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SOCIAL SERVICES AND OTHER LEGISLATION AMENDMENT BILL 2013

 

 

 

2013 

 

The Parliament of the 

Commonwealth of Australia 

 

HOUSE OF REPRESENTATIVES 

 

 

 

 

Presented and read a first time 

 

 

 

 

Social Services and Other Legislation 

Amendment Bill 2013 

 

No.      , 2013 

 

(Social Services) 

 

 

 

A Bill for an Act to amend the law relating to 

family assistance, social security, student assistance, 

veterans' entitlements, paid parental leave, child 

support, gambling and the National Disability 

Insurance Scheme, and for related purposes 

   

   

 

 

No.      , 2013 

Social Services and Other Legislation Amendment Bill 2013 

i 

 

Contents 

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

 

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

 

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

 

Schedule 1--Encouraging responsible gambling

 

4

 

Part 1--Amendments

 

4

 

National Gambling Reform Act 2012

 

4

 

Part 2--Repeal of Acts

 

8

 

National Gambling Reform (Related Matters) Act (No. 1) 2012

 

8

 

National Gambling Reform (Related Matters) Act (No. 2) 2012

 

8

 

Schedule 2--Continuing income management as part of Cape 

York welfare reform

 

9

 

Social Security (Administration) Act 1999

 

9

 

Schedule 3--Family tax benefit and eligibility rules

 

10

 

A New Tax System (Family Assistance) Act 1999

 

10

 

A New Tax System (Family Assistance) (Administration) Act 1999

 

14

 

Schedule 4--Period of Australian working life residence

 

16

 

Social Security Act 1991

 

16

 

Social Security (International Agreements) Act 1999

 

18

 

Schedule 5--Interest charge

 

22

 

Part 1--Amendments

 

22

 

Social Security Act 1991

 

22

 

Student Assistance Act 1973

 

29

 

Part 2--Application and transitional provisions

 

36

 

Schedule 6--Student start-up loans

 

38

 

Income Tax Assessment Act 1936

 

38

 

Income Tax Assessment Act 1997

 

39

 

Social Security Act 1991

 

40

 

Social Security (Administration) Act 1999

 

64

 

Student Assistance Act 1973

 

70

 

 

 

ii 

Social Services and Other Legislation Amendment Bill 2013 

No.      , 2013 

 

Taxation Administration Act 1953

 

96

 

Taxation (Interest on Overpayments and Early Payments) Act 1983

 

99

 

Schedule 7--Paid parental leave

 

102

 

Part 1--Amendments

 

102

 

Paid Parental Leave Act 2010

 

102

 

Part 2--Application and transitional provisions

 

109

 

Schedule 8--Pension bonus scheme

 

110

 

Social Security Act 1991

 

110

 

Veterans' Entitlements Act 1986

 

111

 

Schedule 9--Indexation

 

113

 

A New Tax System (Family Assistance) Act 1999

 

113

 

Family Assistance Legislation Amendment (Child Care Budget 

Measures) Act 2011

 

114

 

Paid Parental Leave Act 2010

 

114

 

Schedule 10--Reduction of period for temporary absence from 

Australia

 

115

 

A New Tax System (Family Assistance) Act 1999

 

115

 

A New Tax System (Family Assistance) (Administration) Act

 

117

 

Paid Parental Leave Act 2010

 

117

 

Schedule 11--Extending the deeming rules to account-based 

income streams

 

120

 

Part 1--Amendments

 

120

 

Social Security Act 1991

 

120

 

Veterans' Entitlements Act 1986

 

125

 

Part 2--Application provisions

 

130

 

Schedule 12--Other amendments

 

132

 

Part 1--Repayment of financial supplement through taxation 

system

 

132

 

Division 1--Amendments

 

132

 

Social Security Act 1991

 

132

 

 

 

No.      , 2013 

Social Services and Other Legislation Amendment Bill 2013 

iii 

 

Student Assistance Act 1973

 

133

 

Division 2--Application provision

 

134

 

Part 2--Time periods and FTB reconciliation conditions

 

135

 

A New Tax System (Family Assistance) (Administration) Act 1999

 

135

 

Part 3--Protection of amounts under National Disability 

Insurance Scheme

 

141

 

National Disability Insurance Scheme Act 2013

 

141

 

Part 4--Use of tax file numbers

 

143

 

A New Tax System (Family Assistance) (Administration) Act 1999

 

143

 

Part 5--Child support amendments

 

145

 

Child Support (Assessment) Act 1989

 

145

 

Child Support (Registration and Collection) Act 1988

 

147

 

Part 6--Other amendments

 

150

 

A New Tax System (Family Assistance) Act 1999

 

150

 

A New Tax System (Family Assistance) (Administration) Act 1999

 

152

 

 

 

 

No.      , 2013 

Social Services and Other Legislation Amendment Bill 2013 

1 

 

A Bill for an Act to amend the law relating to 

family assistance, social security, student assistance, 

veterans' entitlements, paid parental leave, child 

support, gambling and the National Disability 

Insurance Scheme, 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 Act 2013

2  Commencement 

10 

 

(1)  Each provision of this Act specified in column 1 of the table 

11 

commences, or is taken to have commenced, in accordance with 

12 

   

   

 

 

2 

Social Services and Other Legislation Amendment Bill 2013 

No.      , 2013 

 

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.  Schedules 1 

and 2 

The day this Act receives the Royal Assent. 

 

3.  Schedules 3, 4 

and 5 

1 January 2014. 

1 January 2014 

4.  Schedule 6 

Immediately after the commencement of 

Schedule 5 to this Act. 

1 January 2014 

5.  Schedules 7, 8 

and 9 

1 March 2014. 

1 March 2014 

6.  Schedule 10 

1 July 2014. 

1 July 2014 

7.  Schedule 11 

1 January 2015. 

1 January 2015 

8.  Schedule 12, 

Parts 1 to 4 

The day after this Act receives the Royal 

Assent. 

 

9.  Schedule 12, 

Part 5 

The seventh day after this Act receives the 

Royal Assent. 

 

10.  Schedule 12, 

Part 6 

Immediately after the commencement of 

Parts 1 and 2 of Schedule 2A to the Family 

Assistance and Other Legislation 

Amendment Act 2013

1 March 2014 

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. 

 

(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. 

   

   

 

 

No.      , 2013 

Social Services and Other Legislation Amendment Bill 2013 

3 

 

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  Encouraging responsible gambling 

Part 1  Amendments 

 

 

4 

Social Services and Other Legislation Amendment Bill 2013 

No.      , 2013 

 

Schedule 1

--

Encouraging responsible 

gambling 

Part 1

--

Amendments 

National Gambling Reform Act 2012 

1  Title 

Repeal the title, substitute: 

An Act in relation to measures to encourage 

responsible gambling, and for related purposes 

2  Chapter 1 (heading) 

Repeal the heading. 

10 

3  Section 1 

11 

Omit "National Gambling Reform", substitute "Gambling Measures". 

12 

4  Section 2 (note) 

13 

Repeal the note. 

14 

5  Section 3 

15 

Repeal the section. 

16 

6  Section 4 

17 

Repeal the section, substitute: 

18 

4  Object of this Act 

19 

 

  The object of this Act is to recognise the Commonwealth's 

20 

commitment to the development and implementation of measures 

21 

to encourage responsible gambling by all gamblers, including 

22 

voluntary pre-commitment on gaming machines in venues 

23 

nationally. 

24 

7  Section 5 

25 

Repeal the section, substitute: 

26 

Encouraging responsible gambling  Schedule 1 

Amendments  Part 1 

 

 

No.      , 2013 

Social Services and Other Legislation Amendment Bill 2013 

5 

 

5  Definitions 

 

  In this Act: 

Australian Institute of Family Studies means the Australian 

Institute of Family Studies established by Part XIVA of the Family 

Law Act 1975. 

Director of the Australian Institute of Family Studies means the 

Director within the meaning of section 114A of the Family Law 

Act 1975

gaming machine has the meaning given by section 6. 

8  Subsection 6(1) 

10 

Omit "(1)". 

11 

9  Subsections 6(2) to (4) 

12 

Repeal the subsections. 

13 

10  Sections 7 to 12 

14 

Repeal the sections. 

15 

11  Part 2 of Chapter 1 

16 

Repeal the Part. 

17 

12  Chapter 2 

18 

Repeal the Chapter, substitute: 

19 

Part 2--Encouraging responsible gambling 

20 

   

21 

19  Encouraging responsible gambling 

22 

 

(1)  The Commonwealth recognises the importance of meaningful 

23 

measures to encourage responsible gambling. 

24 

 

(2)  The Commonwealth supports voluntary pre-commitment on 

25 

gaming machines in venues nationally. 

26 

 

(3)  Voluntary pre-commitment allows a player of a gaming machine to 

27 

set a limit on the amount that the player is prepared to lose from 

28 

Schedule 1  Encouraging responsible gambling 

Part 1  Amendments 

 

 

6 

Social Services and Other Legislation Amendment Bill 2013 

No.      , 2013 

 

playing gaming machines, and helps the player keep to the limit. 

The player chooses whether to set a limit. 

20  Developing and implementing voluntary pre-commitment 

measure 

 

(1)  The Commonwealth will work with Governments of the States and 

Territories, the gaming industry, academics and the community 

sector: 

 

(a)  to develop and implement a voluntary pre-commitment 

scheme on gaming machines in venues nationally; and 

 

(b)  to develop a realistic timetable for implementing this 

10 

measure. 

11 

 

(2)  The Commonwealth will work with Governments of the States and 

12 

Territories and the gaming industry: 

13 

 

(a)  to ensure that all gaming machines are capable of supporting 

14 

a venue-based voluntary pre-commitment scheme; and 

15 

 

(b)  to develop a realistic timetable for implementing this 

16 

capability. 

17 

21  Administration of voluntary pre-commitment measure 

18 

 

  The Commonwealth will work with Governments of the States and 

19 

Territories on the most appropriate way of administering the 

20 

voluntary pre-commitment measure referred to in subsection 20(1). 

21 

13  Chapters 3 to 8 

22 

Repeal the Chapters. 

23 

14  Chapter 9 (heading) 

24 

Repeal the heading. 

25 

15  Part 1 of Chapter 9 

26 

Repeal the Part. 

27 

16  Part 2 of Chapter 9 (heading) 

28 

Repeal the heading, substitute: 

29 

Encouraging responsible gambling  Schedule 1 

Amendments  Part 1 

 

 

No.      , 2013 

Social Services and Other Legislation Amendment Bill 2013 

7 

 

Part 3--Research and other provisions 

17  Division 1 of Part 2 of Chapter 9 (heading) 

Repeal the heading. 

18  Sections 193 to 195 

Repeal the sections. 

19  Subsection 196(2) 

Repeal the subsection. 

20  Division 2 of Part 2 of Chapter 9 (heading) 

Repeal the heading. 

21  Sections 198 to 200 

10 

Repeal the sections, substitute: 

11 

198  Act does not create legally enforceable obligations etc. 

12 

 

  This Act (other than sections 196 and 197) does not create rights or 

13 

duties that are legally enforceable in judicial or other proceedings. 

14 

22  Subsection 201(1) 

15 

Omit "(1)". 

16 

23  Subsection 201(2) 

17 

Repeal the subsection. 

18 

Schedule 1  Encouraging responsible gambling 

Part 2  Repeal of Acts 

 

 

8 

Social Services and Other Legislation Amendment Bill 2013 

No.      , 2013 

 

Part 2

--

Repeal of Acts 

National Gambling Reform (Related Matters) Act (No. 1) 

2012 

24  The whole of the Act 

Repeal the Act. 

National Gambling Reform (Related Matters) Act (No. 2) 

2012 

25  The whole of the Act 

Repeal the Act. 

Continuing income management as part of Cape York welfare reform  Schedule 2 

   

 

 

No.      , 2013 

Social Services and Other Legislation Amendment Bill 2013 

9 

 

Schedule 2

--

Continuing income management 

as part of Cape York welfare reform 

   

Social Security (Administration) Act 1999 

1  Paragraphs 123UF(1)(g) and (2)(h) 

Omit "1 January 2014", substitute "1 January 2016". 

