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FAMILY AND COMMUNITY SERVICES LEGISLATION AMENDMENT (FAMILY ASSISTANCE AND RELATED MEASURES) ACT 2005 NO. 61, 2005 - SCHEDULE 4

- Rent assistance
Part 1—Duplicate rent assistance payments

Division 1—Amendments

A New Tax System (Family Assistance) Act 1999

1
Subsection 3(1)

Insert:

"income support supplement" has the same meaning as in the Social Security Act 1991 .

2
Clause 3 of Schedule 1

Omit "clause 5", substitute "clauses 4A, 4B and 5".

3
After clause 4 of Schedule 1

Insert:

4A
Offsetting for duplicate rent assistance under family assistance and social security law

When this clause applies

(1)
This clause applies if:

(a) a decision (the social security decision ) was made that rent assistance was to be included when calculating an individual's, or an individual's eligible partner's, rate of social security payment for a day; and
(b) when the social security decision was made, no decision (the family assistance decision ) to make a determination that includes, or to vary a determination to include, rent assistance when calculating the individual's Part A rate of family tax benefit for that day had been made; and
(c) after the social security decision was made, the family assistance decision was made; and
(d) the day mentioned in paragraphs (a) and (b) comes before the day on which the family assistance decision was made.

Note: For the definition of eligible partner see subclause (5).

Part A rate to be reduced

(2)
The individual's Part A rate for that day (as calculated or recalculated because of the making of the family assistance decision) is to be reduced:

(a) first, by the individual's annual social security RA amount for that day (see subclause (3)); and
(b) then, by the individual's eligible partner's annual social security RA amount for that day (see subclause (4)).

However, it is not to be reduced to less than:

(c) if it has been calculated for the first time under clause 3 because of the making of the family assistance decision—nil; and
(d) if it has been recalculated under clause 3 because of the making of the family assistance decision—the Part A rate as it was immediately before the recalculation.

(3)
The individual's annual social security RA amount for that day is the amount worked out as follows:

Method statement

Step 1 . Work out the rate (if any) of social security payment (the actual payment ) that was payable to the individual for that day.
Step 2 . Work out the rate (if any) of social security payment (the notional payment ) that would have been payable to the individual for that day if rent assistance were not included when calculating the rate of the individual's social security payment for that day.
Step 3. Subtract the notional payment from the actual payment. The difference is the individual's daily social security RA amount for that day.
Step 4. Multiply the individual's daily social security RA amount for that day by 365. The result is the individual's annual social security RA amount for that day.

(4)
The individual's eligible partner's annual social security RA amount for that day is the amount worked out as follows:

Method statement

Step 1 . Work out the rate (if any) of social security payment (the actual payment ) that was payable to the individual's eligible partner for that day.
Step 2 . Work out the rate (if any) of social security payment (the notional payment ) that would have been payable to the eligible partner for that day if rent assistance were not included when calculating the rate of the eligible partner's social security payment for that day.
Step 3. Subtract the notional payment from the actual payment. The difference is the eligible partner's daily social security RA amount for that day.
Step 4. Multiply the eligible partner's daily social security RA amount for that day by 365. The result is the individual's eligible partner's annual social security RA amount for that day.

(5)
For the purposes of this clause, an individual is the eligible partner of another individual if both individuals are members of a couple (other than an illness separated couple, a respite care couple or a temporarily separated couple).

4B
Offsetting for duplicate rent assistance under family assistance and veterans' entitlements law

When this clause applies

(1)
This clause applies if:

(a) a decision (the veterans' entitlements decision ) was made that rent assistance was to be included when calculating an individual's, or an individual's eligible partner's, rate of service pension or income support supplement for a day; and
(b) when the veterans' entitlements decision was made, no decision (the "family assistance decision") to make a determination that includes, or to vary a determination to include, rent assistance when calculating the individual's Part A rate of family tax benefit for that day had been made; and
(c) after the veterans' entitlements decision was made, the family assistance decision was made; and
(d) the day mentioned in paragraphs (a) and (b) comes before the day on which the family assistance decision was made.

