EXPLANATORY STATEMENT
Veterans’ Entitlements (Partially Asset-test Exempt Income Stream ‑ Exemption) Amendment Principles 2010
Summary
The Veterans’ Entitlements (Partially Asset-test Exempt Income Stream ‑ Exemption) Amendment Principles 2010 (the Amendment Principles) are made by the Repatriation Commission (the Commission) under subsection 52 (1AB) of the Veterans’ Entitlements Act 1986 (the Act).
The purpose of the Amendment Principles is to amend the Veterans’ Entitlements (Partially Asset-test Exempt Income Stream ‑ Exemption) Principles 2005 (the 2005 Principles) to incorporate amendments to the Act made by the Same-Sex Relationships (Equal Treatment in Commonwealth Laws – General Law Reform) Act 2008 (the Same-Sex Act) to eliminate any possible discrimination against same-sex couples.
Background
The 2005 Principles specify circumstances in which certain income streams are fully (100%) exempt from the assets test under the Act.
Explanation of provisions
Amendment Principles
Section 1 provides that the name of the Amendment Principles is the Veterans’ Entitlements (Partially Asset-test Exempt Income Stream ‑ Exemption) Amendment Principles 2010.
Section 2 provides that the Amendment Principles commence on the day after the day they are registered on the Federal Register of Legislative Instruments.
Section 3 provides that the 2005 Principles are amended as set out in Schedule 1 to the Amendment Principles.
Schedule 1 of the Amendment Principles
Item [1] inserts the definition of partner into the 2005 Principles. The term partner takes its meaning from subsection 5E(1) of the Act.
Items [2] and [4] omit the words ‘primary beneficiary’s spouse (or former spouse)’ from paragraphs 7(b) and 8(b) of the 2005 Principles and insert the words ‘primary beneficiary’s partner (or former partner)’. This amendment ensures that the 2005 Principles are consistent with amendments made to Commonwealth primary legislation by the Same-Sex Act to eliminate discrimination against same-sex couples.
Item [3] omits the words ‘spouse (or former spouse)’ from paragraph 7(c) of the 2005 Principles and inserts the words ‘partner (or former partner)’. As with items [2] and [4], this amendment ensures consistency with Commonwealth primary legislation due to the Same-Sex Act.
Consultation
No public consultation was considered necessary as these amendments merely ensure consistency with the Same-Sex Act and the Same Sex Act (as a Bill) was the subject of consultation.
Regulatory Impact Statement
This instrument does not require a Regulatory Impact Statement and/or a Business Cost Calculator Figure. This instrument is not regulatory in nature, will not impact on business activity and will have no, or minimal, compliance costs or competition impact.
Overview
The Veterans' Entitlements (Partially Asset-test Exempt Income Stream – Exemption) Amendment Principles 2010, enacted by the Repatriation Commission under the authority of the Veterans’ Entitlements Act 1986, aims to address and rectify any potential discrimination against same-sex couples by aligning the 2005 Principles with the amendments introduced by the Same-Sex Relationships (Equal Treatment in Commonwealth Laws – General Law Reform) Act 2008. This legislative amendment was necessary to ensure that the income stream exemptions specified in the 2005 Principles are consistent with the broader legal reforms that aim to treat same-sex relationships equally under Commonwealth laws. The policy objective of these principles is to uphold the principles of fairness and equality by eliminating any discriminatory practices that might have inadvertently arisen due to the previous legislative framework. The Repatriation Commission has determined that these changes do not necessitate public consultation or a Regulatory Impact Statement, as they are purely corrective and intended to maintain consistency with the overarching legislative intent of the Same-Sex Act.
Scope and Application
The Veterans' Entitlements (Partially Asset-test Exempt Income Stream – Exemption) Amendment Principles 2010 applies to individuals who are beneficiaries of veterans' entitlements under the Veterans' Entitlements Act 1986, specifically targeting those who have a partner or former partner to ensure consistency with the Same-Sex Relationships (Equal Treatment in Commonwealth Laws – General Law Reform) Act 2008. The purpose of these Amendment Principles is to amend the 2005 Principles to eliminate any possible discrimination against same-sex couples by updating the definition of 'partner' and replacing instances of 'spouse' with 'partner' in the relevant provisions. This legislative instrument is made by the Repatriation Commission under the authority of the Veterans' Entitlements Act 1986 and applies on a national level across Australia. There are no stated exclusions or exemptions within these principles, and the application is limited to the adjustments necessary to align with the Same-Sex Act. No subordinate instruments are mentioned as extending or restricting the application of these principles.
Key Provisions
The Veterans’ Entitlements (Partially Asset-test Exempt Income Stream ‑ Exemption) Amendment Principles 2010 (the Amendment Principles) (s 1) are an instrument made under the Veterans’ Entitlements Act 1986 (the Act) (s 52(1AB)) by the Repatriation Commission (the Commission). These Amendment Principles are designed to update the Veterans’ Entitlements (Partially Asset-test Exempt Income Stream ‑ Exemption) Principles 2005 (the 2005 Principles) to align with amendments made by the Same-Sex Relationships (Equal Treatment in Commonwealth Laws – General Law Reform) Act 2008 (the Same-Sex Act). The intent is to remove any potential discrimination against same-sex couples under the Act.
The Amendment Principles commence on the day after they are registered on the Federal Register of Legislative Instruments (s 2). Schedule 1 to the Amendment Principles outlines the specific changes to the 2005 Principles, including the insertion of a definition for the term 'partner', which aligns with the Act’s definition in subsection 5E(1) (Item [1]). Additionally, Items [2], [3], and [4] modify the references to 'spouse (or former spouse)' to 'partner (or former partner)' in paragraphs 7(b), 7(c), and 8(b) of the 2005 Principles, ensuring consistency with the Same-Sex Act.
These changes impose obligations on the Commission to ensure that the updated principles are implemented effectively, particularly in the context of the assets test for veterans’ entitlements. The primary obligation is to ensure that the updated principles are consistent with the Same-Sex Act, thereby eliminating any discriminatory practices against same-sex couples. The Commission must also ensure that the changes are communicated clearly to all relevant parties and that the updated principles are applied correctly in practice.
There are no specific offences, penalties, or civil/criminal consequences outlined for breach of the Amendment Principles themselves. However, any failure to comply with the updated principles in the application of veterans’ entitlements could potentially lead to legal challenges or disputes, particularly if it is found that discrimination has occurred. It is important for the Commission to adhere strictly to the updated principles to avoid such issues. The primary focus is on ensuring equitable treatment and compliance with the legislative intent to eliminate discrimination against same-sex couples.