Schedule 3  Family tax benefit and eligibility rules 

   

 

 

10 

Social Services and Other Legislation Amendment Bill 2013 

No.      , 2013 

 

Schedule 3

--

Family tax benefit and eligibility 

rules 

   

A New Tax System (Family Assistance) Act 1999 

1  Subsection 3(1) (definition of exempt from the FTB activity 

test

Repeal the definition. 

2  Subsection 3(1) (definition of satisfies the FTB activity test

Repeal the definition. 

3  Section 17B 

10 

Repeal the section. 

11 

4  Paragraph 22(3)(e) 

12 

Repeal the paragraph, substitute: 

13 

 

(e)  the individual is a senior secondary school child. 

14 

5  Subsection 22A(1) 

15 

Omit "(1)". 

16 

6  Subsection 22A(1) (cell at table item 1, column headed 

17 

"then the individual cannot be an FTB child of the adult 

18 

if:")

 

19 

Repeal the cell, substitute: 

20 

the adult is the individual's partner, or 

would be if the individual were over the 

age of consent applicable in the State or 

Territory in which the individual lives. 

7  Subsection 22A(1) (paragraph (a) of the cell at table item 2, 

21 

column headed "then the individual cannot be an FTB 

22 

child of the adult if:")

 

23 

Repeal the paragraph. 

24 

Family tax benefit and eligibility rules  Schedule 3 

   

 

 

No.      , 2013 

Social Services and Other Legislation Amendment Bill 2013 

11 

 

8  Subsections 22A(1A) and (2) 

Repeal the subsections. 

9  Subparagraph 22B(1)(b)(ii) 

Repeal the subparagraph, substitute: 

 

(ii)  subsection (2) applies in relation to the individual. 

10  Subsection 22B(2) 

Repeal the subsection, substitute: 

Exemption from full-time study requirement 

 

(2)  This subsection applies in relation to the individual if: 

 

(a)  there is no locally accessible approved course of education or 

10 

study (including any such course available by distance 

11 

education); or 

12 

 

(b)  where there is such a course: 

13 

 

(i)  there is no place available on the course for the 

14 

individual; or 

15 

 

(ii)  the individual is not qualified to undertake the course; 

16 

or 

17 

 

(iii)  the individual lacks capacity to undertake the course 

18 

because the individual has a physical, psychiatric or 

19 

intellectual disability or a learning disability such as 

20 

attention deficit disorder; or 

21 

 

(c)  in the Secretary's opinion, special circumstances exist that 

22 

make it unreasonable to require the individual to undertake 

23 

an approved course of education or study. 

24 

Determination of full-time study hours 

25 

 

(2A)  For the purposes of subparagraph (1)(b)(i) or (ia), if the Secretary 

26 

determines that it is appropriate to do so having regard to an 

27 

individual's circumstances, the Secretary may determine that the 

28 

normal amount of full-time study for the individual in respect of a 

29 

course is to be a number of hours per week specified in the 

30 

determination, averaged over the duration of the period for which 

31 

the individual is enrolled in the course. 

32 

Schedule 3  Family tax benefit and eligibility rules 

   

 

 

12 

Social Services and Other Legislation Amendment Bill 2013 

No.      , 2013 

 

11  Before subsection 22B(3) 

Insert: 

Continued status of senior secondary school child 

12  Before subsection 22B(4) 

Insert: 

Interpretation 

13  Paragraph 31(3)(a) 

Omit "18 and was a senior secondary school child", substitute "16". 

14  Paragraphs 31(3)(b) and (c) 

Repeal the paragraphs, substitute: 

10 

 

(b)  if the child had not turned 16 when the child died--any day 

11 

on which the child would have been aged 16, and on which 

12 

the Secretary is satisfied the child would not have been a 

13 

senior secondary school child, if the child had not died. 

14 

15  Subparagraphs 34(1)(a)(ii) and (iii) 

15 

Repeal the subparagraphs, substitute: 

16 

 

(ii)  has turned 16 and is a senior secondary school child; 

17 

and 

18 

16  Subsection 35(1) (table item 1) 

19 

Repeal the item. 

20 

17  Subsection 35(1) (cell at table item 2, column headed 

21 

"then the approved care or

ganisation is not eligible for 

22 

family tax benefit in respect of the individual if:")

 

23 

Repeal the cell, substitute: 

24 

the individual, or someone on behalf of 

the individual, is, at the particular time, 

receiving payments under a prescribed 

educational scheme. 

18  Subsections 35(2A) and (3) 

25 

Repeal the subsections. 

26 

Family tax benefit and eligibility rules  Schedule 3 

   

 

 

No.      , 2013 

Social Services and Other Legislation Amendment Bill 2013 

13 

 

19  Paragraph 57GE(3)(a) 

Omit "18 and was a senior secondary school child", substitute "16". 

20  Paragraphs 57GE(3)(b) and (c) 

Repeal the paragraphs, substitute: 

 

(b)  if the child had not turned 16 when the child died--any day 

on which the child would have been aged 16, and on which 

the Secretary is satisfied the child would not have been a 

senior secondary school child, if the child had not died. 

21  Paragraph 65(2)(a) 

Omit "18 and was a senior secondary school child", substitute "16". 

10 

22  Paragraphs 65(2)(b) and (c) 

11 

Repeal the paragraphs, substitute: 

12 

 

(b)  where the child had not turned 16 when the child died--the 

13 

child would have been aged 16, and the Secretary is satisfied 

14 

the child would not have been a senior secondary school 

15 

child, on that day if the child had not died. 

16 

23  Clause 7 of Schedule 1 (table item 2) 

17 

Omit ", but is under 16,". 

18 

24  Clause 7 of Schedule 1 (table items 3 and 4) 

19 

Repeal the items. 

20 

25  Subclause 38AA(1) of Schedule 1 (table item 2) 

21 

Omit ", but is under 16,". 

22 

26  Subclause 38AA(1) of Schedule 1 (table items 3 and 4) 

23 

Repeal the items. 

24 

27  Subclause 38B(3) of Schedule 1 

25 

Repeal the subclause, substitute: 

26 

 

(3)  A regular care child of an individual is a rent assistance child of 

27 

the individual if the regular care child is not an absent overseas 

28 

regular care child. 

29 

Schedule 3  Family tax benefit and eligibility rules 

   

 

 

14 

Social Services and Other Legislation Amendment Bill 2013 

No.      , 2013 

 

28  Clause 2 of Schedule 4 (table item 14A) 

Repeal the item. 

29  Subclause 3(1) of Schedule 4 (table item 14A) 

Repeal the item. 

30  Subclause 3(4) of Schedule 4 

Repeal the subclause. 

A New Tax System (Family Assistance) (Administration) Act 

1999 

31  Subsection 29(2B) 

Omit "satisfies or is exempt from the FTB activity test", substitute "is a 

10 

senior secondary school child". 

11 

32  Paragraph 32J(1)(b) 

12 

Omit "(other than an FTB child, or regular care child, of the first 

13 

individual)". 

14 

33  Sections 32K and 32L 

15 

Repeal the sections. 

16 

34  Subparagraph 32P(1)(c)(ii) 

17 

Omit "period; and", substitute "period.". 

18 

35  Paragraph 32P(1)(d) 

19 

Repeal the paragraph. 

20 

36  Application and saving provisions 

21 

(1) 

The amendments made by items 3 to 18 and 21 to 27 apply for the 

22 

purposes of working out eligibility for family tax benefit, and how 

23 

much family tax benefit is payable, for a day that is on or after 

24 

1 January 2014. 

25 

(2) 

The amendments made by items 3 to 12 and 19 and 20 apply for the 

26 

purposes of working out eligibility for single income family 

27 

Family tax benefit and eligibility rules  Schedule 3 

   

 

 

No.      , 2013 

Social Services and Other Legislation Amendment Bill 2013 

15 

 

supplement, and how much single income family supplement is 

payable, for a day that is on or after 1 January 2014. 

(3) 

The amendments made by items 3 to 12 apply for the purposes of 

working out eligibility for child care benefit, and how much child care 

benefit is payable, in respect of care provided to a child by an approved 

child care service or a registered carer on or after 1 January 2014. 

(4) 

The amendments made by items 3 to 12 apply for the purposes of 

working out qualification for a double orphan pension under Part 2.20 

of the Social Security Act 1991 for a day that is on or after 1 January 

2014. 

10 

(5) 

Despite the amendment made by item 31, subsection 29(2B) of the 

11 

New Tax System (Family Assistance) (Administration) Act 1999, as in 

12 

force immediately before the commencement of that item, continues to 

13 

apply on and after that commencement in relation to a day occurring 

14 

before 1 January 2014. 

15 

(6) 

Despite the amendments made by items 32 to 35, sections 32J, 32K, 

16 

32L and 32P of the A New Tax System (Family Assistance) 

17 

(Administration) Act 1999, as in force immediately before the 

18 

commencement of those items, continue to apply on and after that 

19 

commencement in relation to a same-rate benefit period to the extent 

20 

that it occurs before 1 January 2014. 

21 

Schedule 4  Period of Australian working life residence 

   

 

 

16 

Social Services and Other Legislation Amendment Bill 2013 

No.      , 2013 

 

Schedule 4

--

Period of Australian working life 

residence 

   

Social Security Act 1991 

1  Subpoint 1221-C1 (heading) 

Repeal the heading, substitute: 

Residence factor (period of Australian working life residence 35 

years or more) 

2  Subpoint 1221-C1 

Omit "300 months (25 years)", substitute "420 months (35 years)". 

10 

3  Subpoint 1221-C2 (heading) 

11 

Repeal the heading, substitute: 

12 

Residence factor (period of Australian working life residence 

13 

under 35 years) 

14 

4  Subpoint 1221-C2 

15 

Omit "300 months (25 years)", substitute "420 months (35 years)". 

16 

5  Subpoint 1221-C2 (formula) 

17 

Repeal the formula, substitute: 

18 

Person's period of Australian working life residence

420

 

19 

6  Application of amendments 

20 

(1) 

Subject to this item, the amendments made by items 1 to 5 apply in 

21 

relation to periods of absence from Australia starting on or after 

22 

1 January 2014. 

23 

Presence in Australia immediately before 1 January 2014 

24 

(2) 

If: 

25 

Period of Australian working life residence  Schedule 4 

   

 

 

No.      , 2013 

Social Services and Other Legislation Amendment Bill 2013 

17 

 

 

(a)  immediately before 1 January 2014 a person was receiving a 

pension referred to in section 1220A, 1220B or 1221 of the 

Social Security Act 1991; and 

 

(b)  immediately before 1 January 2014 the person was in 

Australia but was not residing in Australia; and 

 

(c)  the person leaves Australia on a day (the departure day) that 

is before the end of the period of 26 weeks beginning on 

1 January 2014; and 

 

(d)  on the departure day the person is receiving that pension; 

then, subject to subitem (5), the amendments made by items 1 to 5 do 

10 

not apply in relation to the person's period of absence from Australia 

11 

starting on the departure day. 

12 

(3) 

If: 

13 

 

(a)  because of subitem (2), the amendments made by items 1 to 5 

14 

did not apply in relation to the person's period of absence 

15 

from Australia starting on the departure day; and 

16 

 

(b)  after the departure day the person returns to Australia; and 

17 

 

(c)  immediately before returning to Australia the person is 

18 

receiving that pension; and 

19 

 

(d)  the person leaves Australia on a day (the relevant day) that is 

20 

before the end of the period of 26 weeks beginning on the 

21 

day the person returned to Australia; and 

22 

 

(e)  on the relevant day the person is receiving that pension; 

23 

then, subject to subitem (5), the amendments made by items 1 to 5 do 

24 

not apply in relation to the person's period of absence from Australia 

25 

starting on the relevant day. 

26 

Presence outside Australia immediately before 1 January 2014 

27 

(4) 

If: 

28 

 

(a)  immediately before 1 January 2014 a person was outside 

29 

Australia and was receiving a pension referred to in 

30 

section 1220A, 1220B or 1221 of the Social Security Act 

31 

1991; and 

32 

 

(b)  on or after 1 January 2014 the person returns to Australia; 

33 

and 

34 

 

(c)  immediately before returning to Australia the person is 

35 

receiving that pension; and 

36 

Schedule 4  Period of Australian working life residence 

   

 

 

18 

Social Services and Other Legislation Amendment Bill 2013 

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(d)  the person leaves Australia on a day (the departure day) that 

is before the end of the period of 26 weeks beginning on the 

day the person returned to Australia; and 

 

(e)  on the departure day the person is receiving that pension; 

then, subject to subitem (5), the amendments made by items 1 to 5 do 

not apply in relation to the person's period of absence from Australia 

starting on the departure day. 