Note: For the definition of eligible partner see subclause (5).

Part A rate to be reduced

(2)
The individual's Part A rate for that day (as calculated or recalculated because of the making of the family assistance decision and as reduced (if at all) under clause 4A) is to be reduced:

(a) first, by the individual's annual veterans' entitlements RA amount for that day (see subclause (3)); and
(b) then, by the individual's eligible partner's annual veterans' entitlements RA amount for that day (see subclause (4)).

However, it is not to be reduced to less than:

(c) if it has been calculated for the first time under clause 3 because of the making of the family assistance decision—nil; and
(d) if it has been recalculated under clause 3 because of the making of the family assistance decision—the Part A rate as it was immediately before the recalculation.

(3)
The individual's annual veterans' entitlements RA amount for that day is the amount worked out as follows:

Method statement

Step 1 . Work out the rate (if any) of service pension or income support supplement (the actual payment ) that was payable to the individual for that day.
Step 2 . Work out the rate (if any) of service pension or income support supplement (the notional payment ) that would have been payable to the individual for that day if rent assistance were not included when calculating the rate of the individual's service pension or income support supplement for that day.
Step 3. Subtract the notional payment from the actual payment. The difference is the individual's provisional veterans' entitlements RA amount for that day.
Step 4. Divide the individual's provisional veterans' entitlements RA amount for that day by 364, then multiply it by 365. The result is the individual's annual veterans' entitlements RA amount for that day.

(4)
The individual's eligible partner's annual veterans' entitlements RA amount for that day is the amount worked out as follows:

Method statement

Step 1 . Work out the rate (if any) of service pension or income support supplement (the actual payment ) that was payable to the individual's eligible partner for that day.
Step 2 . Work out the rate (if any) of service pension or income support supplement (the notional payment ) that would have been payable to the eligible partner for that day if rent assistance were not included when calculating the amount of the eligible partner's service pension or income support supplement for that day.
Step 3. Subtract the notional payment from the actual payment. The difference is the eligible partner's provisional veterans' entitlements RA amount for that day.
Step 4. Divide the eligible partner's provisional veterans' entitlements RA amount for that day by 364, then multiply it by 365. The result is the individual's eligible partner's annual veterans' entitlements RA amount for that day.

(5)
For the purposes of this clause, an individual is the eligible partner of another individual if both individuals are members of a couple (other than an illness separated couple or a respite care couple).

4
Subclause 5(1) of Schedule 1

After "Part A rate", insert "(as reduced (if at all) under clauses 4A and 4B)".

5
Clause 17 of Schedule 1

Omit "or a service pension or is receiving income support supplement under Part IIIA of the Veterans' Entitlements Act 1986 ", substitute ", a service pension or income support supplement".

Social Security Act 1991

6
Subsection 23(1)

Insert:

Part A rate of family tax benefit is the Part A rate of family tax benefit worked out under Part 2 or 3 of Schedule 1 to the Family Assistance Act.

7
Subsection 1070D(3)

Repeal the subsection, substitute:

(3)
The specific requirement is that:

(a) in a paragraph (2)(a) case, either of the following is satisfied:
(i) the person's maximum Part A rate of family tax benefit does not include rent assistance;
(ii) the person's maximum Part A rate of family tax benefit includes rent assistance and clause 4A of Schedule 1 to the Family Assistance Act applies to reduce the person's Part A rate of family tax benefit; and
(b) in a paragraph (2)(b) case, either of the following is satisfied:
(i) the person's, or the person's partner's, maximum Part A rate of family tax benefit does not include rent assistance;
(ii) the person's, or the person's partner's, maximum Part A rate of family tax benefit includes rent assistance and clause 4A or 4B of Schedule 1 to the Family Assistance Act applies to reduce the person's, or the person's partner's, Part A rate of family tax benefit.

