SOCIAL SERVICES AND OTHER LEGISLATION AMENDMENT (2014 BUDGET MEASURES NO. 2) BILL 2014

2013-2014

The Parliament of the

Commonwealth of Australia

HOUSE OF REPRESENTATIVES

Presented and read a first time

Social Services and Other Legislation

Amendment (2014 Budget Measures

No. 2) Bill 2014

No. , 2014

(Social Services)

A Bill for an Act to amend the law relating to social

security, family assistance, veterans' entitlements

and farm household support, and for related

purposes

No. , 2014

Social Services and Other Legislation Amendment (2014 Budget

Measures No. 2) Bill 2014

Contents

Short title ........................................................................................... 1

Commencement ................................................................................. 1

Schedule(s) ........................................................................................ 3

Schedule 1--Indexation and deeming thresholds

Part 1--Amendments commencing 1 January 2015

Social Security Act 1991

Veterans' Entitlements Act 1986

Part 2--Amendments commencing 1 July 2017

Income Tax Assessment Act 1997

Social Security Act 1991

Veterans' Entitlements Act 1986

Part 3--Amendments commencing 20 September 2017

Social Security Act 1991

Veterans' Entitlements Act 1986

Schedule 2--Disability support pension

Social Security Act 1991

Social Security (Administration) Act 1999

Schedule 3--Young Carer Bursary Programme

Social Security Act 1991

Veterans' Entitlements Act 1986

Schedule 4--Seniors health card

Part 1--Seniors health card income test

Division 1--Main amendments

Social Security Act 1991

Veterans' Entitlements Act 1986

Division 2--Technical amendments

Social Security Act 1991

Veterans' Entitlements Act 1986

Social Services and Other Legislation Amendment (2014 Budget

Measures No. 2) Bill 2014

No. , 2014

Part 2--Portability

Social Security Act 1991

Schedule 5--Relocation scholarships

Social Security Act 1991

Schedule 6--Pensioner education supplement

Part 1--Main amendments

Social Security Act 1991

Social Security (Administration) Act 1999

Part 2--Other amendments

A New Tax System (Family Assistance) Act 1999

Farm Household Support Act 2014

Income Tax Assessment Act 1997

Part 3--Application and saving provisions

Schedule 7--Education entry payment

Part 1--Main amendments

Social Security Act 1991

Social Security (Administration) Act 1999

Veterans' Entitlements Act 1986

Part 2--Other amendments

Farm Household Support Act 2014

Income Tax Assessment Act 1936

Income Tax Assessment Act 1997

Taxation Administration Act 1953

Part 3--Application and saving provisions

Schedule 8--Age requirements for various Commonwealth

payments

Part 1--Main amendments

Social Security Act 1991

No. , 2014

Social Services and Other Legislation Amendment (2014 Budget

Measures No. 2) Bill 2014

iii

Part 2--Other amendments

Farm Household Support Act 2014

Schedule 9--Exclusion periods

Part 1--Main amendments

Social Security Act 1991

Part 2--Contingent amendments

Social Security Act 1991

Part 3--Other amendments

Farm Household Support Act 2014

Social Security Act 1991

Social Security (Administration) Act 1999

Part 4--Application and transitional provisions

Schedule 10--Family tax benefit

A New Tax System (Family Assistance) Act 1999

Schedule 11--Pension age

Social Security Act 1991

Veterans' Entitlements Act 1986

Schedule 12--Date of effect for veterans' disability pension

Veterans' Entitlements Act 1986

No. , 2014

Social Services and Other Legislation Amendment (2014 Budget

Measures No. 2) Bill 2014

A Bill for an Act to amend the law relating to social

security, family assistance, veterans' entitlements

and farm household support, and for related

purposes

The Parliament of Australia enacts:

1 Short title

This Act may be cited as the Social Services and Other Legislation

Amendment (2014 Budget Measures No. 2) Act 2014.

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

Social Services and Other Legislation Amendment (2014 Budget

Measures No. 2) Bill 2014

No. , 2014

column 2 of the table. Any other statement in column 2 has effect

according to its terms.

Commencement information

Column 1

Column 2

Column 3

Provision(s)

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.

2. Schedule 1,

Part 1

1 January 2015.

1 January 2015

3. Schedule 1,

Part 2

1 July 2017.

1 July 2017

4. Schedule 1,

Part 3

20 September 2017.

20 September

2017

5. Schedules 2 to

1 January 2015.

1 January 2015

6. Schedule 9,

Part 1

1 January 2015.

1 January 2015

7. Schedule 9,

Part 2

Immediately after the commencement of the

provision(s) covered by table item 6.

However, if the Social Security Legislation

Amendment (Increased Employment

Participation) Act 2014 does not receive the

Royal Assent, the provision(s) do not

commence at all.

8. Schedule 9,

Parts 3 and 4

1 January 2015.

1 January 2015

9. Schedule 10

1 July 2015.

1 July 2015

10. Schedule 11

The day this Act receives the Royal Assent.

11. Schedule 12

1 January 2015.

1 January 2015

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.

No. , 2014

Social Services and Other Legislation Amendment (2014 Budget

Measures No. 2) Bill 2014

(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 Schedule(s)

Each Act 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.

Schedule 1 Indexation and deeming thresholds

Part 1 Amendments commencing 1 January 2015

Social Services and Other Legislation Amendment (2014 Budget

Measures No. 2) Bill 2014

No. , 2014

Schedule 1

--Indexation and deeming

thresholds

Part 1

--Amendments commencing 1 January 2015

Social Security Act 1991

1 Before subsection 1192(5A)

Insert:

(5AC) The amount under item 14 of the CPI Indexation Table in

subsection 1191(1), except to the extent to which that item relates

to the amount in column 2 of Table E in point 1068A-E14 of the

Pension PP (Single) Rate Calculator, is not to be indexed on 1 July

2017, 1 July 2018 and 1 July 2019.

(5AD) Amounts under items 14AA, 14AB, 15 and 24 of the CPI

Indexation Table in subsection 1191(1) are not to be indexed on

1 January 2015, 1 January 2016 and 1 January 2017.

(5AE) Amounts under items 18, 19, 20, 35 and 36 of the CPI Indexation

Table in subsection 1191(1) are not to be indexed on 1 July 2017,

1 July 2018 and 1 July 2019.

Veterans' Entitlements Act 1986

2 Subsections 59C(2A) and (3)

Repeal the subsections, substitute:

(3) Amounts under items 4, 6, 7, 8, 11 and 12 of the CPI Indexation

Table in subsection 59B(1) are not to be indexed on 1 July 2017,

1 July 2018 and 1 July 2019.

Indexation and deeming thresholds Schedule 1

Amendments commencing 1 July 2017 Part 2

No. , 2014

Social Services and Other Legislation Amendment (2014 Budget

Measures No. 2) Bill 2014

Part 2

--Amendments commencing 1 July 2017

Income Tax Assessment Act 1997

3 Subsection 54-40(2) (note)

Omit "1195", substitute "1194".

Social Security Act 1991

4 Paragraph 1189(aa)

Repeal the paragraph.

5 Subsection 1192(2) (method statement, step 4)

Omit "subject to Division 3,".

6 Subsection 1192(2) (method statement, step 4)

Omit "(The indexed amount (including one replaced under Division 3)

may be increased under section 1195 in certain cases.)".

7 Section 1195

Repeal the section.

8 Division 3 of Part 3.16

Repeal the Division.

Veterans' Entitlements Act 1986

9 Paragraph 59(aa)

Repeal the paragraph.

10 Subsection 59C(2) (method statement, step 5)

Omit "subject to section 59EAA,".

Schedule 1 Indexation and deeming thresholds

Part 2 Amendments commencing 1 July 2017

Social Services and Other Legislation Amendment (2014 Budget

Measures No. 2) Bill 2014

No. , 2014

11 Subsection 59C(2) (method statement, step 5)

Omit "The indexed amount (including one replaced under

section 59EAA) may be increased under section 59EA in certain

cases.".

12 Sections 59EAA to 59EA

Repeal the sections.

13 Subsection 198(1) (definition of fortnightly MTAWE figure)

Repeal the definition.

Indexation and deeming thresholds Schedule 1

Amendments commencing 20 September 2017 Part 3

No. , 2014

Social Services and Other Legislation Amendment (2014 Budget

Measures No. 2) Bill 2014

Part 3

--Amendments commencing 20 September

2017

Social Security Act 1991

14 Subsections 1081(1) and (2)

Repeal the subsections, substitute:

(1) The deeming threshold for a person who is not a member of a

couple is $30,000.

(2) The deeming threshold for a pensioner couple is $50,000.

15 Subsection 1081(3) (note)

Repeal the note, substitute:

Note:

For indexation of the amounts in subsections (1) and (2), see

sections 1190 to 1192.

16 After subsection 1192(7)

Insert:

(7A) For the purposes of working out the indexed amount for Deeming

threshold individual on 1 July 2020, the current figure for Deeming

threshold individual immediately before that day is taken to be

$30,000.

(7B) For the purposes of working out the indexed amount for Deeming

threshold pensioner couple on 1 July 2020, the current figure for

Deeming threshold pensioner couple immediately before that day

is taken to be $50,000.

17 Application provision

The amendment made by item 14 applies in relation to working out the

rate of social security payments for days on or after 20 September 2017.

Schedule 1 Indexation and deeming thresholds

Part 3 Amendments commencing 20 September 2017

Social Services and Other Legislation Amendment (2014 Budget

Measures No. 2) Bill 2014

No. , 2014

Veterans' Entitlements Act 1986

18 Section 46H

Repeal the section, substitute:

46H Deeming threshold

(1) The deeming threshold for a person who is not a member of a

couple is $30,000.

(2) The deeming threshold for a couple is $50,000.

Note:

For indexation of the amounts in subsections (1) and (2), see

sections 59A to 59C.

19 At the end of section 59C

Add:

(4) For the purposes of working out the indexed amount for Deeming

threshold individual on 1 July 2020, the current figure for Deeming

threshold individual immediately before that day is taken to be

$30,000.

(5) For the purposes of working out the indexed amount for Deeming

threshold couple on 1 July 2020, the current figure for Deeming

threshold couple immediately before that day is taken to be

$50,000.

20 Application provision

The amendment made by item 18 applies in relation to working out the

rate of service pension or income support supplement for days on or

after 20 September 2017.

Disability support pension Schedule 2

No. , 2014

Social Services and Other Legislation Amendment (2014 Budget

Measures No. 2) Bill 2014

Schedule 2

--Disability support pension

Social Security Act 1991

1 Subsection 1215(1) (note)

After "Note", insert "1".

2 At the end of subsection 1215(1)

Add:

Note 2:

If the payment is disability support pension and the person's period of

absence extends beyond the end of the person's portability period for

the pension, the Secretary must cancel the pension with effect

immediately after the end of the portability period (see

subsections 80(1) and (3AA) and 118(11B) of the Administration

Act).

3 Paragraph 1217(2)(b)

Repeal the paragraph, substitute:

(b) except where an unlimited absence is specified in column 5

of the item or a provision of Subdivision B applies, the

absence does not:

(i) exceed the period specified in column 5 of that item; or

(ii) in the case of item 2--cause the total number of days

(whether consecutive or not) of the person's temporary

absence from Australia in the last 12 months to exceed

28, ignoring days in accordance with that item.

4 Subsection 1217(4)

Omit "a period of weeks", substitute "not an unlimited period".

5 Subparagraph 1217(4)(b)(ii)

Omit "of weeks".