General rule 

(5) 

If none of subitems (2) to (4) have the effect that the amendments made 

by items 1 to 5 do not apply in relation to a person's period of absence 

10 

from Australia starting on or after 1 January 2014, then, despite 

11 

subitems (2) to (4), the amendments made by items 1 to 5 apply in 

12 

relation to any other period of absence from Australia of the person 

13 

starting on or after that day. 

14 

Social Security (International Agreements) Act 1999 

15 

7  Section 16 

16 

Omit "to 22", substitute "and 21". 

17 

8  Sections 18, 19, 20 and 22 

18 

Repeal the sections. 

19 

9  Section 23 (heading) 

20 

Repeal the heading, substitute: 

21 

23  Residence factor: Australian working life residence of 35 years or 

22 

more 

23 

10  Section 23 

24 

Omit "300 months (25 years)", substitute "420 months (35 years)". 

25 

11  Section 24 (heading) 

26 

Repeal the heading, substitute: 

27 

Period of Australian working life residence  Schedule 4 

   

 

 

No.      , 2013 

Social Services and Other Legislation Amendment Bill 2013 

19 

 

24  Residence factor: Australian working life residence of less than 

35 years 

12  Section 24 

Omit "300 months (25 years)", substitute "420 months (35 years)". 

13  Section 24 (formula) 

Repeal the formula, substitute: 

Person's period of Australian working life residence

420

 

14  Application of amendments 

Periods of absence from Australia 

(1) 

Subject to this item, the amendments made by items 7 to 13 apply in 

10 

relation to periods of absence from Australia starting on or after 

11 

1 January 2014. 

12 

(2) 

If: 

13 

 

(a)  immediately before 1 January 2014 a person was receiving a 

14 

social security payment under a scheduled international 

15 

social security agreement; and 

16 

 

(b)  immediately before 1 January 2014 the person was in 

17 

Australia but was not residing in Australia; and 

18 

 

(c)  the person leaves Australia on a day (the departure day) that 

19 

is before the end of the period of 26 weeks beginning on 

20 

1 January 2014; and 

21 

 

(d)  on the departure day the person is receiving that payment; 

22 

then, subject to subitems (5) and (6), the amendments made by items 7 

23 

to 13 do not apply in relation to the person's period of absence from 

24 

Australia starting on the departure day. 

25 

(3) 

If: 

26 

 

(a)  because of subitem (2), the amendments made by items 7 to 

27 

13 did not apply in relation to the person's period of absence 

28 

from Australia starting on the departure day; and 

29 

 

(b)  after the departure day the person returns to Australia; and 

30 

Schedule 4  Period of Australian working life residence 

   

 

 

20 

Social Services and Other Legislation Amendment Bill 2013 

No.      , 2013 

 

 

(c)  immediately before returning to Australia the person is 

receiving that payment; and 

 

(d)  the person leaves Australia on a day (the relevant day) that is 

before the end of the period of 26 weeks beginning on the 

day the person returned to Australia; and 

 

(e)  on the relevant day the person is receiving that payment; 

then, subject to subitems (5) and (6), the amendments made by items 7 

to 13 do not apply in relation to the person's period of absence from 

Australia starting on the relevant day. 

(4) 

If: 

10 

 

(a)  immediately before 1 January 2014 a person was outside 

11 

Australia and was receiving a social security payment under a 

12 

scheduled international social security agreement at a rate 

13 

worked out under Part 3 of the Social Security (International 

14 

Agreements) Act 1999; and 

15 

 

(b)  on or after 1 January 2014 the person returns to Australia; 

16 

and 

17 

 

(c)  immediately before returning to Australia the person is 

18 

receiving that payment at that rate; and 

19 

 

(d)  the person leaves Australia on a day (the departure day) that 

20 

is before the end of the period of 26 weeks beginning on the 

21 

day the person returned to Australia; and 

22 

 

(e)  on the departure day the person is receiving that payment 

23 

(regardless of how the rate of that payment is being worked 

24 

out); 

25 

then, subject to subitems (5) and (6), the amendments made by items 7 

26 

to 13 do not apply in relation to the person's period of absence from 

27 

Australia starting on the departure day. 

28 

(5) 

If none of subitems (2) to (4) have the effect that the amendments made 

29 

by items 7 to 13 do not apply in relation to a person's period of absence 

30 

from Australia starting on or after 1 January 2014, then, despite 

31 

subitems (2) to (4), the amendments made by items 7 to 13 apply in 

32 

relation to any other period of absence from Australia of the person 

33 

starting on or after that day. 

34 

Existing recipients of wife pension or carer payment 

35 

(6) 

If: 

36 

Period of Australian working life residence  Schedule 4 

   

 

 

No.      , 2013 

Social Services and Other Legislation Amendment Bill 2013 

21 

 

 

(a)  immediately before 1 January 2014 a person was receiving a 

wife pension or a carer payment under a scheduled 

international social security agreement; and 

 

(b)  immediately before 1 January 2014 the person's period of 

Australian working life residence exceeded the period of 

Australian working life residence of: 

 

(i)  if the person was receiving a wife pension--the 

person's partner; or 

 

(ii)  if the person was receiving a carer payment--the person 

for whom the person was providing care; 

10 

then the amendments made by items 7 and 8 apply in relation to 

11 

working out the rate of that wife pension or carer payment on or after 

12 

1 January 2014. 

13 

New recipients of social security payments 

14 

(7) 

If: 

15 

 

(a)  a person is outside Australia on or after 1 January 2014 

16 

(regardless of when the absence began); and 

17 

 

(b)  the person's start day, in relation to a social security payment 

18 

under a scheduled international social security agreement, is 

19 

on or after 1 January 2014; 

20 

then the amendments made by items 7 to 13 apply in relation to 

21 

working out the rate of that payment. 

22 

Schedule 5  Interest charge 

Part 1  Amendments 

 

 

22 

Social Services and Other Legislation Amendment Bill 2013 

No.      , 2013 

 

Schedule 5

--

Interest charge 

Part 1

--

Amendments 

Social Security Act 1991 

1  Subsection 1222(2) (after table item 17) 

Insert: 

17A 

1229G 

(interest charge) 

deductions 

legal proceedings 

garnishee notice 

repayment by instalments 

1231, 1234A 

1232 

1233 

1234 

2  After subsection 1228B(2) 

Insert: 

 

(2A)  To avoid doubt, the amount added by way of penalty is part of the 

debt. 

3  Subsection 1228B(5) 

10 

Omit "or 1229AB", substitute ", 1229AB or 1229G". 

11 

4  After paragraph 1229(1)(e) 

12 

Insert: 

13 

 

(ea)  if, because of section 1229D, sections 1229E and 1229F 

14 

apply in relation to the person and the debt--the effect of 

15 

sections 1229E and 1229F; and 

16 

5  At the end of section 1229 

17 

Add: 

18 

 

(5)  Subsections (3) and (4) do not apply in relation to a person and a 

19 

debt if, because of section 1229D, sections 1229E and 1229F apply 

20 

in relation to the person and the debt. 

21 

6  After section 1229C 

22 

Insert: 

23 

Interest charge  Schedule 5 

Amendments  Part 1 

 

 

No.      , 2013 

Social Services and Other Legislation Amendment Bill 2013 

23 

 

1229D  Interest charge payable under section 1229E or 1229F on 

certain social security debts 

 

(1)  Sections 1229E and 1229F apply in relation to a person and a debt 

if: 

 

(a)  the debt is a debt owed by the person to the Commonwealth 

under the social security law and the debt has not been 

wholly paid; and 

 

(b)  the debt relates to a payment of any of the following social 

security payments: 

 

(i)  youth allowance; 

10 

 

(ii)  austudy payment; 

11 

 

(iii)  fares allowance; 

12 

 

(iv)  a social security payment prescribed in an instrument 

13 

under subsection (2); and 

14 

 

(c)  for a payment of a youth allowance: 

15 

 

(i)  qualification for the youth allowance was under 

16 

section 540 in circumstances where paragraph 541(1)(a) 

17 

(about full-time study) applied; or 

18 

 

(ii)  qualification for the youth allowance was under 

19 

section 540AA (about new apprentices); or 

20 

 

(iii)  qualification for the youth allowance was in 

21 

circumstances prescribed in an instrument under 

22 

subsection (3). 

23 

Legislative instruments 

24 

 

(2)  The Minister may, by legislative instrument, prescribe a social 

25 

security payment for the purposes of subparagraph (1)(b)(iv). 

26 

 

(3)  The Minister may, by legislative instrument, prescribe 

27 

circumstances for the purposes of subparagraph (1)(c)(iii). 

28 

1229E  No repayment arrangement in effect 

29 

 

(1)  If: 

30 

 

(a)  because of section 1229D, this section applies in relation to a 

31 

person and a debt; and 

32 

 

(b)  a notice is given to the person under subsection 1229(1) in 

33 

relation to the debt; and 

34 

Schedule 5  Interest charge 

Part 1  Amendments 

 

 

24 

Social Services and Other Legislation Amendment Bill 2013 

No.      , 2013 

 

 

(c)  an amount (the unpaid amount) of the debt remains unpaid 

at the end of the day (the due day) on which the debt is due to 

be paid; and 

 

(d)  at the end of the due day, there is no arrangement in effect 

under section 1234 in relation to the debt; 

then the person is liable to pay, by way of penalty, interest charge, 

worked out under subsection (7), for each day in the period 

described in subsection (6). 

 

(2)  However, subsection (1) does not apply in relation to the person in 

the circumstances prescribed in an instrument under subsection (3). 

10 

 

(3)  The Minister may, by legislative instrument, prescribe 

11 

circumstances for the purposes of subsection (2). 

12 

 

(4)  If, because of subsection (2), subsection (1) does not apply in 

13 

relation to the person, then: 

14 

 

(a)  at a later time, the Secretary may give the person a notice 

15 

specifying: 

16 

 

(i)  the day on which it was issued; and 

17 

 

(ii)  the outstanding amount of the debt at that day; and 

18 

 

(iii)  the day on which the outstanding amount is due and 

19 

payable; and 

20 

 

(iv)  the contact details for inquiries concerning the debt; and 

21 

 

(b)  the outstanding amount of the debt is due and payable on the 

22 

28th day after the day on which the notice was issued. 

23 

 

(5)  If: 

24 

 

(a)  a notice is given to the person under paragraph (4)(a) in 

25 

relation to the debt; and 

26 

 

(b)  an amount (the unpaid amount) of the debt remains unpaid 

27 

at the end of the day (the due day) on which the debt is due to 

28 

be paid; and 

29 

 

(c)  at the end of the due day, there is no arrangement in effect 

30 

under section 1234 in relation to the debt; 

31 

then the person is liable to pay, by way of penalty, interest charge, 

32 

worked out under subsection (7), for each day in the period 

33 

described in subsection (6). 

34 

Interest charge  Schedule 5 

Amendments  Part 1 

 

 

No.      , 2013 

Social Services and Other Legislation Amendment Bill 2013 

25 

 

Calculation of interest charge 

 

(6)  For the purposes of subsection (1) or (5), the period starts at the 

beginning of the day after the due day and ends at the end of the 

earlier of the following days: 

 

(a)  the last day at the end of which any of the following remains 

unpaid: 

 

(i)  the unpaid amount; 

 

(ii)  interest charge on any of the unpaid amount; 

 

(b)  the day before the first day, after the due day, on which the 

person makes a payment under an arrangement under 

10 

section 1234 in relation to the debt. 

11 

 

(7)  The interest charge for a day in the period described in 

12 

subsection (6) is worked out by multiplying the interest charge rate 

13 

for that day by the sum of so much of the following amounts as 

14 

remains unpaid: 

15 

 

(a)  the unpaid amount; 

16 

 

(b)  the interest charge from previous days. 

17 

Note 1: 

For interest charge rate see section 1229H. 

18 

Note 2: 

The interest charge for a day is due and payable to the Commonwealth 

19 

at the end of that day and is a debt due to the Commonwealth: see 

20 

section 1229G. 