8
Section 1070E

Omit all the words after "is that", substitute:

either of the following is satisfied:

(c) the person's maximum Part A rate of family tax benefit does not include rent assistance;
(d) the person's maximum Part A rate of family tax benefit includes rent assistance and clause 4A of Schedule 1 to the Family Assistance Act applies to reduce the person's Part A rate of family tax benefit.

9
Paragraph 1070F(2)(c)

Omit "the person's maximum Part A rate of family tax benefit does not include rent assistance; and", substitute:

either of the following is satisfied:
(iii) the person's maximum Part A rate of family tax benefit does not include rent assistance;
(iv) the person's maximum Part A rate of family tax benefit includes rent assistance and clause 4A of Schedule 1 to the Family Assistance Act applies to reduce the person's Part A rate of family tax benefit; and

10
Paragraph 1070F(2)(d)

Omit "the maximum Part A rate of family tax benefit of the person, or the person's partner, does not include rent assistance.", substitute:

either of the following is satisfied:
(iii) the person's, or the person's partner's, maximum Part A rate of family tax benefit does not include rent assistance;
(iv) the person's, or the person's partner's, maximum Part A rate of family tax benefit includes rent assistance but clause 4A or 4B of Schedule 1 to the Family Assistance Act applies to reduce the person's, or the person's partner's, Part A rate of family tax benefit.

11
Paragraph 1070F(3)(c)

Omit "the person's maximum Part A rate of family tax benefit does not include rent assistance; and", substitute:

either of the following is satisfied:
(iii) the person's maximum Part A rate of family tax benefit does not include rent assistance;
(iv) the person's maximum Part A rate of family tax benefit includes rent assistance and clause 4A of Schedule 1 to the Family Assistance Act applies to reduce the person's Part A rate of family tax benefit; and

12
Paragraph 1070F(3)(d)

Omit "the maximum Part A rate of family tax benefit of the person, or the person's partner, does not include rent assistance.", substitute:

either of the following is satisfied:
(iii) the person's, or the person's partner's, maximum Part A rate of family tax benefit does not include rent assistance;
(iv) the person's, or the person's partner's, maximum Part A rate of family tax benefit includes rent assistance but clause 4A or 4B of Schedule 1 to the Family Assistance Act applies to reduce the person's, or the person's partner's, Part A rate of family tax benefit.

13
Paragraph 1070G(1)(c)

Omit "the person's maximum Part A rate of family tax benefit does not include rent assistance; and", substitute:

either of the following is satisfied:
(iii) the person's maximum Part A rate of family tax benefit does not include rent assistance;
(iv) the person's maximum Part A rate of family tax benefit includes rent assistance and clause 4A of Schedule 1 to the Family Assistance Act applies to reduce the person's Part A rate of family tax benefit; and

14
Paragraph 1070G(1)(d)

Omit "the maximum Part A rate of family tax benefit of the person, or the person's partner, does not include rent assistance.", substitute:

either of the following is satisfied:
(iii) the person's, or the person's partner's, maximum Part A rate of family tax benefit does not include rent assistance;
(iv) the person's, or the person's partner's, maximum Part A rate of family tax benefit includes rent assistance but clause 4A or 4B of Schedule 1 to the Family Assistance Act applies to reduce the person's, or the person's partner's, Part A rate of family tax benefit.

15
Paragraph 1070H(2)(c)

Omit "the person's maximum Part A rate of family tax benefit does not include rent assistance; and", substitute:

either of the following is satisfied:
(iii) the person's maximum Part A rate of family tax benefit does not include rent assistance;
(iv) the person's maximum Part A rate of family tax benefit includes rent assistance and clause 4A of Schedule 1 to the Family Assistance Act applies to reduce the person's Part A rate of family tax benefit; and

16
Paragraph 1070H(2)(d)

Omit "the maximum Part A rate of family tax benefit of the person, or the person's partner, does not include rent assistance.", substitute:

either of the following is satisfied:
(iii) the person's, or the person's partner's, maximum Part A rate of family tax benefit does not include rent assistance;
(iv) the person's, or the person's partner's, maximum Part A rate of family tax benefit includes rent assistance but clause 4A or 4B of Schedule 1 to the Family Assistance Act applies to reduce the person's, or the person's partner's, Part A rate of family tax benefit.

