Commonwealth Numbered Regulations

INCOME TAX ASSESSMENT AMENDMENT REGULATIONS 1999 (NO. 3) 1999 NO. 147 - SCHEDULE 1

(regulation 3)

[1] After regulation 51-5.01

insert

(1)

The following expressions have the same meaning in this regulation as they have in the Private Health Insurance Incentives Act 1998 :

* ancillary cover

* appropriate private health insurance policy

* dependent child

* fringe benefit

* health fund

* hospital cover

* incentive amount .

(2)

In this regulation:

1998-99 income year means the period beginning on 1 January 1999 and ending on 30 June 1999.

"policy holder", in relation to an appropriate private health insurance policy, means the person who is named as the holder of the policy in the records of the health fund that issued the policy.

"premium "means a premium, or an amount in respect of a premium.

(3)

For Subdivision 61-H of the Act, a health fund must, before 15 July in each income year, issue a written statement for the previous income year (including the 1998-99 income year) to each individual (other than a dependent child) who is the policy holder of an appropriate private health insurance policy at any time in the previous income year.

Penalty:
5 penalty units.

(4)

The statement must include the following information in relation to the premium amounts paid under the policy for the income year to which the statement relates:

(a)

the policy holder's name and postal address;

(b)

the fund membership number of the policy;

(c)

the health fund identification given to the health fund by the Health Insurance Commission;

(d)

the date when the statement was prepared;

(e)

the total of premiums paid, or taken to have been paid;

(f)

an amount representing 30% of the amount in paragraph (e);

(g)

an amount representing the premiums reduction amount;

(h)

an amount representing the incentive amount if:

(i)

the individual was eligible for a reduction of premiums under the Private Health Insurance Incentives Act 1997 ; and

(ii)

the incentive amount for the individual is greater than the premiums reduction amount;

(i)

an amount worked out by finding 30% of the total premiums paid and subtracting the premiums reduction amount;

(j)

an amount worked out by subtracting the premiums reduction amount from the incentive amount;

(k)

the number of days in the income year that the individual was entitled to:

(i)

private patient hospital cover from the health fund; or

(ii)

ancillary cover from the health fund.

(5)

For paragraph 4 (e), a premium is taken to have been paid to a health fund under an appropriate private health insurance policy for an income year if:

(a)

the premium is due under the policy before the end of the income year; and

(b)

the premium has not been received by the fund at the date when the statement is prepared; and

(c)

the health fund has a reasonable expectation that the premium will be paid before the end of the income year, based on previous payments made under the policy.

(6)

The health fund must take all reasonable care to produce an accurate statement.

Penalty:
5 penalty units.