3. After Part 2.17 of the Principal Act the following Part is inserted:

“PART 2.18—HOME CHILD CARE ALLOWANCE

“Division 1—Home child care allowance child status

Home child care allowance child

“901. Subject to sections 902 to 905, a home child care allowance child is a dependent child of a member of a couple.

Home child care allowance child—prescribed student child not included

“902.(1) A dependent child cannot be a home child care allowance child if the child is a prescribed student child.

“(2) For the purposes of subsection (1), a young person who is qualified to receive payments under the Assistance for Isolated Children Scheme is not a prescribed student child.

Home child care allowance child—child over 16

“903.(1) Subject to subsection (2), a dependent child who has turned 16 cannot be a home child care allowance child.

“(2) A dependent child who has turned 16 and is undertaking secondary studies may be a home child care allowance child until:

(a) the end of the calendar year in which the child turns 18; or

(b) the child ceases secondary studies;

whichever happens first.

Home child care allowance child—residence requirements

“904. A dependent child cannot be a home child care allowance child unless:

(a) the child is an inhabitant of Australia; or

(b) the child is a dependent child of an inhabitant of Australia and is living with that inhabitant.

Home child care allowance child—child absent from Australia for more than 13 weeks

“905.(1) If a dependent child:

(a) either:

(i) leaves Australia; or

(ii) is born outside Australia; and

(b) continues to be absent from Australia for more than 13 weeks;

the child cannot be a home child care allowance child at any time after the 13 weeks while the child remains absent from Australia.

“(2) If:

(a) a dependent child is not a home child care allowance child because of subsection (1) or a previous application of this subsection; and

(b) the child comes to Australia; and

(c) the child leaves Australia less than 13 weeks later;

the child cannot be a home child care allowance child when the child leaves Australia as mentioned in paragraph (c).

“Division 2—Qualification for and payability of home child care allowance

“Subdivision A—Qualification

Qualification for home child care allowance

“906. A person is qualified for home child care allowance if the person:

(a) is a member of a couple; and

(b) has a home child care allowance child; and

(c) is an inhabitant of Australia; and

(d) is in Australia.

Qualification for home child care allowance ceases after 13 week absence of recipient from Australia

“907.(1) Subject to subsection (2), for the purposes of paragraph 906(d), a person is taken to be in Australia if the person is temporarily absent from Australia for a period of 13 weeks or less.

“(2) If:

(a) a person who has been absent from Australia for a period of more than 13 weeks returns to Australia; and

(b) the person leaves Australia again within 13 weeks after returning to Australia;

for the purposes of subsection (1), the person is not to be taken to be in Australia during the subsequent period of absence.

“Subdivision B—Payability

Home child care allowance not payable in some circumstances

“908. Even though a person is qualified for home child care allowance, the allowance may not be payable to the person because:

(a) the allowance has not commenced to be payable (see sections 909 and 930); or

(b) the person has not provided a tax file number for the person (see section 913) or the person’s partner (see section 914); or

(c) another person is receiving home child care allowance for the same child (see subsection 912(1)); or

(d) the person’s partner is receiving home child care allowance (see subsection 912(2)); or

(e) the person’s home child care allowance rate would be nil; or

(f) the person is in gaol (see Part 3.13).

Home child care allowance generally not payable before claim

“909. Subject to section 911, home child care allowance is not payable to a person before the person’s provisional commencement day (identified under section 910).

Provisional commencement day

General rule

“910.(1) Subject to subsections (2) to (5), a person’s provisional commencement day is the day on which the person claims home child care allowance.

Initial incorrect or inappropriate claim followed by claim for home child care allowance

“(2) If:

(a) a person makes a claim (the ‘initial claim’) for:

(i) another payment under this Act; or

(ii) a pension, allowance, benefit or other payment under another Act, or under a program administered by the Commonwealth, that is similar in character to a home child care allowance; and

(b) on the day on which the person makes the initial claim, the person is qualified for home child care allowance; and

(c) the person subsequently makes a claim for home child care allowance; and

(d) the Secretary is satisfied that it is reasonable for this subsection to apply to the person;

the person’s provisional commencement day is the day on which the person made the initial claim.

Early claim

“(3) If:

(a) a person lodges a claim for home child care allowance; and

(b) the person is not, on the day on which the claim is lodged, qualified for home child care allowance; and

(c) the person becomes qualified for home child care allowance during the period of 13 weeks that starts immediately after that day;

the person’s provisional commencement day is the first day on which the person is qualified for home child care allowance.

Backdating—claim lodged on or after 29 September 1994 and on or before 31 December 1994

“(4) If:

(a) a person lodges a claim for home child care allowance on a day (the ‘claim day’) in the period commencing on 29 September 1994 and ending on 31 December 1994 (the ‘claim period’); and

(b) on a day in the claim period that is before the claim day the person is qualified for home child care allowance;

the person’s provisional commencement day is the first day in the claim period on which the person is qualified for home child care allowance.

Backdating—birth of child

“(5) If a person lodges a claim for home child care allowance within 13 weeks of the birth of a dependent child, the person’s provisional commencement day is the day on which the dependent child is born.

Backdating—death of former recipient

“911. If:

(a) a person who is receiving home child care allowance in relation to a child dies; and

(b) another person makes a claim for home child care allowance in relation to the child within 13 weeks after the death;

home child care allowance may become payable to the other person before that person’s provisional commencement day but not before the day of the person’s death.

Home child care allowance not payable to more than one person for the same child

“912.(1) If:

(a) more than one person qualifies for home child care allowance in relation to the same child; and

(b) the Secretary has not made a declaration under subsection 938(1) in respect of home child care allowance in relation to the child; and

(c) one of the persons is receiving home child care allowance for the child;

home child care allowance is not payable to any other person in relation to that child.

“(2) If:

(a) both members of a couple are qualified for home child care allowance; and

(b) the Secretary has not made a declaration under subsection 938(1) in respect of the home child care allowance; and

(c) one of the members of the couple is receiving home child care allowance;

home child care allowance is not payable to the other member of the couple.

Provision of person’s tax file number

“913.(1) Home child care allowance is not payable to a person if:

(a) the person is required under the Secretary a written statement of the person’s tax file number; andsection 920 or 941 to give

(b) at the end of the period of 28 days after the requirement is made, the person has neither:

(i) given the Secretary a written statement of the person’s tax file number; nor

(ii) given the Secretary a declaration by the person in a form approved by the Secretary and satisfied either subsection (2) or (3).

“(2) The person satisfies this subsection if:

(a) the person’s declaration states that the person:

(i) has a tax file number but does not know what it is; and

(ii) has asked the Commissioner of Taxation to inform the person of the person’s tax file number; and

(b) the person has given the Secretary a document by the person that authorises the Commissioner of Taxation to tell the Secretary:

(i) whether the person has a tax file number; and

(ii) if the person has a tax file number—the tax file number; and

(c) the Commissioner of Taxation has not told the Secretary that the person has no tax file number.

“(3) The person satisfies this subsection if:

(a) the person’s declaration states that an application by the person for a tax file number is pending; and

(b) the person has given the Secretary a document by the person that authorises the Commissioner of Taxation to tell the Secretary:

(i) if a tax file number is issued to the person—the tax file number; or

(ii) if the application is refused—that the application has been refused; or

(iii) if the application is withdrawn—that the application has been withdrawn; and

(c) the Commissioner of Taxation has not told the Secretary that an application by the person for a tax file number has been refused; and

(d) the application for a tax file number has not been withdrawn.

Provision of partner’s tax file number

“914.(1) Subject to subsection (4), home child care allowance is not payable to a person if:

(a) the person is required under the Secretary a written statement of the tax file number of the person’s partner; andsection 921 or 942 to give

(b) at the end of the period of 28 days after the requirement is made the person has neither:

(i) given the Secretary a written statement of the partner’s tax file number; nor

(ii) given the Secretary a declaration by the partner in a form approved by the Secretary and satisfied either subsection (2) or (3).

“(2) The person satisfies this subsection if:

(a) the partner’s declaration states that the partner:

(i) has a tax file number but does not know what it is; and

(ii) has asked the Commissioner of Taxation to inform the partner of the partner’s tax file number; and

(b) the person has given the Secretary a document by the partner that authorises the Commissioner of Taxation to tell the Secretary:

(i) whether the partner has a tax file number; and

(ii) if the partner has a tax file number—the tax file number; and

(c) the Commissioner of Taxation has not told the Secretary that the partner has no tax file number.

“(3) The person satisfies this subsection if:

(a) the partner’s declaration states that an application by the partner for a tax file number is pending; and

(b) the person has given the Secretary a document by the partner that authorises the Commissioner of Taxation to tell the Secretary:

(i) if a tax file number is issued to the partner—the tax file number; or

(ii) if the application is refused—that the application has been refused; or

(iii) if the application is withdrawn—that the application has been withdrawn; and

(c) the Commissioner of Taxation has not told the Secretary that an application by the partner for a tax file number has been refused; and

(d) the application for a tax file number has not been withdrawn.

“(4) The Secretary may waive the requirement for a statement of the partner’s tax file number if the Secretary is satisfied that:

(a) the person does not know the partner’s tax file number; and

(b) the person can obtain none of the following from the partner:

(i) the partner’s tax file number;

(ii) a statement of the partner’s tax file number;

(iii) a declaration by the partner under subparagraph (1)(b)(ii).

“Division 3—Claim for home child care allowance

Need for a claim

“915.(1) A person who wants to be granted home child care allowance must make a proper claim for that payment.

“(2) For the purposes of subsection (1), if:

(a) a claim for home child care allowance is made by or on behalf of a person; and

(b) at the time the claim is made, the claim cannot be granted because the person is not qualified for home child care allowance;

the claim is, subject to subsection 910(3), taken not to have been made.

Form of claim

“916. To be a proper claim, a claim must be made in writing and must be in accordance with a form approved by the Secretary.

Lodgment of claim

“917.(1) To be a proper claim, a claim must be lodged:

(a) at an office of the Department; or

(b) at a place approved for the purpose by the Secretary; or

(c) with a person approved for the purpose by the Secretary.

“(2) A place or person approved under subsection (1) must be a place or person in Australia.

Claimant must be an inhabitant of Australia and in Australia

“918. A claim by a person is not a proper claim unless the person is an inhabitant of Australia and in Australia on the day on which the claim is lodged.

Claim may be withdrawn

“919.(1) A claimant for home child care allowance or a person on behalf of a claimant may withdraw a claim that has not been determined.

“(2) A claim that is withdrawn is taken to have not been made.

“(3) A withdrawal may be made orally or in writing.

Secretary may require claimant to give statement of claimant’s tax file number

“920. The Secretary may require a claimant for home child care allowance to give the Secretary a written statement of the person’s tax file number.

Secretary may require claimant to give statement of partner’s tax file number

“921. If the partner of a claimant for home child care allowance is in Australia, the Secretary may require the claimant to give the Secretary a written statement of the tax file number of the claimant’s partner.

“Division 4—Determination of claim

Secretary to determine claim

“922. The Secretary must, in accordance with this Act, determine a claim for home child care allowance.

Grant of claim

“923. The Secretary is to determine that the claim is to be granted if the Secretary is satisfied that:

(a) the person is qualified for home child care allowance; and

(b) the allowance is payable.

Date of effect of determination

“924.(1) Subject to subsections (2) to (7), a determination under section 923 takes effect on the day on which the determination is made or on such later day or earlier day as is specified in the determination.

