Treasury Laws Amendment (2021 Measures No. 3) Act 2021

No. 61, 2021

An Act to amend the law relating to taxation, social security, veterans’ entitlements and the National Housing Finance and Investment Corporation, and for related purposes

Contents

1 Short title 1

2 Commencement 2

3 Schedules 3

Schedule 1—Medicare levy and Medicare levy surcharge income thresholds 4

A New Tax System (Medicare Levy Surcharge—Fringe Benefits) Act 1999 4

Medicare Levy Act 1986 4

Schedule 2—Family Home Guarantee 6

National Housing Finance and Investment Corporation Act 2018 6

Schedule 3—Payments to Thalidomide survivors 7

Part 1—Tax exemption 7

Income Tax Assessment Act 1997 7

Part 2—Payments not treated as income under social security and veterans’ law 8

Social Security Act 1991 8

Veterans’ Entitlements Act 1986 8

Schedule 4—Recovery grants for 2021 floods and storms 9

Income Tax Assessment Act 1997 9

Schedule 5—Deductible gift recipients—new specific recipients 10

Income Tax Assessment Act 1997 10

Treasury Laws Amendment (2021 Measures No. 3) Act 2021

No. 61, 2021

An Act to amend the law relating to taxation, social security, veterans’ entitlements and the National Housing Finance and Investment Corporation, and for related purposes

[Assented to 29 June 2021]

The Parliament of Australia enacts:
1 Short title

This Act is the Treasury Laws Amendment (2021 Measures No. 3) Act 2021.
2 Commencement 1

Each provision of this Act specified in column 1 of the table commences, or is taken to have commenced, in accordance with column 2 of the table. Any other statement in column 2 has effect according to its terms.
Commencement information Commencement information Commencement information
Column 1 Column 2 Column 3
Provisions Commencement Date/Details
1. Sections 1 to 3 and anything in this Act not elsewhere covered by this table The day this Act receives the Royal Assent. 29 June 2021
2. Schedule 1 The day after this Act receives the Royal Assent. 30 June 2021
3. Schedule 2 The later of: (a) 1 July 2021; and (b) the day after this Act receives the Royal Assent. 1 July 2021 (paragraph (a) applies)
4. Schedule 3, Part 1 The first 1 January, 1 April, 1 July or 1 October to occur after the day this Act receives the Royal Assent. 1 July 2021
5. Schedule 3, Part 2 The day after this Act receives the Royal Assent. 30 June 2021
6. Schedules 4 and 5 The first 1 January, 1 April, 1 July or 1 October to occur after the day this Act receives the Royal Assent. 1 July 2021

Note: This table relates only to the provisions of this Act as originally enacted. It will not be amended to deal with any later amendments of this Act.

 2

Any information in column 3 of the table is not part of this Act. Information may be inserted in this column, or information in it may be edited, in any published version of this Act.
3 Schedules

Legislation that is specified in a Schedule to this Act is amended or repealed as set out in the applicable items in the Schedule concerned, and any other item in a Schedule to this Act has effect according to its terms.
Medicare levy and Medicare levy surcharge income thresholds

A New Tax System (Medicare Levy Surcharge—Fringe Benefits) Act 1999

 1 Paragraphs 15(1)(c) and 16(2)(c)

Omit “$22,801”, substitute “$23,226”.

Medicare Levy Act 1986

 2 Subsection 3(1) (paragraph (a) of the definition of phase-in limit)

Omit “$45,069”, substitute “$45,881”.

 3 Subsection 3(1) (paragraph (c) of the definition of phase-in limit)

Omit “$28,501”, substitute “$29,032”.

 4 Subsection 3(1) (paragraph (a) of the definition of threshold amount)

Omit “$36,056”, substitute “$36,705”.

 5 Subsection 3(1) (paragraph (c) of the definition of threshold amount)

Omit “$22,801”, substitute “$23,226”.

 6 Subsection 8(5) (definition of family income threshold)

Omit “$38,474”, substitute “$39,167”.

