Social Security Legislation Amendment Act (No. 2) 1992 (Cth)
Social Security Legislation Amendment Act (No. 2) 1992
An Act to amend the Social Security Act 1991 , and for related purposes
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The Parliament of Australia enacts:
(2) In this Act,“Principal Act” means theSocial Security Act 1991 1 .
(a) Part 1;
(b) Divisions 1, 2, 4, 8, 12, 13, 15, 16, 17, 18, 19, 21 and 23 of Part 2;
(c) paragraphs 34(b) and (c);
(d) paragraphs 36(b) and (c);
(e) Part 3;
(f) Part 1 of Schedule 3;
(g) Part 1 of Schedule 4;
(h) Schedule 7;
(i) Schedule 8.
Part 2 of Schedule 4 is taken to have commenced on 25 June 1991, immediately after the
Part 3 of Schedule 4 is taken to have commenced on 27 June 1991, immediately after the
Parts 2 and 5 of Schedule 3 are taken to have commenced on 1 July 1991, immediately after the commencement of the
Part 4 of Schedule 3 is taken to have commenced on 1 July 1991, immediately after the commencement of the
Part 3 of Schedule 3 is taken to have commenced on 1 July 1991, immediately after the commencement of the
Part 4 of Schedule 4 is taken to have commenced on 9 October 1991, immediately after the
Part 6 of Schedule 3 and Part 5 of Schedule 4 are taken to have commenced on 12 November 1991, immediately after the commencement of Part 2 of the
Part 8 of Schedule 3 is taken to have commenced on 1 January 1992, immediately after the commencement of section 48 of the
Part 9 of Schedule 3 is taken to have commenced on 2 January 1992.
Part 10 of Schedule 3 is taken to have commenced on 12 March 1992.
Part 11 of Schedule 3 is taken to have commenced on 20 March 1992.
Part 1 of Schedule 2 is taken to have commenced on 26 June 1992, immediately after the
Part 12 of Schedule 3 is taken to have commenced on 30 June 1992, immediately after the
Part 7 of Schedule 4 is taken to have commenced on 29 June 1992.
Part 13 of Schedule 3 and Part 8 of Schedule 4 are taken to have commenced on 1 July 1992, immediately after the commencement of sections 76, 82, 87 and 93 of the
Part 14 of Schedule 3 and Part 9 of Schedule 4 are taken to have commenced on 2 November 1992, immediately after the commencement of the
The following provisions commence, or are taken to have commenced, on 1 January 1993, immediately after the commencement of the
(a) Division 3 of Part 2 (except paragraphs 34(b) and (c) and 36(b) and (c));
(b) Divisions 5, 7, 9 (except sections 60 to 70), 10, 11, 14, 20 and 22 of Part 2;
(c) Schedule 1;
(d) Parts 2 and 3 of Schedule 2;
(e) Schedule 5;
(f) Schedule 6.
(22) Sections 60 to 70 commence on 20 March 1993.
(a) that are made on or after 1 January 1993; and
(b) that relate to periodic payments periods that commence on or after 1 January 1993.
The amendments made by paragraphs 34(b) and (c) and paragraphs 36(b) and (c) apply to notices sent on or after the day on which this Act receives the Royal Assent.
The amendment made by paragraph 148(b) applies to a cancellation or cessation that occurs on or after the day on which this Act receives the Royal Assent.
The indexation of pharmaceutical allowance rates that occurs on 1 January 1993 (see items 31 and 32 of the CPI Indexation Table in section 1191 of the Principal Act) operates on the amounts in the Pharmaceutical Allowance Amount Tables that are being inserted in the Principal Act by Division 9 of Part 2 of this Act.
Note: this subsection means that section 1206A of the Principal Act (adjustment of certain other pharmaceutical allowance rates) will operate on the basis of the rates inserted by Division 9 of Part 2 of this Act as indexed on 1 January 1993.
“that immediately follows:
(d) if the person was receiving an old pension—the person’s last pension payday; or
(e) if the person was receiving an old benefit—the day on which the person ceases to receive the old benefit.”.
“(4) If:
(a) a person was receiving a social security pension or a service pension; and
(b) the person claims a job search allowance within 14 days of the day on which the last instalment of the person’s pension was paid; and
(c) the person becomes qualified for a job search allowance at some time during the 14 day period but after the first day of that period;
the person is taken to be qualified for a job search allowance for the whole of the 14 day period.
Note: subsection (4) operates when a person transfers from a pension to a job search allowance and the person is not qualified for a job search allowance immediately after the day on which the person’s last instalment of pension is paid. The subsection deems the person to be so qualified. As a result, the person may be paid a job search allowance for the period beginning on the day after the day on which the person’s last instalment of pension was paid. The subsection aims to ensure that there is minimal disruption to a person’s payments when a person transfers from a pension to a job search allowance.”.
“(4) If:
(a) a person was receiving a social security pension or a service pension; and
(b) the person claims a newstart allowance within 14 days of the day on which the last instalment of the person’s pension was paid; and
(c) the person becomes qualified for a newstart allowance at some time during the 14 day period but after the first day of that period;
the person is taken to be qualified for a newstart allowance for the whole of the 14 day period.
Note: subsection (4) operates when a person transfers from a pension to a newstart allowance and the person is not qualified for a newstart allowance immediately after the day on which the person’s last instalment of pension is paid. The subsection deems the person to be so qualified. As a result, the person may be paid a newstart allowance for the period beginning on the day after the day on which the person’s last instalment of pension was paid. The subsection aims to ensure that there is minimal disruption to a person’s payments when a person transfers from a pension to a newstart allowance.”.
“(10) If:
(a) a person was receiving a social security pension or a service pension; and
(b) the person claims a sickness allowance within 14 days of the day on which the last instalment of the person’s pension was paid; and
(c) the person becomes qualified for a sickness allowance at some time during the 14 day period but after the first day of that period;
the person is taken to be qualified for a sickness allowance for the whole of the 14 day period.
Note: subsection (10) operates when a person transfers from a pension to a sickness allowance and the person is not qualified for a sickness allowance immediately after the day on which the person’s last instalment of pension is paid. The subsection deems the person to be so qualified. As a result, the person may be paid a sickness allowance for the period beginning on the day after the day on which the person’s last instalment of pension was paid. The subsection aims to ensure that there is minimal disruption to a person’s payments when a person transfers from a pension to a sickness allowance.”.
“(6) If:
(a) a person was receiving a social security pension or a service pension; and
(b) the person claims a special benefit within 14 days of the day on which the last instalment of the person’s pension was paid; and
(c) the person becomes qualified for a special benefit at some time during the 14 day period but after the first day of that period;
the person is taken to be qualified for a special benefit for the whole of the 14 day period.
Note: subsection (6) operates when a person transfers from a pension to a special benefit and the person is not qualified for a special benefit immediately after the day on which the person’s last instalment of pension is paid. The subsection deems the person to be so qualified. As a result, the person may be paid a special benefit for the period beginning on the day after the day on which the person’s last instalment of pension was paid. The subsection aims to ensure that there is minimal disruption to a person’s payments when a person transfers from a pension to a special benefit.”.
(a) by omitting from item 2 in column 2 of Table H-2 “partner not getting AUSTUDY allowance” and substituting “additional amount for partner”;
(b) by omitting from item 3 in column 2 of Table H-2 “partner getting AUSTUDY allowance” and substituting “no additional amount for partner”;
(c) by adding at the end the following Note:
“Note 2: to work out if an additional amount for the person’s partner is payable see points 1067-C1 to 1067-C6.”.
(a) by omitting from item 2 in column 2 of Table G-2 “partner not getting AUSTUDY allowance” and substituting “additional amount for partner”;
(b) by omitting from item 3 in column 2 of Table G-2 “partner getting AUSTUDY allowance” and substituting “no additional amount for partner”;
(c) by adding at the end the following Note:
“Note 2: to work out if an additional amount for the person’s partner is payable see points 1068-C1 to 1068-C7.”.
“compensation arrears debt 23(1)”.
12. Section 17 of the Principal Act is amended:
(a) by omitting from subsection (1) the definition of “periodic payments period” and substituting the following definition:“
‘periodic payments period’ means:
(a) in relation to a series of periodic payments—the period in respect of which the payments are, or are to be, made; and
(b) in relation to a payment of arrears of a series of periodic payments—the period in respect of which those periodic payments would have been made if they had not been made by way of an arrears payment;
Note: arrears of periodic compensation payments are normally treated as reducing, on a dollar for dollar basis, a payment under this Act that is covered by Part 3.14 because these compensation payments are not lump sum compensation payments: see subsection 17(4A) and sections 1168 and 1170.”;
(b) by adding at the end of subsection (4A) the following Note:“Note: for the treatment of a payment of arrears of periodic compensation payments where, at the time of the event that gave rise to the compensation payments, the person was receiving a payment under this Act that is covered by Part 3.14, see points 1064-E3, 1066-E3, 1066A-F2A and 1068-G8A.”.
“
14. Section 146E of the Principal Act is amended:
(a) by omitting from subsection (3) “and (6)” and substituting “, (6), (7) and (8)”;
(b) by adding at the end the following subsections:
Payment of arrears of periodic compensation payments —suspension or cancellation “(7) If:
(a) an adverse determination is made in relation to a person because of point 1064-E3 or 1066A-F2A (payment of arrears of periodic compensation payments); and
(b) the pension has been paid to the person or the person’s partner when, because of the payment of arrears of periodic compensation, the pension should have been cancelled or suspended;
the day specified under paragraph (2)(b) may be earlier than the day on which the determination is made.
Payment of arrears of periodic compensation payments —rate reduction “(8) If:
(a) an adverse determination is made in relation to a person because of point 1064-E3 or 1066A-F2A (payment of arrears of periodic compensation payments); and
(b) the rate at which the pension was paid to the person or the person’s partner was, because of the payment of arrears of periodic compensation, more than the rate at which the pension should have been paid;
the day specified under paragraph (2)(b) may be earlier than the day on which the determination is made.”.
15. Section 185 of the Principal Act is amended:
(a) by omitting from subsection (3) “and (6)” and substituting “, (6), (7) and (8)”;
(b) by adding at the end the following subsections:
Payment of arrears of periodic compensation payments —suspension or cancellation “(7) If:
(a) an adverse determination is made in relation to a person because of point 1064-E3 (payment of arrears of periodic compensation payments); and
(b) the pension has been paid to the person or the person’s partner when, because of the payment of arrears of periodic compensation, the pension should have been cancelled or suspended;
the day specified under paragraph (2)(b) may be earlier than the day on which the determination is made.
