GEORGE REDENBACH and SECRETARY, DEPARTMENT OF FAMILIES, HOUSING, COMMUNITY SERVICES AND INDIGENOUS AFFAIRS

[2010] AATA 528

Administrative Appeals Tribunal

DECISION AND REASONS FOR DECISION [2010] AATA 528

ADMINISTRATIVE APPEALS TRIBUNAL      )

)          No 2010/0963

GENERAL ADMINISTRATIVE  DIVISION		)
Re		GEORGE REDENBACH

Applicant

And SECRETARY, DEPARTMENT OF FAMILIES, HOUSING, COMMUNITY SERVICES AND INDIGENOUS AFFAIRS

Respondent

DECISION

Tribunal Ms Regina Perton, Member

Date14 July 2010

PlaceMelbourne

Decision The Tribunal affirms the decision under review.

(sgd) Regina Perton

Member

SOCIAL SECURITY - age pension – pension bonus scheme – registration for scheme – resuming work after receipt of pension – decision affirmed.

Administrative Appeals Tribunal Act 1975 s 34J

Social Security Act 1991 ss 23(5A), 43(1), 92A, 92C, 92H, 92J

REASONS FOR DECISION

14 July 2010 Ms Regina Perton, Member          

1.      George Redenbach qualified for age pension in April 2004.  He was in receipt of newstart (mature age) allowance since May 2003 following a workplace injury.  He was transferred to age pension on his 65^th birthday.  Mr Redenbach resumed work later that year.  He stopped receiving age pension payments as from August 2004.

2.      Mr Redenbach applied for age pension again in December 2005 but withdrew his application as he had decided to continue working.  He reapplied for age pension on 24 August 2009.  On that day, he also applied for the pension bonus which is available to persons who continue to work after they become eligible for age pension.

3.      Centrelink, which administers the pension bonus scheme for the Secretary, Department of Families, Housing, Community Services and Indigenous Affairs, advised Mr Redenbach on 26 November 2009 that he was not eligible for the pension bonus.  The pension bonus was refused because the payment was only available to persons who did not claim age pension for at least 12 months after reaching the qualifying age and who had not received age pension before applying for the pension bonus.

4.      The decision that Mr Redenbach was ineligible for the pension bonus was affirmed by an authorised review officer of Centrelink on 21 December 2009 and by the Social Security Appeals Tribunal on 8 February 2010.  Mr Redenbach lodged an application for review with this Tribunal on 8 March 2010.

5. At the request of the parties the Tribunal has carried out its review under s 34J of the Administrative Appeals Tribunal Act 1975 without holding a hearing.

6.      The issue in this matter is whether Mr Redenbach qualifies for a pension bonus payment.

Relevant Legislation

7. Section 43(1) of the Social Security Act 1991 (the Act) states that a person qualifies for age pension when the person reaches pension age.  Subsection 23(5A) states that a man reaches pension age when he turns 65.

8. Section 92A of the Act states that a person who qualifies for age pension but defers claiming that pension may be able to get a lump sum pension bonus (s 92J(1)). There is a requirement that a person register as a member of the pension bonus scheme within a 26 week period, namely 13 weeks before reaching pension age and 13 weeks after (s 92H). There is a limited discretion to allow for later registration but that it is not applicable in this matter.

9. Section 92C of the Act sets out the criteria for payment of pension bonus.

A person is qualified for a pension bonus if:

(a)       both:

(i)the person starts to receive an age pension at or after the time when the person makes a claim for the pension bonus; and

(ii)that age pension is received otherwise than because of a scheduled international social security agreement (see section 5 of the Social Security (International Agreements) Act 1999 ); and

(b)the person has not received an age pension at any time before making a claim for the pension bonus; and

(c)       the person is registered as a member of the pension bonus scheme; and

…

Does Mr Redenbach qualify for pension bonus?

10.     Mr Redenbach applied for pension bonus on 24 August 2009.  In his application, he requested that his registration be backdated to his pension age as he had only recently become aware of the pension bonus scheme. 

11.     In this case, there is no need to consider whether Mr Redenbach’s registration should be backdated as he is ineligible for the pension bonus on another ground.

12. Section 92C(b) prevents a person who received age pension before claiming for the pension bonus from receiving the payment. Mr Redenbach received age pension from April 2004 to August 2004. He lodged a claim for the pension bonus on 24 August 2009.

13. To receive the pension bonus, a person needs to meet all the requirements of s 92C. Mr Redenbach does not meet the requirement in s 92C(b) and hence is unable to be paid the pension bonus.

14.     The Tribunal does not have discretion to ignore the criteria set out in the Act.

DECISION

15.     The Tribunal affirms the decision under review.

I certify that the fifteen [15] preceding paragraphs are a true copy of the reasons for the decision of:

Ms Regina Perton, Member

(sgd):          Leah Berardi

Clerk

Hearing on the Papers:                14 July 2010

Date of decision:  14 July 2010
Advocate for applicant:                Self-represented

Advocate for respondent:            Mr A Pascale, Centrelink Legal Services Branch