6 Section 1217 (table item 2)

Repeal the item, substitute:

Disability

Australian

Any temporary

A total of 28 days

Schedule 2 Disability support pension

Social Services and Other Legislation Amendment (2014 Budget

Measures No. 2) Bill 2014

No. , 2014

support

pension

resident

disability

support

pensioner

absence, except for

any of the following

purposes:

(a) to seek eligible

medical

treatment;

(b) to attend to an

acute family

crisis;

purpose

(whether consecutive

or not) of temporary

absence from

Australia for any

purpose in the last 12

months, ignoring

days on which the

person was not

receiving disability

support pension (but

see also

sections 1218AAA,

1218AA, 1218AB,

1218, 1218C and

1218D)

2AA

Disability

support

pension

Australian

resident

disability

support

pensioner

Temporary absence

for any of the

following purposes:

(a) to seek eligible

medical

treatment;

(b) to attend to an

acute family

crisis;

purpose

4 weeks (but see also

sections 1218AAA,

1218AA, 1218AB,

1218, 1218C and

1218D)

7 Subsection 1218AA(3)

Repeal the subsection, substitute:

(3) If the Secretary revokes the determination, this Part has effect after

the revocation as if:

(a) the person's maximum portability period for the pension

were worked out under whichever one of items 2, 2AA and

2A of the table in section 1217 applies; and

(b) if the person was absent from Australia at the time of the

revocation--the person's absence started on the revocation;

and

not been absent from Australia at any time in the 12 months

before the revocation.

Disability support pension Schedule 2

No. , 2014

Social Services and Other Legislation Amendment (2014 Budget

Measures No. 2) Bill 2014

Social Security (Administration) Act 1999

8 After subsection 80(3)

Insert:

(3AA) Subsection (1) does not authorise the Secretary to make a

determination that suspends a person's disability support pension

if:

(a) paragraph (1)(a) does not apply to the person; and

(b) paragraph (1)(b) of this section applies because of

paragraph 1215(1)(b) of the 1991 Act (whether or not

paragraph (1)(b) of this section also applies for other

reasons).

Note 1:

Paragraph 1215(1)(b) of the 1991 Act has the effect that disability

support pension is not payable to an Australian resident disability

support pensioner for so much of his or her absence from Australia as

occurs after the end of his or her portability period for the pension.

Note 2:

As a result of this subsection, subsection (1) obliges the Secretary to

make a determination cancelling an Australian resident disability

support pensioner's pension if he or she is qualified for the pension

but it is not, or was not, payable because he or she remained absent

from Australia after the end of his or her portability period for the

pension.

9 After subsection 118(11A)

Insert:

(11B) A determination under section 80, that cancels a person's disability

support pension because the pension is not payable because the

person's absence from Australia extends beyond the end of the

person's portability period for the pension, takes effect

immediately after the end of the portability period.

Note:

Paragraph 1215(1)(b) of the 1991 Act has the effect that disability

support pension is not to be payable to the person if the person's

absence from Australia extends beyond the end of the person's

portability period for the pension. This gives rise to the obligation

under section 80 of this Act to cancel the person's disability support

pension.

Schedule 2 Disability support pension

Social Services and Other Legislation Amendment (2014 Budget

Measures No. 2) Bill 2014

No. , 2014

10 Application and transitional provisions

(1)

The amendments made by this Schedule apply in relation to temporary

absences of Australian resident disability support pensioners from

Australia that start on or after the commencement of this Schedule. For

this purpose, Australian resident disability support pensioner has the

same meaning as in Part 4.2 of the Social Security Act 1991.

(2)

In applying the amendments in relation to temporary absences that start

on, or in the first 12 months after, the commencement of this Schedule,

ignore days of temporary absence that occurred before that

commencement.

(3)

Despite subitem (1), the amendments made by this Schedule do not

apply in relation to an Australian resident disability support pensioner's

temporary absence from Australia if, before 14 May 2014, one or more

contracts were made for him or her to be transported:

(a) from Australia at the start of the absence; and

(b) back to Australia before 1 January 2016 for the end of the

absence.

Young Carer Bursary Programme Schedule 3

No. , 2014

Social Services and Other Legislation Amendment (2014 Budget

Measures No. 2) Bill 2014

Schedule 3

--Young Carer Bursary Programme

Social Security Act 1991

1 After paragraph 8(8)(jah)

Insert:

(jai) a payment of a bursary under the program established by the

Commonwealth and known as the Young Carer Bursary

Programme;

Veterans' Entitlements Act 1986

2 After paragraph 5H(8)(pabb)

Insert:

(pabc) a payment of a bursary under the program established by the

Commonwealth and known as the Young Carer Bursary

Programme;

Schedule 4 Seniors health card

Part 1 Seniors health card income test

Social Services and Other Legislation Amendment (2014 Budget

Measures No. 2) Bill 2014

No. , 2014

Schedule 4

--Seniors health card

Part 1

--Seniors health card income test

Division 1

--Main amendments

Social Security Act 1991

1 Point 1071-1 (method statement, after step 1)

Insert:

Step 1A. If, at the test time, the person, or the person's partner (if

any), has at least one long-term financial asset (see point

1071-13), work out the person's deemed income amount

under:

(a)

if, at the test time, the person is not a member of a

couple--point 1071-11A; or

(b)

if, at the test time, the person is a member of a

couple--point 1071-11B.

Step 1B. Work out the sum of the amounts at step 1 and step 1A (if

any).

2 Point 1071-1 (method statement, steps 3, 4 and 5)

Omit "person's adjusted taxable income for the reference tax year",

substitute "amount at step 1B".

3 After point 1071-11

Insert:

Deemed income amount

1071-11A This is how to work out the person's deemed income amount under

this point:

Method statement

Seniors health card Schedule 4

Seniors health card income test Part 1

No. , 2014

Social Services and Other Legislation Amendment (2014 Budget

Measures No. 2) Bill 2014

Step 1. Work out the total value of all of the person's long-term

financial assets (see point 1071-13) at the test time.

Step 2. Work out under section 1076 the amount of ordinary

income the person would be taken to receive per year on

the financial assets:

(a)

on the assumption that the only financial assets of

the person were the financial assets referred to in

step 1; and

(b)

on the assumption that the total value of the

person's financial assets were the amount at step 1.

Step 3. The result at step 2 is the person's deemed income

amount.

1071-11B This is how to work out the person's deemed income amount under

this point:

Method statement

Step 1. Work out the total value of all of the person's long-term

financial assets (see point 1071-13) at the test time.

Step 2. If, at the test time, the person's partner has reached the

minimum age mentioned in section 301-10 of the Income

Tax Assessment Act 1997, work out the total value of all

of the person's partner's long-term financial assets (see

point 1071-13) at the test time.

Step 3. Work out under section 1077 the amount of ordinary

income the couple would be taken to receive per year on

the financial assets:

(a)

on the assumption that section 1077 applied to the

person and the person's partner; and

Schedule 4 Seniors health card

Part 1 Seniors health card income test

Social Services and Other Legislation Amendment (2014 Budget

Measures No. 2) Bill 2014

No. , 2014

(b)

on the assumption that the only financial assets of

the person and the person's partner were the

financial assets referred to in steps 1 and 2; and

(c)

on the assumption that the total value of the

couple's financial assets were the sum of the

amounts at steps 1 and 2.

Step 4. Divide the amount at step 3 by 2: the result is the

person's deemed income amount.

4 Section 1071 (at the end of the Seniors Health Card Taxable

Income Test Calculator)

Add:

Long-term financial asset

1071-13 For the purposes of this Part, a long-term financial asset is:

(a) a financial investment within the meaning of paragraph (i) of

the definition of financial investment in subsection 9(1),

where the asset-tested income stream (long term) arises under

a complying superannuation plan (within the meaning of the

Income Tax Assessment Act 1997) that is not a

constitutionally protected fund (within the meaning of that

Act); or

(b) a financial investment within the meaning of paragraph (j) of

the definition of financial investment in subsection 9(1).

Note:

Schedule 4 to the Social Services and Other Legislation Amendment

(2014 Budget Measures No. 2) Act 2014 preserves the rules in this

Calculator for a certain kind of long-term financial asset that was

being provided to a person immediately before 1 January 2015 where

the person held a seniors health card immediately before that day

provided that, since that day, the person has held a seniors health card.

5 Application provisions

(1)

The amendments made by items 1 to 4 apply in relation to working out

whether a person is qualified for a seniors health card on a day

occurring on or after the commencement of those items.

(2)

However, if:

Seniors health card Schedule 4

Seniors health card income test Part 1

No. , 2014

Social Services and Other Legislation Amendment (2014 Budget

Measures No. 2) Bill 2014

(a) a person held a seniors health card under Division 2 of

Part 2A.1 of the Social Security Act 1991 immediately before

1 January 2015; and

(b) either:

(i) an asset-tested income stream (long term), that is an

account-based pension within the meaning of the

Superannuation Industry (Supervision)

Regulations 1994, was being provided to the person

immediately before 1 January 2015; or

(ii) an asset-tested income stream (long term), that is an

annuity (within the meaning of the Superannuation

Industry (Supervision) Act 1993) provided under a

contract that meets the standards determined in an

instrument under subparagraph 1099DAA(1)(b)(ii) of

the Social Security Act 1991, was being provided to the

person immediately before 1 January 2015;

the amendments made by items 1 to 4 do not apply in relation to the

person and that asset-tested income stream (long term).

(3)

Subitem (2) ceases to apply to the person at the end of the first day on

which the person ceases to hold a seniors health card under Division 2

of Part 2A.1 of the Social Security Act 1991.

Veterans' Entitlements Act 1986

6 Point 118ZZA-1 (method statement, after step 1)

Insert:

Step 1A. If, at the test time, the person, or the person's partner (if

any), has at least one long-term financial asset (see point

118ZZA-12), work out the person's deemed income

amount under:

(a)

if, at the test time, the person is not a member of a

couple--point 118ZZA-10A; or

(b)

if, at the test time, the person is a member of a

couple--point 118ZZA-10B.

Schedule 4 Seniors health card

Part 1 Seniors health card income test

Social Services and Other Legislation Amendment (2014 Budget

Measures No. 2) Bill 2014

No. , 2014

Step 1B. Work out the sum of the amounts at step 1 and step 1A (if

any).

7 Point 118ZZA-1 (method statement, steps 3, 4 and 5)

Omit "person's adjusted taxable income for the reference tax year",

substitute "amount at step 1B".

8 After point 118ZZA-10

Insert:

Deemed income amount

118ZZA-10A This is how to work out the person's deemed income amount

under this point:

Method statement

Step 1. Work out the total value of all of the person's long-term

financial assets (see point 118ZZA-12) at the test time.

Step 2. Work out under section 46D the amount of ordinary

income the person would be taken to receive per year on

his or her financial assets:

(a)

on the assumption that the only financial assets of

the person were the financial assets referred to in

step 1; and

(b)

on the assumption that the total value of the

person's financial assets were the amount at step 1.

Step 3. The result at step 2 is the person's deemed income

amount.

118ZZA-10B This is how to work out the person's deemed income amount

under this point:

Method statement

Seniors health card Schedule 4

Seniors health card income test Part 1

No. , 2014

Social Services and Other Legislation Amendment (2014 Budget

Measures No. 2) Bill 2014

Step 1. Work out the total value of all of the person's long-term

financial assets (see point 118ZZA-12) at the test time.

Step 2. If, at the test time, the person's partner has reached the

minimum age mentioned in section 301-10 of the Income

Tax Assessment Act 1997, work out the total value of all

of the person's partner's long-term financial assets (see

point 118ZZA-12) at the test time.

Step 3. Work out under section 46E the amount of ordinary

income the couple would be taken to receive per year on

their financial assets:

(a)

on the assumption that the only financial assets of

the person and the person's partner were the

financial assets referred to in steps 1 and 2; and

(b)

on the assumption that the total value of the

couple's financial assets were the sum of the

amounts at steps 1 and 2.