Payment of arrears of periodic compensation payments —rate reduction “(8) If:
(a) an adverse determination is made in relation to a person because of point 1064-E3 (payment of arrears of periodic compensation payments); and
(b) the rate at which the pension was paid to the person or the person’s partner was, because of the payment of arrears of periodic compensation, more than the rate at which the pension should have been paid;
the day specified under paragraph (2)(b) may be earlier than the day on which the determination is made.”.
16. Section 234 of the Principal Act is amended:
(a) by omitting from subsection (3) “and (6)” and substituting “, (6), (7) and (8)”;
(b) by adding at the end the following subsections:
Payment of arrears of periodic compensation payments —suspension or cancellation “(7) If:
(a) an adverse determination is made in relation to a person because of point 1064-E3 (payment of arrears of periodic compensation payments); and
(b) the pension has been paid to the person or the person’s partner when, because of the payment of arrears of periodic compensation, the pension should have been cancelled or suspended;
the day specified under paragraph (2)(b) may be earlier than the day on which the determination is made.
Payment of arrears of periodic compensation payments —rate reduction “(8) If:
(a) an adverse determination is made in relation to a person because of point 1064-E3 (payment of arrears of periodic compensation payments); and
(b) the rate at which the pension was paid to the person or the person’s partner was, because of the payment of arrears of periodic compensation, more than the rate at which the pension should have been paid;
the day specified under paragraph (2)(b) may be earlier than the day on which the determination is made.”.
17. Section 300 of the Principal Act is amended:
(a) by omitting from subsection (3) “and (6)” and substituting “, (6), (7) and (8)”;
(b) by adding at the end the following subsections:
Payment of arrears of periodic compensation payments —suspension or cancellation “(7) If:
(a) an adverse determination is made in relation to a person because of point 1064-E3 or 1066-E3 (payment of arrears of periodic compensation payments); and
(b) the pension has been paid to the person or the person’s partner when, because of the payment of arrears of periodic compensation, the pension should have been cancelled or suspended;
the day specified under paragraph (2)(b) may be earlier than the day on which the determination is made.
Payment of arrears of periodic compensation payments —rate reduction “(8) If:
(a) an adverse determination is made in relation to a person because of point 1064-E3 or 1066-E3 (payment of arrears of periodic compensation payments); and
(b) the rate at which the pension was paid to the person or the person’s partner was, because of the payment of arrears of periodic compensation, more than the rate at which the pension should have been paid;
the day specified under paragraph (2)(b) may be earlier than the day on which the determination is made.”.
18. Section 589 of the Principal Act is amended:
(a) by omitting from subsection (3) “and (6)” and substituting “, (6), (7) and (8)”;
(b) by adding at the end the following subsections:
Payment of arrears of periodic compensation payments —suspension or cancellation “(7) If:
(a) an adverse determination is made in relation to a person because of point 1067-H8A or 1068-G8A (payment of arrears of periodic compensation payments); and
(b) the allowance has been paid to the person or the person’s partner when, because of the payment of arrears of periodic compensation, the allowance should have been cancelled or suspended;
the day specified under paragraph (2)(b) may be earlier than the day on which the determination is made.
Payment of arrears of periodic compensation payments —rate reduction “(8) If:
(a) an adverse determination is made in relation to a person because of point 1067-H8A or 1068-G8A (payment of arrears of periodic compensation payments); and
(b) the rate at which the allowance was paid to the person or the person’s partner was, because of the payment of arrears of periodic compensation, more than the rate at which the allowance should have been paid;
the day specified under paragraph (2)(b) may be earlier than the day on which the determination is made.”.
19. Section 660L of the Principal Act is amended:
(a) by omitting from subsection (3) “and (6)” and substituting “, (6), (7) and (8)”;
(b) by adding at the end the following subsections:
Payment of arrears of periodic compensation payments —suspension or cancellation “(7) If:
(a) an adverse determination is made in relation to a person because of point 1068-G8A (payment of arrears of periodic compensation payments); and
(b) the allowance has been paid to the person or the person’s partner when, because of the payment of arrears of periodic compensation, the allowance should have been cancelled or suspended;
the day specified under paragraph (2)(b) may be earlier than the day on which the determination is made.
Payment of arrears of periodic compensation payments —rate reduction “(8) If:
(a) an adverse determination is made in relation to a person because of point 1068-G8A (payment of arrears of periodic compensation payments); and
(b) the rate at which the allowance was paid to the person or the person’s partner was, because of the payment of arrears of periodic compensation, more than the rate at which the allowance should have been paid;
the day specified under paragraph (2)(b) may be earlier than the day on which the determination is made.”.
20. Section 728R of the Principal Act is amended:
(a) by omitting from subsection (3) “and (6)” and substituting “, (6), (7) and (8)”;
(b) by adding at the end the following subsections:
Payment of arrears of periodic compensation payments —suspension or cancellation “(7) If:
(a) an adverse determination is made in relation to a person because of point 1067-H8A or 1068-G8A (payment of arrears of periodic compensation payments); and
(b) the allowance has been paid to the person or the person’s partner when, because of the payment of arrears of periodic compensation, the allowance should have been cancelled or suspended;
the day specified under paragraph (2)(b) may be earlier than the day on which the determination is made.
Payment of arrears of periodic compensation payments —rate reduction “(8) If:
(a) an adverse determination is made in relation to a person because of point 1067-H8A or 1068-G8A (payment of arrears of periodic compensation payments); and
(b) the rate at which the allowance was paid to the person or the person’s partner was, because of the payment of arrears of periodic compensation, more than the rate at which the allowance should have been paid;
the day specified under paragraph (2)(b) may be earlier than the day on which the determination is made.”.
21. Section 821 of the Principal Act is amended:
(a) by omitting from subsection (3) “and (6)” and substituting “, (6), (7) and (8)”;
(b) by adding at the end the following subsections:
Payment of arrears of periodic compensation payments —suspension or cancellation “(7) If:
(a) an adverse determination is made in relation to a person because of point 1064-E3 and 1066A-F2A (payment of arrears of periodic compensation payments); and
(b) the special needs pension has been paid to the person or the person’s partner when, because of the payment of arrears of periodic compensation, the special needs pension should have been cancelled or suspended;
the day specified under paragraph (2)(b) may be earlier than the day on which the determination is made.
Payment of arrears of periodic compensation payments —rate reduction “(8) If:
(a) an adverse determination is made in relation to a person because of point 1064-E3 and 1066A-F2A (payment of arrears of periodic compensation payments); and
(b) the rate at which the special needs pension was paid to the person or the person’s partner was, because of the payment of arrears of periodic compensation, more than
the rate at which the special needs pension should have been paid;
the day specified under paragraph (2)(b) may be earlier than the day on which the determination is made.”.
Payment of arrears of periodic compensation payments “1064-E3. If:
(a) at the time of an event that gives rise to an entitlement of a person to compensation, the person is receiving disability support pension, wife pension, carer pension or sole parent pension; and
(b) in relation to that entitlement, the person receives a payment of arrears of periodic compensation;
the person is taken to receive on each day in the periodic payments period an amount calculated by dividing the amount received by the number of days in the periodic payments period.
Note: for ‘periodic payments period’ see section 17.”.
“1066-E3. If:
(a) at the time of an event that gives rise to an entitlement of a person to compensation, the person is receiving sole parent pension; and
(b) in relation to that entitlement, the person receives a payment of arrears of periodic compensation;
the person is taken to receive on each day in the periodic payments period an amount calculated by dividing the amount received by the number of days in the periodic payments period.
Note: for ‘periodic payments period’ see section 17.”.
“1066A-F2A. If:
(a) at the time of an event that gives rise to an entitlement of a person to compensation, the person is receiving disability support pension; and
(b) in relation to that entitlement, the person receives a payment of arrears of periodic compensation;
the person is taken to receive on each day in the periodic payments period an amount calculated by dividing the amount received by the number of days in the periodic payments period.
Note: for ‘periodic payments period’ see section 17.”.
(a) by omitting from point 1067-H7A “point 1067-H8” and substituting “points 1067-H8 and 1067-H8A”;
(b) by inserting before point 1067-H9 the following point:
Payment of arrears of periodic compensation payments “1067-H8A. If:
(a) at the time of an event that gives rise to an entitlement of a person to compensation, the person is receiving job search allowance or sickness allowance; and
(b) in relation to that entitlement, the person receives a payment of arrears of periodic compensation;
the person is taken to receive in a fortnight falling within, or overlapping with, the periodic payments period, an amount calculated by:
(c) dividing the amount received by the number of days in the periodic payments period (the result is called the
‘daily rate’ ); and(d) multiplying the daily rate by the number of days in the fortnight that are also within the periodic payments period.
Note: for ‘periodic payments period’ see section 17.”.
(a) by omitting from point 1068-G7A “point 1068-G8” and substituting “points 1068-G8 and 1068-G8A”;
(b) by inserting before point 1068-G9 the following point:
Payment of arrears of periodic compensation payments “1068-G8A. If:
(a) at the time of an event that gives rise to an entitlement of a person to compensation, the person is receiving job search allowance, newstart allowance or sickness allowance; and
(b) in relation to that entitlement, the person receives a payment of arrears of periodic compensation;
the person is taken to receive in a fortnight falling within, or overlapping with, the periodic payments period, an amount calculated by:
(c) dividing the amount received by the number of days in the periodic payments period (the result is called the
‘daily rate’ ); and(d) multiplying the daily rate by the number of days in the fortnight that are also within the periodic payments period.
Note: for ‘periodic payments period’ see section 17.”.
27. Section 1163 of the Principal Act is amended:
(a) by inserting after subparagraph (1)(a)(iii) the following subparagraph:“(iiia) carer pension;”;
(b) by adding at the end the following subsection:“(8) The amendments of this Part relating to carer pensions made by the
Social Security Legislation Amendment Act (No. 2) 1992 affect carer pensions only if:
(a) the compensation is received on or after 1 January 1993; and
(b) the claim for the pension is made on or after 1 January 1993.”.
28. Section 1164 of the Principal Act is amended:
(a) by inserting after subparagraph (1)(a)(iii) the following subparagraph:“(iiia) carer pension; or”;
(b) by inserting after subparagraph (2)(a)(iii) the following subparagraph:“(iiia) carer pension; or”.
