the commencement of that item) continues to apply on and after that commencement in relation to payments of seniors concession allowance made before, on or after that commencement.
(6) Despite the amendments made by items 189 and 190, subsection 122A(1C) of the Veterans’ Entitlements Act 1986 (as in force immediately before the commencement of this item) continues to apply on and after that commencement in relation to payments of seniors concession allowance made before, on or after that commencement.
210 Utilities allowance
(1) Despite the amendment made by item 187, Part VIIAC of the Veterans’ Entitlements Act 1986 , as in force immediately before the commencement of that item, continues to apply on and after that commencement in relation to the utilities allowance test day on 20 September 2009.
(2) For the purposes of subitem (1), section 198E of the Veterans’ Entitlements Act 1986 , as in force immediately before the commencement of this item, applies in relation to 20 September 2009.
(3) Despite the amendment made by item 57, table item 20A.1 in section 52-65 of the Income Tax Assessment Act 1997 (as in force immediately before the commencement of this item) continues to apply on and after that commencement in relation to payments of utilities allowance made before, on or after that commencement.
(4) Despite the amendment made by item 79, subparagraph 8(8)(y)(viia) of the Social Security Act 1991 (as in force immediately before the commencement of that item) continues to apply on and after that commencement in relation to payments of utilities allowance made before, on or after that commencement.
(5) Despite the amendment made by item 146, paragraph (m) of the definition of category I welfare payment in section 123TC of the Social Security (Administration) Act 1999 (as in force immediately before the commencement of that item) continues to apply on and after that commencement in relation to payments of utilities allowance made before, on or after that commencement.
(6) Despite the amendment made by item 158, paragraph 5H(8)(ga) of the Veterans’ Entitlements Act 1986 (as in force immediately before the commencement of that item) continues to apply on and after that commencement in relation to payments of utilities allowance made before, on or after that commencement.
211 Telephone allowance
(1) Despite the amendment made by item 13, Part VIIB of the Veterans’ Entitlements Act 1986 , as in force immediately before the commencement of that item, continues to apply on and after that commencement in relation to the first telephone allowance payday that falls after 20 September 2009.
(2) For the purposes of subitem (1), section 198F of the Veterans’ Entitlements Act 1986 , as in force immediately before the commencement of this item, applies in relation to 20 September 2009.
(3) Despite the amendment made by item 56, table item 18.1 in section 52-65 of the Income Tax Assessment Act 1997 (as in force immediately before the commencement of this item) continues to apply on and after that commencement in relation to payments of telephone allowance made before, on or after that commencement.
(4) Despite the amendment made by item 145, paragraph (k) of the definition of category I welfare payment in section 123TC of the Social Security (Administration) Act 1999 (as in force immediately before the commencement of that item) continues to apply on and after that commencement in relation to payments of telephone allowance made before, on or after that commencement.
(5) Despite the amendment made by item 157, paragraph 5H(8)(ba) of the Veterans’ Entitlements Act 1986 (as in force immediately before the commencement of that item) continues to apply on and after that commencement in relation to payments of telephone allowance made before, on or after that commencement.
212 Pharmaceutical allowance
(1) Despite the amendment made by item 12, Part VIIA of the Veterans’ Entitlements Act 1986 , as in force immediately before the commencement of that item, continues to apply on and after that commencement in relation to days occurring before 20 September 2009.
(2) Despite the amendment made by item 54, table item 12.1 in section 52-65 of the Income Tax Assessment Act 1997 (as in force immediately before the commencement of this item) continues to apply on and after that commencement in relation to payments of pharmaceutical allowance made before, on or after that commencement.
(3) Despite the amendment made by item 98, subsection 1061JD(2) of the Social Security Act 1991 (as in force immediately before the commencement of that item) continues to apply on and after that commencement in relation to payments of pharmaceutical allowance made under the Veterans’ Entitlements Act 1986 before, on or after that commencement.
(4) Despite the amendment made by item 157, paragraph 5H(8)(ba) of the Veterans’ Entitlements Act 1986 (as in force immediately before the commencement of that item) continues to apply on and after that commencement in relation to payments of pharmaceutical allowance made before, on or after that commencement.
213 Minimum amount of service pension
(1) This item applies to a person if the person receives an instalment of a service pension for the pension period that includes 20 September 2009.
(2) If:
(a) for a day in that period before 20 September 2009, an amount of pharmaceutical allowance is added to the person’s maximum basic rate in working out the amount of the instalment; and
(b) apart from this item, the portion of the instalment corresponding to that day would be less than the person’s minimum daily rate, but more than a nil amount;
the amount of that portion of the instalment is to be increased to the person’s minimum daily rate.
(3) In this item:
minimum daily rate , for a person, means 1 / 364 of the yearly amount of pharmaceutical allowance added to the person’s maximum basic rate in working out that portion of the instalment.
214 Pharmaceutical allowance and telephone allowance under the Military Rehabilitation and Compensation Act
(1) Despite the amendments of Division 4 of Part 7 of Chapter 4, and of Division 5 of Part 2 of Chapter 5, of the Military Rehabilitation and Compensation Act 2004 made by this Schedule, those Divisions, as in force immediately before the commencement of this item, continue to apply on and after that commencement in relation to the first telephone allowance payday that falls after 20 September 2009.
(2) For the purposes of subitem (1), section 198F of the Veterans’ Entitlements Act 1986 , as in force immediately before the commencement of this item, applies in relation to 20 September 2009.