Notified decision—review sought within 13 weeks

“(2) If:

(a) a decision (the ‘previous decision’) is made rejecting a person’s claim for home child care allowance; and

(b) a notice is given to the person advising the person of the making of the previous decision; and

(c) the person applies to the Secretary under within 13 weeks after the notice is given, for review of the previous decision; andsection 1240,

(d) a determination granting the claim is made as a result of the application for review;

the determination takes effect on the day on which the previous decision took effect.

Notified decision—review sought after 13 weeks

“(3) If:

(a) a decision (the ‘previous decision’) is made rejecting the person’s claim for home child care allowance; and

(b) a notice is given to the person advising the person of the making of the previous decision; and

(c) the person applies to the Secretary under section 1240, more than 13 weeks after the notice is given, for review of the previous decision; and

(d) a determination granting the claim is made as a result of the application for review;

the determination takes effect on the day on which the person sought the review.

Decision not notified

“(4) If:

(a) a decision (the ‘previous decision’) is made rejecting a person’s claim for home child care allowance; and

(b) no notice is given to the person advising the person of the making of the previous decision; and

(c) the person applies to the Secretary under section 1240 for review of the previous decision; and

(d) a determination granting the claim is made as a result of the application for review;

the determination takes effect on the day on which the previous decision took effect.

“Division 5—Rate of home child care allowance

Purpose of Division

“925. The purpose of this Division is to work out the annual rate at which home child care allowance is payable to a person.

Interpretation

“926. For the purposes of this Division, ‘ordinary income’ includes:

(a) a payment by way of a social security pension, social security benefit or rehabilitation allowance other than that part of the payment that is for rent assistance, pharmaceutical allowance or remote area allowance; and

(b) a payment received by a trainee in full-time training under a program included in the programs known as the Labour Force Programs, to the extent that the payment includes one or more of the following amounts:

(i) an amount calculated by a reference to a rate of job search or newstart allowance;

(ii) an amount known as the training component;

(iii) an amount by way of a living away from home allowance; and

(c) a payment received by the person under the scheme known as the New Enterprise Incentive Scheme; and

(d) a payment received by the person under a scheme known as the Aboriginal Employment Incentive Scheme; and

(e) a payment by way of a service pension.

Ordinary income free area

“927.(1) A person’s ‘ordinary income free area’ is the amount of ordinary income that the person can have without a deduction being made from the person’s home child care allowance payment.

“(2) The ordinary income free area is $282.00 a year.

Maximum rate of home child care allowance

“928. The maximum rate of home child care allowance is $1,560.00 per annum.

How to calculate a person’s annual rate of home child care allowance

“929.(1) To work out the person’s annual rate of home child care allowance, first, work out the person’s ordinary income excess using the following Method statement:

“(2) If the person’s ordinary income excess is nil, the person’s annual rate of home child care allowance is equal to the maximum rate of the allowance.

“(3) If the person’s ordinary income exceeds the ordinary income free area, the person’s annual rate of home child care allowance is worked out as follows:

(a) divide the person’s ordinary income excess by 4;

(b) take the result in paragraph (a) away from the maximum rate of allowance;

the result is the person’s annual rate of home child care allowance.

“Division 6—Payment of home child care allowance

Commencement of home child care allowance

“930. Home child care allowance becomes payable to a person on the first day on which:

(a) the person is qualified for the allowance; and

(b) no provision of this Act makes home child care allowance not payable to the person.

Payment by instalments

“931. Subject to section 932, a full instalment of home child care allowance is payable to a person on each home child care allowance payday on which:

(a) the person is qualified for the allowance; and

(b) the allowance is payable to the person.

Effect on instalments of backdating claim

“932. If:

(a) a person claims home child care allowance on a particular day (the ‘claim day’); and

(b) the person’s provisional commencement day is before the claim day; and

(c) there is a home child care allowance payday on or after the provisional commencement day and before the claim day;

then:

(d) no instalment of home child care allowance is payable on that payday; and

(e) a full instalment of home child care allowance in respect of that payday is payable on the first home child care allowance payday on or after the claim day.

Calculation of amount of instalment

“933.(1) The amount of an instalment of home child care allowance is the amount worked out by dividing the amount of the annual rate of the allowance by 26.

“(2) If an amount that is payable to a person on a home child care allowance payday is not a multiple of 10 cents, the amount is, subject to subsection (3), to be increased or decreased to the nearest multiple of 10 cents.

“(3) If the amount that is payable to a person on a home child care allowance payday is not a multiple of 10 cents but is a multiple of 5 cents, the amount is to be increased by 5 cents.

“(4) If, apart from this subsection, the amount of an instalment of home child care allowance would be less than $1.00, the amount of the instalment is to be increased to $1.00.

Instalments to be paid to person or nominee

“934.(1) Subject to subsection (3), instalments of a person’s home child care allowance are to be paid to that person.

“(2) The Secretary may direct that the whole or a part of the instalments are to be paid to someone else on behalf of the person.

“(3) If the Secretary makes a direction under subsection (2), the instalments are to be paid in accordance with the direction.

Payment into bank account etc.

“935.(1) An amount that is to be paid to a person under section 934 is to be paid in the manner set out in this section.

“(2) Subject to subsections (4) and (7), the amount is to be paid to the credit of a bank account, credit union account or building society account nominated and maintained by the person.

“(3) The account may be an account that is maintained by the person either alone or jointly or in common with another person.

“(4) If the person has not nominated an account for the purposes of subsection (2), then, subject to subsections (5) and (6), the amount is not to be paid.

“(5) If:

(a) an amount has not been paid because of subsection (4); and

(b) the person nominates an account for the purposes of subsection (2);

the amount is to be paid into that account.

“(6) The Secretary may direct that the whole or a part of the amount be paid to the person in a different way to that provided for by subsection (2).

“(7) If the Secretary makes a direction under subsection (6), the home child care allowance is to be paid in accordance with the direction.

Where home child care allowance payday would fall on public holiday etc.

“936. If the Secretary is satisfied that an amount of home child care allowance that would normally be paid on a particular day cannot reasonably be paid on that day (because, for example, it is a public holiday or a bank holiday), the Secretary may direct that the amount be paid on an earlier day.

Payment of home child care allowance after death

“937.(1) If:

(a) a home child care allowance is payable to a person; and

(b) the person dies; and

(c) at the date of the person’s death the person has not received an amount of home child care allowance payable to him or her; and

(d) another person applies to receive that amount; and

(e) the application is made:

(i) within 26 weeks after the death; or

(ii) within a further period allowed by the Secretary in special circumstances;

the Secretary may pay the amount to the person who, in the Secretary’s opinion, is best entitled to it.

“(2) If the Secretary pays an amount of home child care allowance under subsection (1), the Commonwealth has no further liability to any person in respect of that amount of home child care allowance.

Secretary may make a declaration where more than one person qualified for home child care allowance for the same child

“938.(1) If the Secretary is satisfied that more than one person qualifies for home child care allowance in relation to the same child, the Secretary is to make a declaration:

(a) stating that the Secretary is satisfied that each person is qualified for home child care allowance in relation to the child; and

(b) specifying the share of the home child care allowance in relation to the child that each person is to receive.

“(2) If the Secretary makes a declaration under subsection (1), the Secretary is to give each person involved notice of the declaration.

“Division 7—Protection of home child care allowance

Home child care allowance to be absolutely inalienable

“939.(1) Subject to subsections (2) and (3) and section 1359, home child care allowance is absolutely inalienable, whether by way of, or in consequence of, sale, assignment, charge, execution, bankruptcy or otherwise.

Payments to Commissioner of Taxation at person’s request

“(2) The Secretary may make deductions from the instalments of home child care allowance payable to a person if the person asks the Secretary:

(a) to make the deductions; and

(b) to pay the amounts to be deducted to the Commissioner of Taxation.

“(3) The Secretary may make deductions from the instalments of home child care allowance payable to a person if the person consents under section 1234A to the Secretary making the deductions.

Effect of garnishee or attachment order

“940.(1) If:

(a) a person has an account with a financial institution; and

(b) instalments of home child care allowance payable to the person (whether on the person’s own behalf or not) are being paid to the credit of that account; and

(c) a court order in the nature of a garnishee order comes into force in respect of the account;

the court order does not apply to the saved amount (if any) in the account.

“(2) The saved amount is worked out as follows:

“(3) This section applies to an account whether it is maintained by a person:

(a) alone; or

(b) jointly with another person; or

(c) in common with another person.

“Division 8—Recipient obligations

Secretary may require recipient to give statement of recipient’s tax file number

“941. The Secretary may require the recipient to give the Secretary a written statement of the recipient’s tax file number.

Secretary may require recipient to give statement of partner’s tax file number

“942. If a partner of a recipient of home child care allowance is in Australia, the Secretary may require the recipient to give the Secretary a written statement of the tax file number of the recipient’s partner.

Secretary may require notice of the happening of an event or a change in circumstances

“943.(1) The Secretary may give a person who is receiving home child care allowance a notice that requires the person to inform the Department if:

(a) a specified event or change of circumstances occurs; or

(b) the person becomes aware that a specified event or change of circumstances is likely to occur.

“(2) An event or change of circumstances is not to be specified in a notice under subsection (1) unless the occurrence of the event or change of circumstances might affect the payment of the home child care allowance.

“(3) Subject to subsection (4), a notice under subsection (1):

(a) must be in writing; and

(b) may be given personally or by post; and

(c) must specify how the person is to give the information to the Department; and

(d) must specify the period within which the person is to give the information to the Department; and

(e) must specify that the notice is a recipient notification notice given under this Act.

“(4) A notice under subsection (1) is not invalid merely because it fails to comply with paragraph (3)(c) or (e).

“(5) The period specified under paragraph (3)(d) must end at least 14 days after:

(a) the day on which the event or change of circumstances occurs; or

(b) the day on which the person becomes aware that the event or change of circumstances is likely to occur.

“(6) If a notice requires the person to inform the Department of any proposal by the person to leave Australia, subsection (5) does not apply to that requirement.

“(7) A person must not, without reasonable excuse, refuse or fail to comply with a notice under subsection (1) to the extent that the person is capable of complying with the notice.

“(8) This section extends to:

(a) acts, omissions, matters and things outside Australia whether or not in a foreign country; and

(b) all persons irrespective of their nationality or citizenship.

Secretary may require person to give particular information relevant to payment of home child care allowance

“944.(1) The Secretary may give a person who is receiving home child care allowance a notice that requires the person to give the Department a statement about a matter that might affect the payment of the home child care allowance to the person.

“(2) Subject to subsection (3), a notice under subsection (1):

(a) must be in writing; and

(b) may be given personally or by post; and

(c) must specify how the statement is to be given to the Department; and

(d) must specify the period within which the person is to give the statement to the Department; and

(e) must specify that the notice is a recipient statement notice given under this Act.

“(3) A notice under subsection (1) is not invalid merely because it fails to comply with paragraph (2)(c) or (e).

“(4) The period specified under paragraph (2)(d) must end at least 14 days after the day on which the notice is given.

“(5) A statement given in response to a notice under subsection (1) must be in writing and in accordance with a form approved by the Secretary.

“(6) A person must not, without reasonable excuse, refuse or fail to comply with a notice under subsection (1) to the extent that the person is capable of complying with the notice.

“(7) This section extends to:

(a) acts, omissions, matters and things outside Australia whether or not in a foreign country; and

(b) all persons irrespective of their nationality or citizenship.

“Division 9—Continuation, variation and termination

“Subdivision A—General

Continuing effect of determination

Entitlement determination

“945.(1) A determination that:

(a) a person’s claim for home child care allowance is granted; or

(b) home child care allowance is payable to a person;

continues in effect until:

(c) the payment ceases to be payable under section 946 or 947; or

(d) a further determination in relation to the payment under section 951B or 951C has taken effect.