21 

1229F  Failure to comply with or termination of repayment 

22 

arrangement 

23 

 

(1)  If: 

24 

 

(a)  because of section 1229D, this section applies in relation to a 

25 

person and a debt; and 

26 

 

(b)  an arrangement is in effect under section 1234 in relation to 

27 

the debt; and 

28 

 

(c)  the person fails to make a payment under the arrangement; 

29 

then the person is liable to pay, by way of penalty, interest charge, 

30 

worked out under subsection (3), for each day in the period 

31 

described in subsection (2). 

32 

 

(2)  The period starts at the beginning of the day after the day (the due 

33 

day) on which the payment was required to be made under the 

34 

arrangement and ends at the end of the earliest of the following 

35 

days: 

36 

Schedule 5  Interest charge 

Part 1  Amendments 

 

 

26 

Social Services and Other Legislation Amendment Bill 2013 

No.      , 2013 

 

 

(a)  the last day at the end of which any of the following remains 

unpaid: 

 

(i)  the outstanding amount of the debt; 

 

(ii)  interest charge on any of the outstanding amount of the 

debt; 

 

(b)  the day before the first day, after the due day, on which the 

person has paid all the payments that have so far become due 

and payable under the arrangement; 

 

(c)  the day before the day the arrangement is terminated under 

section 1234. 

10 

 

(3)  The interest charge for a day in the period described in 

11 

subsection (2) is worked out by multiplying the interest charge rate 

12 

for that day by the sum of so much of the following amounts as 

13 

remains unpaid: 

14 

 

(a)  the outstanding amount of the debt; 

15 

 

(b)  the interest charge from previous days. 

16 

Note 1: 

For interest charge rate see section 1229H. 

17 

Note 2: 

The interest charge for a day is due and payable to the Commonwealth 

18 

at the end of that day and is a debt due to the Commonwealth: see 

19 

section 1229G. 

20 

Repayment arrangement is terminated 

21 

 

(4)  If: 

22 

 

(a)  because of section 1229D, this section applies in relation to a 

23 

person and a debt; and 

24 

 

(b)  an arrangement is in effect under section 1234 in relation to 

25 

the debt; and 

26 

 

(c)  the arrangement is then terminated under section 1234 on a 

27 

day (the termination day); 

28 

then: 

29 

 

(d)  the following amounts (if any) are due and payable on the 

30 

14th day after the termination day: 

31 

 

(i)  the outstanding amount of the debt; 

32 

 

(ii)  interest charge on any of the outstanding amount of the 

33 

debt; and 

34 

 

(e)  if, at the end of that 14th day, any of those amounts remains 

35 

unpaid, the person is liable to pay, by way of penalty, interest 

36 

Interest charge  Schedule 5 

Amendments  Part 1 

 

 

No.      , 2013 

Social Services and Other Legislation Amendment Bill 2013 

27 

 

charge, worked out under subsection (6), for each day in the 

period described in subsection (5). 

 

(5)  The period starts at the beginning of the day after that 14th day and 

ends at the end of the earlier of the following days: 

 

(a)  the last day at the end of which any of the following remains 

unpaid: 

 

(i)  the outstanding amount of the debt; 

 

(ii)  interest charge on any of the outstanding amount of the 

debt; 

 

(b)  the day before the first day, after that 14th day, on which the 

10 

person makes a payment under another arrangement under 

11 

section 1234 in relation to the debt. 

12 

 

(6)  The interest charge for a day in the period described in 

13 

subsection (5) is worked out by multiplying the interest charge rate 

14 

for that day by the sum of so much of the following amounts as 

15 

remains unpaid: 

16 

 

(a)  the outstanding amount of the debt; 

17 

 

(b)  the interest charge from previous days. 

18 

Note 1: 

For interest charge rate see section 1229H. 

19 

Note 2: 

The interest charge for a day is due and payable to the Commonwealth 

20 

at the end of that day and is a debt due to the Commonwealth: see 

21 

section 1229G. 

22 

1229G  Other rules for interest charge 

23 

When interest charge is due and payable 

24 

 

(1)  The interest charge under section 1229E or 1229F for a day is due 

25 

and payable to the Commonwealth at the end of that day. 

26 

Interest charge is a debt 

27 

 

(2)  The interest charge under section 1229E or 1229F for a day is a 

28 

debt due to the Commonwealth by the person. 

29 

Provisions that do not apply to interest charge debt 

30 

 

(3)  Subsection 1229(1) and paragraph 1229D(1)(b) do not apply in 

31 

relation to the debt referred to in subsection (2) of this section. 

32 

Schedule 5  Interest charge 

Part 1  Amendments 

 

 

28 

Social Services and Other Legislation Amendment Bill 2013 

No.      , 2013 

 

1229H  What is the interest charge rate? 

 

(1)  For the purposes of sections 1229E and 1229F, the interest charge 

rate for a day is the rate worked out by adding 7 percentage points 

to the base interest rate for that day, and dividing that total by the 

number of days in the calendar year. 

 

(2)  The base interest rate for a day depends on which quarter of the 

year the day is in. For each day in a quarter in column 1 of the 

table, it is the monthly average yield of 90-day Bank Accepted 

Bills published by the Reserve Bank of Australia for the month in 

column 2 of the table. 

10 

 

11 

Base interest rate 

Item 

Column 1 

For days in this quarter: 

Column 2 

the monthly average yield of 90-day Bank 

Accepted Bills for this month applies: 

1 January to 31 March 

the preceding November 

1 April to 30 June 

the preceding February 

1 July to 30 September 

the preceding May 

1 October to 31 December 

the preceding August 

 

(3)  If the monthly average yield of 90-day Bank Accepted Bills for a 

12 

particular month in column 2 of the table in subsection (2) is not 

13 

published by the Reserve Bank of Australia before the beginning of 

14 

the relevant quarter, assume that it is the same as the last monthly 

15 

average yield of 90-day Bank Accepted Bills published by the 

16 

Reserve Bank of Australia before that month. 

17 

 

(4)  The base interest rate must be rounded to the second decimal place 

18 

(rounding .005 upwards). 

19 

7  After subsection 1234(1) 

20 

Insert: 

21 

 

(1A)  If a person is required to make a payment under an arrangement 

22 

entered into under subsection (1) before the end of a particular day, 

23 

the person must make that payment before the end of that day. 

24 

Interest charge  Schedule 5 

Amendments  Part 1 

 

 

No.      , 2013 

Social Services and Other Legislation Amendment Bill 2013 

29 

 

Student Assistance Act 1973 

8  Section 38 (heading) 

Repeal the heading, substitute: 

38  Definitions 

9  Section 38 

Insert: 

ABSTUDY debt means an amount paid under the ABSTUDY 

Scheme (also known as the Aboriginal Study Assistance Scheme) 

that should not have been paid. 

Note: 

The amount is a debt under paragraph (a) of the definition of debt in 

10 

this section. 

11 

10  Section 38 (paragraph (c) of the definition of debt

12 

After "section 40", insert "or 41F". 

13 

11  After section 41 

14 

Insert: 

15 

41A  Sections 40 and 41 do not apply to ABSTUDY debts 

16 

 

  Sections 40 and 41 do not apply in relation to a person and an 

17 

ABSTUDY debt owed by the person to the Commonwealth. 

18 

41B  Notice in respect of ABSTUDY debt 

19 

 

(1)  If an ABSTUDY debt owed by a person to the Commonwealth has 

20 

not been wholly paid, the Secretary must give the person a notice 

21 

specifying: 

22 

 

(a)  the date on which it was issued (the date of the notice); and 

23 

 

(b)  the reason the debt was incurred, including a brief 

24 

explanation of the circumstances that led to the debt being 

25 

incurred; and 

26 

 

(c)  the period to which the debt relates; and 

27 

 

(d)  the outstanding amount of the debt at the date of the notice; 

28 

and 

29 

Schedule 5  Interest charge 

Part 1  Amendments 

 

 

30 

Social Services and Other Legislation Amendment Bill 2013 

No.      , 2013 

 

 

(e)  the day on which the outstanding amount is due and payable; 

and 

 

(f)  the effect of sections 41D and 41E; and 

 

(g)  that a range of options is available for repayment of the debt; 

and 

 

(h)  the contact details for inquiries concerning the debt. 

 

(2)  The outstanding amount of the debt is due and payable on the 28th 

day after the date of the notice. 

41C  Interest charge payable on ABSTUDY debts 

 

  Sections 41D and 41E apply in relation to a person and a debt if the 

10 

debt is an ABSTUDY debt owed by the person to the 

11 

Commonwealth and the debt has not been wholly paid. 

12 

41D  No repayment arrangement in effect 

13 

 

(1)  If: 

14 

 

(a)  because of section 41C, this section applies in relation to a 

15 

person and a debt; and 

16 

 

(b)  a notice is given to the person under subsection 41B(1) in 

17 

relation to the debt; and 

18 

 

(c)  an amount (the unpaid amount) of the debt remains unpaid 

19 

at the end of the day (the due day) on which the debt is due to 

20 

be paid; and 

21 

 

(d)  at the end of the due day, there is no arrangement in effect 

22 

under section 41H in relation to the debt; 

23 

then the person is liable to pay, by way of penalty, interest charge, 

24 

worked out under subsection (7), for each day in the period 

25 

described in subsection (6). 

26 

 

(2)  However, subsection (1) does not apply in relation to the person in 

27 

the circumstances prescribed in an instrument under subsection (3). 

28 

 

(3)  The Minister may, by legislative instrument, prescribe 

29 

circumstances for the purposes of subsection (2). 

30 

 

(4)  If, because of subsection (2), subsection (1) does not apply in 

31 

relation to the person, then: 

32 

Interest charge  Schedule 5 

Amendments  Part 1 

 

 

No.      , 2013 

Social Services and Other Legislation Amendment Bill 2013 

31 

 

 

(a)  at a later time, the Secretary may give the person a notice 

specifying: 

 

(i)  the day on which it was issued; and 

 

(ii)  the outstanding amount of the debt at that day; and 

 

(iii)  the day on which the outstanding amount is due and 

payable; and 

 

(iv)  the contact details for inquiries concerning the debt; and 

 

(b)  the outstanding amount of the debt is due and payable on the 

28th day after the day on which the notice was issued. 

 

(5)  If: 

10 

 

(a)  a notice is given to the person under paragraph (4)(a) in 

11 

relation to the debt; and 

12 

 

(b)  an amount (the unpaid amount) of the debt remains unpaid 

13 

at the end of the day (the due day) on which the debt is due to 

14 

be paid; and 

15 

 

(c)  at the end of the due day, there is no arrangement in effect 

16 

under section 41H in relation to the debt; 

17 

then the person is liable to pay, by way of penalty, interest charge, 

18 

worked out under subsection (7), for each day in the period 

19 

described in subsection (6). 

20 

Calculation of interest charge 

21 

 

(6)  For the purposes of subsection (1) or (5), the period starts at the 

22 

beginning of the day after the due day and ends at the end of the 

23 

earlier of the following days: 

24 

 

(a)  the last day at the end of which any of the following remains 

25 

unpaid: 

26 

 

(i)  the unpaid amount; 

27 

 

(ii)  interest charge on any of the unpaid amount; 

28 

 

(b)  the day before the first day, after the due day, on which the 

29 

person makes a payment in accordance with an arrangement 

30 

under section 41H in relation to the debt. 

31 

 

(7)  The interest charge for a day in the period described in 

32 

subsection (6) is worked out by multiplying the interest charge rate 

33 

for that day by the sum of so much of the following amounts as 

34 

remains unpaid: 

35 

 

(a)  the unpaid amount; 

36 

Schedule 5  Interest charge 

Part 1  Amendments 

 

 

32 

Social Services and Other Legislation Amendment Bill 2013 

No.      , 2013 

 

 

(b)  the interest charge from previous days. 

Note 1: 

For interest charge rate see section 41G. 

Note 2: 

The interest charge for a day is due and payable to the Commonwealth 

at the end of that day: see section 41F. 

41E  Failure to comply with or termination of repayment 

arrangement 

 

(1)  If: 

 

(a)  because of section 41C, this section applies in relation to a 

person and a debt; and 

 

(b)  an arrangement is in effect under section 41H in relation to 

10 

the debt; and 

11 

 

(c)  the person fails to make a payment under the arrangement; 

12 

then the person is liable to pay, by way of penalty, interest charge, 

13 

worked out under subsection (3), for each day in the period 

14 

described in subsection (2). 

