Compilation #55 | Effective 2024-02-01
FRBR Work URI: /akn/au/act/1999/173
This Act may be cited as the Social Security (International Agreements) Act 1999.
This Act commences on 20 March 2000.
Unless a contrary intention appears, an expression that is used in the Social Security Act 1991 has the same meaning, when used in this Act, as in the Social Security Act 1991.
This Act forms part of the social security law.
This Act extends to Norfolk Island.
For the purposes of a provision of the social security law, an agreement is a scheduled international social security agreement if:
the agreement is between Australia and another country; and
the agreement relates to reciprocity in social security or superannuation matters; and
the text of the agreement is set out in a Schedule to this Act.
The reference in subsection (1) to a scheduled international social security agreement includes a reference to such an agreement as amended, or otherwise affected in its operation, by a further agreement or further agreements between Australia and the other country concerned.
The provisions of a scheduled international social security agreement have effect despite anything in the social security law.
Subsection (1) applies to a provision of an agreement only in so far as the provision is in force and affects the operation of the social security law.
If:
immediately before he or she reaches pension age, a person is receiving a social security payment (other than age pension) solely because of the operation of a scheduled international social security agreement; and
(b) on reaching pension age, the person becomes qualified for age pension because of the operation of paragraph 43(1)(c) of the Social Security Act 1991;
the age pension is taken to be payable to the person under the agreement referred to in paragraph (a).
(1) The regulations may make provision amending a Schedule to this Act so as to set out in the Schedule the text of an agreement (the amending agreement) that amends, or otherwise affects the operation of, another agreement set out in the Schedule.
Regulations making provision by virtue of subsection (1) must not come into operation on a day earlier than the day on which the amending agreement comes into force for Australia.
The regulations may add to this Act a Schedule setting out the terms of an agreement between Australia and another country if the agreement relates to reciprocity in social security or superannuation matters.
Regulations made by virtue of subsection (1) must not come into operation on a day earlier than the day on which the agreement concerned comes into operation for Australia.
The regulations may repeal a Schedule to this Act.
(1) If:
a scheduled international social security agreement authorises a person who is outside Australia to lodge a claim for parenting payment; and
the person, while outside Australia, lodges a claim for parenting payment; and
the person is not a member of a couple; and
the person would qualify for parenting payment if the following provisions had not been enacted:
(i) paragraph 500(1)(b) or (c) of the Social Security Act 1991;
subparagraph 500(1)(d)(ii) of that Act;
subsection 5(21), (23) or (24) of that Act;
then:
in determining whether the person is qualified for parenting payment, assume that the provisions referred to in paragraph (d) had not been enacted; and
if parenting payment is payable to the person, it is taken to be payable to the person under the scheduled international social security agreement.
(2) If:
a person who is in Australia lodges a claim for parenting payment; and
the person is not a member of a couple; and
(c) the person would qualify for parenting payment under a scheduled international social security agreement if subparagraph 500(1)(d)(ii) of the Social Security Act 1991 had not been enacted;
then:
(d) in determining whether the person is qualified for parenting payment, assume that subparagraph 500(1)(d)(ii) of the Social Security Act 1991 had not been enacted; and
if parenting payment is payable to the person, it is taken to be payable to the person under the scheduled international social security agreement.
A social security payment payable under a scheduled international social security agreement is not payable to a person for a period when the person is outside Australia unless the agreement provides that the pension or allowance is payable outside Australia.
If:
a social security payment is payable to a person under a scheduled international social security agreement; and
the person is outside Australia; and
the agreement provides for the rate of the social security payment to be determined according to the law of Australia;
the rate of the social security payment is the person’s international agreement portability rate worked out in accordance with Part 3.
A reference in the agreement to a person’s period of residence in Australia is to be taken to be a reference to the period of the person’s Australian working life residence for the purposes of this Act.
A person’s international agreement portability rate is worked out as follows:
(a) the period of the person’s Australian working life residence in Australia (the residence period) is worked out according to Division 2;
the person’s residence factor is worked out according to Division 3;
the person’s notional agreement pension rate is worked out by calculating the rate that would be the person’s social security payment rate if this section did not apply to the person but taking into account section 14;
if the person’s notional agreement pension rate is nil, the international agreement portability rate is also nil;
(e) if the person’s notional agreement pension rate is not nil, add the additional child amount or amounts (that are applicable in accordance with total notional rate;section 14A) to the person’s notional agreement pension rate. This new amount is the person’s
(f) multiply the person’s total notional rate by the person’s residence factor: the result is the person’s international agreement portability rate.
(2) If a person’s international agreement portability rate as calculated under subsection (1) would exceed the rate (the notional rate) that would be the person’s notional agreement pension rate under that subsection if the person had a residence factor of 1, the person’s international agreement portability rate is the rate that equals the notional rate.
If a scheduled international social security agreement provides that certain amounts are to be treated as income of a person—those amounts are to be treated as income of the person for the purposes of this Part.
If a scheduled international social security agreement provides that certain amounts are to be treated as not being income of a person—those amounts are to be treated as not being income of the person for the purposes of this Part.
For the purpose of the step in the calculation of a person’s international agreement portability rate that is described in paragraph 13(1)(e), the additional child amounts that may be applicable are set out in the following table. They are annual amounts. The amount in item 3 is only applicable if an amount in item 1 or 2 is to be paid to a person without a partner.
Note: Additional child amounts are indexed annually in line with CPI increases (see sections 1190 and 1191 of the Social Security Act 1991).
For the purposes of this Division, a person’s working life is the period beginning when the person turns 16 and ending when the person reaches pension age.
Subject to sections 17 and 21, a person’s period of Australian working life residence at a particular time is the number of months in the period, or the aggregate of the periods, during the person’s working life during which the person has, up to that time, been an Australian resident.
If a person’s period of Australian working life residence would, apart from this subsection, be a number of whole months, the period is to be increased by one month.
If a person’s period of Australian working life residence would, apart from this subsection, be a number of whole months and a day or days, the period is to be increased so that it is equal to the number of months plus one month.
If:
a person is receiving a pension PP (single); and
the person became qualified for the pension because the person’s former partner died; and
the partner’s period of Australian working life residence (immediately before the partner’s death) is longer than the period that would now be the person’s period of Australian working life residence under section 17;
the person’s period of Australian working life residence is to be equal to the partner’s period of Australian working life residence (immediately before the partner’s death).
If a person’s period of Australian working life residence is 420 months (35 years) or more, the person’s residence factor is 1.
If a person’s period of Australian working life residence is less than 420 months (35 years), the person’s residence factor is the fraction represented by:
The Governor-General may make regulations prescribing matters:
required or permitted by this Act to be prescribed; or
necessary or convenient for carrying out or giving effect to this Act.