Rate determination

“(2) A determination of the rate of home child care allowance continues in effect until:

(a) the home child care allowance becomes payable at a lower rate under section 949; or

(b) a further determination in relation to the home child care allowance under section 951 or 951A has taken effect.

“Subdivision B—Automatic termination

Automatic termination—recipient complying with section 943 notification obligations

“946. If:

(a) a person is given a notice under section 943; and

(b) the notice requires the person to inform the Department of the occurrence of an event or change in circumstances within a specified period (the ‘notification period’); and

(c) the event or change in circumstances occurs; and

(d) the person informs the Department of the occurrence of the event or change in circumstances within the notification period in accordance with the notice; and

(e) because of the occurrence of the event or change in circumstances:

(i) the person ceases to be qualified for home child care allowance; or

(ii) home child care allowance would, but for this subsection, cease to be payable to the person; and

(f) home child care allowance is not cancelled before the end of the notification period;

home child care allowance continues to be payable to the person until the end of the notification period and then ceases to be payable to the person.

Automatic termination—recipient not complying with section 943 notification obligations

“947. If:

(a) a person is given a notice under section 943; and

(b) the notice requires the person to inform the Department of the occurrence of an event or change in circumstances within a specified period (the ‘notification period’); and

(c) the event or change in circumstances occurs; and

(d) the person does not inform the Department of the occurrence of the event or change in circumstances within the notification period in accordance with the notice; and

(e) because of the occurrence of the event or the change in circumstances:

(i) the person ceases to be qualified for home child care allowance; or

(ii) home child care allowance ceases to be payable to the person;

home child care allowance ceases to be payable to the person immediately after the day on which the event or change in circumstances occurs.

Changes to payments by computer following automatic termination

“948. If:

(a) a person is receiving home child care allowance on the basis of data in a computer; and

(b) the home child care allowance is automatically terminated by the operation of a provision of this Act; and

(c) the automatic termination is given effect to by the operation of a computer program approved by the Secretary stopping payment of the home child care allowance;

there is taken to be a decision by the Secretary that the automatic termination provision applies to the person’s home child care allowance.

“Subdivision C—Automatic rate reduction

Automatic rate reduction—recipient not complying with section 943 notification obligations

“949. If:

(a) a person is given a notice under section 943; and

(b) the notice requires the person to inform the Department of the occurrence of an event or change in circumstances within a specified period (the ‘notification period’); and

(c) the event or change in circumstances occurs; and

(d) the person does not inform the Department of the occurrence of the event or change in circumstances within the notification period in accordance with the notice; and

(e) because of the occurrence of the event or change in circumstances, the person’s rate of home child care allowance is to be reduced;

home child care allowance becomes payable to the person at the reduced rate immediately after the day on which the event or change in circumstances occurs.

Changes to payments by computer following automatic rate reduction

“950. If:

(a) a person is receiving home child care allowance on the basis of data in a computer; and

(b) the home child care allowance is automatically reduced by the operation of a provision of this Act; and

(c) the automatic reduction is given effect to by the operation of a computer program approved by the Secretary reducing the rate of payment of the home child care allowance;

there is taken to be a decision by the Secretary that the automatic rate reduction provision applies to the person’s home child care allowance.

“Subdivision D—Determinations

Rate increase determination

“951. If the Secretary is satisfied that the rate at which home child care allowance is being, or has been, paid is less than the rate provided for by this Act, the Secretary is to determine that the rate is to be increased to the rate specified in the determination.

Rate reduction determination

“951A. If the Secretary is satisfied that the rate at which home child care allowance is being, or has been, paid is more than the rate provided for by this Act, the Secretary is to determine that the rate is to be reduced to the rate specified in the determination.

Cancellation or suspension determination

“951B. If the Secretary is satisfied that home child care allowance is being, or has been, paid to a person to whom it is not, or was not, payable under this Act, the Secretary is to determine that the home child care allowance is to be cancelled or suspended.

Cancellation or suspension for failure to comply with section 944, 1304 or 1305 notice

“951C. If:

(a) a person is given a notice under section 944, 1304 or 1305; and

(b) the person does not comply with the requirements set out in the notice;

the Secretary may determine that the home child care allowance is to be cancelled or suspended.

Changes to payments by computer

“951D. If:

(a) payment of home child care allowance to a person is based upon data in a computer; and

(b) the rate of home child care allowance is increased or reduced, or home child care allowance is cancelled or suspended, because of the operation of a computer program approved by the Secretary; and

(c) the program causes the change for a reason for which the Secretary could determine the change;

the change is taken to have been made because of a determination by the Secretary for that reason.

Resumption of payment after cancellation or suspension

“951E.(1) If the Secretary:

(a) cancels or suspends a person’s home child care allowance under section 951B or 951C; and

(b) reconsiders the decision to cancel or suspend; and

(c) becomes satisfied that, because of the decision to cancel or suspend:

(i) the person did not receive home child care allowance that was payable to the person; or

(ii) the person is not receiving home child care allowance that is payable to the person;

the Secretary is to determine that home child care allowance was or is payable to the person.

“(2) The reconsideration referred to in paragraph (1)(b) might be a reconsideration on an application under the Secretary’s own initiative.section 1240 for review or a reconsideration on

“Subdivision E—Date of effect of determinations

Date of effect of favourable determination

“951F.(1) The day on which a determination under ‘favourable determination’) takes effect is worked out in accordance with this section.section 951 or 951E (the

Notified decision—review sought within 13 weeks

“(2) If:

(a) a decision (the ‘previous decision’) is made in relation to a person’s home child care allowance; and

(b) a notice is given to the person advising the person of the making of the previous decision; and

(c) the person applies to the Secretary under within 13 weeks after the notice is given, for review of the previous decision; andsection 1240,

(d) a favourable determination is made as a result of the application for review; and

(e) subsections (6), (7) and (8) do not apply to the determination;

the determination takes effect on the day on which the previous decision took effect.

Notified decision—review sought after 13 weeks

“(3) If:

(a) a decision (the ‘previous decision’) is made in relation to a person’s home child care allowance; and

(b) a notice is given to the person advising the person of the making of the previous decision; and

(c) the person applies to the Secretary under section 1240, more than 13 weeks after the notice is given, for review of the previous decision; and

(d) a favourable determination is made as a result of the application for review; and

(e) subsections (6), (7) and (8) do not apply to the determination;

the determination takes effect on the day on which the person sought the review.

Decision not notified

“(4) If:

(a) a decision (the ‘previous decision’) is made in relation to a person’s home child care allowance; and

(b) no notice is given to the person advising the person of the making of the previous decision; and

(c) the person applies to the Secretary under section 1240 for review of the previous decision; and

(d) a favourable determination is made as a result of the application for review; and

(e) subsections (6), (7) and (8) do not apply to the determination;

the determination takes effect on the day on which the previous decision took effect.

Notified change of circumstances

“(5) If the favourable determination is made following a person having advised the Department of a change in circumstances, the determination takes effect on the day on which the advice was received or on the day on which the change occurred, whichever is the later.

Other determinations

“(6) In any other case, the favourable determination takes effect on the day on which the determination was made or on such later day or earlier day (not being a day more than 13 weeks before the determination was made) as is specified in the determination.

Date of effect of adverse determination

General

“951G.(1) The day on which a determination under ‘adverse determination’) takes effect is worked out in accordance with this section.section 951A, 951B or 951C (the

“(2) The adverse determination takes effect on:

(a) the day on which the determination is made; or

(b) if another day is specified in the determination—on that day.

“(3) Subject to subsections (4), (5) and (6), the day specified under paragraph (2)(b) must be later than the day on which the determination is made.

Contravention of Act

“(4) If:

(a) the person whose home child care allowance is affected by the adverse determination has contravened a provision of this Act (other than section 944, 1304, 1305, 1306 or 1307); and

(b) the contravention causes a delay in making the determination;

the day specified under paragraph (2)(b) may be earlier than the day on which the determination is made.

False statement or misrepresentation—suspension or cancellation

“(5) If:

(a) a person has made a false statement or misrepresentation; and

(b) because of the false statement or misrepresentation, the home child care allowance has been paid to a person when it should have been cancelled or suspended;

the day specified under paragraph (2)(b) may be earlier than the day on which the determination is made.

False statement or misrepresentation—rate reduction

“(6) If:

(a) a person has made a false statement or misrepresentation; and

(b) because of the false statement or misrepresentation, the rate at which the home child care allowance was paid to a person was more than it should have been;

the day specified under paragraph (2)(b) may be earlier than the day on which the determination is made.

“Division 10—Bereavement

“Subdivision A—Death of home child care allowance child

Continuation of qualification for home child care allowance for 4 weeks where person’s only home child care allowance child dies

“951H. If:

(a) a person is receiving home child care allowance in relation to a child; and

(b) the child dies; and

(c) the child was the only home child care allowance child of the person;

the person is qualified for home child care allowance for the period of 4 weeks that starts on the day on which the child dies (the ‘bereavement period’).

Continued payment of home child care allowance

“951I. If a person is qualified for payments under section 951H in relation to the death of a child, the person’s home child care allowance rate, during the bereavement period, is to be calculated as if the child had not died.

“Subdivision B—Death of recipient

Death of recipient of home child care allowance during bereavement period

“951J. If:

(a) a person is receiving home child care allowance; and

(b) the person dies; and

(c) the person:

(i) was qualified at the time of the person’s death for payments under section 951H in relation to the death of a home child care allowance child; or

(ii) would have been so qualified if the person had not died;

there is payable to such person as the Secretary thinks appropriate an amount equal to the amount of home child care allowance that would have been payable to the person under section 9511 if the person had not died.

Death of recipient of home child care allowance

“951K.(1) If:

(a) a person is receiving home child care allowance; and

(b) the person dies;

there is payable to any person that the Secretary thinks fit, the amount of home child care allowance that would have been payable to the deceased person on the next home child care allowance payday after his or her death if the person had not died.

“(2) If an amount of home child care allowance is paid under subsection (1), the Commonwealth has no further liability to any person in respect of that amount of home child care allowance in respect of the deceased person.”.

4. The Principal Act is further amended as set out in Schedule 1.

5. After Part 2.15 of the Principal Act the following Part is inserted:

“PART 2.15A—PARTNER ALLOWANCE

“Division 1—Qualification for and payability of partner allowance

“Subdivision A—Qualification for partner allowance

Qualification for partner allowance

“771HA.(1) Subject to subsections (2) and (3) and section 771HB, a person is qualified for a partner allowance in respect of a period if, throughout the period:

(a) the person is a member of a couple; and

(b) the person and the person’s partner are at least 21; and

(c) the person’s partner is receiving job search allowance, newstart allowance, sickness allowance or special benefit; and

(d) the person:

(i) is an Australian resident; and

(ii) is in Australia.

Person or partner under 21

“(2) If, throughout a period:

(a) a person has not turned 21, or the person’s partner has not turned 21; and

(b) the person or the person’s partner has a dependent child;

the person is qualified for partner allowance in respect of the period.

Person subject to waiting period or non-payment period

“(3) If job search allowance, newstart allowance or sickness allowance is not payable to a person because:

(a) the person is serving a waiting period; or

(b) a period of non-payment under paragraph 526(1)(j) or 608(1)(j) applies to the person;

the person is not qualified for a partner allowance throughout the period.

Presence of person in Australia

“(4) If a person is temporarily absent from Australia, the person is to be treated, for the purposes of subsection (1), as if the person were in Australia:

(a) if the period of temporary absence is no longer than 3 months—throughout that period; and

(b) in any other case—throughout the first 3 months of that period.