15 

 

(2)  The period starts at the beginning of the day after the day (the due 

16 

day) on which the payment was required to be made under the 

17 

arrangement and ends at the end of the earliest of the following 

18 

days: 

19 

 

(a)  the last day at the end of which any of the following remains 

20 

unpaid: 

21 

 

(i)  the outstanding amount of the debt; 

22 

 

(ii)  interest charge on any of the outstanding amount of the 

23 

debt; 

24 

 

(b)  the day before the first day, after the due day, on which the 

25 

person has paid all the payments that have so far become due 

26 

and payable under the arrangement; 

27 

 

(c)  the day before the day the arrangement is terminated under 

28 

section 41H. 

29 

 

(3)  The interest charge for a day in the period described in 

30 

subsection (2) is worked out by multiplying the interest charge rate 

31 

for that day by the sum of so much of the following amounts as 

32 

remains unpaid: 

33 

 

(a)  the outstanding amount of the debt; 

34 

 

(b)  the interest charge from previous days. 

35 

Note 1: 

For interest charge rate see section 41G. 

36 

Interest charge  Schedule 5 

Amendments  Part 1 

 

 

No.      , 2013 

Social Services and Other Legislation Amendment Bill 2013 

33 

 

Note 2: 

The interest charge for a day is due and payable to the Commonwealth 

at the end of that day: see section 41F. 

Repayment arrangement is terminated 

 

(4)  If: 

 

(a)  because of section 41C, this section applies in relation to a 

person and a debt; and 

 

(b)  an arrangement is in effect under section 41H in relation to 

the debt; and 

 

(c)  the arrangement is then terminated under section 41H on a 

day (the termination day); 

10 

then: 

11 

 

(d)  the following amounts (if any) are due and payable on the 

12 

14th day after the termination day: 

13 

 

(i)  the outstanding amount of the debt; 

14 

 

(ii)  interest charge on any of the outstanding amount of the 

15 

debt; and 

16 

 

(e)  if, at the end of that 14th day, any of those amounts remains 

17 

unpaid, the person is liable to pay, by way of penalty, interest 

18 

charge, worked out under subsection (6), for each day in the 

19 

period described in subsection (5). 

20 

 

(5)  The period starts at the beginning of the day after that 14th day and 

21 

ends at the end of the earlier of the following days: 

22 

 

(a)  the last day at the end of which any of the following remains 

23 

unpaid: 

24 

 

(i)  the outstanding amount of the debt; 

25 

 

(ii)  interest charge on any of the outstanding amount of the 

26 

debt; 

27 

 

(b)  the day before the first day, after that 14th day, on which the 

28 

person makes a payment under another arrangement under 

29 

section 41H in relation to the debt. 

30 

 

(6)  The interest charge for a day in the period described in 

31 

subsection (5) is worked out by multiplying the interest charge rate 

32 

for that day by the sum of so much of the following amounts as 

33 

remains unpaid: 

34 

 

(a)  the outstanding amount of the debt; 

35 

 

(b)  the interest charge from previous days. 

36 

Schedule 5  Interest charge 

Part 1  Amendments 

 

 

34 

Social Services and Other Legislation Amendment Bill 2013 

No.      , 2013 

 

Note 1: 

For interest charge rate see section 41G. 

Note 2: 

The interest charge for a day is due and payable to the Commonwealth 

at the end of that day: see section 41F. 

41F  When interest charge becomes due and payable 

 

  The interest charge under section 41D or 41E for a day is due and 

payable to the Commonwealth at the end of that day. 

Note: 

The interest charge for a day is a debt owed to the Commonwealth: 

see section 39. 

41G  What is the interest charge rate? 

 

(1)  For the purposes of sections 41D and 41E, the interest charge rate 

10 

for a day is the rate worked out by adding 7 percentage points to 

11 

the base interest rate for that day, and dividing that total by the 

12 

number of days in the calendar year. 

13 

 

(2)  The base interest rate for a day depends on which quarter of the 

14 

year the day is in. For each day in a quarter in column 1 of the 

15 

table, it is the monthly average yield of 90-day Bank Accepted 

16 

Bills published by the Reserve Bank of Australia for the month in 

17 

column 2 of the table. 

18 

 

19 

Base interest rate 

Item 

Column 1 

For days in this quarter: 

Column 2 

the monthly average yield of 90-day Bank 

Accepted Bills for this month applies: 

1 January to 31 March 

the preceding November 

1 April to 30 June 

the preceding February 

1 July to 30 September 

the preceding May 

1 October to 31 December 

the preceding August 

 

(3)  If the monthly average yield of 90-day Bank Accepted Bills for a 

20 

particular month in column 2 of the table in subsection (2) is not 

21 

published by the Reserve Bank of Australia before the beginning of 

22 

the relevant quarter, assume that it is the same as the last monthly 

23 

average yield of 90-day Bank Accepted Bills published by the 

24 

Reserve Bank of Australia before that month. 

25 

Interest charge  Schedule 5 

Amendments  Part 1 

 

 

No.      , 2013 

Social Services and Other Legislation Amendment Bill 2013 

35 

 

 

(4)  The base interest rate must be rounded to the second decimal place 

(rounding .005 upwards). 

41H  Arrangement for payment of ABSTUDY debt 

 

(1)  The Secretary may, on behalf of the Commonwealth, enter into an 

arrangement with a person under which the person is to pay an 

ABSTUDY debt, owed by the person to the Commonwealth, or the 

outstanding amount of such a debt, in a way set out in the 

arrangement. 

 

(2)  If a person is required to make a payment under an arrangement 

entered into under subsection (1) before the end of a particular day, 

10 

the person must make that payment before the end of that day. 

11 

 

(3)  An arrangement entered into under subsection (1) has effect, or is 

12 

taken to have had effect, on and after the day specified in the 

13 

arrangement as the day on which the arrangement commences 

14 

(whether that day is the day on which the arrangement is entered 

15 

into or an earlier or later day). 

16 

 

(4)  If an arrangement entered into under subsection (1) does not 

17 

specify a day as mentioned in subsection (3), it has effect on and 

18 

after the day on which it is entered into. 

19 

 

(5)  The Secretary may terminate or alter an arrangement entered into 

20 

under subsection (1): 

21 

 

(a)  at the debtor's request; or 

22 

 

(b)  after giving 28 days' notice to the debtor of the proposed 

23 

termination or alteration; or 

24 

 

(c)  without notice, if the Secretary is satisfied that the person has 

25 

failed to disclose material information about his or her true 

26 

capacity to repay the debt. 

27 

12  Paragraph 51(1)(b) 

28 

After "subsection 40(1A)", insert "or 41B(1) or paragraph 41D(4)(a)". 

29 

Schedule 5  Interest charge 

Part 2  Application and transitional provisions 

 

 

36 

Social Services and Other Legislation Amendment Bill 2013 

No.      , 2013 

 

Part 2

--

Application and transitional provisions 

13  Application and transitional provisions

--

social security 

law 

(1) 

Section 1229D of the Social Security Act 1991, as inserted by this Act, 

applies in relation to: 

 

(a)  a debt that arises on or after the commencement of this item; 

and 

 

(b)  a debt that arose before the commencement of this item, to 

the extent that the debt was outstanding immediately before 

that commencement. 

10 

(2) 

Paragraph 1229E(1)(b) of the Social Security Act 1991, as inserted by 

11 

this Act, applies in relation to a notice given on or after the 

12 

commencement of this item. 

13 

(3) 

If: 

14 

 

(a)  section 1229D of the Social Security Act 1991, as inserted by 

15 

this Act, applies in relation to a debt that arose before the 

16 

commencement of this item; and 

17 

 

(b)  before the commencement of this item, the Secretary gave a 

18 

person a notice under subsection 1229(1) of that Act in 

19 

relation to the debt; 

20 

then, on or after the commencement of this item, the Secretary must 

21 

give the person another notice under subsection 1229(1) of that Act, as 

22 

amended by this Act, in relation to the debt. 

23 

(4) 

Paragraph 1229F(1)(c) of the Social Security Act 1991, as inserted by 

24 

this Act, applies in relation to a failure that occurs on or after the 

25 

commencement of this item (whether the arrangement was entered into 

26 

before, on or after that commencement). 

27 

(5) 

Paragraph 1229F(4)(c) of the Social Security Act 1991, as inserted by 

28 

this Act, applies in relation to a termination that occurs on or after the 

29 

commencement of this item (whether the arrangement was entered into 

30 

before, on or after that commencement). 

31 

(6) 

The amendment made by item 7 applies in relation to a requirement to 

32 

make a payment on or after the commencement of that item (whether 

33 

Interest charge  Schedule 5 

Application and transitional provisions  Part 2 

 

 

No.      , 2013 

Social Services and Other Legislation Amendment Bill 2013 

37 

 

the arrangement was entered into before, on or after that 

commencement). 

14  Application provision

--

student assistance law 

Sections 41A to 41H of the Student Assistance Act 1973, as inserted by 

this Act, apply in relation to: 

 

(a)  an ABSTUDY debt that arises on or after the commencement 

of this item; and 

 

(b)  an ABSTUDY debt that arose before the commencement of 

this item, to the extent that the debt was outstanding 

immediately before that commencement. 

10 

Schedule 6  Student start-up loans 

   

 

 

38 

Social Services and Other Legislation Amendment Bill 2013 

No.      , 2013 

 

Schedule 6

--

Student start-up loans 

   

Income Tax Assessment Act 1936 

1  Subsection 82A(2) (after paragraph (bb) of the definition of 

expenses of self-education

Insert: 

 

(bc)  a payment made in respect of, or in respect of the reduction 

or discharge of, any indebtedness to the Commonwealth 

under Chapter 2AA of the Social Security Act 1991 or under 

Part 2 of the Student Assistance Act 1973; or 

10 

2  After paragraph 202(ga) 

11 

Insert: 

12 

 

(gaa)  to facilitate the administration of Part 2 of the Student 

13 

Assistance Act 1973, which deals with ABSTUDY student 

14 

start-up loans and debts in relation to those loans; and 

15 

3  After paragraph 202(haa) 

16 

Insert: 

17 

 

(hab)  to facilitate the administration of Chapter 2AA of the Social 

18 

Security Act 1991, which deals with student start-up loans 

19 

and debts in relation to those loans; and 

20 

4  After paragraph 202F(1)(fb) 

21 

Insert: 

22 

 

(fc)  a decision to give a notice under subsection 1061ZVHD(1) of 

23 

the Social Security Act 1991

24 

 

(fd)  a decision to give a notice under subsection 1061ZVHE(1) of 

25 

the Social Security Act 1991

26 

 

(fe)  a decision to give a notice under subsection 10D(1) of the 

27 

Student Assistance Act 1973

28 

 

(ff)  a decision to give a notice under subsection 10E(1) of the 

29 

Student Assistance Act 1973

30 

Student start-up loans  Schedule 6 

   

 

 

No.      , 2013 

Social Services and Other Legislation Amendment Bill 2013 

39 

 

Income Tax Assessment Act 1997 

5  Section 12-

5 (at the end of table item headed "education 

expenses")

 

Add: 

see also student start-up loans 

 

6  Section 12-

5 (after table item headed "State or Territory 

bodies (STBs)")

 

Insert: 

student start-up loans 

 

limit on deduction  ..............................................................  82A 

payment made to reduce a debt to the Commonwealth 

under Chapter 2AA of the Social Security Act 1991 

(student start-up loans), no deduction unless 

provided as fringe benefit  .............................................  

26-20 

payment made to reduce a debt to the Commonwealth 

under Part 2 of the Student Assistance Act 1973 

(ABSTUDY student start-up loans), no deduction 

unless provided as fringe benefit ...................................  

