Veterans’ Entitlements (Asset-test Exempt Income Stream (Market-linked) — Payment Factors) Principles Amendment Instrument 2020 (Cth)

Repatriation Commission

Veterans’ Entitlements (Asset‑test Exempt Income Stream (Market-linked) — Payment Factors) Principles Amendment Instrument 2020

Instrument 2020 No. R17

I, Janice Silby, as delegate of the Repatriation Commission make this instrument under subsection 5JBA(5A) of the Veterans’ Entitlements Act 1986.

Dated this            7th              of         July         2020

      Janice Silby

  JANICE SILBY
Assistant Secretary
  Income Support

1  Name

This instrument is the Veterans’ Entitlements (Asset‑test Exempt Income Stream (Market-linked) — Payment Factors) Principles Amendment Instrument 2020.

2  Commencement

This instrument commences the day after it is registered.

3  Authority

This instrument is made under subsection 5JBA(5A) of the Veterans’ Entitlements Act 1986.

4  Schedule

Each instrument that is specified in a Schedule to this instrument is amended or repealed as set out in the applicable items in the Schedule concerned, and any other item in a Schedule to this instrument has effect according to its terms.

Schedule – Amendments

Veterans’ Entitlements (Asset‑test Exempt Income Stream (Market-linked) — Payment Factors) Principles 2005

1. Subsection 2.1(1)

Repeal the subsection, substitute:

Definition of PF

(1)     For the formula in subsection 5JBA(5) of the VEA, subject to subsection 2.1(1A) of these Principles, PF means the payment factor specified in column 3 of the table in this section of the Principles that corresponds with the remaining term of the income stream.  The payment factor is to be applied:

(a)   on 1 July of the financial year for which the total amount is being worked out;

or

(b)   if that financial year is the year in which the income stream commences — on

the commencement day for the income stream,

(1A)    If the financial year for which the total amount is being worked out is a financial year commencing 1 July 2019 or 1 July 2020, when applying the formula in subsection 5JBA(5) of the VEA to determine the minimum amount of the payments to be made under the income stream, PF means a number that is twice the payment factor specified in column 3 of the table in this section of the Principles that corresponds with the remaining term of the income stream.