Step 4. Divide the amount at step 3 by 2: the result is the

person's deemed income amount.

9 Section 118ZZA (at the end of the Seniors Health Card

Income Test Calculator)

Add:

Long-term financial asset

118ZZA-12 For the purposes of this Division, a long-term financial asset is:

(a) a financial investment within the meaning of paragraph (i) of

the definition of financial investment in subsection 5J(1),

where the asset-tested income stream (long term) arises under

a complying superannuation plan (within the meaning of the

Income Tax Assessment Act 1997) that is not a

constitutionally protected fund (within the meaning of that

Act); or

Schedule 4 Seniors health card

Part 1 Seniors health card income test

Social Services and Other Legislation Amendment (2014 Budget

Measures No. 2) Bill 2014

No. , 2014

(b) a financial investment within the meaning of paragraph (j) of

the definition of financial investment in subsection 5J(1).

Note:

Schedule 4 to the Social Services and Other Legislation Amendment

(2014 Budget Measures No. 2) Act 2014 preserves the rules in this

Calculator for a certain kind of long-term financial asset that was

being provided to a person immediately before 1 January 2015 where

the person held a seniors health card immediately before that day

provided that, since that day, the person has held a seniors health card.

10 Application provisions

(1)

The amendments made by items 6 to 9 apply in relation to working out

whether a person is qualified for a seniors health card under Part VIIC

of the Veterans' Entitlements Act 1986 on a day occurring on or after

the commencement of those items.

(2)

However, if:

(a) a person held a seniors health card under Part VIIC of the

Veterans' Entitlements Act 1986 immediately before

1 January 2015; and

(b) either:

(i) an asset-tested income stream (long term), that is an

account-based pension within the meaning of the

Superannuation Industry (Supervision)

Regulations 1994, was being provided to the person

immediately before 1 January 2015; or

(ii) an asset-tested income stream (long term), that is an

annuity (within the meaning of the Superannuation

Industry (Supervision) Act 1993) provided under a

contract that meets the standards determined in an

instrument under subparagraph 46YA(1)(b)(ii) of the

Veterans' Entitlements Act 1986, was being provided to

the person immediately before 1 January 2015;

the amendments made by items 6 to 9 do not apply in relation to the

person and that asset-tested income stream (long term).

(3)

Subitem (2) ceases to apply to the person at the end of the first day on

which the person ceases to hold a seniors health card under Part VIIC of

the Veterans' Entitlements Act 1986.

Seniors health card Schedule 4

Seniors health card income test Part 1

No. , 2014

Social Services and Other Legislation Amendment (2014 Budget

Measures No. 2) Bill 2014

Division 2

--Technical amendments

Social Security Act 1991

11 Paragraph 1061ZG(1)(d)

Omit "taxable".

12 Subsection 1061ZG(3) (definition of reference tax year)

Omit "Taxable".

13 Part 3.9 (heading)

Repeal the heading, substitute:

Part 3.9--Seniors Health Card Income Test

Calculator

14 Section 1071 (heading)

Repeal the heading, substitute:

1071 Seniors Health Card Income Test Calculator

15 Section 1071

Omit "Seniors Health Card Taxable Income Test Calculator at the end

of this section", substitute "Seniors Health Card Income Test Calculator

at the end of this section".

16 Section 1071

Omit "seniors health card taxable income test for", substitute "seniors

health card income test for".

17 Section 1071 (Seniors Health Card Taxable Income Test

Calculator) (heading)

Repeal the heading, substitute:

Schedule 4 Seniors health card

Part 1 Seniors health card income test

Social Services and Other Legislation Amendment (2014 Budget

Measures No. 2) Bill 2014

No. , 2014

Seniors Health Card Income Test Calculator

18 Point 1071-1 (heading)

Repeal the heading, substitute:

Satisfying the seniors health card income test

19 Point 1071-1

Omit "satisfies the seniors health card taxable income test at", substitute

"satisfies the seniors health card income test at".

20 Point 1071-1 (method statement, step 2)

Omit "taxable".

21 Point 1071-1 (method statement, step 3)

Omit "seniors health card taxable income limit", substitute "seniors

health card income limit".

22 Point 1071-1 (method statement, step 4)

Omit "seniors health card taxable income limit, the person satisfies the

seniors health card taxable income test", substitute "seniors health card

income limit, the person satisfies the seniors health card income test".

23 Point 1071-1 (method statement, step 5)

Omit "seniors health card taxable income limit, the person does not

satisfy the seniors health card taxable income test", substitute "seniors

health card income limit, the person does not satisfy the seniors health

card income test".

24 Point 1071-12 (heading)

Repeal the heading, substitute:

Seniors health card Schedule 4

Seniors health card income test Part 1

No. , 2014

Social Services and Other Legislation Amendment (2014 Budget

Measures No. 2) Bill 2014

Seniors health card income limit

25 Point 1071-12

Omit "A person's seniors health card taxable income limit is worked

out using the Seniors Health Card Taxable Income Limit Table. Work

out which family situation in the table applies to the person. The

person's seniors health card taxable income limit", substitute "A

person's seniors health card income limit is worked out using the

Seniors Health Card Income Limit Table. Work out which family

situation in the table applies to the person. The person's seniors health

card income limit".

26 Point 1071-12 (table)

Omit "Seniors Health Card Taxable Income Limit Table", substitute

"Seniors Health Card Income Limit Table".

27 Part 3.12A (heading)

Repeal the heading, substitute:

Part 3.12A--Provisions for Seniors Health Card

income test

28 Section 1157A

Omit "Seniors Health Card Taxable Income Test Calculator", substitute

"Seniors Health Card Income Test Calculator".

Veterans' Entitlements Act 1986

29 Point 118ZZA-11 (table)

Omit "Seniors Health Card Taxable Income Limit Table", substitute

"Seniors Health Card Income Limit Table".

Schedule 4 Seniors health card

Part 2 Portability

Social Services and Other Legislation Amendment (2014 Budget

Measures No. 2) Bill 2014

No. , 2014

Part 2

--Portability

Social Security Act 1991

30 Subsection 1061ZUB(2)

Omit "Throughout", substitute "For a concession card (other than a

seniors health card), throughout".

31 After subsection 1061ZUB(2)

Insert:

(2A) For a concession card that is a seniors health card, throughout so

much (if any) of the period of absence as occurs after the end of the

period of 19 weeks beginning on the day the person leaves

Australia, the person is not qualified for the concession card.

32 Paragraph 1061ZUB(3)(b)

Repeal the paragraph, substitute:

(b) the following:

(i) for a concession card (other than a seniors health

card)--the period of 6 weeks beginning on the day the

person leaves Australia;

(ii) for a concession card that is a seniors health card--the

period of 19 weeks beginning on the day the person

leaves Australia.

33 Application provision

The amendments made by items 30, 31 and 32 apply in relation to:

(a) a person's period of absence from Australia beginning on or

after the commencement of those items; and

(b) a person's period of absence from Australia beginning before

the commencement of those items, where:

(i) the person is continuously absent from Australia during

the period beginning on the day the person leaves

Australia and ending immediately before 1 January

2015; and

Schedule 5 Relocation scholarships

Social Services and Other Legislation Amendment (2014 Budget

Measures No. 2) Bill 2014

No. , 2014

Schedule 5

--Relocation scholarships

Social Security Act 1991

1 At the end of section 592K

Add:

Person's place of study is in a major city location

(6) Despite section 592J, a person is not qualified for a relocation

scholarship payment if:

(a) at the person's qualification time, the person is not

independent (see section 1067A); and

(b) at the person's qualification time, the person is required to

live away from home (see section 1067D); and

to in paragraph 592J(d), the home of each parent of the

person was in a major city location; and

(d) at the person's qualification time, the person's place of study,

worked out in accordance with an instrument in force under

subsection (8), is in a major city location.

Note:

For parent see subsection 5(1) and for major city location see

subsection (9).

(7) Despite section 592J, a person is not qualified for a relocation

scholarship payment if:

(a) at the person's qualification time, the person is independent

because of subsection 1067A(3), (5), (6), (7), (8), (9) or (11);

and

(b) on the day 6 months before the person started to undertake

the course referred to in paragraph 592J(d), the person's

usual place of residence was in a major city location; and

worked out in accordance with an instrument in force under

subsection (8), is in a major city location.

Note:

For major city location see subsection (9).

Relocation scholarships Schedule 5

No. , 2014

Social Services and Other Legislation Amendment (2014 Budget

Measures No. 2) Bill 2014

(8) The Secretary may, by legislative instrument, make principles that

must be complied with when working out a person's place of study

at a particular time.

(9) In this section:

major city location means a location categorised as one of the

Major Cities of Australia, under the Remoteness Structure as

defined in subsection 1067A(10F).

2 Application provision

The amendment made by this Schedule applies in relation to working

out whether a person is qualified for a relocation scholarship payment at

a time on or after the commencement of this Schedule (regardless of

whether the person qualified for a relocation scholarship payment at a

time before that commencement).

Schedule 6 Pensioner education supplement

Part 1 Main amendments

Social Services and Other Legislation Amendment (2014 Budget

Measures No. 2) Bill 2014

No. , 2014

Schedule 6

--Pensioner education supplement

Part 1

--Main amendments

Social Security Act 1991

1 Subsection 7(6)

Omit "a pensioner education supplement,".

2 Subsection 17(1) (subparagraph (l)(v) of the definition of

compensation affected payment)

Repeal the subparagraph.

3 Subsection 17(1) (paragraph (l) of the definition of

compensation affected payment)

Omit "or supplement,".

4 Subsection 17(1) (paragraph (m) of the definition of

compensation affected payment)

Repeal the paragraph, substitute:

(m) a fares allowance, where the allowance or payment (the

underlying compensation affected payment) mentioned in

subparagraph 1061ZAAA(1)(b)(i), (ii) or (iii) is a

compensation affected payment to which any of

paragraphs (aa) to (k) of this definition applies; or

5 Subsection 19AB(2) (note at the end of the definition of

approved course of education or study)

Repeal the note.

6 Subsection 23(1) (definition of independent)

Repeal the definition, substitute:

independent, in Parts 2.11, 2.11B, 3.4A, 3.4B, 3.5 and 3.7, has the

meaning given by section 1067A.

Pensioner education supplement Schedule 6

Main amendments Part 1

No. , 2014

Social Services and Other Legislation Amendment (2014 Budget

Measures No. 2) Bill 2014

7 Subsection 23(1) (paragraph (cb) of the definition of newly

arrived resi

dent's waiting period)

Repeal the paragraph.

8 Subsection 23(1) (paragraph (a) of the definition of payday)

Omit ", a double orphan pension or a pensioner education supplement",

substitute "or a double orphan pension".

9 Subsection 23(1) (paragraph (a) of the definition of payday)

Omit ", supplement".

10 Paragraph 23(4AA)(c)

Repeal the paragraph.

11 Paragraphs 23(10F)(c) and (d)

Omit "paragraph 1061PB(1)(b)", substitute "subsection 541B(5)".

12 Section 119

Repeal the section.

13 Subsection 503AA(1)

Repeal the subsection.

14 Subsection 503AA(2)

Omit "(2)".

15 Subparagraph 569H(7)(g)(iii)

Omit ", 569A(b) or 1061PB(1)(b)", substitute "or 569A(b)".

16 Subsection 1049(1)

Repeal the subsection.

17 Part 2.24A

Repeal the Part.

18 At the end of subparagraph 1061ZAAA(1)(b)(iii)

Add "and".

Schedule 6 Pensioner education supplement

Part 1 Main amendments

Social Services and Other Legislation Amendment (2014 Budget

Measures No. 2) Bill 2014

No. , 2014

19 Subparagraph 1061ZAAA(1)(b)(iv)

Repeal the subparagraph.