(3) Despite the amendments of Division 4 of Part 4 of Chapter 6 of the Military Rehabilitation and Compensation Act 2004 made by this Schedule, that Division, as in force immediately before the commencement of this item, continues to apply on and after that commencement in relation to days occurring before 20 September 2009.
(4) Despite the amendments made by items 65, 66 and 67, table items 10 and 20 in section 52-114 of the Income Tax Assessment Act 1997 (as in force immediately before the commencement of this item) continue to apply on and after that commencement in relation to payments of telephone allowance or pharmaceutical allowance made before, on or after that commencement.
(5) Sections 388, 398, 401, 402 and 403 of the Military Rehabilitation and Compensation Act 2004 apply on and after the commencement of this item as if a reference in those sections to MRCA supplement included a reference to telephone allowance.
(6) Despite the amendment made by item 98, subsection 1061JD(2) of the Social Security Act 1991 (as in force immediately before the commencement of that item) continues to apply on and after that commencement in relation to payments of pharmaceutical allowance made under the Military Rehabilitation and Compensation Act 2004 before, on or after that commencement.
(7) Despite the amendment made by item 160, paragraph 5H(8)(zt) of the Veterans’ Entitlements Act 1986 (as in force immediately before the commencement of that item) continues to apply on and after that commencement in relation to a payment mentioned in that paragraph made before, on or after that commencement.
Division 3—Social security payments
215 Seniors concession allowance under the Social Security Act
(1) Despite the amendment made by item 35 of Schedule 4 to the Social Security and Other Legislation Amendment (Pension Reform and Other 2009 Budget Measures) Act 2009 , table item 22B.1 in section 52-10 of the Income Tax Assessment Act 1997 (as in force immediately before the commencement of that amending item) continues to apply on and after that commencement in relation to payments of seniors concession allowance made before, on or after that commencement.
(2) For the purposes of item 104 of Schedule 4 to the Social Security and Other Legislation Amendment (Pension Reform and Other 2009 Budget Measures) Act 2009 , each of the following provisions of the Social Security Act 1991 (as in force immediately before the commencement of that item) applies in relation to 20 September 2009:
(a) item 56E of the table in section 1190;
(b) item 33AE of the table in subsection 1191(1).
(3) Despite the amendment made by item 101 of Schedule 4 to the Social Security and Other Legislation Amendment (Pension Reform and Other 2009 Budget Measures) Act 2009 , paragraph (e) of the definition of relevant payment in section 123A of the Social Security (Administration) Act 1999 (as in force immediately before the commencement of that item) continues to apply on and after that commencement in relation to payments of seniors concession allowance made before, on or after that commencement.
216 Utilities allowance under the Social Security Act
(1) This item applies to a person if, apart from paragraph 1061T(2)(a) of the Social Security Act 1991 , utilities allowance under that Act would be payable to the person in relation to the utilities allowance test day on 20 September 2009.
(2) That Act has effect in relation to the person and that test day as if paragraph 1061T(2)(a) of that Act had not been enacted.
217 Telephone allowance under the Social Security Act
(1) This item applies to a person if, apart from:
(a) paragraph 1061R(a) of the Social Security Act 1991 (as inserted by this Schedule); and
(b) paragraph 1061R(aa) of the Social Security Act 1991 (as inserted by item 70 of Schedule 4 to the Social Security and Other Legislation Amendment (Pension Reform and Other 2009 Budget Measures) Act 2009 );
telephone allowance under the Social Security Act 1991 would be payable to the person on the first telephone allowance payday on or after 20 September 2009.
(2) The Social Security Act 1991 has effect in relation to the person and that payday as if:
(a) paragraph 1061R(a) of that Act (as inserted by this Schedule); and
(b) item 70 of Schedule 4 to the Social Security and Other Legislation Amendment (Pension Reform and Other 2009 Budget Measures) Act 2009 ;
had not been enacted.
218 Advance pharmaceutical allowance under the Social Security Act
Despite the amendments made by items 81 to 86 and 114 to 116, each of the following provisions of the Social Security Act 1991 (as in force immediately before the commencement of this item):
(a) subsections 44(2), 98(2), 148(2), 199(2), 316(2) and 364(2);
(b) subparagraphs 1064-H1(aa)(ii), 1065-E1(aa)(ii) and 1066-H1(aa)(ii);
continue to apply on and after that commencement in relation to a payment of advance pharmaceutical allowance made under that Act before, on or after that commencement.
219 Minimum amount of social security payment
(1) This item applies to a person if the person receives an instalment of a social security payment for the pension period that includes 20 September 2009.
(2) If:
(a) for a day in that period before 20 September 2009, an amount of pharmaceutical allowance is added to the person’s maximum basic rate in working out the amount of the instalment; and
(b) apart from this item, the portion of the instalment corresponding to that day would be less than the person’s minimum daily rate, but more than a nil amount;
the amount of that portion of the instalment is to be increased to the person’s minimum daily rate.
(3) In this item:
minimum daily rate , for a person, means:
(a) if the Rate Calculator for the social security payment produces a fortnightly rate— 1 / 14 of the amount of pharmaceutical allowance added to the person’s maximum basic rate in working out that portion of the instalment; or
(b) if the Rate Calculator for the social security payment produces an annual rate— 1 / 364 of the amount of pharmaceutical allowance added to the person’s maximum basic rate in working out that portion of the instalment.