17
Paragraph 1070J(b)

Omit "the person's maximum Part A rate of family tax benefit does not include rent assistance; and", substitute:

either of the following is satisfied:
(iii) the person's maximum Part A rate of family tax benefit does not include rent assistance;
(iv) the person's maximum Part A rate of family tax benefit includes rent assistance and clause 4A of Schedule 1 to the Family Assistance Act applies to reduce the person's Part A rate of family tax benefit; and

18
Paragraph 1070J(c)

Omit "the maximum Part A rate of family tax benefit of the person, or the person's partner, does not include rent assistance.", substitute:

either of the following is satisfied:
(iii) the person's, or the person's partner's, maximum Part A rate of family tax benefit does not include rent assistance;
(iv) the person's, or the person's partner's, maximum Part A rate of family tax benefit includes rent assistance but clause 4A or 4B of Schedule 1 to the Family Assistance Act applies to reduce the person's, or the person's partner's, Part A rate of family tax benefit.

Social Security (Administration) Act 1999

19
After subsection 118(12)

Insert:

(12A)
If:

(a) a decision (the social security decision ) was made that rent assistance (the social security rent assistance ) was to be included when calculating a person's rate of social security payment for each day in a period; and
(b) the condition in subsection (12B) is met for each day in that period (which is about rent assistance also being included in family tax benefit); and
(c) because the inclusion of the social security rent assistance was contrary to Part 3.7 of the 1991 Act, an adverse determination is made to reduce the rate of, or cancel, the person's social security payment for each day in that period;

the adverse determination takes effect on the first day of that period.

(12B)
The condition in this subsection is met for each day in a period if:

(a) both of the following apply:
(i) the person was a member of a couple (other than an illness separated couple, a respite care couple or a temporarily separated couple) on each day in the period;
(ii) when the social security decision was made, a determination under the family assistance law was in force that included rent assistance when calculating the person's, or the person's partner's, Part A rate of family tax benefit for each day in the period; or
(b) both of the following apply:
(i) the person was not a member of a couple, or was a member of an illness separated couple, a respite care couple, or a temporarily separated couple, on each day in the period;
(ii) when the social security decision was made, a determination under the family assistance law was in force that included rent assistance when calculating the person's Part A rate of family tax benefit for each day in the period; or
(c) all of the following apply:
(i) when the social security decision was made, no determination of a kind mentioned in subparagraph (a)(ii) or (b)(ii) (as the case requires) was in force;
(ii) after the social security decision was made, such a determination was made;
(iii) each day in the period either is, or comes after, the day on which the determination was made.

Veterans' Entitlements Act 1986

20
Section 5 (index of definitions)

Insert the following entry in its appropriate alphabetical position, as determined on a letter-by-letter basis:


maximum Part A rate of family tax benefit


5F(1)


21
Subsection 5F(1)

Insert:

maximum Part A rate of family tax benefit is the maximum rate worked out in step 1 of the method statement in clause 3 of Schedule 1 to the Family Assistance Act.

22
Subsection 56H(3)

Omit "and (8)", substitute ", (8) or (9)".

23
At the end of section 56H

Add:

Duplicate payments of rent assistance

(9)
If:

(a) a decision (the veterans' entitlements decision ) was made that rent assistance (the veterans' entitlements rent assistance ) was to be included when calculating a person's rate of service pension or income support supplement for each day in a period; and
(b) the condition in subsection (10) is met for each day in that period (which is about rent assistance also being included in family tax benefit); and
(c) because the inclusion of the veterans' entitlements rent assistance was contrary to Module C of the Rate Calculator, an adverse determination is made to reduce the rate of, or cancel, the person's service pension or income support supplement for each day in that period;

the day specified under paragraph (2)(b) must be the first day of that period and may be earlier than the day on which the determination is made.