20 Section 1158

Omit ", a mobility allowance or a pensioner education supplement",

substitute "or a mobility allowance".

Social Security (Administration) Act 1999

21 Subsection 15(5) (paragraph (i) of the definition of

supplementary payment)

Omit "allowance; or", substitute "allowance.".

22 Subsection 15(5) (paragraph (j) of the definition of

supplementary payment)

Repeal the paragraph.

23 Subsection 50(3)

Repeal the subsection.

24 Paragraph 52(1)(h)

Repeal the paragraph.

25 Paragraphs 55(4A)(a) and (b)

Omit ", austudy payment or pensioner education supplement"

(wherever occurring), substitute "or austudy payment".

26 Section 123TC (paragraphs (i) and (o) of the definition of

category I welfare payment)

Repeal the paragraphs.

27 Section 123TC (paragraphs (d) and (i) of the definition of

category Q welfare payment)

Repeal the paragraphs.

Schedule 6 Pensioner education supplement

Part 2 Other amendments

Social Services and Other Legislation Amendment (2014 Budget

Measures No. 2) Bill 2014

No. , 2014

Part 2

--Other amendments

A New Tax System (Family Assistance) Act 1999

30 Subparagraph 14(1A)(b)(i)

Omit ", 17(1)(c)".

31 Paragraph 17(1)(c)

Repeal the paragraph.

Farm Household Support Act 2014

32 Paragraph 94(i)

Repeal the paragraph.

Income Tax Assessment Act 1997

33 Section 52-10 (table item 22A.1)

Repeal the item.

34 Section 52-40 (table item 22A)

Repeal the item.

Pensioner education supplement Schedule 6

Application and saving provisions Part 3

No. , 2014

Social Services and Other Legislation Amendment (2014 Budget

Measures No. 2) Bill 2014

Part 3

--Application and saving provisions

35 Application and saving provisions

(1)

Despite the amendments of the definition of compensation affected

payment in subsection 17(1) of the Social Security Act 1991 made by

Part 1 of this Schedule, Parts 3.6A and 3.14 of that Act continue to

apply as if those amendments had not been made.

(2)

Despite the amendments made by items 12, 13, 14 and 16, sections 119,

503AA and 1049 of the Social Security Act 1991, as in force

immediately before the commencement of this item, continue to apply

on and after that commencement in relation to working out whether an

approved program of work supplement, or language, literacy and

numeracy supplement, is payable in respect of a fortnight beginning

before that commencement.

(3)

Despite the amendment made by item 17, Part 2.24A of the Social

Security Act 1991, as in force immediately before the commencement of

this item, continues to apply on and after that commencement in relation

to days occurring before that commencement.

(4)

Despite the amendments made by items 18 and 19,

paragraph 1061ZAAA(1)(b) of the Social Security Act 1991, as in force

immediately before the commencement of this item, continues to apply

on and after that commencement in relation to a relevant period that

began before that commencement.

(5)

Despite the amendment made by item 20, section 1158 of the Social

Security Act 1991, as in force immediately before the commencement of

this item, continues to apply on and after that commencement in relation

to days occurring before that commencement.

(6)

Despite the amendments made by items 23 and 25, subsections 50(3)

and 55(4A) of the Social Security (Administration) Act 1999, as in force

immediately before the commencement of this item, continue to apply

on and after that commencement in relation to the payment of fares

allowance on or after that commencement, to the extent that payment is

being made because of the receipt of pensioner education supplement.

Schedule 6 Pensioner education supplement

Part 3 Application and saving provisions

Social Services and Other Legislation Amendment (2014 Budget

Measures No. 2) Bill 2014

No. , 2014

(7)

Despite the amendment made by item 24, paragraph 52(1)(h) of the

Social Security (Administration) Act 1999, as in force immediately

before the commencement of this item, continues to apply on and after

that commencement in relation to the payment of pensioner education

supplement on or after that commencement.

(8)

Despite the amendments of the definitions of category I welfare

payment and category Q welfare payment in section 123TC of the

Social Security (Administration) Act 1999 made by Part 1 of this

Schedule, Part 3B of that Act continues to apply as if those amendments

had not been made.

(9)

Despite the amendments made by items 30 and 31,

subparagraph 14(1A)(b)(i) and paragraph 17(1)(c) of the A New Tax

System (Family Assistance) Act 1999, as in force immediately before

the commencement of this item, continue to apply on and after that

commencement in relation to working out whether an individual

satisfies the work/training/study test, or has recognised study

commitments, before, on or after that commencement.

(10)

Despite the amendment made by item 33, item 22A.1 of the table in

section 52-10 of the Income Tax Assessment Act 1997, as in force

immediately before the commencement of this item, continues to apply

on and after that commencement in relation to a payment of pensioner

education supplement before, on or after that commencement.

Education entry payment Schedule 7

Main amendments Part 1

No. , 2014

Social Services and Other Legislation Amendment (2014 Budget

Measures No. 2) Bill 2014

Schedule 7

--Education entry payment

Part 1

--Main amendments

Social Security Act 1991

1 Subsection 17(1) (subparagraph (l)(iv) of the definition of

compensation affected payment)

Repeal the subparagraph.

2 Subsection 17(1) (paragraph (l) of the definition of

compensation affected payment)

Omit "allowance, payment", substitute "allowance,".

3 Part 2.13A

Repeal the Part.

4 Subsection 1222(2) (table item 7)

Repeal the item.

5 Paragraph 1223ABAAB(1)(a)

Omit "or an education entry payment supplement".

6 Paragraph 1223ABAAB(2)(e)

Omit "benefit; and", substitute "benefit.".

7 Paragraph 1223ABAAB(2)(h)

Repeal the paragraph.

8 Section 1224B

Repeal the section.

Schedule 7 Education entry payment

Part 1 Main amendments

Social Services and Other Legislation Amendment (2014 Budget

Measures No. 2) Bill 2014

No. , 2014

Social Security (Administration) Act 1999

9 Subsection 15(5) (paragraph (c) of the definition of

supplementary payment)

Repeal the paragraph.

10 Subsection 47(1) (paragraph (d) of the definition of lump

sum benefit)

Repeal the paragraph.

11 Section 123TC (paragraph (c) of the definition of

household stimulus payment)

Repeal the paragraph.

Veterans' Entitlements Act 1986

12 Subsection 5NB(1) (paragraph (c) of the definition of

compensation affected pension)

Omit "age; or", substitute "age.".

13 Subsection 5NB(1) (paragraph (f) of the definition of

compensation affected pension)

Repeal the paragraph.

14 Subsection 59M(1)

Omit "pensions, supplements and payments", substitute "pensions and

supplements".

15 Paragraph 59M(1)(f)

Omit "supplement;", substitute "supplement.".

16 Paragraph 59M(1)(i)

Repeal the paragraph.

17 Subsection 59M(1) (note 2)

Omit "pensions, supplements, allowances and payments", substitute

"pensions and supplements".

Schedule 7 Education entry payment

Part 2 Other amendments

Social Services and Other Legislation Amendment (2014 Budget

Measures No. 2) Bill 2014

No. , 2014

Part 2

--Other amendments

Farm Household Support Act 2014

20 Paragraph 94(e)

Repeal the paragraph.

Income Tax Assessment Act 1936

21 Subparagraph 160AAAA(2)(c)(i)

Omit "or education entry payment".

22 Subparagraph 160AAAB(2)(c)(i)

Omit "or education entry payment".

Income Tax Assessment Act 1997

23 Section 11-

15 (table item headed "social security or like

payments")

Omit:

education entry payment supplement under the Social

Security Act 1991 ...........................................................

52-10

24 Paragraph 51-35(e)

Omit "purposes;", substitute "purposes.".

25 Paragraph 51-35(f)

Repeal the paragraph.

26 Section 51-40

Repeal the section, substitute:

Education entry payment Schedule 7

Other amendments Part 2

No. , 2014

Social Services and Other Legislation Amendment (2014 Budget

Measures No. 2) Bill 2014

51-40 Payments to a secondary student

Commonwealth education or training payment made to or on

behalf of a student is not exempt from income tax under item 2.1B

of the table in section 51-10.

Note:

The whole or part of a Commonwealth education or training payment

may be exempt under Subdivision 52-E or 52-F.

27 Paragraph 52-10(1)(za)

Repeal the paragraph.

28 Subsection 52-10(1J)

Repeal the subsection.

29 Section 55-10

Repeal the section.

Taxation Administration Act 1953

30 Paragraph 12-110(1)(c) in Schedule 1

Omit ", 55-5 or 55-10", substitute "or 55-5".

Schedule 7 Education entry payment

Part 3 Application and saving provisions

Social Services and Other Legislation Amendment (2014 Budget

Measures No. 2) Bill 2014

No. , 2014

Part 3

--Application and saving provisions

31 Application and saving provisions

(1)

Despite the amendments of the definition of compensation affected

payment in subsection 17(1) of the Social Security Act 1991 made by

Part 1 of this Schedule, Parts 3.6A and 3.14 of that Act continue to

apply as if those amendments had not been made.

(2)

Despite the amendment made by item 3, Part 2.13A of the Social

Security Act 1991, as in force immediately before the commencement of

this item, continues to apply on and after that commencement in relation

to the 2014 calendar year and earlier calendar years.

(3)

Despite the amendments made by items 5 to 8, sections 1223ABAAB

and 1224B of the Social Security Act 1991, as in force immediately

before the commencement of this item, continue to apply on and after

that commencement in relation to payments of education entry payment

supplement or education entry payment made before, on or after that

commencement.

(4)

Despite the amendments of the definition of compensation affected

pension in subsection 5NB(1) of the Veterans' Entitlements Act 1986

made by Part 1 of this Schedule, Part IIIC of that Act continues to apply

as if those amendments had not been made.

(5)

Despite the amendment made by item 19, Part VIIAA of the Veterans'

Entitlements Act 1986, as in force immediately before the

commencement of this item, continues to apply on and after that

commencement in relation to the 2014 calendar year and earlier

calendar years.

(6)

Despite the amendments made by items 21 and 22,

subparagraphs 160AAAA(2)(c)(i) and 160AAAB(2)(c)(i) of the Income

Tax Assessment Act 1936, as in force immediately before the

commencement of this item, continue to apply on and after that

commencement in relation to payments of education entry payment

made before, on or after that commencement.

(7)

Despite the amendments made by items 25, 26 and 29,

paragraph 51-35(f) and sections 51-40 and 55-10 of the Income Tax

Education entry payment Schedule 7

Application and saving provisions Part 3

No. , 2014

Social Services and Other Legislation Amendment (2014 Budget

Measures No. 2) Bill 2014

Assessment Act 1997, as in force immediately before the

commencement of this item, continue to apply on and after that

commencement in relation to payments of education entry payment

made before, on or after that commencement.

(8)

Despite the amendment made by item 28, subsection 52-10(1J) of the

Income Tax Assessment Act 1997, as in force immediately before the

commencement of this item, continues to apply on and after that

commencement in relation to payments of education entry payment

supplement made before that commencement.

Schedule 8 Age requirements for various Commonwealth payments

Part 1 Main amendments

Social Services and Other Legislation Amendment (2014 Budget

Measures No. 2) Bill 2014

No. , 2014

Schedule 8

--Age requirements for various

Commonwealth payments

Part 1

--Main amendments

Social Security Act 1991

1 Paragraphs 19C(8)(b) and (c)

Omit "22", substitute "25".

2 Subsection 543B(1)

Repeal the subsection, substitute:

(1) Subject to subsection (2), the person has attained the maximum age

for youth allowance if the person is at least 25 years old.