Factors to be considered in determining if absence is temporary

“(5) For the purpose of determining under subsection (4) if an absence is temporary, regard must be had to the following:

(a) the purpose of any such absence;

(b) the intended duration of any such absence;

(c) the frequency of such absences.

Unemployment due to industrial action

“771HB.(1) If a person is unemployed during a period, the person is not qualified for a partner allowance in respect of the period unless the Secretary is satisfied that the person’s unemployment during the period was not due to the person being, or having been, engaged in industrial action or a series of industrial actions.

“(2) For the purposes of subsection (1) and without limiting that subsection, a person is to be taken not to be, or to have been, engaged in industrial action or in a series of industrial actions if the Secretary is satisfied:

(a) the person’s unemployment was due to other people being, or having been, engaged in industrial action or in a series of industrial actions; and

(b) the people, or some of the people, were members of a trade union which was involved in the industrial action; and

(c) the person was not a member of the trade union during the period.

“(3) Subsection (1) does not prevent a person from being qualified for a partner allowance in respect of a period that occurs after the relevant industrial action or series of industrial actions has stopped.

“Subdivision B—Payability of partner allowance

Partner allowance not payable in certain situations

“771HC.(1) A partner allowance is not payable to a person for a period during which the person is qualified for partner allowance if during the period:

(a) the person has not provided a tax file number for the person (see section 771HD) or for the person’s partner (see section 771HE); or

(b) the value of the person’s assets exceeds the person’s assets value limit (see section 771HF); or

(c) a pension or another benefit is being paid to the person (see section 771HI); or

(d) the person is receiving a payment under certain educational schemes (see section 771HJ); or

(e) the person is receiving income that is paid by a community or group from funds provided under a Commonwealth funded employment program (see section 771HK); or

(f) the person is receiving payments under a LEAP program; or

(g) the partner allowance has not commenced to be payable (see sections 771HN and 771KD); or

(h) a period of non-payment has been imposed because the person failed to comply with notification requirements (see section 771HO); or

(i) the person has not nominated a bank account, credit union account or building society account for payment of the allowance (see section 771KK); or

(j) the person is in gaol (see Part 3.13); or

(k) the person is subject to a compensation preclusion period (see Part 3.14).

“(2) Subject to subsection (3), a partner allowance is not payable to a person if the person’s partner allowance rate would be nil.

“(3) Subsection (2) does not apply to a person if the person’s rate of partner allowance is nil merely because an advance pharmaceutical allowance has been paid to the person under:

(a) Part 2.23 of this Act; or

(b) Division 2 of Part VILA, of the Veterans’ Entitlements Act.

Provision of person’s tax file number

“771HD.(1) A partner allowance is not payable to a person if:

(a) the person is required under the Secretary a written statement of the person’s tax file number; andsection 771IF or 771MA to give

(b) at the end of the period of 28 days after the requirement is made, the person has neither:

(i) given the Secretary a written statement of the person’s tax file number; nor

(ii) given the Secretary a declaration by the person in a form approved by the Secretary and satisfied either subsection (2) or (3).

“(2) The person satisfies this subsection if:

(a) the person’s declaration states that the person:

(i) has a tax file number but does not know what it is; and

(ii) has asked the Commissioner of Taxation to inform him or her of the number; and

(b) the person has given the Secretary a document by the person that authorises the Commissioner of Taxation to tell the Secretary:

(i) whether the person has a tax file number; and

(ii) if the person has a tax file number—the tax file number; and

(c) the Commissioner of Taxation has not told the Secretary that the person has no tax file number.

“(3) The person satisfies this subsection if:

(a) the person’s declaration states that an application by the person for a tax file number is pending; and

(b) the person has given the Secretary a document by the person that authorises the Commissioner of Taxation to tell the Secretary:

(i) if a tax file number is issued to the person—the tax file number; or

(ii) if the application is refused—that the application has been refused; or

(iii) if the application is withdrawn—that the application has been withdrawn; and

(c) the Commissioner of Taxation has not told the Secretary that an application by the person for a tax file number has been refused; and

(d) the application for a tax file number has not been withdrawn.

Provision of partner’s tax file number

“771HE.(1) Subject to subsection (4), a partner allowance is not payable to a person if:

(a) the person is required under the Secretary a written statement of the tax file number of the person’s partner; andsection 771IG or 771MB to give

(b) at the end of the period of 28 days after the requirement is made the person has neither:

(i) given the Secretary a written statement of the partner’s tax file number; nor

(ii) given the Secretary a declaration by the partner in a form approved by the Secretary and satisfied either subsection (2) or (3).

“(2) The person satisfies this subsection if:

(a) the partner’s declaration states that the partner:

(i) has a tax file number but does not know what it is; and

(ii) has asked the Commissioner of Taxation to inform the partner of the partner’s number; and

(b) the person has given the Secretary a document by the partner that authorises the Commissioner of Taxation to tell the Secretary:

(i) whether the partner has a tax file number; and

(ii) if the partner has a tax file number—the tax file number; and

(c) the Commissioner of Taxation has not told the Secretary that the partner has no tax file number.

“(3) The person satisfies this subsection if:

(a) the partner’s declaration states that an application by the partner for a tax file number is pending; and

(b) the person has given the Secretary a document by the partner that authorises the Commissioner of Taxation to tell the Secretary:

(i) if a tax file number is issued to the partner—the tax file number; or

(ii) if the application is refused—that the application has been refused; or

(iii) if the application is withdrawn—that the application has been withdrawn; and

(c) the Commissioner of Taxation has not told the Secretary that an application by the partner for a tax file number has been refused; and

(d) the application for a tax file number has not been withdrawn.

“(4) The Secretary may waive the requirement for a statement of the partner’s tax file number if the Secretary is satisfied that:

(a) the person does not know the partner’s tax file number; and

(b) the person can obtain none of the following from the partner:

(i) the partner’s tax file number;

(ii) a statement of the partner’s tax file number;

(iii) a declaration by the partner under subparagraph (1)(c)(ii).

Assets test—allowance not payable if assets value limit exceeded

“771HF.(1) A partner allowance is not payable to a person if the value of the person’s assets exceeds the person’s assets value limit.

“(2) A person’s assets value limit is worked out using the following Table:

“(3) The value of the person’s assets is taken to be 50% of the sum of the value of the assets of the person and the value of the assets of the person’s partner.

“(4) The amounts in column 3 of the Assets Value Limit Table are to be indexed on 1 July 1994 as if this section and items 79A and 79B of Schedule 2 had commenced on 30 June 1993.

Multiple entitlement exclusion

“771HI.(1) A partner allowance is not payable to a person if the person is already receiving a service pension.

“(2) If:

(a) a person is receiving a partner allowance; and

(b) a social security pension, another social security benefit or a service pension becomes payable to the person;

a partner allowance is not payable to the person.

“(3) A partner allowance is not payable to a person if the person is receiving:

(a) a pension under Part II or IV of the Veterans’ Entitlements Act at a rate determined under or by reference to subsection 30(1) of that Act; or

(b) a pension under the Seamen’s War Pensions and Allowances Act 1940 at a rate determined under subsection 18(2) of that Act.

Educational schemes exclusion

“771HJ. A partner allowance is not payable to a person for a period if the person is receiving a payment for that period under:

(a) the AUSTUDY Scheme; or

(b) the ABSTUDY Scheme; or

(c) the Student Financial Supplement Scheme.

Commonwealth funded employment program exclusion

“771HK. A partner allowance is not payable to a person for a period if the person is receiving income for that period that is paid by a community or group from funds provided under a Commonwealth funded employment program.

Payments under LEAP program

“771HL. A partner allowance is not payable to a person for a period if the person is receiving payments under a LEAP program for that period.

Commencement of partner allowance

“771HM. A partner allowance is not payable to a person before the person’s provisional commencement day.

Provisional commencement day

General rule

“771HN.(1) Subject to subsections (2) and (3), a person’s provisional commencement day is the day on which the person claims a partner allowance.

Initial incorrect or inappropriate claim followed by claim for partner allowance

“(2) If:

(a) the person makes a claim (the ‘initial claim’) for:

(i) a social security or service pension or a social security benefit; or

(ii) a pension, allowance, benefit or other payment under another Act, or under a program administered by the Commonwealth, that is similar in character to a partner allowance; and

(b) on the day on which the person makes the initial claim, the person is qualified for partner allowance; and

(c) the person subsequently makes a claim for partner allowance; and

(d) the Secretary is satisfied that it is reasonable for this subsection to apply to the person;

the person’s provisional commencement day is the day on which the person made the initial claim.

Transferees

“(3) If:

(a) a person is a transferee to partner allowance; and

(b) the person claims the partner allowance within 14 days after the transfer day;

the person’s provisional commencement day is the person’s transfer day.

Backdating of claim

“(4) If:

(a) a person makes a claim for partner allowance; and

(b) on the day (the ‘claim day’) on which the person makes the claim, the person is qualified for partner allowance; and

(c) the person was qualified for partner allowance on a day during the 14 day period that ends on the day immediately before the claim day;

the person’s provisional commencement day is the first day in that period that the person was qualified for partner allowance.

Removal from allowance for failure to comply with notification requirements

“771HO.(1) If a person refuses or fails, without sufficient reason, to comply with a requirement made of the person under section 771MA, 771MB, 771MC, 771MD or 1304, a partner allowance is not payable to the person for the deferment period.

“(2) Subject to subsections (3) and (4), the deferment period is 2 weeks.

“(3) If:

(a) subsection (1) applies to a person at a particular time; and

(b) on one occasion only within the period of 3 years before that time an automatic deferment provision applied to the person;

the deferment period is 6 weeks.

“(4) If:

(a) subsection (1) applies to the person at a particular time; and

(b) an automatic deferment provision or provisions applied to the person on 2 or more occasions within the period of 3 years before that time;

the deferment period is 6 weeks plus 6 weeks for each occasion referred to in paragraph (b) after the first.

“(5) The Secretary may determine in writing the day on which the deferment period commences and that day may be before the day of the determination.

“Division 2—Claim for partner allowance

Need for a claim

“771IA.(1) A person who wants to be granted a partner allowance must make a proper claim for that allowance.

“(2) For the purposes of subsection (1), if:

(a) a claim for partner allowance is made by or on behalf of a person; and

(b) at the time the claim is made, the claim cannot be granted because the person is not qualified for partner allowance;

the claim is taken to have not been made.

Form of claim

“771IB. To be a proper claim, a claim must be made in writing and must be in accordance with a form approved by the Secretary.

Lodgment of claim

“771IC.(1) To be a proper claim, a claim must be lodged:

(a) at an office of the Department; or

(b) at a place approved for the purpose by the Secretary; or

(c) with a person approved for the purpose by the Secretary.

“(2) A place or person approved under subsection (1) must be a place or person in Australia.

Claimant must be Australian resident and in Australia

“771ID. A claim by a person is not a proper claim unless the person is:

(a) an Australian resident; and

(b) in Australia;

on the day on which the claim is lodged.

Claim may be withdrawn

“771IE.(1) A claimant for partner allowance or a person on behalf of a claimant may withdraw a claim that has not been determined.

“(2) A claim that is withdrawn is taken to have not been made.

“(3) A withdrawal may be made orally or in writing.

Secretary may require claimant to give statement of claimant’s tax file number

“771IF. The Secretary may require a claimant for partner allowance to give the Secretary a written statement of the claimant’s tax file number.

Secretary may require claimant to give statement of partner’s tax file number

“771IG. The Secretary may require a claimant for partner allowance to give the Secretary a written statement of the tax file number of the claimant’s partner if the partner is in Australia.