29. Section 1165 of the Principal Act is amended:
(a) by inserting after subparagraph (1)(a)(iii) the following subparagraph:“(iiia) carer pension; or”;
(b) by omitting from the Note to subsection (1) “, (4) and” and substituting “to”;
(c) by inserting after subparagraph 2(a)(iii) the following subparagraph:
“(iiia) carer pension; or”;
(d) by inserting after subparagraph (2)(d)(iii) the following subparagraph:“(iiia) carer pension; or”;
(e) by omitting from subparagraph (2)(e)(v) “because of caring for the person”;
(f) by omitting from the Note to subsection (2) “, (4) and” and substituting “to”.
30. Section 1166 of the Principal Act is amended:
(a) by inserting after subparagraph (1)(b)(iii) the following subparagraph:“(iiia) carer pension; or”;
(b) by omitting from the Note to subsection (1) “subsection 1165(3)” and substituting “subsections 1165(3) to (5)”;
(c) by omitting from column 3 of item 1 in the Recoverable Amount Table in subsection (2) “DSP” and substituting:
“CP
DSP”;
(d) by omitting from column 3 of item 2 in the Recoverable Amount Table in subsection (2) “DSP” and substituting:“CP
DSP”;
(e) by omitting from column 3 of item 3 in the Recoverable Amount Table in subsection (2) “DSP” and substituting:“CP
DSP”;
(f) by omitting from the Key to the Recoverable Amount Table in subsection (2) “CP = carer pension because of caring for the person” and substituting “CP = carer pension”;
(g) by adding at the end (before the Examples) the following subsection:“(7) In subsections (5) and (6):
‘family allowance supplement’ means family allowance supplement within the meaning of theSocial Security Act 1991 as in force immediately before 1 January 1993.”.
31. Section 1168 of the Principal Act is amended:
(a) by inserting after subparagraph (1)(b)(iv) the following subparagraph:“(iva) carer pension; or”;
(b) by adding at the end of subsection (1) the following Note:“Note 2: if a person, or a person’s partner, was, at the time of an event that gave rise to the entitlement of the person, or the person’s partner, to compensation, qualified for a pension, benefit or allowance referred to in subsection (1), the compensation is treated as ordinary income.”;
(c) by omitting from subparagraph (2)(c)(vi) “because of caring for the person”;
(d) by omitting from column 3 of item 1 in the Reduction Table in subsection (3) “DSP” and substituting:
“CP
DSP”;
(e) by omitting from column 3 of item 2 in the Reduction Table in subsection (3) “DSP” and substituting:“CP
DSP”;
(f) by omitting from column 3 of item 3 in the Reduction Table in subsection (3) “DSP” and substituting:“CP
DSP”;
(g) by omitting from column 3 of item 4 in the Reduction Table in subsection (3) “DSP” and substituting:“CP
DSP”;
(h) by omitting from column 3 of item 5 in the Reduction Table in subsection (3) “DSP” and substituting:“CP
DSP”;
(i) by omitting from the Key to the Reduction Table in subsection (3) “CP = carer pension because of caring for the person” and substituting “CP = carer pension”.
32. Section 1170 of the Principal Act is amended:
(a) by inserting after subparagraph (1)(a)(iv) the following subparagraph:“(iva) carer pension; or”;
(b) by inserting after paragraph (1)(c) the following Note:“Note: if a person was, at the time of an event that gave rise to the entitlement of the person to compensation, qualified for a pension, benefit or allowance referred to in paragraph (b), the compensation is treated as ordinary income.”;
(c) by omitting from column 3 of item 1 in the Recoverable Amount Table in subsection (2) “DSP” and substituting:“CP
DSP”;
(d) by omitting from column 3 of item 2 in the Recoverable Amount Table in subsection (2) “DSP” and substituting:“CP
DSP”;
(e) by omitting from column 3 of item 3 in the Recoverable Amount Table in subsection (2) “DSP” and substituting:“CP
DSP”;
(f) by omitting from the Key to the Recoverable Amount Table in subsection (2) “CP = carer pension because of caring for the person” and substituting “CP = carer pension”.
“(iiia) carer pension; or”.
34. Section 1174 of the Principal Act is amended:
(a) by inserting after subparagraph (1)(b)(iii) the following subparagraph:“(iiia) carer pension; or”;
(b) by omitting from subsection (3) “The” and substituting “Subject to subsection (6A), the”;
(c) by omitting from subparagraph (5)(b)(v) “because of caring for the person”;
(d) by omitting from subparagraph (6)(b)(v) “because of caring for the person”;
(e) by inserting after subsection (6) the following subsections:“(6A) If:
(a) subsection (1) applies to payments of pension, benefit or allowance paid to a person for a particular period (the
‘overpayment recovery period’ ); and(b) the Secretary is satisfied that family allowance supplement would have been payable to the person, or the person’s partner, for some or all of the overpayment recovery period if:
(i) the person or the person’s partner had claimed family allowance supplement for that period; and
(ii) neither the person nor the person’s partner had been receiving a social security pension or benefit during that period;
the amount specified in the notice under subsection (1) is to be reduced by the notional FAS entitlement.
“(6B) For the purposes of subsection (6A), the
‘notional FAS entitlement’ is the amount of family allowance supplement that the person or the person’s partner would, in the Secretary’s opinion, have received during the overpayment recovery period if:
(a) the person or the person’s partner had claimed family allowance supplement for that period; and
(b) neither the person nor the person’s partner had been receiving a social security pension or benefit during that period.
“(6C) In subsections (6A) and (6B):
‘family allowance supplement’ means family allowance supplement within the meaning of theSocial Security Act 1991 as in force immediately before 1 January 1993.”.
“(iiia) a carer pension; or”.
36. Section 1179 of the Principal Act is amended:
(a) by inserting after subparagraph (1)(b)(iii) the following subparagraph:“(iiia) a carer pension; or”;
(b) by omitting from subsection (3) “The” and substituting “Subject to subsection (6A), the”;
(c) by omitting from subparagraph (5)(b)(v) “because of caring for the person”;
(d) by omitting from subparagraph (6)(b)(v) “because of caring for the person”;
(e) by inserting after subsection (6) the following subsections:
“(6A) If:
(a) subsection (1) applies to payments of pension, benefit or allowance paid to a person for a particular period (the
‘overpayment recovery period’ ); and(b) the Secretary is satisfied that family allowance supplement would have been payable to the person, or the person’s partner, for some or all of the overpayment recovery period if:
(i) the person or the person’s partner had claimed family allowance supplement for that period; and
(ii) neither the person nor the person’s partner had been receiving a social security pension or benefit during that period;
the amount specified in the notice under subsection (1) is to be reduced by the notional FAS entitlement.
“(6B) For the purposes of subsection (6A), the
‘notional FAS entitlement’ is the amount of family allowance supplement that the person or the person’s partner would, in the Secretary’s opinion, have received during the overpayment recovery period if:
(a) the person or the person’s partner had claimed family allowance supplement for that period; and
(b) neither the person nor the person’s partner had been receiving a social security pension or benefit during that period.
“(6C) In subsections (6A) and (6B):
‘family allowance supplement’ means family allowance supplement within the meaning of theSocial Security Act 1991 as in force immediately before 1 January 1993.”.
37. Section 1222 of the Principal Act is amended:
(a) by omitting from Note 1 to subsection (1):“• section 1226 debts—compensation payer and insurer debts;”; and substituting:
“• section 1226 debts—compensation payer and insurer debts;
• section 1226A debts—compensation arrears debts;”;
(b) by inserting after item 7 in the Recovery Methods Table in subsection (2) the following item:
“ | 7A. | 1226A (compensation arrears debt) | Deductions legal proceedings garnishee notice | 1231, 1234A 1232 1233 | ”. |
Section 1222A of the Principal Act is amended by omitting “and 1226” and substituting “, 1226 and 1226A”.
After section 1226 of the Principal Act the following section is inserted:
“1226A.(1) If a person is liable to pay a compensation arrears debt, that debt is a debt due to the Commonwealth and is recoverable by the Commonwealth by means of:
(a) if the person is receiving a pension, benefit or allowance under this Act—deductions from that person’s pension, benefit or allowance; or
(b) if section 1234A applies to another person who is receiving a pension, benefit or allowance under this Act—deductions from that other person’s pension, benefit or allowance; or
(c) legal proceedings; or
(d) garnishee notice.
Note 1: for ‘compensation arrears debt’ see subsection 23(1).
Note 2: for deductions see sections 1231 and 1234A.
Note 3: for legal proceedings see section 1232.
Note 4: for garnishee notice see section 1233.
Note 5: if the person does not pay the debt within 3 months after receiving a notice of the amount of the debt, the amount of the debt will increase under section 1229.
“(2) This section extends to:
(a) acts, omissions, matters and things outside Australia whether or not in a foreign country; and
(b) all persons irrespective of their nationality or citizenship.”.
42. Section 516 of the Principal Act is amended:
(a) by omitting from subsection (2) “is to” and substituting “may”;
(b) by adding at the end the following subsection:
“(3) In deciding whether to treat a person as being unemployed, the Secretary is to take into account:
(a) the nature of the activity undertaken by the person so as to comply with a requirement under subsection 522(2) (activity test); and
(b) the duration of the activity; and
(c) any other matters relating to the activity that the Secretary considers relevant.’”.
43. Section 543 of the Principal Act is amended:
(a) by omitting subsection (2);
(b) by inserting after subsection (4) the following subsection:
“(4A) Subsection (4) does not apply to a person:
(a) who has started formal vocational training in a labour market program approved by the Employment Secretary; and
(b) who has been exempted from the application of that subsection by the Employment Secretary.
Note 1: ‘CES’ means the Commonwealth Employment Service (see section 23).
Note 2: for ‘Employment Secretary’ see section 23.”.
44. Section 595 of the Principal Act is amended:
(a) by omitting from subsection (2) “is to” and substituting “may”;
(b) by adding at the end the following subsection:
“(3) In deciding whether to treat a person as being unemployed, the Secretary is to take into account:
(a) the nature of the activity undertaken by the person so as to comply with a requirement under subsection 601(2) (activity test) or a Newstart Activity Agreement; and
(b) the duration of the activity; and
(c) any other matters relating to the activity that the Secretary considers relevant.”.