3 Subparagraph 593(1)(g)(i)

Omit "22", substitute "25".

4 Subparagraphs 593(1B)(b)(i) and (1D)(b)(i)

Omit "22", substitute "25".

5 Paragraph 666(1)(e)

Omit "22", substitute "25".

6 Paragraph 1067G-D1(b)

Omit "22", substitute "25".

7 Paragraphs 1067G-H26(a) and (b)

Omit "22", substitute "25".

8 Paragraphs 1067L-D25(a) and (b)

Omit "22", substitute "25".

9 Paragraphs 1068-G9(a) and (b)

Omit "22", substitute "25".

Age requirements for various Commonwealth payments Schedule 8

Main amendments Part 1

No. , 2014

Social Services and Other Legislation Amendment (2014 Budget

Measures No. 2) Bill 2014

10 Paragraphs 1068B-D22(a) and (b)

Omit "22", substitute "25".

11 Section 1190 (table item 4A, column 2)

Omit "22", substitute "25".

12 Application provision

--persons in severe financial

hardship

The amendment made by item 1 applies in relation to working out if a

person is in severe financial hardship for days on or after 1 January

2015.

13 Application provision

--youth allowance

(1)

Subject to subitems (2) and (3), the amendment made by item 2 applies

for the purposes of working out a person's qualification for a youth

allowance in respect of days occurring on or after 1 January 2015.

(2)

If:

(a) a person was aged 22, 23 or 24 on 31 December 2014; and

(b) the person was receiving a newstart allowance immediately

before 1 January 2015 or the person's payment of a newstart

allowance was suspended immediately before 1 January

2015;

the amendment made by item 2 does not apply in relation to the person

during the period:

(d) ending on the day on which the payment of the newstart

allowance to the person is cancelled.

(3)

If:

(a) before 1 January 2015, the Secretary granted a person's claim

for a newstart allowance under the Social Security

(Administration) Act 1999; and

(b) the person's start day in relation to that allowance, worked

out under clause 5 of Schedule 2 to that Act, is on or after

1 January 2015;

the amendment made by item 2 does not apply in relation to the person

during the period:

Schedule 8 Age requirements for various Commonwealth payments

Part 1 Main amendments

Social Services and Other Legislation Amendment (2014 Budget

Measures No. 2) Bill 2014

No. , 2014

(d) ending on the day on which the payment of the newstart

allowance to the person is cancelled.

(4)

The amendment made by item 6 applies in relation to working out the

rate of youth allowance for days on or after 1 January 2015.

14 Application provision

--newstart allowance

(1)

Subject to this item, the amendments made by items 3 and 4 apply for

the purposes of working out a person's qualification for a newstart

allowance in respect of days occurring on or after 1 January 2015.

(2)

If:

(a) a person was aged 22, 23 or 24 on 31 December 2014; and

(b) the person was receiving a newstart allowance immediately

before 1 January 2015 or the person's payment of a newstart

allowance was suspended immediately before 1 January

2015;

the amendments made by items 3 and 4 do not apply in relation to the

person during the period:

(d) ending on the day on which the payment of the newstart

allowance to the person is cancelled.

(3)

If:

(a) before 1 January 2015, a person aged 22, 23 or 24 made a

claim for a newstart allowance under the Social Security

(Administration) Act 1999; and

(b) the claim had not been determined by the Secretary

immediately before 1 January 2015;

the amendments made by items 3 and 4 do not apply in relation to:

(d) if the claim is granted--the payment of that allowance as a

result of that claim.

(4)

If:

(a) before 1 January 2015, a person aged 22, 23 or 24 made a

claim for a newstart allowance under the Social Security

Age requirements for various Commonwealth payments Schedule 8

Main amendments Part 1

No. , 2014

Social Services and Other Legislation Amendment (2014 Budget

Measures No. 2) Bill 2014

(Administration) Act 1999 (disregarding subclause 4(6) of

Schedule 2 to that Act); and

(b) on 1 January 2015, the person is serving a liquid assets test

waiting period in relation to the claim;

the amendments made by items 3 and 4 do not apply in relation to:

(d) if the claim is granted--the payment of that allowance as a

result of that claim.

(5)

If:

(a) before 1 January 2015, the Secretary granted a person's claim

for a newstart allowance under the Social Security

(Administration) Act 1999; and

(b) on 1 January 2015, an income maintenance period applies to

the person;

the amendments made by items 3 and 4 do not apply in relation to the

person during the period:

(d) ending on the day on which the payment of the newstart

allowance to the person is cancelled.

(6)

If:

(a) before 1 January 2015, the Secretary granted a person's claim

for a newstart allowance under the Social Security

(Administration) Act 1999; and

(b) the person's start day in relation to that allowance, worked

out under clause 5 of Schedule 2 to that Act, is on or after

1 January 2015;

the amendments made by items 3 and 4 do not apply in relation to the

person during the period:

(d) ending on the day on which the payment of the newstart

allowance to the person is cancelled.

15 Application provision

--sickness allowance

(1)

Subject to this item, the amendment made by item 5 applies for the

purposes of working out a person's qualification for sickness allowance

in respect of days occurring on or after 1 January 2015.

Schedule 8 Age requirements for various Commonwealth payments

Part 1 Main amendments

Social Services and Other Legislation Amendment (2014 Budget

Measures No. 2) Bill 2014

No. , 2014

(2)

If:

(a) a person was aged 22, 23 or 24 on 31 December 2014; and

(b) the person was receiving sickness allowance immediately

before 1 January 2015 or the person's payment of sickness

allowance was suspended immediately before 1 January

2015;

the amendment made by item 5 does not apply in relation to the person

during the period:

(d) ending on the day on which the payment of the sickness

allowance to the person is cancelled.

(3)

If:

(a) before 1 January 2015, a person aged 22, 23 or 24 made a

claim for sickness allowance under the Social Security

(Administration) Act 1999; and

(b) the claim had not been determined by the Secretary

immediately before 1 January 2015;

the amendment made by item 5 does not apply in relation to:

(d) if the claim is granted--the payment of that allowance as a

result of that claim.

(4)

If:

(a) before 1 January 2015, a person aged 22, 23 or 24 made a

claim for sickness allowance under the Social Security

(Administration) Act 1999; and

(b) on 1 January 2015, the person is serving a liquid assets test

waiting period in relation to the claim;

the amendment made by item 5 does not apply in relation to:

(d) if the claim is granted--the payment of that allowance as a

result of that claim.

(5)

If:

(a) before 1 January 2015, the Secretary granted a person's claim

for sickness allowance under the Social Security

(Administration) Act 1999; and

Age requirements for various Commonwealth payments Schedule 8

Main amendments Part 1

No. , 2014

Social Services and Other Legislation Amendment (2014 Budget

Measures No. 2) Bill 2014

(b) on 1 January 2015, an income maintenance period applies to

the person;

the amendment made by item 5 does not apply in relation to the person

during the period:

(d) ending on the day on which the payment of the sickness

allowance to the person is cancelled.

(6)

If:

(a) before 1 January 2015, the Secretary granted a person's claim

for sickness allowance under the Social Security

(Administration) Act 1999; and

(b) the person's start day in relation to that allowance, worked

out under clause 5 of Schedule 2 to that Act, is on or after

1 January 2015;

the amendment made by item 5 does not apply in relation to the person

during the period:

(d) ending on the day on which the payment of the sickness

allowance to the person is cancelled.

16 Application provision

--general rates

The amendments made by items 7 to 10 apply in relation to working out

the rates of social security payments for days on or after 1 January

2015.

Schedule 8 Age requirements for various Commonwealth payments

Part 2 Other amendments

Social Services and Other Legislation Amendment (2014 Budget

Measures No. 2) Bill 2014

No. , 2014

Part 2

--Other amendments

Farm Household Support Act 2014

17 Section 7

Omit "turned 22", substitute "turned 25".

18 Subdivision A of Division 8 of Part 2 (heading)

Repeal the heading, substitute:

Subdivision A--Persons who have turned 25

19 Subsection 55(1)

Omit "turned 22", substitute "turned 25".

20 Sections 56, 57, 58 and 59

Omit "turned 22", substitute "turned 25".

21 Subdivision B of Division 8 of Part 2 (heading)

Repeal the heading, substitute:

Subdivision B--Persons who have not turned 25

22 Subsection 60(1)

Omit "not turned 22", substitute "not turned 25".

23 Sections 61, 62, 63, 64 and 65

Omit "not turned 22", substitute "not turned 25".

24 Subsection 93(1) (table items 1, 2, 15 and 16)

Omit "22", substitute "25".

25 Application provision

--farm household allowance

(1)

Subject to subitems (2) and (3), the amendments made by items 19, 20,

22 and 23 apply for the purposes of working out the rate of farm

Age requirements for various Commonwealth payments Schedule 8

Other amendments Part 2

No. , 2014

Social Services and Other Legislation Amendment (2014 Budget

Measures No. 2) Bill 2014

household allowance in respect of days occurring on or after 1 January

2015.

(2)

If:

(a) a person was aged 22, 23 or 24 on 31 December 2014; and

(b) the person was receiving farm household allowance

immediately before 1 January 2015 or the person's payment

of farm household allowance was suspended immediately

before 1 January 2015;

the amendments made by items 19 and 20 do not apply in relation to the

person during the period:

(d) ending on the day on which the payment of the farm

household allowance to the person is cancelled.

(3)

If:

(a) before 1 January 2015, the Secretary granted a person's claim

for farm household allowance under the Social Security

(Administration) Act 1999; and

(b) the person's start day in relation to that allowance, worked

out under clause 5 of Schedule 2 to that Act, is on or after

1 January 2015;

the amendments made by items 19 and 20 do not apply in relation to the

person during the period:

(d) ending on the day on which the payment of the farm

household allowance to the person is cancelled.

(4)

The amendment made by item 24, to the extent to which it relates to

items 1 and 16 of the table in subsection 93(1) of the Farm Household

Support Act 2014, does not apply in relation to a person while the

amendments made by items 19 and 20 do not apply in relation to the

person.

Schedule 9 Exclusion periods

Part 1 Main amendments

Social Services and Other Legislation Amendment (2014 Budget

Measures No. 2) Bill 2014

No. , 2014

Schedule 9

--Exclusion periods

Part 1

--Main amendments

Social Security Act 1991

1 After Part 3.12A

Insert:

Part 3.12B--Part 3.12B exclusion periods

1157AA Relevant social security benefits

(1) This Part applies to any of the following social security benefits:

(a) a youth allowance, if the person qualified for the allowance is

neither undertaking full-time study nor a new apprentice;

(b) a newstart allowance;

(i) an Australian resident; or

(ii) a person who is the holder of a visa in a class

determined by the Minister under subsection (2).

(2) The Minister may, by legislative instrument, determine classes of

visas for the purposes of paragraph (1)(c).

Special rules for transitioning between youth allowances

(3) If:

(a) a person is qualified for a youth allowance to which this Part

applies (the current allowance); and

(b) immediately before the day this Part began applying to the

current allowance (the transition day), the person was

receiving a youth allowance to which this Part does not

apply;

this Part applies as if the person's start day (disregarding clause 5

of Schedule 2 to the Administration Act) for the current allowance

were the transition day.

Exclusion periods Schedule 9

Main amendments Part 1

No. , 2014

Social Services and Other Legislation Amendment (2014 Budget

Measures No. 2) Bill 2014

Note:

Receiving a social security benefit is given an extended meaning by

subsection 1157AH(4).

(4) If:

(a) on a particular day, a person becomes qualified for a youth

allowance to which this Part does not apply; and

(b) on the day before (the transition day), the person was subject

to a Part 3.12B exclusion period for a youth allowance to

which this Part applies;

this Part applies as if the Part 3.12B exclusion period ended on the

transition day.