26-20 

7  After paragraph 26-20(1)(cb) 

Insert: 

 

(cc)  a payment made to reduce a debt to the Commonwealth 

10 

under Chapter 2AA of the Social Security Act 1991 or Part 2 

11 

of the Student Assistance Act 1973; or 

12 

8  After subparagraph 52-132(a)(xi) 

13 

Insert: 

14 

 

(xia)  discharging a compulsory SSL repayment amount 

15 

(within the meaning of Chapter 2AA of the Social 

16 

Security Act 1991); 

17 

 

(xib)  discharging a compulsory ABSTUDY SSL repayment 

18 

amount (within the meaning of the Student Assistance 

19 

Act 1973); 

20 

9  After subparagraph 52-140(3)(a)(xa) 

21 

Insert: 

22 

Schedule 6  Student start-up loans 

   

 

 

40 

Social Services and Other Legislation Amendment Bill 2013 

No.      , 2013 

 

 

(xb)  discharging a compulsory SSL repayment amount 

(within the meaning of Chapter 2AA of the Social 

Security Act 1991); 

 

(xc)  discharging a compulsory ABSTUDY SSL repayment 

amount (within the meaning of the Student Assistance 

Act 1973); 

10  Subsection 995-1(1) 

Insert: 

accumulated ABSTUDY SSL debt has the meaning given by 

section 8C of the Student Assistance Act 1973

10 

11  Subsection 995-1(1) 

11 

Insert: 

12 

accumulated SSL debt has the meaning given by 

13 

section 1061ZVDC of the Social Security Act 1991

14 

Social Security Act 1991 

15 

12  Before section 19AB 

16 

Insert: 

17 

19AAA  Student start-up loan definitions 

18 

 

  For the purposes of Chapter 2AA: 

19 

accumulated HELP debt has the same meaning as in the Higher 

20 

Education Support Act 2003

21 

accumulated SSL debt has the meaning given by 

22 

section 1061ZVDC. 

23 

approved form has the meaning given by section 388-50 in 

24 

Schedule 1 to the Taxation Administration Act 1953

25 

Commissioner means the Commissioner of Taxation. 

26 

compulsory SSL repayment amount means an amount that: 

27 

 

(a)  is required to be paid in respect of an accumulated SSL debt 

28 

under section 1061ZVGA; and 

29 

Student start-up loans  Schedule 6 

   

 

 

No.      , 2013 

Social Services and Other Legislation Amendment Bill 2013 

41 

 

 

(b)  is included in a notice of assessment made under 

section 1061ZVGF. 

enrolment test day has the meaning given by 

subsection 1223ABF(2). 

former accumulated SSL debt has the meaning given by 

section 1061ZVDB. 

HELP debt indexation factor has the same meaning as in the 

Higher Education Support Act 2003

income tax has the meaning given by subsection 995-1(1) of the 

Income Tax Assessment Act 1997

10 

income tax law has the meaning given by subsection 995-1(1) of 

11 

the Income Tax Assessment Act 1997

12 

income year has the meaning given by subsection 995-1(1) of the 

13 

Income Tax Assessment Act 1997

14 

Medicare levy means the Medicare levy imposed by the Medicare 

15 

Levy Act 1986

16 

minimum repayment income has the meaning given by 

17 

section 1061ZVGC. 

18 

qualification period, for a student start-up loan, means a period of 

19 

6 months starting on 1 January or 1 July in any year. 

20 

repayable SSL debt has the meaning given by section 1061ZVGD. 

21 

repayment income has the meaning given by section 1061ZVGB. 

22 

return means an income tax return within the meaning of 

23 

subsection 995-1(1) of the Income Tax Assessment Act 1997

24 

scholarship-entitled person has the meaning given by 

25 

subsection 1061ZVAC(2). 

26 

SSL debt means a debt incurred under section 1061ZVCA. 

27 

student start-up loan means a loan for which a person qualifies 

28 

under Part 2AA.1. 

29 

Schedule 6  Student start-up loans 

   

 

 

42 

Social Services and Other Legislation Amendment Bill 2013 

No.      , 2013 

 

voluntary SSL repayment means a payment made to the 

Commissioner in discharge of an accumulated SSL debt or an SSL 

debt. It does not include a payment made in discharge of a 

compulsory SSL repayment amount. 

13  Subsection 23(1) 

Insert: 

accumulated SSL debt has the meaning given by 

section 1061ZVDC. 

14  Subsection 23(1) 

Insert: 

10 

approved scholarship course has the meaning given by 

11 

section 592M. 

12 

15  Subsection 23(1) 

13 

Insert: 

14 

enrolment test day has the meaning given by 

15 

subsection 1223ABF(2). 

16 

16  Subsection 23(1) 

17 

Insert: 

18 

qualification period, for a student start-up loan, has the meaning 

19 

given by section 19AAA. 

20 

17  Subsection 23(1) 

21 

Insert: 

22 

scholarship-entitled person has the meaning given by 

23 

subsection 1061ZVAC(2). 

24 

18  Subsection 23(1) (after paragraph (e) of the definition of 

25 

social security payment

26 

Insert: 

27 

 

(ea)  a payment under Chapter 2AA of this Act (Student start-up 

28 

loans); or 

29 

Student start-up loans  Schedule 6 

   

 

 

No.      , 2013 

Social Services and Other Legislation Amendment Bill 2013 

43 

 

19  Subsection 23(1) 

Insert: 

student start-up loan has the meaning given by section 19AAA. 

20  Before paragraph 592F(1)(a) 

Insert: 

 

(aa)  any of the following (a scholarship) was received by the 

person in respect of a time before 1 January 2014: 

 

(i)  a student start-up scholarship payment under this 

section; 

 

(ii)  a payment under the ABSTUDY Scheme known as an 

10 

ABSTUDY student start-up scholarship payment; 

11 

 

(iii)  the amount or value of a Commonwealth Education 

12 

Costs Scholarship; and 

13 

 

(ab)  for a continuous period since the time in respect of which the 

14 

person received the scholarship, the person has been 

15 

receiving at least one of the following: 

16 

 

(i)  youth allowance; 

17 

 

(ii)  payments under the ABSTUDY Scheme known as 

18 

Living Allowance; and 

19 

21  Before paragraph 592F(2)(a) 

20 

Insert: 

21 

 

(aa)  any of the following (a scholarship) was received by the 

22 

person in respect of a time before 1 January 2014: 

23 

 

(i)  a student start-up scholarship payment under this 

24 

section; 

25 

 

(ii)  a payment under the ABSTUDY Scheme known as an 

26 

ABSTUDY student start-up scholarship payment; 

27 

 

(iii)  the amount or value of a Commonwealth Education 

28 

Costs Scholarship; and 

29 

 

(ab)  for a continuous period since the time in respect of which the 

30 

person received the scholarship, the person has been 

31 

receiving at least one of the following: 

32 

 

(i)  youth allowance; 

33 

 

(ii)  austudy payment; 

34 

Schedule 6  Student start-up loans 

   

 

 

44 

Social Services and Other Legislation Amendment Bill 2013 

No.      , 2013 

 

 

(iii)  payments under the ABSTUDY Scheme known as 

Living Allowance; 

22  Section 592M 

Omit "Part", substitute "Act". 

23  Subsection 592N(1) 

Omit "Part", substitute "Act". 

24  Saving provision 

Despite the amendment of subsection 592N(1) made by this Schedule, a 

legislative instrument made for that subsection continues in force after 

the commencement of the amendment and has effect after that 

10 

commencement for the purposes of the whole of the Social Security Act 

11 

1991, not just Part 2.11B of that Act. 

12 

25  After Chapter 2A 

13 

Insert: 

14 

Chapter 2AA--Student start-up loans 

15 

Part 2AA.1--Qualification for and amount of 

16 

student start-up loan 

17 

   

18 

1061ZVAA  Simplified outline of this Part 

19 

Broadly, full-time students who are receiving youth allowance or 

20 

austudy might be qualified for a student start-up loan. A student 

21 

can qualify for up to 2 loans each calendar year. 

22 

1061ZVAB  Qualification for student start-up loan 

23 

Receiving youth allowance 

24 

 

(1)  A person is qualified for a student start-up loan for a qualification 

25 

period if, at the time in that period referred to in subsection (3): 

26 

 

(a)  the person is qualified for youth allowance and youth 

27 

allowance is payable to the person; and 

28 

Student start-up loans  Schedule 6 

   

 

 

No.      , 2013 

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45 

 

 

(b)  the person is receiving youth allowance and would be 

receiving youth allowance if Steps 2 and 3 of the method 

statement in point 1067G-A1 of the Youth Allowance Rate 

Calculator were disregarded for the purposes of working out 

the person's rate of that allowance; and 

 

(c)  the person is qualified for youth allowance under section 540 

in circumstances where paragraph 541(1)(a) (about full-time 

study) applies and the relevant course of education is an 

approved scholarship course; and 

 

(d)  the Secretary is satisfied that the person is not likely to 

10 

receive the amount or value of a Commonwealth Education 

11 

Costs Scholarship in the period of 6 months starting 

12 

immediately after the time; and 

13 

 

(e)  the person has notified his or her tax file number to the 

14 

Secretary and the Secretary has: 

15 

 

(i)  verified the person's tax file number in accordance with 

16 

section 1061ZVHB; or 

17 

 

(ii)  obtained the correct tax file number in accordance with 

18 

section 1061ZVHC. 

19 

Note: 

For approved scholarship course, see section 592M. 

20 

Receiving austudy payment 

21 

 

(2)  A person is qualified for a student start-up loan for a qualification 

22 

period if, at the time in that period referred to in subsection (3): 

23 

 

(a)  the person is qualified for austudy payment and austudy 

24 

payment is payable to the person; and 

25 

 

(b)  the person is receiving austudy payment and would be 

26 

receiving austudy payment if steps 2 and 2A of the method 

27 

statement in point 1067L-A1 of the Austudy Payment Rate 

28 

Calculator were disregarded for the purposes of working out 

29 

the person's rate of that payment; and 

30 

 

(c)  the person is qualified for austudy payment under section 568 

31 

in circumstances where subsection 569(1) (about qualifying 

32 

study) applies and the relevant course of education is an 

33 

approved scholarship course; and 

34 

 

(d)  the Secretary is satisfied that the person is not likely to 

35 

receive the amount or value of a Commonwealth Education 

36 

Costs Scholarship in the period of 6 months starting 

37 

immediately after the time; and 

38 

Schedule 6  Student start-up loans 

   

 

 

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Social Services and Other Legislation Amendment Bill 2013 

No.      , 2013 

 

 

(e)  the person has notified his or her tax file number to the 

Secretary and the Secretary has: 

 

(i)  verified the person's tax file number in accordance with 

section 1061ZVHB; or 

 

(ii)  obtained the correct tax file number in accordance with 

section 1061ZVHC. 

Note: 

For approved scholarship course, see section 592M. 

Qualification time 

 

(3)  For the purposes of subsections (1) and (2), the time is the earliest 

of the following: 

10 

 

(a)  the time the Secretary determines the person's claim for a 

11 

student start-up loan; 

12 

 

(b)  if the approved scholarship course ends in the qualification 

13 

period--the start of the last day of the approved scholarship 

14 

course; 

15 

 

(c)  the start of the last day of the qualification period. 

16 

1061ZVAC  Circumstances in which person is not qualified for 

17 

student start-up loan 

18 

 

(1)  Despite section 1061ZVAB, a person is not qualified for a student 

19 

start-up loan for a qualification period at the relevant time in that 

20 

period if: 

21 

 

(a)  a determination is in effect that the person is qualified for a 

22 

student start-up loan for the qualification period; or 

23 

 

(b)  a determination is in effect that the person is qualified for an 

24 

ABSTUDY student start-up loan under the Student 

25 

Assistance Act 1973 for the qualification period; or 

26 

 

(c)  at the time, the person is a scholarship-entitled person (see 

27 

subsection (2)); or 

28 

 

(d)  in the period of 6 months ending immediately before the 

29 

time, the person: 

30 

 

(i)  has received a payment known as a student start-up 

31 

scholarship payment under the scheme referred to in 

32 

section 117 of the Veterans' Entitlements Act; or 

33 

 

(ii)  has received a payment known as a student start-up 

34 

scholarship payment under the scheme referred to in 

35 

Student start-up loans  Schedule 6 

   

 

 

No.      , 2013 

Social Services and Other Legislation Amendment Bill 2013 

47 

 

section 258 of the Military Rehabilitation and 

Compensation Act; or 

 

(iii)  has received the amount or value of a Commonwealth 

Education Costs Scholarship; or 

 

(iv)  was entitled to the amount or value of a Commonwealth 

Education Costs Scholarship but has not received the 

full entitlement only because the scholarship was 

suspended. 