(10)
The condition in this subsection is met for each day in a period if:

(a) both of the following apply:
(i) the person was a member of a couple (other than an illness separated couple or a respite care couple) on each day in the period;
(ii) when the veterans' entitlements decision was made, a determination under the family assistance law was in force that included rent assistance when calculating the person's, or the person's partner's, Part A rate of family tax benefit for each day in that period; or
(b) both of the following apply:
(i) the person was not a member of a couple, or was a member of an illness separated couple, or a respite care couple, on each day in the period;
(ii) when the veterans' entitlements decision was made, a determination under the family assistance law was in force that included rent assistance when calculating the person's Part A rate of family tax benefit for each day in that period; or
(c) all of the following apply:
(i) when the veterans' entitlements decision was made, no determination of a kind mentioned in subparagraph (a)(ii) or (b)(ii) (as the case requires) was in force;
(ii) after the veterans' entitlements decision was made, such a determination was made;
(iii) each day in the period either is, or comes after, the day on which the determination was made.

24
Paragraph SCH6-C3(f) of Schedule 6

Repeal the paragraph, substitute:

(f) the person satisfies either point SCH6-C3A or SCH6-C3B.

25
After point SCH6-C3 of Schedule 6

Insert:

SCH6-C3A A person satisfies this point if:

(a) the person is not a member of a couple, or is a member of an illness separated couple or a respite care couple, and is entitled to be paid a family tax benefit; and
(b) either:
(i) the person's maximum Part A rate of family tax benefit does not include rent assistance; or
(ii) the person's maximum Part A rate of family tax benefit includes rent assistance and clause 4B of Schedule 1 to the Family Assistance Act applies to reduce the person's Part A rate of family tax benefit.

SCH6-C3B A person satisfies this point if:

(a) the person is a member of a couple (other than an illness separated couple or a respite care couple) and the person, or the person's partner, is entitled to be paid family tax benefit; and
(b) either:
(i) the person's, or the person's partner's, maximum Part A rate of family tax benefit does not include rent assistance; or
(ii) the person's, or the person's partner's, maximum Part A rate of family tax benefit includes rent assistance and clause 4A or 4B of Schedule 1 to the Family Assistance Act applies to reduce the person's, or the person's partner's, Part A rate of family tax benefit.
Division 2—Application of amendments

26
Application of items 2 to 4

The amendments made by items 2 to 4 of this Schedule apply in relation to a decision, made after the commencement of this item, to make a determination that includes, or to vary a determination to include, rent assistance when calculating an individual's Part A rate of family tax benefit for a day that occurs before or after that commencement.

27
Application of items 7 to 18

The amendments made by items 7 to 18 of this Schedule apply in relation to a decision, made after the commencement of this item, calculating the rate of a social security payment for a day that occurs before or after that commencement.

28
Application of item 19

The amendment made by item 19 applies in relation to an adverse determination, made after the commencement of this item, to reduce the rate of, or cancel, a person's social security payment for a day that occurs after that commencement.

29
Application of items 22 and 23

The amendments made by items 22 and 23 apply in relation to an adverse determination, made after the commencement of this item, to reduce the rate of, or cancel, a person's service pension or income support supplement for a day that occurs after that commencement.

30
Application of items 24 and 25

The amendments made by items 24 and 25 of this Schedule apply in relation to a decision, made after the commencement of this item, calculating the rate of service pension or income support supplement for a day that occurs before or after that commencement.


Part 2—Rent certificates

A New Tax System (Family Assistance) (Administration) Act 1999

31
After subsection 29(2)

Insert:

(2A)
Without limiting subsection (2), if the information or documents required relate to:

(a) the claimant's eligibility for rent assistance; or
(b) the amount of rent assistance to be added in calculating the claimant's rate of family tax benefit;

the Secretary may vary the determination so as to establish a different rate of family tax benefit that does not have the amount of rent assistance added for any day, on which the determination was or will be in force, after the end of the last instalment period before the variation takes place or from a later day determined by the Secretary.