45. Section 627 of the Principal Act is amended:
(a) by omitting subsection (2);
(b) by inserting after subsection (4) the following subsection:
“(4A) Subsection (4) does not apply to a person:
(a) who has started formal vocational training in a labour market program approved by the Employment Secretary; and
(b) who has been exempted from the application of that subsection by the Employment Secretary.
Note 1: ‘CES’ means the Commonwealth Employment Service (see section 23).
Note 2: for ‘Employment Secretary’ see section 23.”.
“exempt FP child 5(1)”.
49. Section 838 of the Principal Act is amended:
(a) by omitting from subsection (1) “A” and substituting “Subject to subsection (3), a”;
(b) by adding at the end the following subsection:
“(3) Paragraph (1)(d) does not apply to a person if the person has an exempt FA child.
Note: for ‘exempt FA child’ see subsection 5(1).”.
“(iia) paragraph 838(1)(d) (assets test); or”.
“(iia) paragraph 838(1)(d) (assets test); or”.
“1069-B1A. If:
(a) the value of the person’s assets exceeds the amount referred to in paragraph 838(1)(d); and
(b) the person has an exempt FA child;
any FA child of the person who is not an exempt FA child is to be disregarded for the purposes of working out the person’s maximum basic rate under point 1069-B1.”.
Family payment assets test (changes introduced on 1 January 1993) —child disability allowance “50. If:
(a) before 1 January 1993:
(i) a person has claimed child disability allowance and family allowance for a child; and
(ii) the person is qualified for family allowance for that child because of subsection 838(3) of this Act as in force immediately before that date; and
(b) at all times on and after 1 January 1993 the person receives child disability allowance for that child;
the person does not have to satisfy paragraph 838(1)(d) of this Act as in force on and after that date in order to be qualified for family payment for that child.
Family payment assets test (changes introduced on 1 January 1993) —double orphan pension “51. If:
(a) before 1 January 1993:
(i) a person (the
‘adult’ ) has claimed double orphan pension and family allowance for a young person; and(ii) the adult is qualified for family allowance for that young
person because of subsection 838(3) of this Act as in force immediately before that date; and
(b) at all times on and after 1 January 1993 the adult receives double orphan pension for that young person;
the adult does not have to satisfy paragraph 838(1)(d) of this Act as in force on and after that date in order to be qualified for family payment for that young person.
Family payment income test (changes introduced on 1 January 1993) —child disability allowance “52. If:
(a) before 1 January 1993:
(i) a person has claimed child disability allowance and family allowance for a child; and
(ii) the person is qualified for family allowance for that child because of paragraph 840A(1)(b) of this Act as in force immediately before that date; and
(b) at all times on and after 1 January 1993 the person receives child disability allowance for that child;
the person does not have to satisfy paragraph 838(1)(c) of this Act as in force on and after that date in order to be qualified for family payment for that child.
Family payment income test (changes introduced on 1 January 1993) —double orphan pension “53. If:
(a) before 1 January 1993:
(i) a person (the
‘adult’ ) has claimed double orphan pension and family allowance for a young person; and(ii) the adult is qualified for family allowance for that young person because of paragraph 840A(1)(b) of this Act as in force immediately before that date; and
(b) at all times on and after 1 January 1993 the adult receives double orphan pension for that young person;
the adult does not have to satisfy paragraph 838(1)(c) of this Act as in force on and after that date in order to be qualified for family payment for that young person.”.
“(ba) either:
(i) the Secretary is satisfied that the person intends to enrol in a full-time or part-time course of education that is an approved course under the AUSTUDY scheme; or
(ii) the person is enrolled in such a course; and”.
55. Section 1222 of the Principal Act is amended:
(a) by omitting from Note 1 in subsection (1):“• section 1224A debts—pension loan scheme;”;
and substituting:
“• section 1224A debts—pension loan scheme;
• section 1224B debts—education entry payment.”;
(b) by inserting after item 5 in the Recovery Methods Table in subsection (2) the following item:
“ | 5A. | 1224B (education entry payment) | Deductions legal proceedings garnishee notice | 1231, 1234A 1232 1233 | ”. |
Section 1222A of the Principal Act is amended by omitting from Note 1 “1224” and substituting “1223B, 1224, 1224B”.
After section 1224A of the Principal Act the following section is inserted:
“1224B. If:
(a) an education entry payment is made to a person; and
(b) the person does not pay the enrolment fees for an approved course of education under the AUSTUDY scheme in the calendar year in respect of which the education entry payment was made;
the amount of the education entry payment so made is a debt due to the Commonwealth and is recoverable by the Commonwealth by means of:
(c) if the person is receiving a pension, benefit or allowance under this Act—deductions from that person’s pension, benefit or allowance; or
(d) if section 1234A applies to another person who is receiving a pension, benefit or allowance under this Act—deductions from that other person’s pension, benefit or allowance; or
(e) legal proceedings; or
(f) garnishee notice.
Note 1: for deductions see sections 1231 and 1234A.
Note 2: for legal proceedings see section 1232.
Note 3: for garnishee notice see section 1233.”.
59. Section 19A of the Principal Act is amended:
(a) by omitting “Parts 2.22 and 2.23 of”;
(b) by adding at the end the following subsections:
“(2) If:
(a) a person is paid an instalment of social security or service pension or social security benefit on a particular day; and
(b) an amount by way of pharmaceutical allowance is to be added to the person’s maximum basic rate in working out the amount of the instalment;
the amount of pharmaceutical allowance paid to the person on that day is worked out using subsections (3), (4), (5) and (6).
“(3) If the instalment is an instalment of social security or service pension, the amount of allowance paid is:
26 |
where:
‘pharmaceutical allowance rate’ is the yearly amount of pharmaceutical allowance added to the person’s maximum basic rate in working out the amount of the instalment.“(4) If:
(a) the instalment is an instalment of social security benefit; and
(b) the instalment is for a fortnight or a period of whole fortnights;
the amount of allowance paid is:
where:
‘pharmaceutical allowance rate’ is the fortnightly amount of pharmaceutical allowance added to the person’s maximum basic rate in working out the amount of the instalment;
‘number of fortnights’ is the number of fortnights in the period for which the instalment is paid.“(5) If:
(a) the instalment is an instalment of social security benefit; and
(b) the instalment is for a period of less than a fortnight; the amount of the allowance paid is:
10 |
where:
‘pharmaceutical allowance rate’ is the fortnightly amount of pharmaceutical allowance added to the person’s maximum basic rate in working out the amount of the instalment;
‘week days in period’ is the number of week days in the period for which the instalment is paid.“(6) If:
(a) the instalment is an instalment of social security benefit; and
(b) the instalment is for a period that consists of:
(i) a fortnight or a number of whole fortnights; and
(ii) a period of less than a fortnight;
the amount of allowance paid is:
× | ||||
10 |
where:
‘pharmaceutical allowance rate’ is the fortnightly amount of pharmaceutical allowance added to the person’s minimum basic rate in working out the amount of the instalment;
‘number of whole fortnights’ is the number of whole fortnights in the period for which the instalment is paid;
‘week days in short period’ is the number of days in the period that is less than a fortnight.”.
“(3A) If:
(a) an amount of pharmaceutical allowance is added to a person’s maximum basic rate in working out the amount of an instalment of age pension; and
(b) apart from this subsection, the amount of the instalment would be less than the person’s fortnightly PA rate;
the amount of the instalment is to be increased to the person’s fortnightly PA rate.
“(3B) For the purposes of subsection (3A), the person’s
26 |
where:
“(3A) If:
(a) an amount of pharmaceutical allowance is added to a person’s maximum basic rate in working out the amount of an instalment of disability support pension; and
(b) apart from this subsection, the amount of the instalment would be less than the person’s fortnightly PA rate;
the amount of the instalment is to be increased to the person’s fortnightly PA rate.
“(3B) For the purposes of subsection (3A), the person’s
26 |
where:
“(3A) If:
(a) an amount of pharmaceutical allowance is added to a woman’s maximum basic rate in working out the amount of an instalment of wife pension; and
(b) apart from this subsection, the amount of the instalment would be less than the woman’s fortnightly PA rate;
the amount of the instalment is to be increased to the woman’s fortnightly PA rate.
“(3B) For the purposes of subsection (3A), the woman’s
26 |
where:
“(3A) If:
(a) an amount of pharmaceutical allowance is added to a person’s maximum basic rate in working out the amount of an instalment of carer pension; and
(b) apart from this subsection, the amount of the instalment would be less than the person’s fortnightly PA rate;
the amount of the instalment is to be increased to the person’s fortnightly PA rate.
“(3B) For the purposes of subsection (3A), the person’s
26 |
where:
“(3A) If:
(a) an amount of pharmaceutical allowance is added to a person’s maximum basic rate in working out the amount of an instalment of sole parent pension; and
(b) apart from this subsection, the amount of the instalment would be less than the person’s fortnightly PA rate;
the amount of the instalment is to be increased to the person’s fortnightly PA rate.
“(3B) For the purposes of subsection (3A), the person’s
26 |
where:
“(3A) If:
(a) an amount of pharmaceutical allowance is added to a person’s maximum basic rate in working out the amount of an instalment of widowed person allowance; and
(b) apart from this subsection, the amount of the instalment would be less than the person’s fortnightly PA rate;
the amount of the instalment is to be increased to the person’s fortnightly PA rate.
“(3B) For the purposes of subsection (3A), the person’s
26 |
where:
“(3A) If:
(a) an amount of pharmaceutical allowance is added to a woman’s maximum basic rate in working out the amount of an instalment of widow B pension; and
(b) apart from this subsection, the amount of the instalment would be less than the woman’s fortnightly PA rate;
the amount of the instalment is to be increased to the woman’s fortnightly PA rate.
“(3B) For the purposes of subsection (3), the woman’s
26 |
where:
“(2A) If:
(a) an amount of pharmaceutical allowance is added to a person’s maximum basic rate in working out the amount of an instalment of job search allowance; and
(b) apart from this subsection, the amount of the instalment would be less than the person’s fortnightly PA rate;
the amount of the instalment is to be increased to the person’s fortnightly PA rate.