 

(2)  A person is a scholarship-entitled person if: 

 

(a)  any of the following (a scholarship) was received by the 

10 

person in respect of a time before 1 January 2014: 

11 

 

(i)  a student start-up scholarship payment under 

12 

section 592F; 

13 

 

(ii)  a payment under the ABSTUDY Scheme known as an 

14 

ABSTUDY student start-up scholarship payment; 

15 

 

(iii)  the amount or value of a Commonwealth Education 

16 

Costs Scholarship; and 

17 

 

(b)  for a continuous period since the time in respect of which the 

18 

person received the scholarship, the person has been 

19 

receiving at least one of the following: 

20 

 

(i)  youth allowance; 

21 

 

(ii)  austudy payment; 

22 

 

(iii)  payments under the ABSTUDY Scheme known as 

23 

Living Allowance. 

24 

1061ZVAD  Amount of student start-up loan 

25 

 

  The amount of a student start-up loan for which a person is 

26 

qualified on or after 1 January 2014 is $1,025. 

27 

Note: 

The amount of the loan is to be indexed on 1 January 2017 and each 

28 

later 1 January in line with CPI increases (see sections 1190 to 1194). 

29 

Schedule 6  Student start-up loans 

   

 

 

48 

Social Services and Other Legislation Amendment Bill 2013 

No.      , 2013 

 

Part 2AA.2--Indebtedness 

Division 1--Introduction 

1061ZVBA  Simplified outline of this Part 

A person incurs an SSL debt if the person receives a student 

start-up loan (except in certain circumstances when the loan is 

required to be recovered as a social security debt under this Act). 

Each SSL debt is incorporated into the person's accumulated SSL 

debt. This accumulated SSL debt forms the basis for working out 

the amounts the person is obliged to repay. 

Division 2--Incurring SSL debts 

10 

1061ZVCA  SSL debts 

11 

 

(1)  A person incurs an SSL debt to the Commonwealth if: 

12 

 

(a)  the person has received a student start-up loan for a 

13 

qualification period; and 

14 

 

(b)  the amount of the loan is not a debt under section 1223 or 

15 

1223ABF. 

16 

 

(2)  The SSL debt is incurred by the person on the later of: 

17 

 

(a)  the day the person received the loan; and 

18 

 

(b)  the day after the person's enrolment test day for the 

19 

qualification period. 

20 

Note: 

For enrolment test day, see subsection 1223ABF(2). 

21 

 

(3)  The amount of the person's SSL debt is the amount of the loan, 

22 

reduced by any amount repaid before the day on which the debt is 

23 

incurred. 

24 

 

(4)  Despite subsection (1), an SSL debt is not incurred in relation to a 

25 

loan if: 

26 

 

(a)  the loan has been fully repaid before the day on which the 

27 

SSL debt in respect of the loan would be incurred; or 

28 

Student start-up loans  Schedule 6 

   

 

 

No.      , 2013 

Social Services and Other Legislation Amendment Bill 2013 

49 

 

 

(b)  the Secretary has formed an opinion under 

subsection 1223ABF(3) in relation to the loan (relating to 

exceptional circumstances beyond the person's control). 

1061ZVCB  SSL debt discharged by death 

 

  Upon the death of a person who owes an SSL debt to the 

Commonwealth, the debt is taken to have been paid. 

Division 3--Working out accumulated SSL debts 

1061ZVDA  Simplified outline of this Division 

There are 2 stages to working out a person's accumulated SSL debt 

for a financial year. 

10 

In stage 1, the person's former accumulated SSL debt is worked 

11 

out by adjusting the preceding financial year's accumulated SSL 

12 

debt to take account of: 

13 

 

(a) 

changes in the Consumer Price Index; and 

14 

 

(b) 

the debts that the person incurs during the last 6 months 

15 

of the preceding financial year; and 

16 

 

(c) 

voluntary SSL repayments of the debt; and 

17 

 

(d) 

compulsory SSL repayment amounts in respect of the 

18 

debt. 

19 

In stage 2, the person's accumulated SSL debt is worked out from: 

20 

 

(a) 

the person's former accumulated SSL debt; and 

21 

 

(b) 

the SSL debts that the person incurs during the first 6 

22 

months of the financial year; and 

23 

 

(c) 

voluntary SSL repayments of those debts. 

24 

1061ZVDB  Working out a former accumulated SSL debt 

25 

 

(1)  A person's former accumulated SSL debt, in relation to the 

26 

person's accumulated SSL debt for a financial year, is worked out 

27 

by multiplying: 

28 

 

(a)  the amount worked out using the following method 

29 

statement; by 

30 

Schedule 6  Student start-up loans 

   

 

 

50 

Social Services and Other Legislation Amendment Bill 2013 

No.      , 2013 

 

 

(b)  the HELP debt indexation factor for 1 June in that financial 

year. 

Method statement 

Step 1.  Take the person's accumulated SSL debt for the 

immediately preceding financial year. (This amount is 

taken to be zero if the person has no accumulated SSL 

debt for that financial year.) 

Step 2.  Add the sum of all of the SSL debts (if any) that the 

person incurred during the last 6 months of the 

immediately preceding financial year. 

10 

Step 3.  Subtract the sum of the amounts by which the person's 

11 

debts referred to in Steps 1 and 2 are reduced because of 

12 

any voluntary SSL repayments that have been made 

13 

during the period: 

14 

 

(a) 

starting on 1 June in the immediately preceding 

15 

financial year; and 

16 

 

(b) 

ending immediately before the next 1 June. 

17 

Step 4.  Subtract the sum of all of the person's compulsory SSL 

18 

repayment amounts that: 

19 

 

(a) 

were assessed during that period (excluding any 

20 

assessed as a result of a return given before that 

21 

period); or 

22 

 

(b) 

were assessed after the end of that period as a 

23 

result of a return given before the end of that 

24 

period. 

25 

Step 5.  Subtract the sum of the amounts by which any 

26 

compulsory SSL repayment amount of the person is 

27 

increased (whether as a result of an increase in the 

28 

person's taxable income of an income year or otherwise) 

29 

by an amendment of an assessment made during that 

30 

period. 

31 

Student start-up loans  Schedule 6 

   

 

 

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51 

 

Step 6.  Add the sum of the amounts by which any compulsory 

SSL repayment amount of the person is reduced (whether 

as a result of a reduction in the person's taxable income 

of an income year or otherwise) by an amendment of an 

assessment made during that period. 

 

(2)  For the purposes of this section, an assessment, or an amendment 

of an assessment, is taken to have been made on the day specified 

in the notice of assessment, or notice of amended assessment, as 

the date of issue of that notice. 

1061ZVDC  Working out an accumulated SSL debt 

10 

 

(1)  A person's accumulated SSL debt, for a financial year, is worked 

11 

out as follows: 

12 

Former accumulated

SSL debts

SSL debt

SSL debt

incurred

repayments

 

13 

where: 

14 

former accumulated SSL debt is the person's former accumulated 

15 

SSL debt in relation to that accumulated SSL debt. 

16 

SSL debt repayments is the sum of all of the voluntary SSL 

17 

repayments (if any) paid, on or after 1 July in the financial year and 

18 

before 1 June in that year, in reduction of the SSL debts incurred in 

19 

that year. 

20 

SSL debts incurred is the sum of the amounts of all of the SSL 

21 

debts (if any) that the person incurred during the first 6 months of 

22 

the financial year. 

23 

 

(2)  The person incurs the accumulated SSL debt on 1 June in the 

24 

financial year. 

25 

 

(3)  The first financial year for which a person can have an 

26 

accumulated SSL debt is the financial year starting on 1 July 2014. 

27 

1061ZVDD  Rounding of amounts 

28 

 

(1)  If, apart from this section, a person's accumulated SSL debt would 

29 

be an amount consisting of a number of whole dollars and a 

30 

number of cents, disregard the number of cents. 

31 

Schedule 6  Student start-up loans 

   

 

 

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Social Services and Other Legislation Amendment Bill 2013 

No.      , 2013 

 

 

(2)  If, apart from this section, a person's accumulated SSL debt would 

be an amount of less than one dollar, the person's accumulated 

SSL debt is taken to be zero. 

1061ZVDE  Accumulated SSL debt discharges earlier debts 

 

(1)  The accumulated SSL debt that a person incurs on 1 June in a 

financial year discharges, or discharges the unpaid part of: 

 

(a)  any SSL debt that the person incurred during the calendar 

year immediately preceding that day; and 

 

(b)  any accumulated SSL debt that the person incurred on the 

immediately preceding 1 June. 

10 

 

(2)  Nothing in subsection (1) affects the application of Division 2 of 

11 

this Part or sections 1061ZVDB and 1061ZVDC. 

12 

1061ZVDF  Accumulated SSL debt discharged by death 

13 

 

(1)  Upon the death of a person who has an accumulated SSL debt, the 

14 

accumulated SSL debt is taken to be discharged. 

15 

 

(2)  To avoid doubt, this section does not affect any compulsory SSL 

16 

repayment amounts required to be paid in respect of the 

17 

accumulated SSL debt, whether or not those amounts were 

18 

assessed before the person's death. 

19 

Part 2AA.3--Discharge of indebtedness 

20 

Division 1--Introduction 

21 

1061ZVEA  Simplified outline of this Part 

22 

A person who owes a debt to the Commonwealth under this 

23 

Chapter may make voluntary SSL repayments. 

24 

The person is required to make repayments, of amounts based on 

25 

his or her income, if that income is above a particular amount and 

26 

if the person has repaid the person's accumulated HELP debts 

27 

arising under the Higher Education Support Act 2003. The 

28 

Commissioner makes assessments of repayment amounts, which 

29 

Student start-up loans  Schedule 6 

   

 

 

No.      , 2013 

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53 

 

are collected in the same way as amounts of income tax and 

accumulated HELP debts. 

1061ZVEB  Debts under this Chapter 

 

(1)  The debts under this Chapter are: 

 

(a)  SSL debts; and 

 

(b)  accumulated SSL debts. 

 

(2)  To avoid doubt, debts that arise under the following sections are 

not debts under this Chapter: 

 

(a)  section 1223 (Debts arising from lack of qualification, 

overpayment etc.); 

10 

 

(b)  section 1223ABF (Debts in respect of student start-up loans). 

11 

Division 2--Voluntary discharge of indebtedness 

12 

1061ZVFA  Voluntary SSL repayments in respect of debts 

13 

 

(1)  A person may at any time make a payment in respect of a debt that 

14 

the person owes to the Commonwealth under this Chapter. 

15 

 

(2)  The payment must be made to the Commissioner. 

16 

1061ZVFB  Application of voluntary SSL repayments 

17 

 

(1)  Any money a person pays under this Division to meet the person's 

18 

debts to the Commonwealth under this Chapter is to be applied in 

19 

payment of those debts as the person directs at the time of the 

20 

payment. 

21 

 

(2)  If the person has not given any directions, or the directions given 

22 

do not adequately deal with the matter, any money available is to 

23 

be applied as follows: 

24 

 

(a)  first, in discharge or reduction of any accumulated SSL debt 

25 

of the person; 

26 

 

(b)  second, in discharge or reduction of: 

27 

 

(i)  any SSL debt of the person; or 

28 

 

(ii)  if there is more than one such debt, those debts in the 

29 

order in which they were incurred. 

30 

Schedule 6  Student start-up loans 

   

 

 

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Social Services and Other Legislation Amendment Bill 2013 

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1061ZVFC  Refunding of payments 

 

  If: 

 

(a)  a person pays an amount to the Commonwealth under this 

Division; and 

 

(b)  the amount exceeds the sum of: 

 

(i)  the amount required to discharge the total debt that the 

person owed to the Commonwealth under this Chapter; 

and 

 

(ii)  the total amount of the person's primary tax debts 

(within the meaning of Part IIB of the Taxation 

10 

Administration Act 1953); 

11 

the Commonwealth must refund to the person an amount equal to 

12 

that excess. 

13 

Division 3--Compulsory discharge of indebtedness 

14 

Subdivision A--Liability to repay amounts 

15 

1061ZVGA  Liability to repay amounts 

16 

 

(1)  If: 

17 

 

(a)  a person's repayment income for an income year exceeds the 

18 

minimum repayment income for the income year; and 

19 

 

(b)  on 1 June immediately preceding the making of an 

20 

assessment in respect of the person's income of that income 

21 

year, the person had an accumulated SSL debt; and 

22 

 

(c)  on that 1 June: 

23 

 

(i)  the person did not have an accumulated HELP debt; or 

24 

 

(ii)  the amount required to be paid in respect of the person's 

25 

accumulated HELP debt for the income year would, if 

26 

paid, fully discharge the person's accumulated HELP 

27 

debt; 

28 

the person is liable to pay to the Commonwealth, in accordance 

29 

with this Division, the amount worked out under 

30 

section 1061ZVGE in reduction of the person's repayable SSL 

31 

debt. 

