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This is a Bill, not an Act. For current law, see the Acts databases.
2016-2017-2018
The Parliament of the
Commonwealth of Australia
HOUSE OF REPRESENTATIVES
Presented and read a first time
Social Services Legislation Amendment
(Payments for Carers) Bill 2018
No. , 2018
(Social Services)
A Bill for an Act to amend the law relating to social
security, and for related purposes
No. , 2018
Social Services Legislation Amendment (Payments for Carers) Bill
2018
i
Contents
1
Short title ........................................................................................... 1
2
Commencement ................................................................................. 1
3
Schedules ........................................................................................... 2
Schedule 1--Carer allowance
3
Social Security Act 1991
3
Schedule 2--Health care card
11
Social Security Act 1991
11
No. , 2018
Social Services Legislation Amendment (Payments for Carers) Bill
2018
1
A Bill for an Act to amend the law relating to social
1
security, and for related purposes
2
The Parliament of Australia enacts:
3
1 Short title
4
This Act is the Social Services Legislation Amendment (Payments
5
for Carers) Act 2018.
6
2 Commencement
7
(1) Each provision of this Act specified in column 1 of the table
8
commences, or is taken to have commenced, in accordance with
9
column 2 of the table. Any other statement in column 2 has effect
10
according to its terms.
11
12
2
Social Services Legislation Amendment (Payments for Carers) Bill
2018
No. , 2018
Commencement information
Column 1
Column 2
Column 3
Provisions
Commencement
Date/Details
1. The whole of
this Act
As follows:
(a) if this Act receives the Royal Assent
before 20 September 2018--
20 September 2018;
(b) if this Act receives the Royal Assent on
or after 20 September 2018--the first
1 January, 1 April, 1 July or 1 October to
occur after the day this Act receives the
Royal Assent.
Note:
This table relates only to the provisions of this Act as originally
1
enacted. It will not be amended to deal with any later amendments of
2
this Act.
3
(2) Any information in column 3 of the table is not part of this Act.
4
Information may be inserted in this column, or information in it
5
may be edited, in any published version of this Act.
6
3 Schedules
7
Legislation that is specified in a Schedule to this Act is amended or
8
repealed as set out in the applicable items in the Schedule
9
concerned, and any other item in a Schedule to this Act has effect
10
according to its terms.
11
Carer allowance Schedule 1
No. , 2018
Social Services Legislation Amendment (Payments for Carers) Bill
2018
3
Schedule 1--Carer allowance
1
2
Social Security Act 1991
3
1 Section 10A (heading)
4
Repeal the heading, substitute:
5
10A Definitions for carer allowance and seniors health card
6
provisions
7
2 Subsection 10A(2)
8
Omit "Part 3.9 and Part 3.12A", substitute "Parts 2.19, 3.9 and 3.12A".
9
3 At the end of subsection 953(1)
10
Add:
11
; and (g) the person satisfies the carer allowance income test under
12
section 957A.
13
4 After paragraph 953(2)(f)
14
Insert:
15
; and (g) the person satisfies the carer allowance income test under
16
section 957A.
17
5 After paragraph 954(1)(f)
18
Insert:
19
; and (g) the person satisfies the carer allowance income test under
20
section 957A.
21
6 After paragraph 954A(1)(e)
22
Insert:
23
(ea) the person satisfies the carer allowance income test under
24
section 957A; and
25
7 At the end of Subdivision A of Division 2 of Part 2.19
26
Add:
27
Schedule 1 Carer allowance
4
Social Services Legislation Amendment (Payments for Carers) Bill
2018
No. , 2018
957A Carer allowance income test
1
(1) This is how to work out whether a person satisfies the carer
2
allowance income test on a day (the test day).
3
Method statement
4
Step 1. Work out the amount of the person's adjusted taxable
5
income for the reference tax year.
6
Note 1:
Section 957B deals with how to work out adjusted
7
taxable income.
8
Note 2:
For reference tax year see subsections (2) and (3).
9
Step 2. If, on the test day, the person is a member of a couple,
10
work out the amount of the person's partner's adjusted
11
taxable income for the reference tax year applicable
12
under step 1.
13
Note 1:
Section 957B deals with how to work out adjusted
14
taxable income.
15
Note 2:
For reference tax year see subsections (2) and (3).
16
Step 3. If, on the test day, the person is not a member of a
17
couple, the person has reached the minimum age
18
mentioned in section 301-10 of the Income Tax
19
Assessment Act 1997 and the person has at least one
20
long-term financial asset, work out the person's deemed
21
income amount under subsection 957D(1).
22
Note:
For long-term financial asset see subsection (5).
23
Step 4. If, on the test day, the person is a member of a couple and
24
the person, or the person's partner, or both, have reached
25
the minimum age mentioned in section 301-10 of the
26
Income Tax Assessment Act 1997 and have at least one
27
long-term financial asset, work out the person's deemed
28
income amount under subsection 957D(2).