 7 Subsection 8(5) (definition of family income threshold)

Omit “$3,533”, substitute “$3,597”.

 8 Subsections 8(6) and (7)

Omit “$38,474”, substitute “$39,167”.

 9 Subsection 8(7)

Omit “$50,191”, substitute “$51,094”.

 10 Paragraph 8D(3)(c)

Omit “$22,801”, substitute “$23,226”.

 11 Subparagraph 8D(4)(a)(ii)

Omit “$22,801”, substitute “$23,226”.

 12 Paragraph 8G(2)(c)

Omit “$22,801”, substitute “$23,226”.

 13 Subparagraph 8G(3)(a)(ii)

Omit “$22,801”, substitute “$23,226”.

 14 Application of amendments

The amendments made by this Schedule apply to assessments for the 2020-21 year of income and later years of income.

 Family Home Guarantee

National Housing Finance and Investment Corporation Act 2018

 1 At the end of section 3

Add:

; and (f) assisting earlier access to the housing market by single parents with dependants.

 Payments to Thalidomide survivors

Income Tax Assessment Act 1997

 1 Section 11-15 (table item headed “welfare”)

After:

insert:

 2 Section 51-30 (before table item 5.6)

Insert:

 3 Application of amendments

The amendments of the Income Tax Assessment Act 1997 made by this Part apply to assessments for the 2021-22 income year and later income years.

Social Security Act 1991

 4 After paragraph 8(8)(vc)

Insert:

Veterans’ Entitlements Act 1986

 vd

a payment under the program established by the Commonwealth and known as the Support for Australia’s Thalidomide Survivors program;

 5 After paragraph 5H(8)(xb)

Insert:

 xc

a payment under the program established by the Commonwealth and known as the Support for Australia’s Thalidomide Survivors program;

 6 Application of amendments

The amendments of the Social Security Act 1991 and the Veterans’ Entitlements Act 1986 made by this Part apply in relation to payments under the Support for Australia’s Thalidomide Survivors program made on or after the commencement of this item.

 Recovery grants for 2021 floods and storms

Income Tax Assessment Act 1997

 1 Section 11-55 (at the end of the table item headed “disasters”)

Add:

 2 After section 59-97

Insert:

 59-99 2021 floods and storms—recovery grants

A payment is not assessable income and is not *exempt income if:

 a

for the purposes of the Disaster Recovery Funding Arrangements 2018 (set out in a determination made by the Minister for Law Enforcement and Cyber Security on 5 June 2018), the payment is a recovery grant made to a small business or primary producer as part of a Category D measure; and

 b

the payment relates to:

 i

floods commencing in Australia as a consequence of rainfall events occurring in the period between 19 February 2021 and 31 March 2021; or

 ii

storms occurring in Australia in that period.

 3 Application of amendments

The amendments made by this Schedule apply to assessments for the 2020-2021 income year and later income years.

 Deductible gift recipients—new specific recipients

Income Tax Assessment Act 1997

 1 In the appropriate position in subsection 30-25(2) (table)

Insert:

 2 Subsection 30-40(2) (cell at table item 3.2.15, column headed “Special conditions”)

Repeal the cell, substitute:

 3 In the appropriate position in subsection 30-45(2) (table)

Insert:

 4 Subsection 30-100(2) (cell at table item 12.2.5, column headed “Special conditions”)

Repeal the cell, substitute:

 5 In the appropriate position in section 30-105 (table)

Insert:

 6 Section 30-315 (before table item 2AD)

Insert:

 7 Section 30-315 (after table item 4)

Insert:

 8 Section 30-315 (before table item 53)

Insert:

 9 Section 30-315 (after table item 64)

Insert:

 10 Section 30-315 (after table item 94AB)

Insert:

 11 Section 30-315 (at the end of the table)

Add:

[Minister’s second reading speech made in—

House of Representatives on 13 May 2021

Senate on 15 June 2021]

(52/21)