Watson and Secretary, Department of Health (Social services)

The Administrative Appeals Tribunal considered the application of Watson (the Applicant) for financial hardship assistance under the *Aged Care Act 1997* (Cth) in relation to the Secretary, Department of Health (the Respondent). The dispute concerned the assessment of the Applicant's assets for the purpose of determining eligibility for this assistance, specifically in relation to amounts gifted by the Applicant that exceeded a prescribed threshold.

The primary legal issue before the Tribunal was whether the Respondent had erred in its assessment of the Applicant's assets by failing to exercise a discretion that the Applicant contended was available to it. The Applicant argued that the Respondent should have had regard to circumstances beyond the strict calculation of gifted assets when determining eligibility for financial hardship assistance.

Member Gaudion reasoned that the relevant legislative provisions did not confer a discretion upon the Secretary to disregard gifted assets that exceeded the statutory threshold. The Tribunal found that the assessment of assets, including gifted amounts, was a matter of objective calculation according to the *Aged Care Act 1997* and associated principles. Consequently, the Tribunal affirmed the decision under review, finding no error in the Respondent's assessment.