EXPLANATORY STATEMENT
Social Security (Method of Payment – Foreign Countries) Revocation Determination 2010
Purpose
The purpose of the Social Security (Method of Payment – Foreign Countries) Revocation Determination 2010 (the Revocation Determination) is to revoke the Social Security (Method of Payment – Foreign Countries) Determination 2003 (the 2003 Determination) in order to ensure conformity with section 55 of the Social Security (Administration) Act 1999 (the Act).
Background
Section 55 of the Act sets out how social security payments are to be made to individuals. In particular subsection 55(2) provides:
Subject to subsections (4) and (4A), the relevant amount is to be paid to the credit of a bank account nominated and maintained by the person.
In addition, subsection 55(4) of the Act provides:
The Secretary may direct that the whole or a part of the relevant amount to be paid to the person in a different way from that provided for by subsection (2). If the Secretary gives a direction, the relevant amount is to be paid in accordance with that direction.
Section 5 of the 2003 Determination provides that unless a person lives in one of the countries set out in section 6 of that determination they are to be paid by way of cheque. Payments will now be made to all individuals by direct credit as provided in the Act.
Consultation
Centrelink has been consulted about this Determination.
Regulatory Impact
The Revocation Determination does not require a Regulatory Impact Statement. The Revocation Determination is not regulatory in nature, will not impact on business activity and will have no, or minimal, compliance costs or competition impact.