1157AB Part 3.12B waiting period

(1) A person qualified for a social security benefit to which this Part

applies becomes subject to a Part 3.12B waiting period if, on the

person's start day (disregarding clause 5 of Schedule 2 to the

Administration Act) for the social security benefit:

(a) the person's age is less than 30 years; and

(b) section 1157AF (about exemptions) does not apply to the

person.

(2) Subsection (1) does not apply to the person if he or she:

(a) is a transferee to the social security benefit; and

(b) was not, immediately before the transfer, subject to a

Part 3.12B exclusion period in relation to the transferee's old

payment; and

Transferees who are not subject to a Part 3.12B waiting period

Item

If the transferee's old

payment was:

subsection (1) will not apply if:

a social security

pension, or social

security benefit, of a

kind determined under

subsection (3)

the Minister determines conditions under

subsection (3) and those conditions are met

a youth allowance

the transferee was neither undertaking full-time

study nor a new apprentice when the transferee's

Schedule 9 Exclusion periods

Part 1 Main amendments

Social Services and Other Legislation Amendment (2014 Budget

Measures No. 2) Bill 2014

No. , 2014

Transferees who are not subject to a Part 3.12B waiting period

Item

If the transferee's old

payment was:

subsection (1) will not apply if:

qualification for the youth allowance ended

a special benefit

the transfer is to a youth allowance or a newstart

allowance

(3) The Minister may, by legislative instrument, determine:

(a) kinds of social security pensions and social security benefits

for the purposes of item 1 of the table in subsection (2); and

(b) conditions for the purposes of that table item.

1157AC Duration of the waiting period

(1) The person's Part 3.12B waiting period commences on the day (the

commencement day) that is the later of:

(a) the person's start day (disregarding clause 5 of Schedule 2 to

the Administration Act) for the social security benefit; and

(b) if that start day falls within one or more of the following

periods (each of which is an exclusion period) that the

person is subject to:

(i) a period of non-payment because of section 553B, 634

or 745N (about moving to an area of lower employment

prospects);

(ii) a period of non-payment because of section 553C, 633

or 745M (about seasonal workers);

(iii) a liquid assets test waiting period;

(iv) a newly arrived resident's waiting period;

(v) a lump sum preclusion period under Part 3.14;

(vi) an income maintenance period;

the first day after all the exclusion periods have ended.

(2) The Part 3.12B waiting period ends on the earliest of:

(a) the last day of the following period commencing on the

commencement day:

(i) unless subparagraph (ii) or (iii) applies--26 weeks;

Exclusion periods Schedule 9

Main amendments Part 1

No. , 2014

Social Services and Other Legislation Amendment (2014 Budget

Measures No. 2) Bill 2014

(ii) unless subparagraph (iii) applies--any reduced period

that applies to the person under a determination made

under subsection (3);

(iii) if the person's claim for the social security benefit was

made while the person was serving a Part 3.12B

exclusion period for another social security benefit--the

period otherwise applying under this paragraph, less that

period served for that other benefit; and

(b) the day before the first day after the commencement day that

section 1157AF (about exemptions) applies to the person;

and

Note 1:

Not all of the period may apply if the person is subject to a temporary

exemption (see section 1157AG).

Note 2:

This period may be extended under section 1157AE.

(3) The Minister may, by legislative instrument, determine:

(a) that previous periods of gainful work cause a reduced

Part 3.12B waiting period to apply; and

(b) that previous periods of particular kinds of gainful work do

not cause a reduced Part 3.12B waiting period to apply; and

A reduced period worked out under the determination must be at

least 4 weeks.

(4) For the purposes of this section, gainful work means work for

financial gain or reward (whether as an employee, a self-employed

person or otherwise).

1157AD Part 3.12B non-payment period

(1) A person becomes subject to a Part 3.12B non-payment period if,

on a day (the test day) referred to in a paragraph of subsection (2):

(a) the person's age is less than 30 years; and

(b) the person would (apart from this section) be receiving a

social security benefit to which this Part applies; and

person; and

Schedule 9 Exclusion periods

Part 1 Main amendments

Social Services and Other Legislation Amendment (2014 Budget

Measures No. 2) Bill 2014

No. , 2014

(d) the person is not already subject to a Part 3.12B non-payment

period (because of a day referred to in another paragraph of

subsection (2));

and, if the commencement day (see subsection (4)) for the period

would be the later day referred to in paragraph (4)(b),

section 1157AF does not apply to the person on that later day.

Note:

Receiving a social security benefit is given an extended meaning by

subsection 1157AH(4).

(2) The relevant days are as follows:

(a) if the person has served a reduced Part 3.12B waiting period

because of subparagraph 1157AC(2)(a)(ii), but not a

Part 3.12B non-payment period--the day after the total of:

(i) 26 weeks; and

(ii) the number of weeks the waiting period was reduced;

following the waiting period;

(b) the day after the 26 week period following the person's most

recent Part 3.12B exclusion period (if any), other than:

(i) any Part 3.12B waiting period, if paragraph (a) applies

in relation to the waiting period; and

(ii) any Part 3.12B penalty period;

section 1157AF (about exemptions) applied to the person.

For the purposes of paragraph (c), disregard occasions happening

before the person's start day (disregarding clause 5 of Schedule 2

to the Administration Act) for the social security benefit.

(3) However, if a day referred to in a paragraph of subsection (2) falls

within a period of non-payment for the person because of

section 553B, 634 or 745N, treat the day referred to in that

paragraph as if it were the day after the end of that period of

non-payment.

Duration of the period

(4) The person's Part 3.12B non-payment period commences on the

following day (the commencement day):

(a) unless paragraph (b) applies--the test day;

Exclusion periods Schedule 9

Main amendments Part 1

No. , 2014

Social Services and Other Legislation Amendment (2014 Budget

Measures No. 2) Bill 2014

(b) if that day is during any Part 3.12B penalty period--the day

after the end of that Part 3.12B penalty period.

(5) The Part 3.12B non-payment period ends on the earliest of:

(a) the last day of the next 26 weeks; and

(b) the day before the first day after the commencement day that

section 1157AF (about exemptions) applies to the person;

and

Note 1:

Not all of the period may apply if the person is subject to a temporary

exemption (see section 1157AG).

Note 2:

This period may be extended under section 1157AE.

1157AE Extending Part 3.12B exclusion periods etc.

Extensions relating to EPPs

(1) The Secretary may extend a person's Part 3.12B exclusion period

if, during that period, the person:

(a) fails to enter into an employment pathway plan (including a

new plan) as required by the Secretary; or

(b) fails to comply with a requirement in an employment

pathway plan.

(2) However, subsection (1) does not apply if the person:

(a) satisfies the Secretary that the failure was the result of

exceptional circumstances beyond the person's control; and

(b) if the failure related to attendance at an appointment

(including an appointment relating to entering into an

employment pathway plan (including a new plan)), an

interview or activity:

(i) gave the Secretary advance notice of the failure; or

(ii) satisfies the Secretary that exceptional circumstances

beyond the person's control prevented the person from

giving such notice.

(3) An extension under subsection (1) is for the period worked out

under a determination made under subsection (4).

Schedule 9 Exclusion periods

Part 1 Main amendments

Social Services and Other Legislation Amendment (2014 Budget

Measures No. 2) Bill 2014

No. , 2014

(4) The Employment Minister may, by legislative instrument,

determine the extension periods applying for:

(a) failures to enter into employment pathway plans (including

new plans); and

(b) failures to comply with particular requirements in

employment pathway plans.

Extensions must not exceed 4 weeks for each failure.

Consequences for providing false or misleading information

(5) If a person provides false or misleading information for the

purposes of a determination under subsection 1157AC(3) (about

reducing a Part 3.12B waiting period), the Secretary may:

(a) if the person is still serving his or her Part 3.12B waiting

period--extend that period by the number of weeks worked

out under a determination made under subsection (6); or

(b) otherwise--determine that the person is subject to a

Part 3.12B penalty period worked out under a determination

made under subsection (6).

(6) The Minister may, by legislative instrument, determine the

following:

(a) a method for working out the number of weeks to extend a

Part 3.12B waiting period under paragraph (5)(a);

(b) a method for working out the duration and commencement

day for a Part 3.12B penalty period imposed under

paragraph (5)(b).

1157AF Exemptions from Part 3.12B exclusion periods

(1) This section applies to a person if one or more of the following

paragraphs apply:

(a) the person is the principal carer of a child;

(b) the person is a parent of a child who is an FTB child (within

the meaning of Subdivision A of Division 1 of Part 3 of the

Family Assistance Act) of the person;

(d) the person has a current Commonwealth registration number

in relation to a part-time apprenticeship, traineeship or trainee

Exclusion periods Schedule 9

Main amendments Part 1

No. , 2014

Social Services and Other Legislation Amendment (2014 Budget

Measures No. 2) Bill 2014

apprenticeship under the scheme known as New

Apprenticeships;

(e) the person is assessed as requiring employment services, or

disability employment services, of a class determined under

paragraph (2)(a);

(f) the person is covered by an exemption determined under

paragraph (2)(b).

(2) The Minister may, by legislative instrument, determine:

(a) classes of employment services, and disability employment

services, for the purposes of paragraph (1)(e); and

(b) exemptions for the purposes of paragraph (1)(f).

(3) Paragraph (1)(d) does not apply to a person whose registration

number is suspended.

1157AG Temporary exemptions from Part 3.12B exclusion periods

(1) A person is not, or ceases to be, subject to a Part 3.12B exclusion

period while an exemption under subsection (2) applies to him or

her.

(2) The Minister may, by legislative instrument, determine:

(a) the circumstances in which a person is exempt from a kind of

Part 3.12B exclusion period; and

(b) a method for working out the number of weeks, and

commencement day, for the exemption; and

by the duration of the exemption.

(3) The exemption does not change when the Part 3.12B exclusion

period ends, unless this has been determined under

paragraph (2)(c).

1157AH Treat as still receiving the benefit for certain purposes etc.

Disregard effect of Part 3.12B exclusion periods

(1) For the purposes of the provisions in subsection (3), a person is

taken to have been receiving, or to be receiving, a social security

Schedule 9 Exclusion periods

Part 1 Main amendments

Social Services and Other Legislation Amendment (2014 Budget

Measures No. 2) Bill 2014

No. , 2014

benefit if the person would have been receiving, or would be

receiving, the benefit apart from a Part 3.12B exclusion period.

(2) For the purposes of the provisions in subsection (3), a person is

taken to have ceased to receive a social security benefit if the

person would have ceased to receive the benefit if the person:

(a) had been receiving it; and

(b) had not been subject to a Part 3.12B exclusion period.

(3) The provisions are Division 3 of Part 2A.1 (about health care

cards).

Disregard effect of certain waiting and compliance periods

(4) For the purposes of subsection 1157AA(3) or 1157AD(1), a person

qualified for a social security benefit is taken to be receiving the

benefit if the person would be receiving the benefit apart from:

(a) the operation of a provision of this Act or the Administration

Act, or of a provision of an instrument made under either

Act; or

(b) a decision made under a provision of an Act or instrument

referred to in paragraph (a).

Exclusion periods Schedule 9

Contingent amendments Part 2

No. , 2014

Social Services and Other Legislation Amendment (2014 Budget

Measures No. 2) Bill 2014

Part 2

--Contingent amendments

Social Security Act 1991

2 Subsection 861(1) (note)

Omit "Note", substitute "Note 1".

3 At the end of subsection 861(1)

Add:

Note 2:

A person is taken to be receiving a newstart allowance or a youth

allowance while the person is subject to a Part 3.12B exclusion period

(see section 1157AH).

