Commonwealth Numbered Acts

SOCIAL SECURITY (BUDGET AND OTHER MEASURES) LEGISLATION AMENDMENT ACT 1993 No. 121, 1993 - SECT 77

77. Section 1170 of the Principal Act is amended:

   (a)  by omitting paragraph (1)(b) and substituting the following paragraph:

"(b) the person receives payments of a compensation affected payment for the
periodic payments period; and";

   (b)  by omitting from paragraph (1)(c) "pension, benefit or allowance
        referred to in paragraph (b)" and substituting "compensation affected
        payment";

   (c)  by omitting the Note to paragraph (1)(c);

   (d)  by omitting from paragraph (1)(d) "those pension, benefit or allowance
        payments" and substituting "the payments referred to in paragraph
        (b)";

   (e)  by inserting at the end of subsection (1) the following Note:

"Note: If a person was, at the time of the event that gave rise to the
entitlement of the person to compensation, receiving a pension, benefit or
allowance referred to in paragraph (b), the compensation is treated as
ordinary income. In cases where arrears of periodic compensation payments are
treated as ordinary income and a 'compensation debt' is involved then see
subsections 146E(7) and (8) (disability support pension), 185(7) and (8)
(disability support wife pension), 234(7) and (8) (carer pension), 300(7) and
(8) (sole parent pension), 589(7) and (8) (job search allowance), 660L(7) and
(8) (newstart allowance), 660XJQ(7) and (8) (mature age allowance and mature
age partner allowance), 728R(7) and (8) (sickness allowance) or 821(7) and (8)
(special needs disability support pension and disability support wife
pension).";

   (f)  by omitting from column 4 of item 2 of the Recoverable Amount Table in
subsection (2) "WP" and substituting "DSWP";

   (g)  by inserting in column 4 of item 2 of the Recoverable Amount Table in
subsection (2) "SNDSWP" after "SNDSP";

   (h)  by inserting in column 3 of item 3 of the Recoverable Amount Table in
subsection (2) "DSWP" after "SSB";

   (i)  by inserting in column 3 of item 3 of the Recoverable Amount Table in
subsection (2) "SNDSWP" after "SNDSP";

   (j)  by omitting from column 4 of item 3 of the Recoverable Amount Table in
subsection (2) "WP" and substituting "DSWP";

   (k)  by inserting in column 4 of item 3 of the Recoverable Amount Table in
subsection (2) "SNDSWP" after "SNDSP";

   (l)  by omitting from the Key to the Recoverable Amount Table in subsection
        (2) "WP = wife pension" and substituting "DSWP = disability support
        wife pension";

   (m)  by inserting in the Key to the Recoverable Amount Table in subsection
        (2) "SNDSWP = special needs disability support wife pension" after
        "SNDSP = special needs disability support pension";

   (n)  by adding at the end the following subsection:

"(5) Subsection (1) applies to:

   (a)  a wife pension recipient; or

   (b)  a special needs wife pension recipient;
only if:

   (c)  the compensation is received on or after 1 January 1994; and

   (d)  the claim for the pension is made on or after 1 January 1994.".