“(2B) For the purposes of subsection (2A), the person’s
where:
(a) if the instalment is for a number of whole fortnights—the number of fortnights; or
(b) if the instalment is for a period of less than a fortnight—equal to:
|
(c) if the instalment is for a period that consists of a number of whole fortnights and a period of less than a fortnight—equal to:
10 |
“(2A) If:
(a) an amount of pharmaceutical allowance is added to a person’s maximum basic rate in working out the amount of an instalment of newstart allowance; and
(b) apart from this subsection, the amount of the instalment would be less than the person’s fortnightly PA rate;
the amount of the instalment is to be increased to the person’s fortnightly PA rate.
“(2B) For the purposes of subsection (2A), the person’s
where:
(a) if the instalment is for a number of whole fortnights—the number of fortnights; or
(b) if the instalment is for a period of less than a fortnight—equal to:
10 |
(c) if the instalment is for a period that consists of a number of whole fortnights and a period of less than a fortnight—equal to:
10 |
“(2A) If:
(a) an amount of pharmaceutical allowance is added to a person’s maximum basic rate in working out the amount of an instalment of sickness allowance; and
(b) apart from this subsection, the amount of the instalment would be less than the person’s fortnightly PA rate;
the amount of the instalment is to be increased to the person’s fortnightly PA rate.
“(2B) For the purposes of subsection (2A), the person’s
where:
(a) if the instalment is for a number of whole fortnights—the number of fortnights; or
(b) if the instalment is for a period of less than a fortnight—equal to:
10 |
(c) if the instalment is for a period that consists of a number of whole fortnights and a period of less than a fortnight—equal to:
10 |
“(2A) If:
(a) an amount of pharmaceutical allowance is taken into account in working out the amount of a person’s instalment of special benefit; and
(b) apart from this subsection, the amount of the instalment would be less than the person’s fortnightly PA rate;
the amount of the instalment is to be increased to the person’s fortnightly PA rate.
“(2B) For the purposes of subsection (2A), the person’s
where:
(a) if the instalment is for a number of whole fortnights—the number of fortnights; or
(b) if the instalment is for a period of less than a fortnight—equal to:
10 |
(c) if the instalment is for a period that consists of a number of whole fortnights and a period of less than a fortnight—equal to:
10 |
71. Part 2.22 of the Principal Act is repealed.
Division 3 of Part 2.23 of the Principal Act is repealed and the following Division is substituted:
“
“1061JC. Subject to section 1061JD, the amount of a person’s advance pharmaceutical allowance is:
26 |
where:
Note: pharmaceutical allowance rates are to be found at:
• point 1064-C8 of Pension Rate Calculator A
• point 1065-C8 of Pension Rate Calculator B
• point 1066-C7 of Pension Rate Calculator C
• point 1066A-D8 of Pension Rate Calculator D
• point 1066B-D8 of Pension Rate Calculator E.
“1061JD.(1) The amount paid to a person in a calendar year by way of:
(a) pharmaceutical allowance; and
(b) advance pharmaceutical allowance;
is not to exceed the total amount of pharmaceutical allowance that would have been paid to the person during that year if the person had not received any advance pharmaceutical allowance.
Note: for the amount ‘paid’ to a person by way of pharmaceutical allowance see subsections 19A(2) to (6).
“(2) In this section:
73. Pension Rate Calculator A in section 1064 is amended:
(a) by inserting after Step 1 in the Method statement in point 1064-A1 the following Step:
“Step 2. Work out the amount per year (if any) of pharmaceutical allowance using MODULE C below.”;
(b) by inserting after Module B the following Module:
Qualification for pharmaceutical allowance “1064-C1. Subject to points 1064-C2, 1064-C3, 1064-C4 and 1064-C6, an additional amount by way of pharmaceutical allowance is to be added to a person’s maximum basic rate if:
(a) the person is an Australian resident; and
(b) the person is in Australia.
No pharmaceutical allowance if person receiving pharmaceutical allowance under the Veterans’ Entitlements Act “1064-C2. Pharmaceutical allowance is not to be added to a person’s maximum basic rate if the person is receiving pharmaceutical allowance under the Veterans’ Entitlements Act.
No pharmaceutical allowance if partner receiving pharmaceutical allowance under the Veterans’ Entitlements Act and not a service pensioner “1064-C3. 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 pharmaceutical allowance under the Veterans’ Entitlements Act; and
(c) the person’s partner is not receiving a service pension.
Note: if paragraphs (a), (b) and (c) apply to the person’s partner, the partner is receiving pharmaceutical allowance under the VEA at the higher rate (rather than the person and the person’s partner each receiving pharmaceutical allowance at the lower rate).
“1064-C4. Pharmaceutical allowance is not to be added to a person’s maximum basic rate if:
(a) the person has received an advance pharmaceutical allowance under:
(i) Part 2.23 of this Act; or
(ii) Division 2 of Part VIIA of the Veterans’ Entitlements Act; and
(b) the person’s advance payment period has not ended.
Note: ‘advance payment period’ see point 1064-C5.
“1064-C5. A person’s advance payment period:
(a) starts on the day on which the advance pharmaceutical allowance is paid to the person; and
(b) ends after the number of paydays worked out using the following formula have passed:
where:
“1064-C6. Pharmaceutical allowance is not to be added to a person’s maximum basic rate if:
(a) the person has received an advance pharmaceutical allowance during the current calendar year; and
(b) the total amount paid to the person for that year by way of:
(i) pharmaceutical allowance; and
(ii) advance pharmaceutical allowance;
equals the total amount of pharmaceutical allowance that would have been paid to the person during that year if the person had not received any advance pharmaceutical allowance.
Note 1: for the amount ‘paid’ to a person by way of pharmaceutical allowance see subsections 19A(2) to (6).
Note 2: the annual limit is affected by:
• how long during the calendar year the person was on pension or benefit;
• the rate of pharmaceutical allowance the person attracts at various times depending on the person’s family situation.
VEA payments taken into account “1064-C7. In points 1064-C5 and 1064-C6:
‘advance pharmaceutical allowance’ includes advance pharmaceutical allowance under the Veterans’ Entitlements Act; and
‘pharmaceutical allowance’ includes pharmaceutical allowance under the Veterans’ Entitlements Act.
Amount of pharmaceutical allowance “1064-C8. The amount of pharmaceutical allowance is the amount per year worked out using the following Table:
PHARMACEUTICAL ALLOWANCE AMOUNT TABLE | |||
column 1 | column 2 | column 3 | column 4 |
item | person’s family situation | amount per year | amount per fortnight |
1. | Not member of a couple | $135.20 | $5.20 |
2. | Partnered | $67.60 | $2.60 |
3. | Member of an illness separated or respite care couple | $135.20 | $5.20 |
4. | Partnered (partner getting service pension) | $67.60 | $2.60 |
Note: the amounts in column 3 are adjusted annually in line with CPI increases (see section 1206A).”.
74. Pension Rate Calculator B in section 1065 is amended:
(a) by omitting Step 3 of the Method statement in point 1065-A1 and substituting the following Step:“
Step 3. Work out the amount per year (if any) of pharmaceutical allowance using MODULE C below.”;
(b) by inserting after Module B the following Module:
“
“1065-C1. Subject to points 1065-C2, 1065-C3, 1065-C4 and 1065-C6, an additional amount by way of pharmaceutical allowance is to be added to a person’s maximum basic rate if:
(a) the person is an Australian resident; and
(b) the person is in Australia.
“1065-C2. Pharmaceutical allowance is not to be added to a person’s maximum basic rate if the person is receiving pharmaceutical allowance under the Veterans’ Entitlements Act.
“1065-C3. 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 pharmaceutical allowance under the Veterans’ Entitlements Act; and
(c) the person’s partner is not receiving a service pension.
Note: if paragraphs (a), (b) and (c) apply to the person’s partner, the partner is receiving pharmaceutical allowance under the VEA at the higher rate (rather than the person and the person’s partner each receiving pharmaceutical allowance at the lower rate).
“1065-C4. Pharmaceutical allowance is not to be added to a person’s maximum basic rate if:
(a) the person has received an advance pharmaceutical allowance under:
(i) Part 2.23 of this Act; or
(ii) Division 2 of Part VIIA of the Veterans’ Entitlements Act; and
(b) the person’s advance payment period has not ended.
Note: for ‘advance payment period’ see point 1065-C5.
“1065-C5. A person’s advance payment period:
(a) starts on the day on which the advance pharmaceutical allowance is paid to the person; and
(b) ends after the number of paydays worked out using the following formula have passed:
where:
“1065-C6. Pharmaceutical allowance is not to be added to a person’s maximum basic rate if:
(a) the person has received an advance pharmaceutical allowance during the current calendar year; and
(b) the total amount paid to the person for that year by way of:
(i) pharmaceutical allowance; and
(ii) advance pharmaceutical allowance;
equals the total amount of pharmaceutical allowance that would have been paid to the person during that year if the person had not received any advance pharmaceutical allowance.
Note 1: for the amount ‘paid’ to a person by way of pharmaceutical allowance see subsections 19A(2) to (6).
Note 2: the annual limit is affected by:
• how long during the calendar year the person was on pension or benefit;
• the rate of pharmaceutical allowance the person attracts at various times depending on the person’s family situation.
“1065-C7. In points 1065-C5 and 1065-C6:
“1065-C8. The amount of pharmaceutical allowance is the amount per year worked out using the following Table:
PHARMACEUTICAL ALLOWANCE AMOUNT TABLE | |||
column 1 | column 2 | column 3 | column 4 |
item | person’s family situation | amount per year | amount per fortnight |
1. | Not member of a couple | $135.20 | $5.20 |
2. | Partnered | $67.60 | $2.60 |
3. | Member of an illness separated or respite care couple | $135.20 | $5.20 |
4. | Partnered (partner getting service pension) | $67.60 | $2.60 |
Note: the amounts in column 3 are adjusted annually in line with CP1 increases (see section 1206A).”.
75. Pension Rate Calculator C in section 1066 is amended:
(a) by inserting after Step 1 of the Method statement in point 1066-A1 the following Step:“
Step 2. Work out the amount per year (if any) of pharmaceutical allowance using MODULE C below.”;
(b) by inserting after Module B the following Module:
“
Qualification for pharmaceutical allowance “1066-C1. Subject to points 1066-C2, 1066-C3 and 1066-C5, an additional amount by way of pharmaceutical allowance is to be added to a person’s maximum basic rate if:
(a) the person is an Australian resident; and
(b) the person is in Australia.
No pharmaceutical allowance if person receiving pharmaceutical allowance under the Veterans’ Entitlements Act “1066-C2. Pharmaceutical allowance is not to be added to a person’s maximum basic rate if the person is receiving pharmaceutical allowance under the Veterans’ Entitlements Act.