“Division 3—Determination of claim

Secretary to determine claim

“771JA. The Secretary must, in accordance with this Act, determine the claim.

Grant of claim

“771JB. The Secretary is to determine that the claim is to be granted if the Secretary is satisfied that:

(a) the person is qualified for partner allowance; and

(b) the allowance is payable.

Date of effect of determination

“771JC.(1) Subject to subsections (2), (3) and (4), a determination under section 771JB takes effect on the day on which the determination is made or on such later day or earlier day as is specified in the determination.

Notified decision—review sought within 3 months

“(2) If:

(a) a decision (the ‘previous decision’) is made rejecting a person’s claim for partner allowance; and

(b) a notice is given to the person advising the person of the making of the previous decision; and

(c) the person applies to the Secretary under within 3 months after the notice is given, for review of the previous decision; andsection 1240,

(d) a determination granting the claim is made as a result of the application for review;

the determination takes effect on the day on which the previous decision took effect.

Notified decision—review sought after 3 months

“(3) If:

(a) a decision (the ‘previous decision’) is made rejecting a person’s claim for partner allowance; and

(b) a notice is given to the person advising the person of the making of the previous decision; and

(c) the person applies to the Secretary under section 1240, more than 3 months after the notice is given, for review of the previous decision; and

(d) a determination granting the claim is made as a result of the application for review;

the determination takes effect on the day on which the person sought the review.

Decision not notified

“(4) If:

(a) a decision (the ‘previous decision’) is made rejecting a person’s claim for partner allowance; and

(b) no notice is given to the person advising the person of the making of the previous decision; and

(c) the person applies to the Secretary under section 1240 for review of the previous decision; and

(d) a determination granting the claim is made as a result of the application for review;

the determination takes effect on the day on which the previous decision took effect.

“Division 4—Rate of partner allowance

Rate of partner allowance if partner receiving job search allowance or newstart allowance

“771KA. If a person’s partner is receiving a job search allowance or a newstart allowance, the person’s rate of partner allowance is worked out using the Benefit Rate Calculator B at the end of section 1068.

Rate of partner allowance if partner receiving sickness allowance

“771KB. Subject to sections 771KC and 771KD, if a person’s partner is receiving sickness allowance the person’s rate of partner allowance is worked out using Benefit Rate Calculator B at the end of section 1068.

Limitation on rate—loss of salary, wages or income by partner

General rule

“771KC.(1) If a person’s partner is qualified for sickness allowance through subparagraph 666(1)(d)(i) (loss of salary, wages or other income of a similar nature), the rate per fortnight of the person’s partner allowance is not to exceed the rate that, in the Secretary’s opinion, is one half the rate per fortnight of the salary, wages or other income that the person’s partner has lost because of the partner’s incapacity for work.

Loss of salary, wages or income includes NEIS payments

“(2) For the purposes of subsection (1), the income that a person’s partner has lost because of the partner’s incapacity for work includes a payment received by the partner under the New Enterprise Incentive Scheme.

Payment to a substitute

“(3) If:

(a) a payment is made to someone else who acts as the partner’s substitute during a period of incapacity; and

(b) the Secretary is satisfied that the payment is made justifiably and genuinely;

the Secretary may, for the purposes of subsection (1), regard the payment as income that the partner has lost because of the partner’s incapacity for work.

Limitation on rate—partner transferring from social security pension

“771KD. If:

(a) a person’s partner is qualified for sickness allowance through subparagraph 666(1)(d)(iii) (transfer from social security pension); and

(b) a wife pension or carer pension was, immediately before the partner ceased to receive social security pension, payable to the person;

the rate per fortnight of the person’s partner allowance is not to exceed the rate per fortnight of the wife pension or carer pension that was payable to the person.

Rate of partner allowance if partner receiving special benefit

“771KE.(1) If a person’s partner is receiving a special benefit, the person’s rate of partner allowance is the fortnightly rate determined by the Secretary in his or her discretion.

“(2) Subject to Part 2.24 (major disaster) and section 1161 (release from gaol), the rate of a person’s partner allowance is not to exceed the rate at which job search allowance or newstart allowance would be payable to the person if:

(a) the person were qualified for job search allowance or newstart allowance; and

(b) job search allowance or newstart allowance were payable to the person.

“Division 5—Payment of partner allowance

Commencement of partner allowance

“771KF. Partner allowance becomes payable to a person on the first day on which:

(a) the person is qualified for the allowance; and

(b) no provision of this Act makes the allowance not payable to the person.

Instalments

“771KG.(1) Partner allowance is to be paid by instalments for periods determined by the Secretary.

“(2) Instalments of partner allowance are to be paid at the times determined by the Secretary.

Instalments for period less than a fortnight

“771KH.(1) If:

(a) an instalment of partner allowance is for a period; and

(b) the period is less than a fortnight;

the instalment for the period is:

“(2) If:

(a) an instalment of partner allowance is for a period; and

(b) the period consists of:

(i) a number of whole fortnights; and

(ii) a period that is less than a fortnight;

the instalment, so far as it relates to the period that is less than a fortnight, is:

Rounding off instalment

“771KI.(1) If the amount of an instalment is:

(a) a number of whole dollars and a part of a cent; or

(b) a number of whole dollars and cents and a part of a cent;

the amount is, subject to subsection (2), to be increased or decreased to the nearest whole cent.

“(2) If the amount of an instalment is:

(a) a number of whole dollars and 0.5 cent; or

(b) a number of whole dollars and cents and 0.5 cent;

the amount is to be increased by 0.5 cent.

“(3) If:

(a) an amount of pharmaceutical allowance is added to a person’s maximum basic rate in working out the amount of an instalment of partner allowance; and

(b) apart from this subsection, the amount of the instalment would be less than the person’s fortnightly PA rate;

the amount of the instalment is to be increased to the person’s fortnightly PA rate.

“(4) For the purposes of subsection (3), the person’s fortnightly PA rate is:

where:

‘pharmaceutical allowance rate’ is the fortnightly amount of pharmaceutical allowance added to the person’s maximum basic rate in working out the amount of the instalment;

‘N’ is:

(a) if the instalment is for a number of whole fortnights—the number of fortnights; or

(b) if the instalment is for a period of less than a fortnight—equal to:

(c) if the instalment is for a period that consists of a number of whole fortnights and a period of less than a fortnight—equal to:

“(5) If, apart from this section, the amount of an instalment would be less than $1.00, the amount is to be increased to $1.00.

Instalments to be paid to person or nominee

“771KJ.(1) Subject to subsection (3), instalments of a person’s partner allowance are to be paid to that person.

“(2) The Secretary may direct that the whole or part of the instalments of a person’s partner allowance are to be paid to someone else on behalf of the person.

“(3) If the Secretary makes a direction under subsection (2), the instalments are to be paid in accordance with the direction.

Payment into bank account etc.

“771KK.(1) An amount that is to be paid to a person under section 566 is to be paid in the manner set out in this section.

“(2) Subject to this section, the amount is to be paid, at the intervals that the Secretary specifies, to the credit of a bank account, credit union account or building society account nominated and maintained by the person.

“(3) The account may be an account that is maintained by the person either alone or jointly or in common with another person.

“(4) Where the person has not nominated an account for the purposes of subsection (2), then, subject to subsections (5) and (7), the amount is not to be paid.

“(5) Where:

(a) an amount has not been paid because of subsection (4); and

(b) the person nominates an account for the purposes of subsection (2);

the amount is to be paid under subsection (2).

“(6) The Secretary may direct that the whole or a part of the amount be paid to the person in a different way from that provided for by subsection (2).

“(7) If the Secretary gives a direction under subsection (6), the amount is to be paid in accordance with the direction.

Where allowance payday would fall on public holiday etc.

“771KL. If the Secretary is satisfied that an amount of partner allowance that would normally be paid on a particular day cannot reasonably be paid on that day (because, for example, it is a public holiday or a bank holiday), the Secretary may direct that the amount be paid on an earlier day.

Payment of allowance after death

“771KM.(1) If:

(a) a partner allowance is payable to a person; and

(b) the person dies; and

(c) at the date of the person’s death the person has not received an amount of partner allowance payable to him or her; and

(d) another person applies to receive that amount; and

(e) the application is made:

(i) within 6 months after the death; or

(ii) within a further period allowed by the Secretary in special circumstances;

the Secretary may pay the amount to the person who, in the Secretary’s opinion, is best entitled to it.

“(2) Where the Secretary pays an amount of partner allowance under subsection (1), the Commonwealth has no further liability to any person in respect of that amount of partner allowance.

“Division 6—Protection of partner allowance

Partner allowance to be absolutely inalienable

“771LA.(1) Subject to subsections (2) and (3) and section 1359, partner allowance is absolutely inalienable, whether by way of, or in consequence of, sale, assignment, charge, execution, bankruptcy or otherwise.

Payments to Commissioner of Taxation at recipient’s request

“(2) The Secretary may make deductions from the instalments of partner allowance payable to a person where the recipient asks the Secretary:

(a) to make the deductions; and

(b) to pay the amounts to be deducted to the Commissioner of Taxation.

Deductions from instalments with recipient’s consent

“(3) The Secretary may make deductions from the instalments of partner allowance payable to a person if the recipient consents under section 1234A to the Secretary making the deductions.

Effect of garnishee or attachment order

“771LB.(1) If:

(a) a person has an account with a financial institution; and

(b) instalments of partner allowance payable to the person (whether on the person’s own behalf or not) are being paid to the credit of that account; and

(c) a court order in the nature of a garnishee order comes into force in respect of the account;

the court order does not apply to the saved amount (if any) in the account.

“(2) The saved amount is worked out as follows:

“(3) This section applies to an account whether it is maintained by a person:

(a) alone; or

(b) jointly with another person; or

(c) in common with another person.

“Division 7—Recipient obligations

Secretary may require recipient to give statement of recipient’s tax file number

“771MA. The Secretary may require a recipient of partner allowance to give the Secretary a written statement of the recipient’s tax file number.

Secretary may require recipient to give statement of partner’s tax file number

“771MB. The Secretary may require a recipient of partner allowance to give the Secretary a written statement of the tax file number of the recipient’s partner if the partner is in Australia.

Secretary may require notice of the happening of an event or a change in circumstances

“771MC.(1) The Secretary may give a person to whom partner allowance is being paid a notice that requires the person to inform the Department if:

(a) a specified event or change of circumstances occurs; or

(b) the person becomes aware that a specified event or change of circumstances is likely to occur.

“(2) An event or change of circumstances is not to be specified in a notice under subsection (1) unless the occurrence of the event or change of circumstances might affect the payment of the allowance.

“(3) Subject to subsection (4), a notice under subsection (1):

(a) must be in writing; and

(b) may be given personally or by post; and

(c) must specify how the person is to give the information to the Department; and

(d) must specify the period within which the person is to give the information to the Department; and

(e) must specify that the notice is a recipient notification notice given under this Act.

“(4) A notice under subsection (1) is not invalid merely because it fails to comply with paragraph (3)(c) or (e).

“(5) Subject to subsections (6) and (7), the period specified under paragraph (3)(d) must end at least 7 days after:

(a) the day on which the event or change of circumstances occurs; or

(b) the day on which the person becomes aware that the event or change of circumstances is likely to occur.

“(6) If a notice requires the person to inform the Department of any proposal by the person to leave Australia, subsection (5) does not apply to that requirement.

“(7) If the notice requires information about receipt of a compensation payment, the period specified under paragraph (3)(d) in relation to that information must end at least 7 days after the day on which the person becomes aware that he or she has received or is to receive a compensation payment.