4 Subsection 1157AH(3)

Repeal the subsection, substitute:

(3) The provisions are as follows:

(a) Part 2.16A (about Job commitment bonus);

(b) Division 3 of Part 2A.1 (about health care cards).

Schedule 9 Exclusion periods

Part 3 Other amendments

Social Services and Other Legislation Amendment (2014 Budget

Measures No. 2) Bill 2014

No. , 2014

Part 3

--Other amendments

Farm Household Support Act 2014

5 Before paragraph 94(f)

Insert:

(ea) Part 3.12B (Part 3.12B exclusion periods);

Social Security Act 1991

6 Subsection 23(1)

Insert:

Employment Minister means the Minister administering the Fair

Entitlements Guarantee Act 2012.

old payment has the same meaning as in subclause 1(2) of

Schedule 1 to the Administration Act.

Part 3.12B exclusion period means:

(a) a Part 3.12B waiting period; or

(b) a Part 3.12B non-payment period; or

Part 3.12B non-payment period has the meaning given by

section 1157AD.

Part 3.12B penalty period has the meaning given by

subsection 1157AE(5)(b).

Part 3.12B waiting period has the meaning given by

section 1157AB.

serious failure period has the same meaning as in the

Administration Act.

unemployment non-payment period has the same meaning as in

the Administration Act.

Exclusion periods Schedule 9

Other amendments Part 3

No. , 2014

Social Services and Other Legislation Amendment (2014 Budget

Measures No. 2) Bill 2014

7 Subsection 23(1) (after paragraph (b) of the definition of

waiting period)

Insert:

(ba) a Part 3.12B waiting period relating to a claim for newstart

allowance; or

8 Subsection 23(1) (after paragraph (k) of the definition of

waiting period)

Insert:

(kaa) a Part 3.12B waiting period relating to a claim for special

benefit; or

9 At the end of subsection 549(2)

Add:

; (c) a Part 3.12B waiting period (see sections 1157AB and

1157AC).

10 After subsection 553B(4)

Insert:

(4A) If the period referred to in subsection (1) would, apart from this

subsection, begin on a day the person is subject to a Part 3.12B

exclusion period, then the period referred to in subsection (1)

begins on the day after the end of that Part 3.12B exclusion period.

11 At the end of Division 2 of Part 2.11

Add:

Subdivision T--Other situations where allowance not payable

554 Part 3.12B non-payment period etc.

A youth allowance is not payable to a person who is qualified for

youth allowance while the person is subject to a Part 3.12B

non-payment period or a Part 3.12B penalty period (see

Part 3.12B).

Schedule 9 Exclusion periods

Part 3 Other amendments

Social Services and Other Legislation Amendment (2014 Budget

Measures No. 2) Bill 2014

No. , 2014

12 Subsection 593(1) (note 13)

Omit "and Part 4.2", substitute ", Part 3.12B and Part 4.2".

13 At the end of subsection 620(1)

Add:

Note 3:

The person may also be subject to a Part 3.12B waiting period (see

Part 3.12B).

14 At the end of section 634

Add:

(5) If the period of non-payment imposed by subsection (1) would,

apart from this subsection, commence on a day the person is

subject to a Part 3.12B exclusion period, then the period of

non-payment imposed by subsection (1) commences on the day

after the end of that Part 3.12B exclusion period.

15 At the end of Subdivision H of Division 1 of Part 2.12

Add:

635 Part 3.12B non-payment period etc.

A newstart allowance is not payable to a person who is qualified

for newstart allowance while the person is subject to a Part 3.12B

non-payment period or a Part 3.12B penalty period (see

Part 3.12B).

16 Subsection 729(1) (note)

Omit "Note", substitute "Note 1".

17 At the end of subsection 729(1)

Add:

Note 2:

The person may also be subject to a Part 3.12B waiting period (see

Part 3.12B).

18 Subparagraph 729(2)(d)(v)

Omit "and".

Exclusion periods Schedule 9

Other amendments Part 3

No. , 2014

Social Services and Other Legislation Amendment (2014 Budget

Measures No. 2) Bill 2014

19 At the end of paragraph 729(2)(d)

Add:

(vi) Part 3.12B of this Act (Part 3.12B exclusion periods);

and

20 After subparagraph 729(2)(dc)(ii)

Insert:

(iia) Part 3.12B (Part 3.12B exclusion periods); or

21 At the end of Subdivision B of Division 1 of Part 2.15

Add:

739D Part 3.12B non-payment period etc.

Special benefit is not payable to a person who is qualified for

special benefit while the person is subject to a Part 3.12B

non-payment period or a Part 3.12B penalty period (see

Part 3.12B).

22 At the end of section 745N

Add:

(6) If the period of non-payment imposed by subsection (1) would,

apart from this subsection, commence on a day the person is

subject to a Part 3.12B exclusion period, then the period of

non-payment imposed by subsection (1) commences on the day

after the end of that Part 3.12B exclusion period.

23 At the end of subsection 1061ZK(5)

Add:

Note:

A person is taken to be receiving a youth allowance, a newstart

allowance or a special benefit while the person is subject to a

Part 3.12B exclusion period (see section 1157AH).

Social Security (Administration) Act 1999

24 Section 42D (note)

Omit "Note", substitute "Note 1".

Schedule 9 Exclusion periods

Part 3 Other amendments

Social Services and Other Legislation Amendment (2014 Budget

Measures No. 2) Bill 2014

No. , 2014

25 At the end of section 42D

Add:

Note 2:

If the person becomes subject to a Part 3.12B exclusion period (see

Part 3.12B), the deduction may not be made until payments resume at

the end of that period (usually 26 weeks).

26 Section 42L (note)

Omit "Note", substitute "Note 1".

27 At the end of section 42L

Add:

Note 2:

If the person becomes subject to a Part 3.12B exclusion period (see

Part 3.12B), the deduction may not be made until payments resume at

the end of that period (usually 26 weeks).

Exclusion periods Schedule 9

Application and transitional provisions Part 4

No. , 2014

Social Services and Other Legislation Amendment (2014 Budget

Measures No. 2) Bill 2014

Part 4

--Application and transitional provisions

28 Application of amendments

--new claimants

The amendments made by this Schedule apply to a person in relation to

a social security benefit if the person makes a claim for that benefit on

or after 1 January 2015.

29 Application and transitional provisions

--current

recipients

(1)

Subitem (2) applies to a person who, on 1 January 2015:

(a) is receiving a social security benefit; or

(b) has already made a claim for a social security benefit, but

that claim is yet to be determined; or

benefit, and would be receiving the benefit apart from:

(i) the operation of a provision of the Social Security Act

1991 or the Administration Act, or of a provision of an

instrument made under either of those Acts; or

(ii) a decision made under a provision of an Act or

instrument referred to in subparagraph (i).

However, disregard paragraph (b) if the person's claim is later rejected.

Note:

Paragraph (c) covers, for example, persons subject to waiting periods (within the

meaning of section 23 or subsection 549(2) of the Social Security Act 1991), and

income maintenance periods where the rate payable is nil.

(2)

The amendments made by this Schedule apply to the person in relation

to that benefit as if, for the purposes of section 1157AD of the Social

Security Act 1991:

(a) the person's first Part 3.12B exclusion period ended 26

weeks before the day after the end of the approved program

of work for income support that is the first such program

starting after 1 July 2015 in which the person participates;

and

(b) the person's start day (disregarding clause 5 of Schedule 2 to

the Administration Act) for that benefit were the day after

that program ends.

Schedule 9 Exclusion periods

Part 4 Application and transitional provisions

Social Services and Other Legislation Amendment (2014 Budget

Measures No. 2) Bill 2014

No. , 2014

Note:

This means that, if the person satisfies subsection 1157AD(1) of the Social Security Act

1991, the person's first real Part 3.12B non-payment period will start on the day after

that program ends.

(3)

Despite subitem (2), if on 1 January 2015:

(a) a person is serving a serious failure period or an

unemployment non-payment period; and

(b) the person would otherwise be receiving a social security

benefit;

the amendments made by this Schedule apply to the person in relation

to that benefit as if, for the purposes of section 1157AD of the Social

Security Act 1991:

weeks before 1 January 2015; and

(d) the person's start day (disregarding clause 5 of Schedule 2 to

the Administration Act) for that benefit were 1 January 2015.

Note:

This means that, if the person satisfies subsection 1157AD(1) of the Social Security Act

1991, the person's first real Part 3.12B non-payment period will start on 1 January

2015.

Family tax benefit Schedule 10

No. , 2014

Social Services and Other Legislation Amendment (2014 Budget

Measures No. 2) Bill 2014

Schedule 10

--Family tax benefit

A New Tax System (Family Assistance) Act 1999

1 Subparagraph 22B(1)(a)(i)

Omit "29(3) or".

2 Subsection 62(4) (at the end of the table)

Add:

Part 6

no amount is to be added by

way of single parent

supplement

3 Subsection 63(4) (at the end of the table)

Add:

Part 6

disregard the child

4 At the end of subclause 1(1) of Schedule 1

Add:

; and (c) the individual's single parent supplement calculated under

Part 6 (clauses 52 to 54).

5 Clause 2 of Schedule 1

Omit "worked out using the following table. An individual's higher

income free area is the basic amount in column 1 plus an additional

amount in column 2 for each FTB child of the individual (after the

first)", substitute "the basic amount in column 1 of the following table".

6 Clause 2 of Schedule 1 (table, column 2)

Repeal the column.

7 Clause 28B of Schedule 1 (heading)

Repeal the heading, substitute:

Schedule 10 Family tax benefit

Social Services and Other Legislation Amendment (2014 Budget

Measures No. 2) Bill 2014

No. , 2014

28B Adjusted taxable income exceeding $100,000

8 Subclause 28B(1) of Schedule 1

Omit "$150,000", substitute "$100,000".

9 Subclause 29(3) of Schedule 1

Omit "16 years of age unless the FTB child is a senior secondary school

child", substitute "6 years of age".

10 Clause 30 of Schedule 1 (table item 2)

Omit "or over".

11 Subclauses 31A(2) and (3) of Schedule 1

Repeal the subclauses, substitute:

(2) For the purposes of subclause (1), the FTB (B) gross supplement

amount is $302.95.

12 Subclause 31B(1) of Schedule 1 (table item 2)

Omit "or over".

13 Clause 34 of Schedule 1

Omit "3 or more", substitute "4 or more".

14 Clause 35 of Schedule 1 (formula)

Omit "2", substitute "3".

15 Subclauses 38A(3) and (4) of Schedule 1

Repeal the subclauses, substitute:

(3) For the purposes of subclause (2), the FTB gross supplement

amount is $602.25.

16 At the end of Schedule 1

Add:

Family tax benefit Schedule 10

No. , 2014

Social Services and Other Legislation Amendment (2014 Budget

Measures No. 2) Bill 2014

Part 6--Single parent supplement

52 Single parent supplement

An amount of single parent supplement is to be added in working

out an individual's annual rate of family tax benefit if:

(a) the individual is not a member of a couple; and

(b) the individual's youngest FTB child is 6 years of age or over

but under 13 years of age; and

under Part 2 of this Schedule but disregarding reductions (if

any) under clause 5 of this Schedule and disregarding

section 58A and subclause 38AA(3) of this Schedule, is

greater than nil; and

(d) the individual's income excess is nil under Division 2C of

Part 5 of this Schedule; and

(e) the individual's maintenance income excess is nil under

Subdivision A of Division 5 of Part 2 of this Schedule.

53 Rate of single parent supplement

Subject to clause 54, the amount of an individual's single parent

supplement is $751.90 for each FTB child of the individual who is

6 years of age or over but under 13 years of age.