29
Note:
For long-term financial asset see subsection (5).
30
Step 5. Work out the sum of the amounts at steps 1, 2, 3 and 4
31
(as applicable).
32
Carer allowance Schedule 1
No. , 2018
Social Services Legislation Amendment (Payments for Carers) Bill
2018
5
Step 6. The person satisfies the carer allowance income test if the
1
amount at step 5 is less than $250,000.
2
Reference tax year
3
(2) For the purposes of this section, a person's reference tax year is:
4
(a) if the person has received a notice of assessment of the
5
person's taxable income for the base tax year--the base tax
6
year; or
7
(b) otherwise--the tax year immediately preceding the base tax
8
year.
9
Note:
For base tax year see subsection (4).
10
(3) However, if the person has informed the Secretary in writing that
11
the person wishes to have the person's qualification for carer
12
allowance determined by reference to the person's adjusted taxable
13
income for the tax year (the current tax year) in which the test day
14
occurred, the person's reference tax year is the current tax year.
15
(4) The base tax year is the tax year immediately preceding the tax
16
year in which the test day occurred.
17
Note:
For tax year see subsection 23(1).
18
Long-term financial asset
19
(5) For the purposes of this Subdivision, a long-term financial asset
20
is:
21
(a) a financial investment within the meaning of paragraph (i) of
22
the definition of financial investment in subsection 9(1),
23
where the asset-tested income stream (long term) arises under
24
a complying superannuation plan (within the meaning of the
25
Income Tax Assessment Act 1997) that is not a
26
constitutionally protected fund (within the meaning of that
27
Act); or
28
(b) a financial investment within the meaning of paragraph (j) of
29
the definition of financial investment in subsection 9(1).
30
Schedule 1 Carer allowance
6
Social Services Legislation Amendment (Payments for Carers) Bill
2018
No. , 2018
957B Adjusted taxable income
1
(1) For the purposes of this Subdivision, a person's adjusted taxable
2
income for a particular tax year is the sum of the following
3
amounts (each of which is an income component):
4
(a) the person's taxable income for that year, disregarding the
5
person's assessable FHSS released amount (within the
6
meaning of the Income Tax Assessment Act 1997) for that
7
year;
8
(b) the person's fringe benefits value for that year;
9
(c) the person's target foreign income for that year;
10
(d) the person's total net investment loss for that year;
11
(e) the person's tax free pensions or benefits for that year;
12
(f) the person's reportable superannuation contributions for that
13
year;
14
less the amount of the person's deductible child maintenance
15
expenditure (the deductible component) for that year.
16
Note:
For tax year see subsection 23(1).
17
Taxable income
18
(2) For the purposes of this section, a person's taxable income for a
19
particular tax year is:
20
(a) the person's assessed taxable income for that year; or
21
(b) if the person does not have an assessed taxable income for
22
that year--the person's accepted estimate of taxable income
23
for that year.
24
Note:
For accepted estimate see section 957C.
25
(3) For the purposes of this section, a person's assessed taxable
26
income for a particular tax year at a particular time is the most
27
recent of:
28
(a) if, at that time, the Commissioner of Taxation has made an
29
assessment or an amended assessment of that taxable
30
income--that taxable income according to the assessment or
31
amended assessment; or
32
(b) if, at that time, a tribunal has amended an assessment or an
33
amended assessment made by the Commissioner--that
34
Carer allowance Schedule 1
No. , 2018
Social Services Legislation Amendment (Payments for Carers) Bill
2018
7
taxable income according to the amendment made by the
1
tribunal; or
2
(c) if, at that time, a court has amended an assessment or an
3
amended assessment made by the Commissioner or an
4
amended assessment made by a tribunal--that taxable
5
income according to the amendment made by the court.
6
Fringe benefits value
7
(4) For the purposes of this section, a person's fringe benefits value
8
for a particular tax year is the person's accepted estimate of the
9
amount by which the total of the assessable fringe benefits received
10
or to be received by the person in the tax year exceeds $1,000.
11
Note 1:
For assessable fringe benefit see subsection 10A(2) and Part 3.12A.
12
Note 2:
For accepted estimate see section 957C.
13
Target foreign income
14
(5) For the purposes of this section, a person's target foreign income
15
for a particular tax year is the person's accepted estimate of the
16
amount of the person's target foreign income for that year.
17
Note 1:
For target foreign income see subsection 10A(2).
18
Note 2:
For accepted estimate see section 957C.
19
Total net investment loss
20
(6) For the purposes of this section, a person's total net investment
21
loss for a particular tax year is the person's accepted estimate of
22
the amount of the person's total net investment loss (within the
23
meaning of the Income Tax Assessment Act 1997) for that year.
24
Note:
For accepted estimate see section 957C.
25
Tax free pensions or benefits
26
(7) For the purposes of this section, a person's tax free pensions or
27
benefits for a particular tax year is the person's accepted estimate
28
of the total of the person's tax free pensions or benefits (worked
29
out under clause 7 of Schedule 3 to the A New Tax System (Family
30
Assistance) Act 1999) for that year.
