Aged Care (Accommodation Payment Security) Levy Amendment Act 2025

Overview

The Aged Care (Accommodation Payment Security) Levy Amendment Act 2025 was enacted to address issues arising from the changing landscape in the provision of aged care services in Australia. This Act amends the Aged Care (Accommodation Payment Security) Levy Act 2006 to ensure that the levy is applicable to the correct entities involved in the provision of aged care services. The Parliament of Australia enacted this legislation to streamline and modernise the definition and application of the levy, aligning it with the more recent legislative framework established by the Aged Care Act 2024. This amendment ensures that the levy accurately reflects the current terminology and regulatory environment for those providing aged care services, thereby maintaining the financial stability and security of aged care accommodation payments.

Scope and Application

The Aged Care (Accommodation Payment Security) Levy Amendment Act 2025 amends the Aged Care (Accommodation Payment Security) Levy Act 2006, and it applies to registered providers of aged care services in Australia. The amendment replaces the term "approved provider" with "registered provider" as defined in the Aged Care Act 2024. This change ensures consistency and aligns the levy provisions with the newer regulatory framework for aged care services. The Act comes into effect concurrently with the commencement of the Aged Care Act 2024, which is set for 1 November 2025. The amendments made by this Act affect the scope of the levy, now targeting registered providers rather than approved providers, and it applies nationally across Australia. There are no specific exclusions, exemptions, or thresholds stated in this Act; however, further details may be provided through subordinate legislation or regulations that extend or restrict the application of these provisions.

Key Provisions

The Aged Care (Accommodation Payment Security) Levy Amendment Act 2025 (the "Act") introduces amendments to the Aged Care (Accommodation Payment Security) Levy Act 2006 (the "Original Act"). The Act is set to commence on 1 November 2025, aligning with the commencement of the Aged Care Act 2024 (section 2). The key changes made by the Act are outlined in Schedule 1, which primarily involves replacing references to "approved providers" with "registered providers" in various sections of the Original Act. The primary operative sections of the Act are found in Schedule 1, where specific amendments are detailed. For example, section 5 of the Original Act, which previously defined "approved provider," is repealed under the Act. In its place, the term "registered provider" is introduced, aligning with the definition found in the Aged Care Act 2024. Furthermore, section 6 of the Original Act is amended to replace all instances of "approved providers" with "registered providers" (sections 3 and 4). These changes are not limited to definitions but also extend to the substantive sections of the Original Act, such as section 9, which now references "registered providers" instead of "approved providers" (section 7). These changes are designed to ensure consistency with the newer legislative framework established by the Aged Care Act 2024. The Act imposes obligations on providers who fall under the definition of "registered providers" as set out in the Aged Care Act 2024. These obligations include compliance with the updated terminology and the specific provisions that now refer to "registered providers." Such compliance is essential for all entities governed by the Original Act to avoid any misinterpretation or non-compliance with the legislative requirements. This shift in terminology also necessitates that all documentation, reports, and communications must reflect the updated terminology, ensuring that all parties are operating under the same legal framework. Failure to comply with the provisions of the Act may result in various civil and criminal consequences. While the Act itself does not explicitly outline specific penalties for non-compliance, breaches of the Aged Care (Accommodation Payment Security) Levy Act 2006 could potentially lead to enforcement actions, fines, or other penalties as prescribed by the relevant legislation. It is important for all stakeholders to familiarize themselves with the full scope of the Aged Care Act 2024 and any related regulations to understand the full extent of their obligations and the potential consequences of non-compliance.