Note: a person can receive both:
(a) a disability pension under the VEA; and
(b) a pension under this Act;
and pharmaceutical allowance might be built into the disability pension rate.
“1066-C3. Pharmaceutical allowance is not to be added to a person’s maximum basic rate if:
(a) the person has received an advance pharmaceutical allowance under:
(i) Part 2.23 of this Act; or
(ii) Division 2 of Part VIIA of the Veterans’ Entitlements Act; and
(b) the person’s advance payment period has not ended.
Note: for ‘advance payment period’ see point 1066-C4.
“1066-C4. A person’s advance payment period:
(a) starts on the day on which the advance pharmaceutical allowance is paid to the person; and
(b) ends after the number of paydays worked out using the following formula have passed:
where:
“1066-C5. Pharmaceutical allowance is not to be added to a person’s maximum basic rate if:
(a) the person has received an advance pharmaceutical allowance during the current calendar year; and
(b) the total amount paid to the person for that year by way of:
(i) pharmaceutical allowance; and
(ii) advance pharmaceutical allowance;
equals the total amount of pharmaceutical allowance that would have been paid to the person during that year if the person had not received any advance pharmaceutical allowance.
Note 1: for the amount ‘paid’ to a person by way of pharmaceutical allowance see subsections 19A(2) to (6).
Note 2: the annual limit is affected by:
• how long during the calendar year the person was on pension or benefit;
• the rate of pharmaceutical allowance the person attracts at various times depending on the person’s family situation.
VEA payments taken into account “1066-C6. In points 1066-C4 and 1066-C5:
‘advance pharmaceutical allowance’ includes advance pharmaceutical allowance under the Veterans’ Entitlements Act;
‘pharmaceutical allowance’ includes pharmaceutical allowance under the Veterans’ Entitlements Act.
Amount of pharmaceutical allowance “1066-C7. The amount of pharmaceutical allowance is $135.20 per year ($5.20 per fortnight).
Note: the annual amount is adjusted annually in line with CPI increases (see section 1206A).”.
76. Pension Rate Calculator D in section 1066A is amended:
(a) by inserting after Step 2 of the Method statement in point 1066A-A1 the following Step:“
Step 3. Work out the amount per year (if any) of pharmaceutical allowance using MODULE D below.”;
(b) by inserting after Module C the following Module:
“
Qualification for pharmaceutical allowance “1066A-D1. Subject to points 1066A-D2, 1066A-D3, 1066A-D4 and 1066A-D6, an additional amount by way of pharmaceutical allowance is to be added to a person’s maximum basic rate if:
(a) the person is an Australian resident; and
(b) the person is in Australia.
No pharmaceutical allowance if person receiving pharmaceutical allowance under the Veterans’ Entitlements Act “1066A-D2. Pharmaceutical allowance is not to be added to a person’s maximum basic rate if the person is receiving pharmaceutical allowance under the Veterans’ Entitlements Act.
“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 pharmaceutical allowance under the Veterans’ Entitlements Act; and
(c) the person’s partner is not receiving a service pension.
“1066A-D4. Pharmaceutical allowance is not to be added to a person’s maximum basic rate if:
(a) the person has received an advance pharmaceutical allowance under:
(i) Part 2.23 of this Act; or
(ii) Division 2 of Part VIIA of the Veterans’ Entitlements Act; and
(b) the person’s advance payment period has not ended.
Note: for ‘advance payment period’ see point 1066A-D5.
“1066A-D5. A person’s advance payment period:
(a) starts on the day on which the advance pharmaceutical allowance is paid to the person; and
(b) ends after the number of paydays worked out using the following formula have passed:
where:
“1066A-D6. Pharmaceutical allowance is not to be added to a person’s maximum basic rate if:
(a) the person has received an advance pharmaceutical allowance during the current calendar year; and
(b) the total amount paid to the person for that year by way of:
(i) pharmaceutical allowance; and
(ii) advance pharmaceutical allowance;
equals the total amount of pharmaceutical allowance that would have been paid to the person during that year if the person had not received any advance pharmaceutical allowance.
Note 1: for the amount ‘paid’ to a person by way of pharmaceutical allowance see subsections 19A(2) to (6).
Note 2: the annual limit is affected by:
• how long during the calendar year the person was on pension or benefit;
• the rate of pharmaceutical allowance the person attracts at various times depending on the person’s family situation.
VEA payments taken into account “1066A-D7. In points 1066A-D5 and 1066A-D6:
‘advance pharmaceutical allowance’ includes advance pharmaceutical allowance under the Veterans’ Entitlements Act;
‘pharmaceutical allowance’ includes pharmaceutical allowance under the Veterans’ Entitlements Act.
Amount of pharmaceutical allowance “1066A-D8. The amount of pharmaceutical allowance is the amount per year worked out using the following Table:
PHARMACEUTICAL ALLOWANCE AMOUNT TABLE | |||
column 1 | column 2 | column 3 | column 4 |
item | person’s family situation | amount per year | amount per fortnight |
1. | |||
Note No. 30
The British High Commission present their compliments to the Department of Foreign Affairs and Trade and have the honour to refer to the Agreement on Social Security between the Government of the United Kingdom of Great Britain and Northern Ireland and the Government of Australia signed at London on 1 October 1990 (which in this letter is referred to as “the Agreement”) and to recent discussions between the Departments of Social Security of the United Kingdom and Australia concerning the need to amend the Agreement, so as to make provision for increases of United Kingdom benefits in respect of dependants to be paid in certain circumstances, for any period during which such dependant is in Australia.
The British High Commission now have the honour to propose the following amendments to the Agreement:
Articles 6 and 15(2) of the Agreement shall be deleted;
The following shall be inserted after Article 15 of the Agreement.
“
UK INCREASES FOR DEPENDANTS
Where a person who is qualified to receive any benefit under the legislation of the United Kingdom, other than a retirement pension or a widowed mother’s allowance payable by virtue of this or the former Agreement, would be qualified to receive also an increase of that benefit for a dependant if the dependant were in that territory, he or she shall be qualified to receive that increase while the dependant is in Australia”.
If the foregoing proposals are acceptable to the Government of Australia, the High Commission have the honour to propose that this Note and the Department of Foreign Affairs and Trade’s reply to that effect, shall constitute an Agreement between the Government of the United Kingdom of Great Britain and Northern Ireland and the Government of Australia which shall enter into force on 29 June 1992.
The British High Commission avail themselves of this opportunity to renew to the Department of Foreign Affairs and Trade the assurance of their highest consideration.
22 April 1992
British High Commission
Canberra
Note No. 312326
The Department of Foreign Affairs and Trade presents its compliments to the British High Commission and has the honour to refer to the High Commission’s Note No. 30 of 22 April 1992, which reads as follows:
“The British High Commission present their compliments to the Department of Foreign Affairs and Trade and have the honour to refer to the Agreement on Social Security between the Government of the United Kingdom of Great Britain and Northern Ireland and the Government of Australia signed at London on 1 October 1990 (which in this letter is referred to as “the Agreement”) and to recent discussions between the Departments of Social Security of the United Kingdom and Australia concerning the need to amend the Agreement, so as to make provision for increases of United Kingdom benefits in respect of dependants to be paid in certain circumstances, for any period during which such dependant is in Australia.
The British High Commission now have the honour to propose the following amendments to the Agreement:
(a) Articles 6 and 15(2) of the Agreement shall be deleted;
(b) The following shall be inserted after Article 15 of the Agreement.
“
UK INCREASES FOR DEPENDANTS
Where a person who is qualified to receive any benefit under the legislation of the United Kingdom, other than a retirement pension or a widowed mother’s allowance payable by virtue of this or the former Agreement, would be qualified to receive also an increase of that benefit for a dependant if the dependant were in that territory, he or she shall be qualified to receive that increase while the dependant is in Australia.”
If the foregoing proposals are acceptable to the Government of Australia, the High Commission have the honour to propose that this Note and the Department of Foreign Affairs and Trade’s reply to that effect, shall constitute an Agreement between the Government of the United Kingdom of Great Britain and Northern Ireland and the Government of Australia which shall enter into force on 29 June 1992.”
The Department has the honour to confirm that the foregoing is acceptable to the Government of Australia and that the High Commission’s Note and this reply shall together constitute an Agreement between the Government of Australia and the Government of the United Kingdom of Great Britain and Northern Ireland which shall enter into force on 29 June 1992.
CANBERRA
22 April 1992.
NEW INTERNATIONAL AGREEMENT
AGREEMENT
ON SOCIAL SECURITY
BETWEEN
AUSTRALIA
AND
THE REPUBLIC OF CYPRUS
Australia and the Republic of Cyprus,
Wishing to strengthen the existing friendly relations between the two countries, and
Resolved to coordinate their social security systems;
Have agreed as follows:
PART I
GENERAL PROVISIONS
ARTICLE 1
Definitions
1. In this Agreement, unless the context otherwise requires:
(a) “benefit” means in relation to a Party, a benefit, pension or allowance for which provision is made in the legislation of that Party, and includes any additional amount, increase or supplement that is payable in addition to that benefit, pension or allowance to or in respect of a person who qualifies for that additional amount, increase or supplement under the legislation of that Party;
(b) “carer pension” means a carer pension payable to the partner of a person who is in receipt of a disability support pension for the severely disabled or an age pension where that partner is legally married to that person;
(c) “Competent Authority” means;
in relation to Australia:
the Secretary to the Department of Social Security; and,
in relation to Cyprus:
the Minister of Labour and Social Insurance;
(d) “Competent Institution” means;
in relation to Australia:
the Department of Social Security; and,
in relation to Cyprus:
the Department of Social Insurance Services, Ministry of Labour and Social Insurance;
(e) “legislation” means the laws specified in Article 2;
(f) “period of Australian working life residence”, in relation to a person, means a period defined as such in the legislation of Australia;
(g) “period of insurance” means a period for which contributions have been paid or credited or a period of paid or credited insurable earnings under the legislation of Cyprus;
(h) “territory” means;
in relation to Australia:
Australia as defined in the legislation of Australia; and
in relation to Cyprus:
the island of Cyprus;
(i) “welfare benefit” means, in relation to Cyprus, any benefit payable under the Public Assistance Law of 1991 and any law to provide a similar means tested benefit from public funds that subsequently amends, supplements or replaces it and any rent allowance payable out of the Fund established under the Rent Control Laws of 1983 and 1991 and any law to provide a similar means-tested rent allowance from public funds that subsequently amends, supplements or replaces them; and
(j) “widow” means, in relation to Australia, a de jure widow but does not include a woman who has a partner.
