Overview

The Veterans' Entitlements (South Australian Energy Concession Bonus) Determination 2005 was enacted to address the need for exempting the South Australian Energy Concession Bonus payments from income assessment for service pension and income support supplement purposes. This determination was made under subsection 5H(12) of the Veterans' Entitlements Act 1986, with the aim of ensuring that these payments do not affect the means-testing for veterans' entitlements. The South Australian Government had announced a one-off $150 Energy Concession Bonus payment to all recipients of the South Australian Energy Concession, and this instrument ensures that these payments are considered exempt lump sums, not affecting the ordinary income definition as per subsection 5H(1) of the VEA. The determination was introduced without substantial consultation as it was deemed beneficial and of a minor nature, not significantly altering existing arrangements.

Scope and Application

The Veterans' Entitlements (South Australian Energy Concession Bonus) Determination 2005 applies to recipients of the South Australian Energy Concession who are also beneficiaries under the Veterans' Entitlements Act 1986. This includes individuals who receive a service pension or an income support supplement under the VEA. The determination specifies that the $150 Energy Concession Bonus payment, announced by the South Australian Government on 26 May 2005, is deemed an exempt lump sum for the purposes of calculating ordinary income under the VEA. This exemption from income assessment is confined to the relevant recipients of the bonus payment and their partners, ensuring that the payment does not affect the eligibility or amount of their service pension or income support supplement. The determination does not specify any exclusions or exemptions beyond its stated purpose and operates within the jurisdictional scope of South Australia, as it pertains to a state-specific initiative. The instrument does not extend its application beyond the specified amount and recipients, and no subordinate instruments are mentioned to extend or restrict its application.

Key Provisions

The Veterans' Entitlements (South Australian Energy Concession Bonus) Determination 2005 (F2005L01999) primarily serves to exempt certain payments from the income assessment of service pensioners and income support recipients. Under section 1 of the Determination, it specifies that the $150 Energy Concession Bonus, announced by the South Australian Government on 26 May 2005, will not be considered income for the purposes of means-testing. This is because these payments are classified as exempt lump sums, as provided in section 5H(12)(c) of the Veterans’ Entitlements Act 1986 (VEA). This classification means that the bonus payment does not affect the eligibility or amount of service pension or income support supplement that a veteran or their partner may receive. The obligations imposed by this Determination are straightforward. It requires that the $150 Energy Concession Bonus payment be treated as an exempt lump sum under the VEA, thereby exempting it from income assessment. This is critical for maintaining the integrity of the means-testing process for veterans' entitlements, ensuring that the bonus does not impact the financial assistance these individuals receive. The Determination aims to provide a clear and unambiguous exemption for this specific bonus payment. In terms of consequences for breach, the Determination does not explicitly state any specific offences or penalties for non-compliance. However, the underlying legislation, the Veterans' Entitlements Act 1986, does provide for a range of penalties for non-compliance with the Act's provisions. For instance, section 113 of the VEA allows for fines of up to $22,200 for individuals and $111,000 for corporations found guilty of contravening the Act. These penalties underscore the importance of adhering to the Act’s requirements and the Determination’s stipulations regarding the treatment of the Energy Concession Bonus as an exempt lump sum.