Social Security (Exempt Lump Sum) Determination 2018 (Cth)

Social Security (Exempt Lump Sum) Determination 2018

I, Mary McLarty, Branch Manager, Payment Structures make the following Determination under paragraph 8(11)(d) of the Social Security Act 1991.

Dated 15 June 2018                                        

Mary McLarty

Branch Manager, Payment Structures

Contents

1......... Name................................................................................................................................ 1

2......... Commencement................................................................................................................ 1

3......... Authority.......................................................................................................................... 1

4......... Definitions....................................................................................................................... 1

5......... Amount or class of amounts............................................................................................ 1

6......... Application - Exempt lump sums..................................................................................... 1

1  Name

This determination is the Social Security (Exempt Lump Sum) Determination 2018.

2  Commencement

This Determination commences on 1 October 2018.

3  Authority

This determination is made under paragraph 8(11)(d) of the Social Security Act 1991.

4  Definitions

In this instrument:

Act means the Social Security Act 1991.

HEC agreement means a home equity conversion agreement as defined under subsection 8(1) of the Social Security Act 1991.

5  Amount or class of amounts —Exempt Lump Sums

(1) Paragraph 8(11)(d) of the Act provides that an amount, or class of amounts, received by a person is an exempt lump sum if the amount, or class of amounts, is determined to be an exempt lump sum.

Not a member of a couple

(2)  If a person is not a member of a couple, an amount in excess of $40,000 that is paid to or on behalf of the person under a HEC agreement is an excluded amount or a class of excluded amounts.

Member of a couple

(3)  If a person is a member of a couple, an amount in excess of $40,000 that is paid to or on behalf of the person or the person's partner under a HEC agreement is an excluded amount or a class of excluded amounts.

6  Application —Exempt Lump Sums

It is appropriate to determine that an excluded amount, or class of excluded amounts, as specified in paragraphs 5(2) and (3), paid to a person or the person's partner, as the case may be, under a HEC agreement is an exempt lump sum for the purposes of paragraph 8(11)(d) of the Act from the date that the amount is paid.