2. In the application by a Party of this Agreement in relation to a person, any term not defined in this Article shall, unless the context otherwise requires, have the meaning assigned to it in the legislation of either Party or, in the event of a conflict of meaning, by whichever of those laws is the more applicable to the circumstances of that person.
ARTICLE 2
Legislative scope
1. Subject to paragraph 2, this Agreement shall apply to the following laws, as amended at the date of signature of this Agreement, and to any laws that subsequently amend, supplement or replace them:
(a) in relation to Australia: the
Social Security Act 1991 in so far
as the Act provides for, applies to or affects the following benefits:
(i) age pension;
(ii) disability support pension for the severely disabled;
(iii) pensions payable to widows;
(iv) widowed person allowance; and
(v) carer pension; and
(b) in relation to Cyprus: the
Social Insurance Laws of 1980 to 1990 in so far as the Laws provide for, apply to or affect social insurance benefits for:(i) age;
(ii) invalidity and work-related disablement;
(iii) survivorship; and
(iv) funerals.
Notwithstanding the provisions of paragraph 1, neither the legislation of Australia nor the legislation of Cyprus shall include any laws made at any time for the purpose of giving effect to any agreement on Social Security.
This Agreement shall apply to laws which extend the legislation of either Party to new categories of beneficiaries only if the two Parties so agree in a Protocol to this Agreement.
ARTICLE 3
Personal scope
This Agreement shall apply to any person who:
(a) is or has been an Australian resident; or
(b) is or has been subject to the legislation of Cyprus,
and, where applicable, to other persons in regard to the rights they derive from the person described above.
ARTICLE 4
Equality of treatment
Subject to this Agreement, all persons to whom this Agreement applies shall be treated equally by a Party in regard to rights and obligations which arise whether directly under the legislation of that Party or by virtue of this Agreement.
ARTICLE 5
Application of the legislation of Cyprus
1. Subject to the following paragraphs, where a person to whom this Agreement applies is gainfully occupied in the territory of Cyprus the person’s liability to be insured under the legislation of Cyprus shall be
determined under that legislation, even if the person’s place of residence and/or the employer’s place of business is in Australia.
Where a person insured under the legislation of Cyprus is sent by an employer to work temporarily in Australia the person shall continue to be subject to the legislation of Cyprus during the first 24 months of employment in Australia.
A person who is employed as a member of the crew of a seagoing ship flying the Cyprus flag shall be subject to the legislation of Cyprus if the person is ordinarily resident in Cyprus.
Subject to the provisions of paragraph 5, a person employed by the Government or other public corporation of Cyprus sent by that Government or corporation to work in Australia shall continue to be subject to the legislation of Cyprus as if employed in Cyprus. A person employed by the Government or other public corporation of Australia in Cyprus shall be subject to the legislation of Cyprus if ordinarily a resident of Cyprus.
This Article does not apply to any person who falls within the scope of the Vienna Convention on Diplomatic Relations or the Vienna Convention on Consular Relations.
The Competent Authorities of the two Parties may provide, by agreement with one another, exceptions to the provisions of this Article where this is in the interest of persons affected thereby.
Where in accordance with the provisions of this Article a person is insured under the legislation of Cyprus while gainfully occupied in Australia, that legislation shall apply to that person as if he or she were gainfully occupied in Cyprus.
PART II
PROVISIONS RELATING TO BENEFITS
AUSTRALIAN BENEFITS
ARTICLE 6
Residence of presence in Cyprus or a Third State
1. Where a person would be qualified under the legislation of Australia or by virtue of this Agreement for a benefit except for not being an Australian resident and in Australia on the date on which the claim for that benefit is lodged, but:
(a) is an Australian resident or residing in the territory of Cyprus or a third State with which Australia has concluded an agreement
on social security that includes provision for co-operation in the assessment and determination of claims for benefits; and
(b) is in Australia, or the territory of Cyprus or that third State,
that person shall be deemed, for the purposes of lodging that claim, to be an Australian resident and in Australia on that date.
2. Paragraph 1 shall not apply to a claimant for a carer pension who has never been an Australian resident.
ARTICLE 7
Partner related Australian benefits
A person who receives from Australia any Australian pension, benefit or allowance under the social security laws of Australia due to the fact that the partner of that person receives, by virtue of this Agreement, an Australian benefit, shall be deemed to be receiving that pension, benefit or allowance by virtue of this Agreement but shall cease to qualify for that pension, benefit or allowance, if he or she is not physically present in Australia but, when that person is receiving a carer pension, he or she shall not cease to qualify for that pension while he or she is physically present in Cyprus.
ARTICLE 8
Totalisation for Australia
1. Where a person to whom this Agreement applies has claimed an Australian benefit under this Agreement and has accumulated:
(a) a period as an Australian resident that is less than the period required to qualify that person, on that ground, under the legislation of Australia for a benefit; and
(b) a period of Australian working life residence equal to or greater than the period identified in accordance with paragraph 5 for that person; and
(c) a period of insurance;
then for the purposes of a claim for that Australian benefit, that period of insurance shall be deemed, only for the purposes of meeting any minimum qualifying periods for that benefit set out in the legislation of Australia, to be a period in which that person was an Australian resident.
2. For the purposes of paragraph 1, where a person:
(a) has been an Australian resident for a continuous period which is less than the minimum continuous period required by the legislation of Australia for entitlement of that person to a benefit; and
(b) has accumulated a period of insurance in two or more separate periods that equals or exceeds in total the period referred to in subparagraph (a),
the total of the periods of insurance shall be deemed to be one continuous period.
3. For the purposes of converting a person’s period of insurance to a period when that person was an Australian resident:
(a) each week of insurance completed before 6 October 1980 under the legislation of Cyprus shall be treated as a week when that person was an Australian resident under the legislation of Australia; and
(b) the insurable earnings for any period of insurance completed from 6 October 1980 under the legislation of Cyprus shall be divided by the weekly amount of the basic insurable earnings applicable in the relevant contribution year. The figure so calculated, subject to the maximum number of weeks during which the person was subject to that legislation in that year, shall be treated as representing the number of weeks in the insurance period. Each week shall be treated as equivalent to one week when that person was an Australian resident.
For all purposes of this Article, where a period by a person as an Australian resident and a period of insurance coincide, the period of coincidence shall be taken into account once only by Australia as a period as an Australian resident.
The minimum period of Australian working life residence to be taken into account for the purposes of paragraph 1 shall be as follows:
(a) for the purposes of an Australian benefit that is payable to a person who is not an Australian resident, the minimum period required shall be 12 months, of which at least six months must be continuous; and
(b) for the purposes of an Australian benefit that is payable to an Australian resident no minimum period shall be required.
ARTICLE 9
Calculation of Australian benefits
1. Subject to paragraph 2, where an Australian benefit is payable, whether by virtue of this Agreement or otherwise, to a person who is outside Australia, the rate of that benefit shall be determined according to the legislation of Australia but, when assessing the income of that person for the purposes of calculating the rate of the Australian benefit, only a proportion of any Cyprus social insurance benefit received by that person shall be regarded as income. That proportion shall be calculated by multiplying the number of whole months accumulated by
that person in a period of residence in Australia (not exceeding 300) by the amount of that Cyprus social insurance benefit and dividing that product by 300.
Only a person receiving a proportionalised Australian benefit under the legislation of Australia shall be entitled to receive the concessional assessment of income described in paragraph 1.
Where an Australian benefit is payable, whether payable by virtue of this Agreement or otherwise, to a person who is a resident of Cyprus, Australia shall disregard, when assessing the income of that person, any welfare benefit paid to that person by Cyprus.
Subject to the provisions of paragraph 5, where an Australian benefit is payable only by virtue of this Agreement to a person who is in Australia, the rate of that benefit shall be determined by:
(a) calculating that person’s income according to the legislation of Australia but disregarding in that calculation the Cyprus benefit received by that person;
(b) deducting the amount of the Cyprus benefit received by that person from the maximum rate of that Australian benefit; and
(c) applying to the remaining benefit obtained under subparagraph (b) the relevant rate calculation set out in the legislation of Australia, using as the person’s income the amount calculated under subparagraph (a).
Where a member of a couple is, or both that member and his or her partner are, in receipt of a Cyprus benefit or benefits, each of them shall be deemed, for the purpose of paragraph 4 and for the legislation of Australia, to be in receipt of one half of either the amount of that benefit or total of both of those benefits, as the case may be.
If a person would receive an Australian benefit except for the operation of paragraph 4 or except for that person’s failure to claim the benefit, then for the purposes of a claim by that person’s partner for a payment under the legislation of Australia that person shall be deemed to receive that benefit.
The reference in paragraph 6 to a payment under the legislation of Australia to the partner of a person is a reference to a payment of any pension, benefit or allowance payable under the social security laws of Australia and whether payable by virtue of this Agreement or otherwise.
PART III
PROVISIONS RELATING TO CYPRUS BENEFITS
ARTICLE 10
Totalisation for Cyprus
Subject to paragraph 4, if a person is not entitled to benefit on the basis of insurance periods completed under the legislation of Cyprus alone entitlement for that benefit shall be determined by totalising these periods with periods of Australian working life residence to the extent necessary for entitlement to benefit.
In applying the provisions of paragraph 1, no account shall be taken of any period of working life residence in Australia completed prior to 7 January 1957.
For the purposes of this Article where a period of insurance and a period of Australian working life residence coincide, the period of coincidence shall be taken into account once only as a period of insurance.
Paragraph 1 shall not apply if the period of insurance is less than 52 weeks, except where the required period of insurance for entitlement to a benefit under the legislation of Cyprus is less than 52 weeks.
For the purpose of converting a period of Australian working life residence into a period of insurance under the legislation of Cyprus, a person shall be treated for each week of working life residence in Australia as having insurable earnings under the legislation of Cyprus equal to the weekly amount of basic insurable earnings.