“(8) A person must not, without reasonable excuse, refuse or fail to comply with a notice under subsection (1) to the extent that the person is capable of complying with the notice.

“(9) This section extends to:

(a) acts, omissions, matters and things outside Australia whether or not in a foreign country; and

(b) all persons irrespective of their nationality or citizenship.

Secretary may require recipient to give particular information relevant to payment of partner allowance

“771MD.(1) The Secretary may give a person to whom partner allowance is being paid a notice that requires the person to give the Department a statement about a matter that might affect the payment of the allowance to the person.

“(2) Subject to subsection (3), a notice under subsection (1):

(a) must be in writing; and

(b) may be given personally or by post; and

(c) must specify how the statement is to be given to the Department; and

(d) must specify the period within which the person is to give the statement to the Department; and

(e) must specify that the notice is a recipient statement notice given under this Act.

“(3) A notice under subsection (1) is not invalid merely because it fails to comply with paragraph (2)(c) or (e).

“(4) The period specified under paragraph (2)(d) must end at least 7 days after the day on which the notice is given.

“(5) A statement given in response to a notice under subsection (1) must be in writing and be in accordance with a form approved by the Secretary.

“(6) A person must not, without reasonable excuse, refuse or fail to comply with a notice under subsection (1) to the extent that the person is capable of complying with the notice.

“(7) This section extends to:

(a) acts, omissions, matters and things outside Australia whether or not in a foreign country; and

(b) all persons irrespective of their nationality or citizenship.

“Division 8—Continuation, variation and termination

“Subdivision A—General

Continuing effect of determination

Entitlement determination

“771NA.(1) A determination that:

(a) a person’s claim for partner allowance is to be granted; or

(b) partner allowance is payable to a person;

continues in effect until:

(c) the allowance ceases to be payable under section 771NB, 771NC, 771ND, 771NE or 771NF; or

(d) a further determination in relation to the allowance under section 771NN or 771NO has taken effect.

Rate determination

“(2) A determination of the rate of partner allowance continues in effect until:

(a) the allowance becomes payable at a lower rate under section 771NH, 771NI or 771NJ; or

(b) a further determination in relation to the allowance under section 771NL or 771NM has taken effect.

“Subdivision B—Automatic termination

Automatic termination—transfer to new payment type

“771NB. If:

(a) a person is receiving partner allowance; and

(b) a social security pension, another social security benefit or a service pension becomes payable to the person;

the partner allowance ceases to be payable to the person immediately before the day on which the other pension or benefit becomes payable to the person.

Automatic termination—transfer of partner to new payment type

“771NC. If:

(a) a person is receiving partner allowance; and

(b) a social security pension or a service pension becomes payable to the person’s partner; and

(c) because the pension becomes payable to the partner, job search allowance, newstart allowance, sickness allowance or special benefit ceases to be payable to the partner;

partner allowance ceases to be payable to the person immediately before the day on which the pension referred to in paragraph (b) becomes payable to the partner.

Automatic termination—recipient complying with section 771MC notification obligations

“771ND. If:

(a) a person who is receiving partner allowance is given a notice under section 771MC; and

(b) the notice requires the person to inform the Department of the occurrence of an event or change in circumstances within a specified period (the ‘notification period’); and

(c) the event or change in circumstances occurs; and

(d) the person informs the Department of the occurrence of the event or change in circumstances within the notification period in accordance with the notice; and

(e) because of the occurrence of the event or change in circumstances:

(i) the person ceases to be qualified for the allowance; or

(ii) the allowance would, but for this section, cease to be payable to the person; and

(f) the allowance is not cancelled before the end of the notification period;

the allowance continues to be payable to the person until the end of notification period and then ceases to be payable to the person.

Automatic termination—recipient not complying with section 771MC notification obligations

“771NE. If:

(a) a person who is receiving partner allowance is given a notice under section 771MC; and

(b) the notice requires the person to inform the Department of the occurrence of an event or change in circumstances within a specified period (the ‘notification period’); and

(c) the event or change in circumstances occurs; and

(d) the person does not inform the Department of the occurrence of the event or change in circumstances within the notification period in accordance with the notice; and

(e) because of the occurrence of the event or the change in circumstances:

(i) the person ceases to be qualified for the allowance; or

(ii) the allowance ceases to be payable to the person;

the allowance ceases to be payable to the person immediately before the day on which the event or change in circumstances occurs.

Automatic termination—failure to provide section 771MD statement

“771NF.(1) If:

(a) a person who is receiving partner allowance is given a notice under section 771MD requiring the person to give the Department a statement; and

(b) the notice relates to the payment of the allowance in respect of a period specified in the notice; and

(c) the person does not comply with the notice;

the allowance, subject to subsection (2), ceases to be payable to the person as from the first day in that period.

“(2) If the Secretary is satisfied that, in the special circumstances of the case, it is appropriate to do so, the Secretary may determine in writing that subsection (1) does not apply to the person from a day specified in the determination.

“(3) The day specified under subsection (2) may be before or after the making of the determination.

Changes to payments by computer following automatic termination

“771NG. If:

(a) a person is receiving a partner allowance on the basis of data in a computer; and

(b) the allowance is automatically terminated by the operation of a provision of this Act; and

(c) the automatic termination is given effect to by the operation of a computer program approved by the Secretary stopping payment of the allowance;

there is taken to be a decision by the Secretary that the automatic termination provision applies to the person’s allowance.

“Subdivision C—Automatic rate reduction

Automatic rate reduction—partner starting to receive benefit

“771NH. If:

(a) a person is receiving partner allowance; and

(b) the person’s partner starts to receive a different social security benefit; and

(c) the person’s partner allowance rate is reduced because of the partner’s receipt of that benefit;

the partner allowance becomes payable to the person at the reduced rate on the day on which the partner starts to receive that benefit.

Automatic rate reduction—recipient not complying with section 771MC notification obligations

“771NI. If:

(a) a person who is receiving partner allowance is given a notice under section 771MC; and

(b) the notice requires the person to inform the Department of the occurrence of an event or change in circumstances within a specified period (the ‘notification period’); and

(c) the event or change in circumstances occurs; and

(d) the person does not inform the Department of the occurrence of the event or change in circumstances within the notification period in accordance with the notice; and

(e) because of the occurrence of the event or change in circumstances, the person’s rate of allowance is to be reduced;

the allowance becomes payable to the person at the reduced rate immediately before the day on which the event or change in circumstances occurs.

Automatic rate reduction—failure to inform Department of payment for remunerative work where earnings credit account balance available

“771NJ. If:

(a) a person who is receiving partner allowance is given a notice under section 771MC; and

(b) the notice requires the person to inform the Department of income for remunerative work undertaken by the person or the person’s partner; and

(c) the person fails to notify the Department of income of that kind in accordance with the notice; and

(d) the person has an earnings credit account balance for the purposes of Division 5 of Part 3.10;

the allowance becomes payable to the person at the reduced rate from the first payday after the day on which the person’s earnings credit account balance is reduced to nil.

Changes to payments by computer following automatic reduction

“771NK. If:

(a) a person is receiving partner allowance on the basis of data in a computer; and

(b) the allowance rate is automatically reduced by the operation of a provision of this Act; and

(c) the automatic reduction is given effect to by the operation of a computer program approved by the Secretary reducing the rate of payment of the allowance;

there is taken to be a decision by the Secretary that the automatic rate reduction provision applies to the person’s allowance.

“Subdivision D—Determinations

Rate increase determination

“771NL. If the Secretary is satisfied that the rate at which partner allowance is being, or has been, paid is less than the rate provided for by this Act, the Secretary is to determine that the rate is to be increased to the rate specified in the determination.

Rate reduction determination

“771NM. If the Secretary is satisfied that the rate at which partner allowance is being, or has been, paid is more than the rate provided for by this Act, the Secretary is to determine that the rate is to be reduced to the rate specified in the determination.

Cancellation or suspension determination

“771NN. If the Secretary is satisfied that partner allowance is being, or has been, paid to a person to whom it is not, or was not, payable under this Act, the Secretary is to determine that the allowance is to be cancelled or suspended.

Cancellation or suspension for failure to comply with section 771MD, 1304 or 1305 notice

“771NO. If:

(a) a person who is receiving partner allowance is given a notice under section 771MD, 1304 or 1305; and

(b) the person does not comply with the requirements set out in the notice;

the Secretary may determine that the allowance is to be cancelled or suspended.

Changes to payments by computer

“771NP. If:

(a) payment of partner allowance to a person is based upon data in a computer; and

(b) the allowance rate is increased or reduced, or the allowance is cancelled or suspended, because of the operation of a computer program approved by the Secretary; and

(c) the program causes the change for a reason for which the Secretary could determine the change;

the change is taken to have been made because of a determination by the Secretary for that reason.

Resumption of payment after cancellation or suspension

“771NQ.(1) If the Secretary:

(a) cancels or suspends a person’s partner allowance under section 771NM or 771NO; and

(b) reconsiders the decision to cancel or suspend; and

(c) becomes satisfied that because of the decision to cancel or suspend:

(i) the person did not receive partner allowance that was payable to the person; or

(ii) the person is not receiving partner allowance that is payable to the person;

the Secretary is to determine that partner allowance was or is payable to the person.

“(2) The reconsideration referred to in paragraph (1)(b) might be a reconsideration on an application under the Secretary’s own initiative.section 1240 for review or a reconsideration on

“Subdivision E—Date of effect of determinations

Date of effect of favourable determination

“771NR.(1) The day on which a determination under ‘favourable determination’) takes effect is worked out in accordance with this section.section 771NL or 771NQ (the

Notified decision—review sought within 3 months

“(2) If:

(a) a decision (the ‘previous decision’) is made in relation to a partner allowance; and

(b) a notice is given to the person to whom the allowance is payable advising the person of the making of the previous decision; and

(c) the person applies to the Secretary under within 3 months after the notice is given, for review of the previous decision; andsection 1240,

(d) a favourable determination is made as a result of the application for review;

the determination takes effect on the day on which the previous decision took effect.

Notified decision—review sought after 3 months

“(3) If:

(a) a decision (the ‘previous decision’) is made in relation to a partner allowance; and

(b) a notice is given to the person to whom the allowance is payable advising the person of the making of the previous decision; and

(c) the person applies to the Secretary under section 1240 more than 3 months after the notice is given, for review of the previous decision; and

(d) a favourable determination is made as a result of the application for review;

the determination takes effect on the day on which the person sought the review.

Decision not notified

“(4) If:

(a) a decision (the ‘previous decision’) is made in relation to a partner allowance; and

(b) no notice is given to the person to whom the allowance is payable advising the person of the making of the previous decision; and

(c) the person applies to the Secretary under section 1240 for review of the previous decision; and

(d) a favourable determination is made as a result of the application for review;

the determination takes effect on the day on which the previous decision took effect.

Notified change of circumstances

“(5) If:

(a) the favourable determination is made following a person having advised the Department of a change in circumstances; and

(b) the change is not a decrease in the rate of the person’s maintenance income;

the determination takes effect on the day on which the advice was received or on the day on which the change occurred, whichever is the later.

Other determinations

“(6) In any other case, the favourable determination takes effect on the day on which the determination was made or on such later day or earlier day (not being a day more than 3 months before the determination was made) as is specified in the determination.

Date of effect of adverse determination

General

“771NS.(1) The day on which a determination under ‘adverse determination’) takes effect is worked out in accordance with this section.section 771NM, 771NN or 771NO (the

“(2) The adverse determination takes effect on:

(a) the day on which the determination is made; or

(b) if another day is specified in the determination—on that day.

