Commonwealth Numbered Acts

SOCIAL SECURITY LEGISLATION AMENDMENT ACT (No. 2) 1992 No. 229, 1992 - SECT 75

75. Pension Rate Calculator C in section 1066 is amended:

   (a)  by inserting after Step 1 of the Method statement in point 1066-A1 the
        following Step:

"Step 2. Work out the amount per year (if any) of pharmaceutical allowance
using MODULE C below.";

   (b)  by inserting after Module B the following Module:

"MODULE C - PHARMACEUTICAL ALLOWANCE Qualification for pharmaceutical
allowance

"1066-C1. Subject to points 1066-C2, 1066-C3 and 1066-C5, an additional amount
by way of pharmaceutical allowance is to be added to a person's maximum basic
rate if:

   (a)  the person is an Australian resident; and

   (b)  the person is in Australia. No pharmaceutical allowance if person
        receiving pharmaceutical allowance under the Veterans' Entitlements
        Act

"1066-C2. Pharmaceutical allowance is not to be added to a person's maximum
basic rate if the person is receiving pharmaceutical allowance under the
Veterans' Entitlements Act. Note: a person can receive both:

   (a)  a disability pension under the VEA; and

   (b)  a pension under this Act; and pharmaceutical allowance might be built
        into the disability pension rate. No pharmaceutical allowance before
        advance payment period ends

"1066-C3. Pharmaceutical allowance is not to be added to a person's maximum
basic rate if:

   (a)  the person has received an advance pharmaceutical allowance under:

        (i)    Part 2.23 of this Act; or

        (ii)   Division 2 of Part VIIA of the Veterans' Entitlements Act; and

   (b)  the person's advance payment period has not ended. Note: for 'advance
        payment period' see point 1066-C4. Advance payment period

"1066-C4. A person's advance payment period:

   (a)  starts on the day on which the advance pharmaceutical allowance is
        paid to the person; and

   (b)  ends after the number of paydays worked out using the following
        formula have passed:
amount of advance X 26
pharmaceutical allowance rate where:
'amount of advance' is the amount of the advance paid to the person;
'pharmaceutical allowance rate' is the yearly amount of pharmaceutical
allowance which would be added to the person's maximum basic rate in working
out the instalment for the day on which the advance is paid if pharmaceutical
allowance were to be added to the person's maximum basic rate on that day. No
pharmaceutical allowance if annual limit reached

"1066-C5. Pharmaceutical allowance is not to be added to a person's maximum
basic rate if:

   (a)  the person has received an advance pharmaceutical allowance during the
        current calendar year; and

   (b)  the total amount paid to the person for that year by way of:

        (i)    pharmaceutical allowance; and

        (ii)   advance pharmaceutical allowance; equals the total amount of
               pharmaceutical allowance that would have been paid to the
               person during that year if the person had not received any
               advance pharmaceutical allowance. Note 1: for the amount 'paid'
               to a person by way of pharmaceutical allowance see subsections
               19A(2) to (6). Note 2: the annual limit is affected by:
. how long during the calendar year the person was on pension or benefit;
. the rate of pharmaceutical allowance the person attracts at various times
depending on the person's family situation. VEA payments taken into account

"1066-C6. In points 1066-C4 and 1066-C5:
'advance pharmaceutical allowance' includes advance pharmaceutical allowance
under the Veterans' Entitlements Act;
'pharmaceutical allowance' includes pharmaceutical allowance under the
Veterans' Entitlements Act. Amount of pharmaceutical allowance

"1066-C7. The amount of pharmaceutical allowance is $135.20 per year ($5.20
per fortnight). Note: the annnual amount is adjusted annually in line with CPI
increases (see section 1206A).".