54 Sharing single parent supplement (shared care percentages)

If an individual has a shared care percentage for an FTB child of

the individual, the amount of the individual's single parent

supplement for that child is that percentage of the amount that

would otherwise be the individual's single parent supplement for

that child.

17 Clause 2 of Schedule 4 (table items 8A, 9A and 12)

Repeal the items.

18 Clause 2 of Schedule 4 (after table item 17AA)

Insert:

Schedule 10 Family tax benefit

Social Services and Other Legislation Amendment (2014 Budget

Measures No. 2) Bill 2014

No. , 2014

17AAA

Amount of single

parent supplement

single parent

supplement amount

[Schedule 1--

clause 53]

19 Subclause 3(1) of Schedule 4 (table items 8A, 9A and 12)

Repeal the items.

20 Subclause 3(1) of Schedule 4 (after table item 17AA)

Insert:

17AAA

single parent

supplement

amount

1 July

December

highest

December

quarter before

reference

quarter (but

not earlier

than

December

quarter 2014)

$3.65

21 Subclause 3(7) of Schedule 4

Omit ", the FTB additional HIFA (A)".

22 Subclause 3(8) of Schedule 4

Repeal the subclause, substitute:

First indexation of single parent supplement amount

(8) The first indexation of the single parent supplement amount

is to

take place on 1 July 2016.

23 Application and saving provisions

(1)

Subject to subitems (2) to (4), the amendments made by items 1, 9, 10

and 12 apply in relation to working out the rate of family tax benefit for

days on or after the commencement of those items.

Family tax benefit Schedule 10

No. , 2014

Social Services and Other Legislation Amendment (2014 Budget

Measures No. 2) Bill 2014

(2)

The amendments made by items 1, 9, 10 and 12 do not apply in relation

to working out the rate of family tax benefit for the following

individuals for days on or after the commencement of those items:

(a) an individual (the saved individual) who was, or becomes,

entitled to be paid family tax benefit on 30 June 2015 that

consisted of or included a Part B rate (disregarding

section 58A of, and subclause 31B(3) of Schedule 1 to, the A

New Tax System (Family Assistance) Act 1999) greater than

nil, where the individual's youngest FTB child was 6 years of

age or over on that day;

(b) an individual who is the partner of the saved individual on

any day on or after 1 July 2015 when the amendments made

by items 1, 9, 10 and 12 do not apply in relation to the saved

individual.

(3)

Subitem (2) ceases to apply to the saved individual at the end of the

earliest of the following days:

(a) 30 June 2017;

(b) the day before the first day on which neither the saved

individual, nor the saved individual's partner (if any), is

entitled to be paid family tax benefit;

saved individual, or the saved individual's partner (if any), is

nil;

(d) the day before the first day on which none of the saved

individual's FTB children on 30 June 2015 is an FTB child of

the saved individual or the saved individual's partner (if any);

(e) the day before the first day on which the saved individual's

single parent supplement (worked out assuming the

amendments made by items 2, 3, 4 and 16 applied in relation

to the saved individual) would be equal to or more than the

saved individual's Part B rate.

(4)

The amendments made by items 1, 9, 10 and 12 do not apply in relation

to working out an individual's rate or amount of family tax benefit in

relation to a period, to the extent that period occurs on or after the

commencement of those items, in the circumstances prescribed in, and

for the period prescribed in or worked out in accordance with, a

legislative instrument made by the Minister under this subitem.

Schedule 10 Family tax benefit

Social Services and Other Legislation Amendment (2014 Budget

Measures No. 2) Bill 2014

No. , 2014

(5)

Subject to subitem (6), the amendments made by items 2, 3, 4 and 16

apply in relation to working out the rate of family tax benefit for days

on or after the commencement of those items.

(6)

The amendments made by items 2, 3, 4 and 16 do not apply to an

individual while the amendments made by items 1, 9, 10 and 12 do not

apply in relation to the individual.

(7)

The amendments made by items 5, 6, 7, 8, 11, 13, 14 and 15 apply in

relation to working out the rate of family tax benefit for days on or after

the commencement of those items.

Pension age Schedule 11

No. , 2014

Social Services and Other Legislation Amendment (2014 Budget

Measures No. 2) Bill 2014

Schedule 11

--Pension age

Social Security Act 1991

1 Subsection 23(5A) (table item 5)

Repeal the item, substitute:

1 January 1957 to 30 June 1958

67 years

1 July 1958 to 31 December 1959

67 years and 6 months

1 January 1960 to 30 June 1961

68 years

1 July 1961 to 31 December 1962

68 years and 6 months

1 January 1963 to 30 June 1964

69 years

1 July 1964 to 31 December 1965

69 years and 6 months

On or after 1 January 1966

70 years

2 Subsection 23(5D) (table item 5)

Repeal the item, substitute:

1 January 1957 to 30 June 1958

67 years

1 July 1958 to 31 December 1959

67 years and 6 months

1 January 1960 to 30 June 1961

68 years

1 July 1961 to 31 December 1962

68 years and 6 months

1 January 1963 to 30 June 1964

69 years

1 July 1964 to 31 December 1965

69 years and 6 months

On or after 1 January 1966

70 years

Veterans' Entitlements Act 1986

3 Subsection 5QB(2) (table item 5)

Repeal the item, substitute:

1 January 1957 to 30 June 1958

67 years

1 July 1958 to 31 December 1959

67 years and 6 months

1 January 1960 to 30 June 1961

68 years

Schedule 11 Pension age

Social Services and Other Legislation Amendment (2014 Budget

Measures No. 2) Bill 2014

No. , 2014

1 July 1961 to 31 December 1962

68 years and 6 months

1 January 1963 to 30 June 1964

69 years

10.

1 July 1964 to 31 December 1965

69 years and 6 months

11.

On or after 1 January 1966

70 years

4 Subsection 5QB(5) (table item 5)

Repeal the item, substitute:

1 January 1957 to 30 June 1958

67 years

1 July 1958 to 31 December 1959

67 years and 6 months

1 January 1960 to 30 June 1961

68 years

1 July 1961 to 31 December 1962

68 years and 6 months

1 January 1963 to 30 June 1964

69 years

1 July 1964 to 31 December 1965

69 years and 6 months

On or after 1 January 1966

70 years

Date of effect for veterans' disability pension Schedule 12

No. , 2014

Social Services and Other Legislation Amendment (2014 Budget

Measures No. 2) Bill 2014

Schedule 12

--Date of effect for veterans'

disability pension

Veterans' Entitlements Act 1986

1 Subsections 20(1) and (2)

Repeal the subsections, substitute:

(1) If a claim in accordance with section 14 for a pension is granted

(other than a claim to which subsection (2A) applies), the

Commission may, subject to this Act, specify as a date that a

determination under subsection 19(3) takes effect in respect of the

claim, a date:

(a) for a pension by way of compensation to a veteran in respect

of the incapacity of the veteran from a war-caused injury or a

war-caused disease--not earlier than the date on which the

claim for the pension, in accordance with a form approved

for the purposes of paragraph 14(3)(a), was received at an

office of the Department in Australia; or

(b) in any other case--not earlier than 3 months before the date

on which the claim for the pension, in accordance with a

form approved for the purposes of paragraph 14(3)(a), was

received at an office of the Department in Australia.

(2) If:

(a) a person makes a claim for a pension in writing (other than a

claim to which subsection (2B) applies), but otherwise than

in accordance with a form approved for the purposes of

paragraph 14(3)(a); and

(b) the person later makes a claim for the pension in accordance

with a form so approved:

(i) at a time when the person had not been notified by the

Department in writing that it would be necessary to

make the claim in accordance with a form so approved;

Schedule 12 Date of effect for veterans' disability pension

Social Services and Other Legislation Amendment (2014 Budget

Measures No. 2) Bill 2014

No. , 2014

(ii) within 3 months after the person had been so notified;

and

claim in accordance with a form so approved;

the Commission may, subject to this Act, specify as a date that a

determination under subsection 19(3) takes effect in respect of the

claim, a date:

(d) for a pension by way of compensation to a veteran in respect

of the incapacity of the veteran from a war-caused injury or a

war-caused disease--not earlier than the date on which the

claim referred to in paragraph (a) was received at an office of

the Department in Australia; or

(e) in any other case--not earlier than 3 months before the date

on which the claim referred to in paragraph (a) was received

at an office of the Department in Australia.

2 Paragraphs 85(1)(a) and (b)

Repeal the paragraphs, substitute:

(a) if a pension, or increased pension, is granted to the veteran

under Part II in respect of his or her incapacity from that

injury or disease:

(i) for a pension--the date that is 3 months before the date

as from which the pension is granted; or

(ii) for an increased pension--the date as from which the

increased pension is granted; or

(b) if the extent of the incapacity of the veteran from the injury

or disease was not sufficient to justify the grant of, or

increase of, a pension under Part II:

(i) if the extent of that incapacity was not sufficient to

justify the grant of a pension under Part II--the date that

is 3 months before the date as from which such a

pension would have been granted if the extent of that

incapacity had been sufficient to justify the grant of

such a pension; or

(ii) if the extent of that incapacity was not sufficient to

justify the increase of a pension under Part II--the date

as from which such an increased pension would have

been granted if the extent of that incapacity had been

sufficient to justify the increase of such a pension.

Date of effect for veterans' disability pension Schedule 12

No. , 2014

Social Services and Other Legislation Amendment (2014 Budget

Measures No. 2) Bill 2014

3 Subsection 85(3)

Repeal the subsection, substitute:

(3) If a veteran:

(a) is in receipt of a pension, or increased pension, under Part II

at the general rate or at a higher rate; or

(b) is in receipt of a pension, or increased pension, under Part II

in respect of incapacity from a war-caused injury or a

war-caused disease of a kind described in column 1 of the

table in subsection 27(1);

the veteran is eligible to be provided, from and including the

following date, with treatment under this Part for any injury

suffered, or disease contracted, by the veteran, whether before or

after the commencement of this Act:

date that is 3 months before the date as from which the

pension became payable to the veteran;

(d) if the veteran is in receipt of an increased pension under

Part II--the date as from which the increased pension

became payable to the veteran.

4 Paragraph 85(7)(a)

Repeal the paragraph, substitute:

(a) is in receipt of a pension, or increased pension, under Part II

at a rate not less than 50% of the general rate; and

5 Paragraph 85(7)(c)

Repeal the paragraph, substitute:

(i) if the veteran is in receipt of a pension under Part II--

the date that is 3 months before the date as from which

the pension became payable to the veteran;

(ii) if the veteran is in receipt of an increased pension under

Part II--the date as from which the increased pension

became payable to the veteran; or

Schedule 12 Date of effect for veterans' disability pension

Social Services and Other Legislation Amendment (2014 Budget

Measures No. 2) Bill 2014

No. , 2014

6 Application provisions

(1)

Subsection 20(1) of the Veterans' Entitlements Act 1986, as amended

by this Schedule, applies in relation to a claim made on or after the

commencement of this item.

(2)

Paragraph 20(2)(a) of the Veterans' Entitlements Act 1986, as amended

by this Schedule, applies in relation to a claim made on or after the

commencement of this item.

(3)

The amendment made by item 2 applies in relation to a determination

referred to in subsection 85(1) of the Veterans' Entitlements Act 1986

that is made on or after the commencement of that item, where the

claim for the pension, or increased pension, was made on or after that

commencement.

(4)

The amendments made by items 3, 4 and 5 apply in relation to a

pension, or increased pension, that begins to be received on or after the

commencement of those items, where the claim for the pension, or

increased pension, is made on or after that commencement.

Commonwealth of Australia Bills

SOCIAL SERVICES AND OTHER LEGISLATION AMENDMENT (2014 BUDGET MEASURES NO. 2) BILL 2014