“(3) Subject to subsections (4) to (8), the day specified under paragraph (2)(b) must be later than the day on which the determination is made.

Contravention of Act

“(4) If:

(a) the person whose allowance is affected by the adverse determination has contravened a provision of this Act (other than section 771MD, 1304, 1305, 1306 or 1307); and

(b) the contravention causes a delay in making the determination;

the day specified under paragraph (2)(b) may be earlier than the day on which the determination is made.

False statement or misrepresentation—suspension or cancellation

“(5) If:

(a) a person has made a false statement or misrepresentation; and

(b) because of the false statement or misrepresentation, the allowance has been paid to a person when it should have been cancelled or suspended;

the day specified under paragraph (2)(b) may be earlier than the day on which the determination is made.

False statement or misrepresentation—rate reduction

“(6) If:

(a) a person has made a false statement or misrepresentation; and

(b) because of the false statement or misrepresentation, the rate at which the allowance was paid to a person was more than it should have been;

the day specified under paragraph (2)(b) may be earlier than the day on which the determination is made.

Payment of arrears of periodic compensation payments—suspension or cancellation

“(7) If:

(a) an adverse determination is made in relation to a person because of point 1067-H8A or 1068-G8A (payment of arrears of periodic compensation payments); and

(b) the allowance has been paid to the person or the person’s partner when, because of the payment of arrears of periodic compensation, the allowance should have been cancelled or suspended;

the day specified under paragraph (2)(b) may be earlier than the day on which the determination is made.

Payment of arrears of periodic compensation payments—rate reduction

“(8) If:

(a) an adverse determination is made in relation to a person because of point 1067-H8A or 1068-G8A (payment of arrears of periodic compensation payments); and

(b) the rate at which the allowance was paid to the person or the person’s partner was, because of the payment of arrears of periodic compensation, more than the rate at which the allowance should have been paid;

the day specified under paragraph (2)(b) may be earlier than the day on which the determination is made.

“Division 9—Bereavement payments

“Subdivision A—Surviving partner and deceased partner defined

Surviving partner and deceased partner

“771NT. If:

(a) a person is receiving partner allowance; and

(b) the person’s partner dies;

then, for the purposes of this Division:

(c) the person is the surviving partner; and

(d) the person’s partner is the deceased partner.

“Subdivision B — Person to continue to receive partner allowance where person’s partner dies

Continuation of partner allowance for bereavement period

“771NU.(1) If:

(a) a person is receiving partner allowance; and

(b) the person’s partner dies; and

(c) immediately before the deceased partner died, he or she was a long-term social security recipient;

the surviving partner remains qualified for partner allowance during the bereavement period as if:

(c) the deceased partner had not died; and

(d) the deceased partner had continued to receive job search allowance, newstart allowance, sickness allowance or special benefit; and

(e) the surviving partner and the deceased partner had continued to be members of a couple.

Rate of partner allowance during bereavement rate continuation period

“(2) The surviving partner’s partner allowance rate during the bereavement rate continuation period is the rate of the partner allowance that would have been payable to the surviving partner if:

(a) the deceased partner had not died; and

(b) if the couple had been an illness separated couple or a respite care couple—they had not been such a couple.

Rate of partner allowance during the bereavement lump sum period

“(3) The surviving partner’s partner allowance rate during the bereavement lump sum period (if any) is worked out as follows:

(a) if the deceased partner was receiving a job search allowance immediately before he or she died, the rate of partner allowance is the rate at which a partner allowance would have been payable to the surviving partner if:

(i) the surviving partner had been qualified for job search allowance; and

(ii) the surviving partner was not a member of a couple;

(b) if the deceased partner was receiving newstart allowance immediately before he or she died, the rate of partner allowance is the rate at which newstart allowance would have been payable to the surviving partner if:

(i) the surviving partner had been qualified for newstart allowance; and

(ii) the surviving partner was not a member of a couple;

(c) if the deceased partner was receiving sickness allowance immediately before he or she died, the rate of partner allowance is the rate at which sickness allowance would have been payable to the surviving partner if:

(i) the surviving partner had been qualified for sickness allowance; and

(ii) the surviving partner was not a member of a couple;

(d) if the deceased partner was receiving special benefit immediately before he or she died, the rate of partner allowance is the rate at which special benefit would have been payable to the surviving partner if:

(i) the surviving partner had been qualified for special benefit; and

(ii) the surviving partner was not a member of a couple.

“Subdivision C—Bereavement payments for person receiving partner allowance following death of the person’s partner

Qualification for payments under this Subdivision

“771NV.(1) If:

(a) a person is receiving partner allowance; and

(b) the person’s partner dies; and

(c) immediately before the deceased partner died, he or she was a long term social security recipient;

the surviving partner is qualified for payments under this Subdivision to cover the bereavement period.

“(2) A surviving partner who is qualified for payments under this Subdivision may choose not to receive payments under this Subdivision.

“(3) An election under subsection (2):

(a) must be made by written notice to the Secretary; and

(b) may be made after the surviving partner has been paid an amount or amounts under this Subdivision; and

(c) cannot be withdrawn after the Department has taken all the action required to give effect to that election.

Continued payment of deceased partner’s benefit

“771NW. If a surviving partner is qualified for payments under this Subdivision in relation to the death of the deceased partner, there is payable to the surviving partner, on each of the deceased partner’s paydays in the bereavement rate continuation period, an amount equal to the amount that would have been payable to the deceased partner on that payday if he or she had not died.

Lump sum payable in some circumstances

“771NX.(1) If:

(a) a surviving partner is qualified for payments under this Subdivision in relation to the death of the deceased partner; and

(b) the first available bereavement adjustment payday occurs before the end of the bereavement period;

there is payable to the surviving partner as a lump sum an amount worked out using the following Lump Sum Calculator:

LUMP SUM CALCULATOR

This is how to work out the amount of the lump sum:

Deceased partner receiving job search allowance

“(2) If, immediately before the deceased partner died, he or she was receiving job search allowance, the surviving partner’s notional rate is the amount of job search allowance that would have been payable to the surviving partner on the surviving partner’s pay day immediately before the first available bereavement adjustment pay day if:

(a) a job search allowance had been payable to the surviving partner on that pay day; and

(b) the surviving partner was not a member of a couple on that pay day.

Deceased partner receiving newstart allowance

“(3) If, immediately before the deceased partner died, he or she was receiving newstart allowance, the surviving partner’s notional rate is the amount of newstart allowance that would have been payable to the surviving partner on the surviving partner’s pay day immediately before the first available bereavement adjustment pay day if:

(a) a newstart allowance had been payable to the surviving partner on that pay day; and

(b) the surviving partner was not a member of a couple on that pay day.

Deceased partner receiving sickness allowance

“(4) If, immediately before the deceased partner died, he or she was receiving sickness allowance, the surviving partner’s notional rate is the amount of sickness allowance that would have been payable to the surviving partner on the surviving partner’s pay day immediately before the first available bereavement adjustment pay day if:

(a) a sickness allowance had been payable to the surviving partner on that pay day; and

(b) the surviving partner was not a member of a couple on that pay day.

Deceased partner receiving special benefit

“(5) If, immediately before the deceased partner died, he or she was receiving special benefit, the surviving partner’s notional rate is the amount of special benefit that would have been payable to the surviving partner on the surviving partner’s pay day immediately before the first available bereavement adjustment pay day if:

(a) a special benefit had been payable to the surviving partner on that pay day; and

(b) the surviving partner was not a member of a couple on that pay day.

Effect of death of surviving partner

“771NY. If:

(a) a surviving partner is qualified for payments under this Subdivision in relation to the death of the deceased partner; and

(b) the surviving partner dies within the bereavement period; and

(c) the Secretary does not become aware of the death of the deceased partner before the surviving partner dies;

there is payable as a lump sum, to any person that the Secretary thinks appropriate, an amount worked out using the following Lump Sum Calculator:

LUMP SUM CALCULATOR

This is how to work out the amount of the lump sum:

Matters affecting payments under this Subdivision

“771NZ.(1) If:

(a) the surviving partner is qualified for payments under this Subdivision; and

(b) after the deceased partner died, an amount to which the deceased partner would have been entitled if he or she had not died has been paid under this Act or under Part III of the Veterans’ Entitlements Act; and

(c) the Secretary is not satisfied that the surviving partner had not had the benefit of that amount;

the following provisions have effect:

(d) the amount referred to in paragraph (b) is not recoverable from the surviving partner or from the personal representative of the deceased partner, except to the extent (if any) that the amount exceeds the amount payable to the surviving partner under this Subdivision;

(e) the amount payable to the surviving partner under this Subdivision is to be reduced by the amount referred to in paragraph (b).

“(2) If:

(a) the surviving partner is qualified for payments under this Subdivision; and

(b) an amount to which the deceased partner would have been entitled if the deceased partner had not died has been paid under this Act or under ‘financial institution’); andPart III of the Veterans’ Entitlements Act, within the bereavement period, into an account with a bank, credit union or building society (the

(c) the financial institution pays to the surviving partner, out of that account, an amount not exceeding the total of the amounts paid as mentioned in paragraph (b);

the financial institution is, in spite of anything in any other law, not liable to any action, claim or demand by the Commonwealth, the personal representative of the deceased partner or anyone else in respect of the payment of that money to the surviving partner.”.

6. The Acts specified in Schedule 2 are amended as set out in that Schedule.

SCHEDULE 1 Section 4

CONSEQUENTIAL AMENDMENTS RELATING TO HOME CHILD CARE ALLOWANCE

If a person is qualified for sickness allowance through subparagraph 666(1)(d)(iii) (transfer from social security pension), the rate per fortnight of the person’s allowance is not to exceed the rate per fortnight of the social security pension.”.

46. Section 728PB (Note):

Omit.

47. Subdivision AB of Division 9 of Part 2.14:

Repeal.

SCHEDULE 2—continued

48. Section 768B (Note):

Omit.

49. Subdivision AB of Division 9 of Part 2.15:

Repeal.

50. Paragraph 822(5)(a):

Omit, substitute:

“(a) the person is receiving a social security benefit; and”.

51. Subparagraph 822(5)(b)(iii):

Omit “or”, substitute “.”.

52. Subparagraph 822(5)(b)(iv):

Omit.

53. Subsection 822(6):

Omit, substitute:

“(6) A person is taken to satisfy the requirements of paragraph (5)(b) if:

(a) the person was receiving one or a combination of the payments referred to in that paragraph for a continuous period of 12 months; or

(b) the person was receiving one or a combination of the payments referred to in that paragraph for 46 weeks of the previous 52.”.

54. After subsection 1061Q(3):

Insert:

“(3A) A person is qualified for telephone allowance if:

(a) the person is receiving partner allowance; and

(b) the person is a telephone subscriber; and

(c) the person’s partner has turned 60; and

(d) the person’s partner is receiving job search allowance, newstart allowance or sickness allowance; and

(e) the person’s partner has been receiving:

(i) a social security pension; or

(ii) a social security benefit; or

(iii) a service pension;

continuously for the last 12 months.

SCHEDULE 2—continued

55. Section 1067 (Benefit Rate Calculator A—point 1067-A1—Method statement—Step 2):

(a) Omit.

(b) Renumber Steps 3 to 11 as Steps 2 to 10.

56. Section 1067 (Benefit Rate Calculator A—point 1067-A1—Method statement—Step 11—Note):

Omit “Step 7 or Step 11”, substitute “Step 6 or Step 10”.

57. Section 1067 (Benefit Rate Calculator A—Module C):

Omit.