31
Note:
For accepted estimate see section 957C.
32
Schedule 1 Carer allowance
8
Social Services Legislation Amendment (Payments for Carers) Bill
2018
No. , 2018
Reportable superannuation contributions
1
(8) For the purposes of this section, a person's reportable
2
superannuation contributions for a particular tax year is the
3
person's accepted estimate of the amount of the person's reportable
4
superannuation contributions (within the meaning of the Income
5
Tax Assessment Act 1997) for that year.
6
Note:
For accepted estimate see section 957C.
7
Deductible child maintenance expenditure
8
(9) For the purposes of this section, a person's deductible child
9
maintenance expenditure for a particular tax year is the person's
10
accepted estimate of the amount worked out under subclause 8(1)
11
of Schedule 3 to the A New Tax System (Family Assistance) Act
12
1999 for the person for that year.
13
Note:
For accepted estimate see section 957C.
14
957C Accepted estimates
15
(1) For the purposes of section 957B, a person's accepted estimate of
16
an income component, or the deductible component, for a
17
particular tax year is that income component, or deductible
18
component, according to the most recent notice given by the
19
person to the Secretary under subsection (2) and accepted by the
20
Secretary for the purposes of this section.
21
Note:
For income component and deductible component see
22
subsection 957B(1).
23
(2) A person may give the Secretary a notice, in a form approved by
24
the Secretary, setting out the person's estimate of an income
25
component, or the deductible component, of the person for a tax
26
year.
27
(3) The notice is to contain, or be accompanied by, such information
28
as is required by the form to be contained in it or to accompany it,
29
as the case may be.
30
(4) The Secretary is to accept a notice only if the Secretary is satisfied
31
that the estimate is reasonable.
32
Carer allowance Schedule 1
No. , 2018
Social Services Legislation Amendment (Payments for Carers) Bill
2018
9
957D Income from long-term financial assets
1
Person is not a member of a couple
2
(1) This is how to work out the person's deemed income amount under
3
this subsection:
4
Method statement
5
Step 1. Work out the total value of all of the person's long-term
6
financial assets on the test day.
7
Note:
For long-term financial asset see subsection 957A(5).
8
Step 2. Work out under section 1076 the amount of ordinary
9
income the person would be taken to receive per year on
10
the financial assets:
11
(a)
on the assumption that the only financial assets of
12
the person were the financial assets referred to in
13
step 1; and
14
(b)
on the assumption that the total value of the
15
person's financial assets were the amount at step 1.
16
Step 3. The result at step 2 is the person's deemed income
17
amount.
18
Person is a member of a couple
19
(2) This is how to work out the person's deemed income amount under
20
this subsection:
21
Method statement
22
Step 1. If, on the test day, the person has reached the minimum
23
age mentioned in section 301-10 of the Income Tax
24
Assessment Act 1997, work out the total value of all of
25
the person's long-term financial assets on the test day.
26
Note:
For long-term financial asset see subsection 957A(5).
27
Schedule 1 Carer allowance
10
Social Services Legislation Amendment (Payments for Carers) Bill
2018
No. , 2018
Step 2. If, on the test day, the person's partner has reached the
1
minimum age mentioned in section 301-10 of the Income
2
Tax Assessment Act 1997, work out the total value of all
3
of the person's partner's long-term financial assets on the
4
test day.
5
Step 3. Work out under section 1077 the amount of ordinary
6
income the couple would be taken to receive per year on
7
the financial assets:
8
(a)
on the assumption that section 1077 applied to the
9
person and the person's partner; and
10
(b)
on the assumption that the only financial assets of
11
the person and the person's partner were the
12
financial assets referred to in steps 1 and 2 (as
13
applicable); and
14
(c)
on the assumption that the total value of the
15
couple's financial assets were the sum of the
16
amounts at steps 1 and 2 (as applicable).
17
Step 4. The result at step 3 is the person's deemed income
18
amount.
19
8 Part 3.12A (heading)
20
Repeal the heading, substitute:
21
Part 3.12A--Provisions for carer allowance and
22
seniors health card income test
23
9 Subsection 1157A(1)
24
After "purposes of the", insert "carer allowance income test and the".
25
10 Application provision
26
The amendments made by this Schedule apply in relation to working
27
out a person's qualification for carer allowance for a day that is on or
28
after the commencement of this item.
29
Health care card Schedule 2
No. , 2018
Social Services Legislation Amendment (Payments for Carers) Bill
2018
11
Schedule 2--Health care card
1
2
Social Security Act 1991
3
1 At the end of subsection 1061ZK(3)
4
Add:
5
; (e) the carer satisfies the carer allowance income test under
6
section 957A.
7
2 Application provision
8
The amendment made by this Schedule applies in relation to working
9
out whether a person is qualified for a health care card on a day that is
10
on or after the commencement of this item.
11
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