ARTICLE 11
Calculation of Cyprus benefits
1. Subject to paragraph 2, the amount of benefit payable under the provisions of Article 10 shall be determined as follows:
(a) the Competent Institution of Cyprus shall calculate the theoretical basic benefit that would be payable if the periods of insurance completed under the legislation of Cyprus and the periods of Australian working life residence, totalised as provided in paragraph 1 of Article 10, had been periods of insurance under the legislation of Cyprus alone;
(b) it shall then prorate the theoretical basic benefit so calculated by the fraction which represents the ratio of the insurance periods completed under the legislation of Cyprus in relation to the total of the insurance periods completed under that legislation and the periods of Australian working life residence which are taken into account; and
(c) the amount of the supplementary benefit shall be determined exclusively on the basis of periods of insurance completed under the legislation of Cyprus.
2. The amount of the funeral benefit payable under the legislation of Cyprus shall be calculated as if the periods of residence, which are taken into account as provided in paragraph 1 of Article 10, were periods of insurance under the legislation of Cyprus alone.
ARTICLE 12
Work-related disablement
Subject to paragraph 2, pensions for work-related disablement under the legislation of Cyprus shal be paid by virtue of this agreement in respect of disablement which occurs while a person is insured under that legislation and employed in an occupation which is valid for the purposes of that legislation.
The rate of a pension for work-related disablement paid by virtue of this Agreement shall be calculated as if the impairment which qualified a person for a benefit under the legislation of Australia had occurred under the legislation of Cyprus.
PART IV
MISCELLANEOUS AND ADMINISTRATIVE PROVISIONS
ARTICLE 13
Lodgement of documents
A claim, notice or appeal concerning a benefit, whether payable by a Party by virtue of this Agreement or otherwise, may be lodged in the territory of the other Party in accordance with the Administrative Arrangement made pursuant to Article 17 at any time after the Agreement enters into force.
For the purposes of assessing entitlement to a benefit, the date on which a claim, notice or appeal referred to in paragraph 1 is lodged with the Competent Institution of a Party shall be treated as the date of lodgement of that document with the Competent Institution of the other.
In relation to Australia, the reference in this Article to an appeal document is a reference to a document concerning an appeal that may be made to an administrative body established by the social security laws of Australia.
ARTICLE 14
Determination of claims
1. In determining the eligibility or entitlement of a person to a benefit by virtue of this Agreement:
(a) a period as an Australian resident and a period of insurance; and
(b) any event or fact which is relevant to that entitlement,
shall, subject to this Agreement, be taken into account in so far as those periods, events or facts are applicable in regard to that person no matter when they were accumulated or occurred.
The commencement date for payment of a benefit payable by virtue of this Agreement shall be determined in accordance with the legislation of the Party concerned but shall never be earlier than the date on which this Agreement enters into force and a funeral grant under the legislation of Cyprus shall not be made if the relevant death occurred before this Agreement enters into force.
Where:
(a) a benefit payable by virtue of this Agreement by one of the Parties is claimed or is being paid; and
(b) there are reasonable grounds for believing that the claimant may also be entitled, whether by virtue of this Agreement or otherwise, to a benefit from the other Party and that, if paid, would affect the amount of the first mentioned benefit,
that first mentioned benefit shall not be paid or continue to be paid until a claim is duly lodged for payment of the benefit from the other Party or if the claim for the other Party’s benefit is not actively pursued.
4. Where:
(a) a benefit is paid or payable by a Party to a person in respect of a past period; and
(b) for all or part of that period, the other Party has paid to that person a benefit under its legislation; and
(c) the amount of the benefit paid by that other Party would have been reduced had the benefit paid or payable by the first Party been paid during that period;
then
(d) the amount that would not have been paid by the other Party had the benefit described in subparagraph (a) been paid on a periodical basis throughout that past period, shall be a debt due by that person to the other Party; and
(e) the other Party may determine that the amount or any part of that debt may be deducted from future payments of a benefit payable by that Party to that person.
5. Where the first Party has not yet paid the benefit described in subparagraph 4(a) to the person:
(a) that Party shall, at the request of the other Party, pay the amount of the benefit necessary to meet the debt described in subparagraph 4(d) to the other Party and shall pay any excess to the person; and
(b) any shortfall may be recovered by the other Party under subparagraph 4(e).
The Competent Institution receiving a request under paragraph 5 shall transfer the amount of the debt to the Competent Institution making the request.
A reference in paragraphs 3, 4 and 5 to a benefit, in relation to Australia, means a pension, benefit or allowance payable under the social security laws of Australia and, in relation to Cyprus, means any pension, benefit or allowance payable under the social insurance laws of Cyprus.
ARTICLE 15
Payment of benefits
Benefits of one Party, when payable by virtue of this Agreement, are also payable in the territory of the other Party.
Where the legislation of a Party provides that a benefit is payable outside the territory of that Party, then that benefit, when payable by virtue of this Agreement, is also payable outside the territories of both Parties.
Subject to Article 7, where qualification for a benefit of one Party is subject to limitations as to time, then references to that Party in those limitations shall be read also as references to the territory of the other Party when that benefit is payable by virtue of this Agreement.
If a Party imposes legal or administrative restrictions on the transfer of its currency abroad, both Parties shall adopt measures as soon as practicable to guarantee the rights to payment of benefits derived under this Agreement. Those measures shall operate retrospectively to the time the restrictions were imposed.
A benefit payable by a Party by virtue of this Agreement shall be paid by that Party without deduction for government administrative fees and charges for processing and paying that benefit whether the beneficiary is in the territory of the other Party or outside the respective territories of both Parties.
6. Any exemption granted in the territory of one of the Parties from stamp duty, notarial or registration fees in respect of certificates and documents required to be submitted to the Competent Authorities and Competent Institutions in the same territory shall also apply to certificates and documents which, for the purposes of this Agreement, have to be submitted to the Competent Authorities and Competent Institutions in the territory of the other Party. Documents and certificates required to be produced for the purpose of this Agreement shall be exempt from authentication by diplomatic and consular authorities.
ARTICLE 16
Exchange of information and mutual assistance
1. The Competent Authorities and Competent Institutions responsible for the application of this Agreement:
(a) shall communicate to each other any information necessary for the application of this Agreement;
(b) shall lend their good offices and furnish assistance to one another, including the communication to each other of any necessary information, with regard to the determination or payment of any benefit under this Agreement or under the social security laws of either Party as if the matter involved the application of their own legislation;
(c) shall communicate to each other, as soon as possible, all information about the measures taken by them for the application of this Agreement or about changes in their respective legislation in so far as these changes affect the application of this Agreement; and
(d) at the request of one to the other, assist each other in relation to the implementation of agreements on social security entered into by either of the Parties with third States, to the extent and in the circumstances specified in the Administrative Arrangement made in accordance with Article 17.
The assistance referred to in paragraph 1 shall be provided free of charge, subject to any Administrative Arrangement made pursuant to Article 17.
Unless disclosure is required under the laws of a Party, any information about an individual which is transmitted in accordance with this Agreement to a Competent Authority or an Institution of that Party by a Competent Authority or an Institution of the other Party is confidential and shall be used only for purposes of implementing this Agreement and the social security laws of either Party.
4. In no case shall the provisions of paragraphs 1 and 3 be construed so as to impose on the Competent Authority or Institution of a Party the obligation:
(a) to carry out administrative measures at variance with the laws or the administrative practice of that or the other Party; or
(b) to supply particulars which are not obtainable under the laws or in the normal course of the administration of that or of the other Party.
5. In the application of this Agreement, the Competent Authority and the Institutions of a Party may communicate with the Competent Authority and the Institutions of the other Party in the official language of the first Party.
ARTICLE 17
Administrative Arrangement
The Competent Authorities of the Parties shall make whatever Administrative Arrangement is necessary in order to implement this Agreement.
ARTICLE 18
Resolution of difficulties
The Competent Authorities of the Parties shall resolve, to the extent possible, any difficulties which arise in interpreting or applying this Agreement according to its spirit and fundamental principles.
The Parties shall consult promptly at the request of either concerning matters which have not been resolved by the Competent Authorities in accordance with paragraph 1.
ARTICLE 19
Review of Agreement
Where a Party requests the other to meet to review this Agreement, the Parties shall meet for that purpose no later than 6 months after that request was made and, unless the Parties otherwise agree, their meeting shall be held in the territory of the Party to which that request was made.
PART V
TRANSITIONAL AND FINAL PROVISIONS
ARTICLE 20
Entry into force and termination
This Agreement shall enter into force on the first day of the second month after an exchange of notes by the Parties through the diplomatic channel notifying each other that all constitutional or legislative matters as are necessary to give effect to this Agreement have been finalised.
Subject to paragraph 3, this Agreement shall remain in force until the expiration of 12 months from the date on which either Party receives from the other a note through the diplomatic channel indicating the intention of the other Party to terminate this Agreement.
In the event that this Agreement is terminated in accordance with paragraph 2, the Agreement shall continue to have effect in relation to all persons who:
(a) at the date of termination, are in receipt of benefits; or
(b) prior to the expiry of the period referred to in that paragraph, have lodged claims for, and would be entitled to receive, benefits,
by virtue of this Agreement.
IN WITNESS WHEREOF, the undersigned, being duly authorised thereto by their respective Governments, have signed this Agreement.
DONE in two copies at Nicosia this twelfth day of May 1992, in the English and Greek languages.
FOR AUSTRALIA: | FOR THE REPUBLIC OF CYPRUS: |
DAVID SIMMONS | I. ARISTIDOU |
1. No. 46, 1991, as amended. For previous amendments, see Nos. 68, 69, 70, 73, 74, 115, 116, 141, 175, 194 and 208, 1991; and Nos. 12 and 81, 1992.
NOTES ABOUT SECTION HEADINGS IN THE SOCIAL SECURITY ACT 1991
1. On the day on which section 833 of the Principal Act is amended by Schedule 2 to this Act, the heading to that section is altered by omitting “
18 ” and substituting “16 ”.2. On 1 January 1993, immediately after the commencement of the
Social Security (Family Payment) Amendment Act 1992 , the heading to section 1199 of the Principal Act is altered by omitting “FAS ” and substituting “MBR ”.
NOTE ABOUT POINT HEADING
1. On 1 January 1993, immediately after the commencement of the
Social Security (Family Payment) Amendment Act 1992 , the following heading to point 1069-16 in the Family Payment Rate Calculator in section 1069 of theSocial Security Act 1991 is inserted:“
Special maintenance income not disregarded if child support application not in force ”.
[
House of Representatives on 15 October 1992
Senate on 9 November 1992
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0
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