58. Section 1067 (Benefit Rate Calculator A—point 1067-D9—Pharmaceutical Allowance Amount Table—item 2—column 2):

Omit “—person’s rate not increased for partner under Module C”.

59. Section 1067 (Benefit Rate Calculator A—point 1067-D9—Pharmaceutical Allowance Amount Table—item 3):

Omit.

60. Section 1067 (Benefit Rate Calculator A—point 1067-F1A—Table FA—items 4, 6 and 8):

Omit.

61. Section 1067 (Benefit Rate Calculator A—point 1067-F1A—Table FA—items 5, 7 and 9):

Omit “where person’s rate is not increased for partner under Module C”.

62. Section 1067 (Benefit Rate Calculator A—paragraph 1067-F12(b)):

Omit “or sickness allowance”, substitute “, sickness allowance or partner allowance”.

63. Section 1067 (Benefit Rate Calculator A—paragraph 1067-F13—Table F—items 4, 6 and 8):

Omit.

64. Section 1067 (Benefit Rate Calculator A—point 1067-F13—Table F—items 5, 7 and 9):

Omit “where person’s rate is not increased for partner under Module C”.

65. Section 1067 (Benefit Rate Calculator A—point 1067-K2):

Omit.

SCHEDULE 2—continued

66. Section 1067 (Benefit Rate Calculator A—point 1067-K3—Table K—item 2—column 2):

Omit “—partner is not benefit increase partner”.

67. Section 1067 (Benefit Rate Calculator A—point 1067-K3—Table K—item 3—column 2):

Omit “—partner not benefit increase partner”.

68. Section 1067 (Benefit Rate Calculator A—point 1067-K3—Table K—item 4—column 2):

Omit.

69. Section 1067 (Benefit Rate Calculator A—point 1067-K3—Table K—Notes 1 and 2):

Omit.

70. After paragraph 1068(1)(b):

Insert:

“or (c) partner allowance;”.

71. Subsection 1068(3) (Note 1):

Omit “and 675”, substitute “, 675 and 771HI”.

72. Section 1068 (Benefit Rate Calculator B—point 1068-A1—Method statement—Step 2):

(a) Omit Step 2.

(b) Renumber Steps 3 to 9 as Steps 2 to 8.

73. Section 1068 (Benefit Rate Calculator B—point 1068-A1—Note 1):

(a) Omit “9”, substitute “8”.

(b) Omit “and additional amount for partner”.

74. Section 1068 (Benefit Rate Calculator B—point 1068-A1—Note 3):

(a) Omit “9”, substitute “8”.

(b) Omit “6”, substitute “5”.

75. Section 1068 (Benefit Rate Calculator B—Module C):

Omit.

SCHEDULE 2—continued

76. Section 1068 (Benefit Rate Calculator B—point 1068-D10—Pharmaceutical Allowance Amount Table—item 2—column 2):

Omit “—person’s rate not increased for partner under Module C”.

77. Section 1068 (Benefit Rate Calculator B—point 1068-D10—Pharmaceutical Allowance Amount Table—item 3):

Omit.

78. Section 1068 (Benefit Rate Calculator B—point 1068-F1A—Table FA—items 4, 6 and 8):

Omit.

79. Section 1068 (Benefit Rate Calculator B—point 1068-F1A—Table FA—items 5, 7 and 9):

Omit “where person’s rate is not increased for partner under Module C”.

80. Section 1068 (Benefit Rate Calculator B—point 1068-F15—Table F—items 4, 6 and 8):

Omit.

81. Section 1068 (Benefit Rate Calculator B—point 1068-F15—Table F—items 5, 7 and 9):

Omit “where person’s rate is not increased for partner under Module C”.

82. Section 1068 (Benefit Rate Calculator B—point 1068-G11—Table G-2—item 2):

Omit.

83. Section 1068 (Benefit Rate Calculator B—point 1068-G11—Table G-2—item 3—column 2):

Omit “—no additional amount for partner”.

84. Section 1068 (Benefit Rate Calculator B—point 1068-G11—Note 2):

Omit.

85. Section 1068 (Benefit Rate Calculator B—point 1068-J2):

Omit.

86. Section 1068 (Benefit Rate Calculator B—point 1068-J3—Table J—item 2—column 2):

Omit “—partner is not benefit increase partner”.

SCHEDULE 2—continued

87. Section 1068 (Benefit Rate Calculator B—point 1068-J3—Table J—item 3—column 2):

Omit “—partner not benefit increase partner”.

88. Section 1068 (Benefit Rate Calculator B—point 1068-J3—Table J—item 4):

Omit.

89. Section 1068 (Benefit Rate Calculator B—point 1068-J3—Notes 1 and 2):

Omit.

90. Subsection 1128(1):

(a) Omit “and 2.15”, substitute “, 2.15 and 2.15A”.

(b) Omit “and special benefit”, substitute “, special benefit and partner allowance”.

91. After paragraph 1160(b):

Insert:

“Note: If someone else is receiving a payment that depends on the person in gaol receiving a social security benefit, that other person’s payment is not payable during the period identified in this section. That other person may, however, become qualified for another social security benefit.”.

92. Paragraph 1161(1)(b):

Omit “or sickness allowance”, substitute “, sickness allowance or partner allowance”.

93. Section 1163:

Add at the end:

“(10) A partner allowance will only be affected under this Part if:

(a) the compensation is received on or after 20 September 1994; and

(b) the claim for the allowance is made on or after 20 September 1994.”.

94. Subsection 1168(3) (Note 2):

Omit “and additional amount for partner”.

95. After subparagraph 1187(1A)(a)(iv):

Insert:

“(iva) partner allowance; or”.

96. Paragraph 1187(3)(c):

Omit, substitute:

SCHEDULE 2—continued

“(c) a payment of rehabilitation allowance is payable to the person’s partner during that pension period; and”.

97. Section 1190 (Indexed and Adjusted Amounts Table—item 2—column 4):

(a) Omit “[Benefit Rate Calculator A—point 1067-C3—paragraphs (a) and (b)]”.

(b) Omit “[Benefit Rate Calculator B—point 1068-C4—paragraphs (a) and (b)]”.

98. Section 1190 (Indexed and Adjusted Amounts Table—item 32— column 4):

Add at the end:

“[subsection 771HF(2)—Table—column 3—item 1]”.

99. Section 1190 (Indexed and Adjusted Amounts Table—item 33—column 4):

Add at the end:

“[subsection 771HF(2)—Table—column 3—item 3]”.

100. Section 1190 (Indexed and Adjusted Amounts Table—item 47A):

Omit.

101. Section 1211:

(a) After “729(2)(fa)” insert “, [771HA(1)(d)]”.

(b) Add at the end:

“Note 5: Subsection 771HA(4) provides that a person is taken to be in Australia for the purpose of subsection 771HA(1) (qualification for partner allowance) if the person is temporarily absent from Australia for a period of 3 months or less.”.

102. After subparagraph 1223(2A)(b)(ix):

Insert:

“(ixa) subsection 771HI(3) or section 771HJ (partner allowance);”.

103. After paragraph 1223A(3)(o):

Insert:

“(oa) section 771NB (partner allowance);

(ob) section 771NC (partner allowance—partner);”.

104. After paragraph 1223B(2)( i ):

Insert:

“; (j) section 771NH (partner allowance).”.

SCHEDULE 2—continued

105. Subsection 1239(1) (Note):

(a) After “762c” insert “,771NG, 771NK”.

(b) After “765B” insert “,771NP”.

106. Subsection 1240(1) (Note):

(a) After “762C” insert “, 771NG, 771NK”.

(b) After “765B” insert “, 771NP”.

107. Paragraph 1250(1)(d):

After “742” insert “, 771IB, 771IC”.

108. Schedule 1A:

Add at the end:

Partner allowance (changes made on 20 September 1994)

“70.(1) If:

(a) a job search allowance, newstart allowance, sickness allowance or special benefit is payable to a person for a fortnightly period that starts before 20 September 1994 and ends after that day; and

(b) apart from the amendments made by Social Security (Home Child Care and Partner Allowances) Legislation Amendment Act 1994, the rate of the person’s payment would include an additional payment for the person’s partner under Module C of Benefit Rate Calculator A in section 1067 or Benefit Rate Calculator B in section 1068 (whichever applies);section 5 of the

the rate of the person’s payment for that period is to be worked out in accordance with this Act as in force immediately before 20 September 1994.

“(2) If:

(a) a special benefit is payable to a person for a period that starts on or before 20 September 1994 and ends after that day; and

(b) apart from the amendments made by Social Security (Home Child Care and Partner Allowances) Legislation Amendment Act 1994, the rate of the person’s special benefit would include an additional amount for the person’s partner;section 5 of the

the rate of the person’s special benefit for that period is to be worked out in accordance with this Act as in force immediately before 20 September 1994.

“(3) If subclause (1) or (2) applies to a person, then, despite the amendments made by Social Security (Home Child Care and Partner Allowances) Legislation Amendment Act 1994, a partner allowance is not payable to the person’s partner before the end of the period referred to in paragraph (1)(a) or (2)(a).section 5 of the

SCHEDULE 2—continued

Bereavement payments (partner allowance changes made on 20 September 1994)

“71.(1) If a person is receiving bereavement payments under Subdivision AB of Social Security (Home Child Care and Partner Allowances) Legislation Amendment Act 1994, this Act as in force immediately before 20 September 1994 applies to the person in relation to the bereavement period until the end of that period.Division 9 of Part 2.11 of this Act in relation to a bereavement period that starts on or before 20 September 1994 and ends after that day, then, despite the amendments made by section 5 of the

“(2) If a person is receiving bereavement payments under Subdivision AB of Social Security (Home Child Care and Partner Allowances) Legislation Amendment Act 1994, this Act as in force immediately before 20 September 1994 applies to the person in relation to the bereavement period until the end of that period.Division 9 of Part 2.12 of this Act in relation to a bereavement period that starts on or before 20 September 1994 and ends after that day, then, despite the amendments made by section 5 of the

“(3) If a person is receiving bereavement payments under Subdivision AB of Social Security (Home Child Care and Partner Allowances) Legislation Amendment Act 1994, this Act as in force immediately before 20 September 1994 applies to the person in relation to the bereavement period until the end of that period.Division 9 of Part 2.14 of this Act in relation to a bereavement period that starts on or before 20 September 1994 and ends after that day, then, despite the amendments made by section 5 of the

“(4) If a person is receiving bereavement payments under Subdivision AB of Social Security (Home Child Care and Partner Allowances) Legislation Amendment Act 1994, this Act as in force immediately before 20 September 1994 applies to the person in relation to the bereavement period until the end of that period.Division 9 of Part 2.15 of this Act in relation to a bereavement period that starts on or before 20 September 1994 and ends after that day, then, despite the amendments made by section 5 of the

1. Section 3 (after subparagraph (c)(xx) of the definition of “personal assistance”):

Insert:

“(xxa) partner allowance;”.

NOTE

Social Security Act 1991

1. No. 46, 1991, as amended. For previous amendments, see Nos. 68, 69, 70, 73, 74, 115, 116, 141, 175, 194 and 208, 1991;Nos. 12, 69, 81, 94, 118, 133, 134, 138, 228, 229, 230, 233 and 241, 1992; and Nos. 25, 36, 61, 120 and 121, 1993.

1. On the day on which Social Security Act 1991 is omitted and the following heading is substituted:section 5 of this Act commences, the heading to section 1068 of the

“Rate of job search allowance (18 or over), newstart allowance, sickness allowance (18 or over) and partner allowance”.

[Minister’s second reading speech made in—

House of Representatives on 15 December 1993

Senate on 8 February 1994]