Note: The heading to subsection 29(2) is altered by omitting " Consequence " and substituting " Consequences ".

32
Subsection 29(3)

After "subsection (2)" (wherever occurring), insert "or (2A)".

33
Subsection 31(3)

Repeal the subsection, substitute:

Sections 27, 27A, 28, 28A, 28B, 30, 30A and 30B and subsection 29(2) variations prevail

(3)
If:

(a) when the variation under this section takes place, a variation of the determination is in force under section 27, 27A, 28, 28A, 28B, 30, 30A or 30B or subsection 29(2); and
(b) the variation under that section or subsection has effect for any period when the variation under this section would have the effect that the claimant is entitled to be paid family tax benefit;

the variation under that section or subsection prevails over the variation under this section.

34
Subsection 31A(3)

Repeal the subsection, substitute:

(3)
If:

(a) when the variation under this section takes place, a variation of the determination is in force under section 27, 27A, 28, 28A, 28B, 30, 30A or 30B or subsection 29(2); and
(b) the variation under that section or subsection has effect for any period when the variation under this section would have the effect that the claimant is entitled to be paid family tax benefit;

the variation under that section or subsection prevails over the variation under this section.

35
Subsection 31B(3)

Repeal the subsection, substitute:

(3)
If:

(a) when the variation under this section takes place, a variation of the determination is in force under section 27, 27A, 28, 28A, 28B, 30, 30A or 30B or subsection 29(2); and
(b) the variation under that section or subsection has effect for any period when the variation under this section would have the effect that the claimant is entitled to be paid family tax benefit;

the variation under that section or subsection prevails over the variation under this section.

Social Security (Administration) Act 1999

36
After section 81

Insert:

81A
Rate reduction determination for non-compliance with notice relating to rent assistance
(1)
Without limiting section 81, if:

(a) an amount of rent assistance is being added to a person's maximum basic rate of social security payment; and
(b) the person has been given:
(i) a notice under section 67 or 68 that requires the person to give the Department a statement; or
(ii) a notice embodying a requirement under Division 1 of Part 5; and
(c) any statement, information or document required by the notice relates to:
(i) whether the person qualifies for rent assistance; or
(ii) the amount of the person's rent assistance; and
(d) the person does not comply with the requirement of the notice;

the Secretary may determine that the person's rate of social security payment is to be reduced by not adding the amount of rent assistance to the person's maximum basic rate.

(2)
The determination must also specify the new rate of social security payment.

(3)
Subsection (1) does not authorise the Secretary to make a determination if:

(a) another provision of the social security law provides that the rate at which the social security payment is payable to the person is to be reduced by not adding the amount of rent assistance to the person's maximum basic rate; and
(b) the determination would take effect at or after the time at which the reduction referred to in paragraph (a) would take effect.

37
At the end of Subdivision A of Division 7 of Part 3

Add:

85A
Rate increase determination following rate reduction for
non-compliance with notice relating to rent assistance
(1)
If:

(a) the Secretary reduces a person's rate of social security payment under section 81A by not adding an amount of rent assistance to the person's maximum basic rate; and
(b) the Secretary reconsiders the decision; and
(c) as a result of the reconsideration, the Secretary is satisfied that, because of the decision, the rate at which social security payment is being, or has been, paid is less than the rate provided for by the social security law;

the Secretary must determine that the rate is to be increased to the rate provided for by the social security law.

(2)
The determination must also specify the new rate of social security payment.

(3)
The reconsideration referred to in paragraph (1)(b) may be a reconsideration on an application under section 129 or a reconsideration on the Secretary's own initiative.

38
Subdivision B of Division 9 of Part 3 (heading)

Repeal the heading, substitute:


Subdivision B—Determinations under section 78, 81A, 85 or 85A 39
Section 108 (definition of favourable determination )

Omit "or 85", substitute ", 85 or 85A".

40
Section 117 (definition of adverse determination )

After ", 81", insert ", 81A".

41
Paragraph 123(3)(a)

Omit "or 79", substitute ", 79, 81A or 85A".


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