Veterans’ Entitlements Income (Exempt Lump Sum — Tobacco Growers Adjustment Assistance Package) Determination No. R2 of 2007 (Cth)

Repatriation Commission

Veterans’ Entitlements Act 1986

Veterans’ Entitlements Income (Exempt Lump Sum — Tobacco Growers Adjustment Assistance Package) Determination

Instrument No. R2/2007

I, JEANETTE RICKETTS, Senior Executive Band 1 (Income Support & Aged Care Policy), Department of Veterans’ Affairs, and delegate of the Repatriation Commission, determine, under paragraph 5H(12)(c) of the Veterans’ Entitlements Act 1986 (VEA), that an amount specified in Part 2 of the Schedule as an exempt lump sum is an exempt lump sum for the purposes of the definition of “ordinary income” in subsection 5H(1) of the VEA.

Dated   23 February 2007

……………………………………….….

JEANETTE RICKETTS

SCHEDULE

Part 1: Preliminary and Interpretation

1. Explanation

1.1Paragraph 5H(12)(c) of the VEA enables the Repatriation Commission to determine that an amount, or one of a class of amounts, is an exempt lump sum.  The consequence of the determination is that the amount, or class of amounts, is not ordinary income for the purposes of the VEA.

1.2    Name of Determination

1.2.1This determination is the Veterans’ Entitlements Income (Exempt Lump Sum – Tobacco Growers Adjustment Assistance Package) Determination No. R2 of 2007.

1.3      Commencement of Determination

1.3.1This Determination is taken to have commenced on the day it was signed.

1.4      Definitions

1.4.1In this Determination:

“service pension” has the meaning given to service pension in subsection 5Q(1) of the VEA.

“income support supplement” means the payment called the income support supplement payable under Part IIIA of the VEA.

“restructure grant” means a restructure grant available under the Tobacco Growers Adjustment Assistance Package 2006.  The grant is an Australian Government payment paid by Centrelink on behalf of the Department of Agriculture, Fisheries and Forestry.  It is available to:

• Former north Queensland tobacco growers who:

oHad their tobacco growing licence cancelled in February 2004 by the Australian Taxation Office,

oHeld shares in the Queensland Tobacco Marketing Cooperative and were a bona fide tobacco producer as at February 2004,

oHave not received payments under the Queensland Tobacco Assistance Package, and

oUndertake not to return to tobacco growing for a period of at least five years from the date that the grower ceased growing tobacco, and

• Former Victorian tobacco growers who:

oHave decided to exit the tobacco industry,

oHeld shares in the Tobacco Cooperative Victoria and were a bona fide tobacco producer as at 26 October 2006, and

oUndertake not to return to tobacco growing for a period of at least five years from the date the grower ceased growing tobacco, and

• South Queensland growers who:

oHave decided to exit the tobacco industry,

oHeld shares in the South Queensland Tobacco Growers’ Cooperative Association Limited and were a bona fide tobacco producer as at 26 October 2006, and

oUndertake not to return to tobacco growing for a period of at least five years from the date the grower ceased growing tobacco.

Part 2:   Exempt Lump Sum

1. Exempt Lump Sum— Tobacco Growers Adjustment Assistance Package 2006

2.1Amount or class of amounts

(1)Paragraph 5H(12)(c) of the VEA enables the Repatriation Commission to determine that an amount, or one of a class of amounts, is an exempt lump sum. 

(2)If:

(a)a person has received a restructure grant; and

(b)the person is in receipt of or has claimed a service pension or income support supplement;

then any amount received by the person, as a restructure grant, is an exempt lump sum.

2.2Application- Exempt Lump Sums

I determine that an amount, or class of amounts, paid to a person as mentioned in paragraph 2.1(2)(a) is an exempt lump sum for the purposes of paragraph 5H(12)(c) of the VEA from the date that the payment is made.