Baldwin and Secretary, Department of Health (Social services)

This matter concerned an appeal by Ms Baldwin, represented by her husband, against a decision by the Secretary, Department of Health, regarding the assessment of her assets for the purpose of calculating residential aged care fees. The dispute centred on whether a jointly owned property, known as 'Myall', should be included as an assessable asset. The Administrative Appeals Tribunal (AAT) was required to determine if the 'extended land use test' under the *Social Security Act 1991* applied to Ms Baldwin and, if so, whether that test was satisfied.

The Tribunal considered the conditions for the 'extended land use test' to apply, which include reaching pension age, qualifying for an age pension, and the dwelling being the person's principal home for 20 continuous years. While Ms Baldwin met the age requirement, she did not qualify for an age pension due to not meeting the applicable assets test, nor had 'Myall' been her principal home for the requisite 20 years. Consequently, the Tribunal found that Ms Baldwin was not a person to whom the 'extended land use test' applied.

The Tribunal reasoned that because the 'extended land use test' was not applicable, the 'Myall' property, which exceeded 2 hectares, could not be excluded from the assessment of Ms Baldwin's assets under the 'private land test'. Therefore, the total value of 'Myall' was an assessable asset for the calculation of her residential aged care fees. Despite sympathising with the Baldwins' circumstances as self-funded retirees who could not generate income from the property, the Tribunal was bound to apply the legislation as enacted by Parliament. The decision under review was affirmed.