32 

 

(2)  A person is not liable under this section to pay an amount for an 

33 

income year if, under section 8 of the Medicare Levy Act 1986

34 

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(a)  no Medicare levy is payable by the person on the person's 

taxable income for the income year; or 

 

(b)  the amount of the Medicare levy payable by the person on the 

person's taxable income for the income year is reduced. 

1061ZVGB  Repayment income 

 

  For the purposes of this Chapter, repayment income has the same 

meaning as in the Higher Education Support Act 2003

1061ZVGC  Minimum repayment income 

 

  For the purposes of this Chapter, minimum repayment income has 

the same meaning as in the Higher Education Support Act 2003

10 

1061ZVGD  Repayable SSL debt for an income year 

11 

 

(1)  A person's repayable SSL debt for an income year is: 

12 

 

(a)  the person's accumulated SSL debt referred to in 

13 

paragraph 1061ZVGA(1)(b) in relation to that income year; 

14 

or 

15 

 

(b)  if one or more amounts: 

16 

 

(i)  have been paid in reduction of that debt; or 

17 

 

(ii)  have been assessed under section 1061ZVGF to be 

18 

payable in respect of that debt; 

19 

 

  the amount (if any) remaining after deducting from that debt 

20 

the amount, or sum of the amounts, so paid or assessed to be 

21 

payable. 

22 

 

(2)  A reference in paragraph (1)(b) of this section to an amount 

23 

assessed to be payable is, if the amount has been increased or 

24 

reduced by an amendment of the relevant assessment, a reference 

25 

to the increased amount or the reduced amount. 

26 

Subdivision B--Amounts payable to the Commonwealth 

27 

1061ZVGE  Amounts payable to the Commonwealth 

28 

 

  The amount that a person is liable to pay under 

29 

section 1061ZVGA, in respect of an income year, is an amount 

30 

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equal to so much of the person's repayable SSL debt for the 

income year as does not exceed: 

 

(a)  if subparagraph 1061ZVGA(1)(c)(i) applies--the percentage 

of the person's repayment income that is applicable under the 

table in section 154-20 of the Higher Education Support Act 

2003; or 

 

(b)  if subparagraph 1061ZVGA(1)(c)(ii) applies--the percentage 

of the person's repayment income that is applicable under the 

table in section 154-20 of the Higher Education Support Act 

2003, reduced by the amount required to be paid in respect of 

10 

the person's accumulated HELP debt for the income year. 

11 

Subdivision C--Assessments 

12 

1061ZVGF  Commissioner may make assessments 

13 

 

  The Commissioner may, from any information in the 

14 

Commissioner's possession, whether from a return or otherwise, 

15 

make an assessment of: 

16 

 

(a)  the person's accumulated SSL debt on 1 June immediately 

17 

before the making of the assessment; and 

18 

 

(b)  the amount required to be paid in respect of that debt under 

19 

section 1061ZVGA. 

20 

1061ZVGG  Notification of notices of assessment of tax 

21 

 

  If: 

22 

 

(a)  the Commissioner is required to serve on a person a notice of 

23 

assessment in respect of the person's income of an income 

24 

year under section 174 of the Income Tax Assessment Act 

25 

1936; and 

26 

 

(b)  the Commissioner has made, in respect of the person, an 

27 

assessment under section 1061ZVGF of this Act of the 

28 

amounts referred to in that section; and 

29 

 

(c)  notice of the assessment under that section has not been 

30 

served on the person; 

31 

notice of the assessment under that section may be served by 

32 

specifying the amounts concerned in the notice referred to in 

33 

paragraph (a). 

34 

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1061ZVGH  Commissioner may defer making assessments 

 

(1)  A person may apply in the approved form to the Commissioner for 

deferral of the making of an assessment in respect of the person 

under section 1061ZVGF. 

 

(2)  The application must specify: 

 

(a)  the income year for which the deferral is being sought; and 

 

(b)  the reasons for seeking the deferral. 

 

(3)  The income year specified in the application must be: 

 

(a)  the income year in which the person makes the application; 

or 

10 

 

(b)  the immediately preceding income year; or 

11 

 

(c)  the immediately succeeding income year. 

12 

 

(4)  The Commissioner may, on application by a person under this 

13 

section, defer making an assessment in respect of the person under 

14 

section 1061ZVGF if the Commissioner is of the opinion that: 

15 

 

(a)  if the assessment were made, payment of the assessed 

16 

amount would cause serious hardship to the person; or 

17 

 

(b)  there are other special reasons that make it fair and 

18 

reasonable to defer making the assessment. 

19 

 

(5)  The Commissioner may defer making the assessment for any 

20 

period that he or she thinks appropriate. 

21 

 

(6)  The Commissioner must, as soon as practicable after an application 

22 

is made under this section: 

23 

 

(a)  consider the matter to which the application relates; and 

24 

 

(b)  notify the applicant of the Commissioner's decision on the 

25 

application. 

26 

Note: 

Deferrals of making assessments, or refusals of applications, are 

27 

reviewable under Division 2A of Part 4 of the Administration Act. 

28 

1061ZVGJ  Commissioner may amend assessments 

29 

 

(1)  A person may apply in the approved form to the Commissioner for 

30 

an amendment of an assessment made in respect of the person 

31 

under section 1061ZVGF so that: 

32 

 

(a)  the amount payable under the assessment is reduced; or 

33 

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(b)  no amount is payable under the assessment. 

 

(2)  The application: 

 

(a)  must be made within 2 years after the day on which the 

Commissioner gives notice of the assessment to the person; 

or 

 

(b)  must specify the reasons justifying a later application. 

 

(3)  The Commissioner may, on application by a person under this 

section, amend an assessment made in respect of the person under 

section 1061ZVGF so that: 

 

(a)  the amount payable under the assessment is reduced; or 

10 

 

(b)  no amount is payable under the assessment; 

11 

if the Commissioner is of the opinion that: 

12 

 

(c)  payment of the assessed amount has caused or would cause 

13 

serious hardship to the person; or 

14 

 

(d)  there are other special reasons that make it fair and 

15 

reasonable to make the amendment. 

16 

 

(4)  The Commissioner must, as soon as practicable after an application 

17 

is made under this section: 

18 

 

(a)  consider the matter to which the application relates; and 

19 

 

(b)  notify the applicant of the Commissioner's decision on the 

20 

application. 

21 

Note: 

Amendments of assessments, or refusals of applications, are 

22 

reviewable under Division 2A of Part 4 of the Administration Act. 

23 

Part 2AA.4--Tax administration matters 

24 

   

25 

1061ZVHA  Simplified outline of this Part 

26 

The Secretary and the Commissioner may share information about 

27 

tax file numbers for the purposes of administering student start-up 

28 

loans. The Commissioner is also responsible for the recovery of 

29 

debts under this Chapter and has functions and powers to fulfil that 

30 

responsibility relating to returns, assessments, collection and other 

31 

administrative matters. 

32 

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1061ZVHB  Verification of tax file numbers 

 

(1)  The Secretary may provide to the Commissioner a tax file number 

that a person has notified to the Secretary for the purposes of 

paragraph 1061ZVAB(1)(e) or (2)(e), for the purpose of verifying 

that the number is the person's tax file number. 

 

(2)  If the Commissioner is satisfied that the number is the person's tax 

file number, the Commissioner may give the Secretary a written 

notice informing the Secretary accordingly. 

1061ZVHC  When person with tax file number incorrectly notifies 

number 

10 

 

  If the Commissioner is satisfied: 

11 

 

(a)  that the tax file number that a person has notified to the 

12 

Secretary for the purposes of paragraph 1061ZVAB(1)(e) or 

13 

(2)(e): 

14 

 

(i)  has been cancelled or withdrawn since the notification 

15 

was given; or 

16 

 

(ii)  is otherwise wrong; and 

17 

 

(b)  that the person has a tax file number; 

18 

the Commissioner may give to the Secretary written notice of the 

19 

incorrect notification and of the person's tax file number. 

20 

1061ZVHD  When person without tax file number incorrectly 

21 

notifies number 

22 

 

(1)  If: 

23 

 

(a)  the Commissioner is satisfied that the tax file number that a 

24 

person notified to the Secretary for the purposes of 

25 

paragraph 1061ZVAB(1)(e) or (2)(e): 

26 

 

(i)  has been cancelled since the notification was given; or 

27 

 

(ii)  is for any other reason not the person's tax file number; 

28 

and 

29 

 

(b)  the Commissioner is not satisfied that the person has a tax 

30 

file number; 

31 

the Commissioner may give to the Secretary a written notice 

32 

informing the Secretary accordingly. 

33 

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(2)  The Commissioner must give a copy of any notice under 

subsection (1) to the person concerned, together with a written 

statement of the reasons for the decision to give the notice. 

Note: 

Decisions to give notice under subsection (1) are reviewable under 

section 202F of the Income Tax Assessment Act 1936

1061ZVHE  When tax file numbers are cancelled 

 

(1)  If the Commissioner cancels a tax file number issued to a person 

who has notified the tax file number to the Secretary for the 

purposes of paragraph 1061ZVAB(1)(e) or (2)(e), the 

Commissioner may give to the Secretary a written notice informing 

10 

the Secretary accordingly. 

11 

 

(2)  The Commissioner must give a copy of any notice under 

12 

subsection (1) to the person concerned, together with a written 

13 

statement of the reasons for the decision to give the notice. 

14 

Note: 

Decisions to give notice under subsection (1) are reviewable under 

15 

section 202F of the Income Tax Assessment Act 1936

16 

1061ZVHF  Returns, assessments, collection and recovery 

17 

 

  Subject to Part 2AA.3 and this Part: 

18 

 

(a)  Part IV of the Income Tax Assessment Act 1936; and 

19 

 

(b)  Division 5 of the Income Tax Assessment Act 1997; and 

20 

 

(c)  Part 4-15 in Schedule 1 to the Taxation Administration Act 

21 

1953

22 

apply, so far as they are capable of application, in relation to a 

23 

compulsory SSL repayment amount of a person as if it were 

24 

income tax assessed to be payable by a taxpayer by an assessment 

25 

made under Part IV of the Income Tax Assessment Act 1936

26 

1061ZVHG  Charges and civil penalties for failing to meet 

27 

obligations 

28 

 

(1)  Part 4-25 in Schedule 1 to the Taxation Administration Act 1953 

29 

has effect as if: 

30 

 

(a)  any compulsory SSL repayment amount of a person were 

31 

income tax payable by the person in respect of the income 

32 

year in respect of which the assessment of that debt was 

33 

made; and 

34 

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(b)  Part 2AA.1 so far as it relates to tax file numbers, and 

Parts 2AA.2, 2AA.3 and this Part were income tax laws. 

 

(2)  Subsection (1) does not have the effect of making a person liable to 

a penalty for any act or omission that happened before the 

commencement of this subsection. 

1061ZVHH  Pay as you go (PAYG) withholding 

 

  Part 2-5 (other than section 12-55 and Subdivisions 12-E, 12-F and 

12-G) in Schedule 1 to the Taxation Administration Act 1953 

applies, so far as it is capable of application, in relation to the 

collection of amounts of a compulsory SSL repayment amount of a 

10 

person as if the compulsory SSL repayment amount were income 

11 

tax. 

12 

1061ZVHJ  Pay as you go (PAYG) instalments 

13 

 

  Division 45 in Schedule 1 to the Taxation Administration Act 1953 

14 

applies, so far as it is capable of application, in relation to the 

15 

collection of a compulsory SSL repayment amount of a person as if 

16 

the compulsory SSL repayment amount were income tax. 

17 

1061ZVHK  Administration of this Chapter 

18 

 

  The Commissioner has the general administration of: 

19 

 

(a)  Part 2AA.1 so far as it relates to tax file numbers; and 

20 

 

(b)  Parts 2AA.2, 2AA.3 and this Part; and 

21 

 

(c)  Division 2A of Part 4 of the Administration Act (Internal 

22 

review of certain Commissioner decisions relating to student 

23 

start-up loans). 

24 

Note: 

One effect of this is that these provisions are taxation laws for the 

25 

purposes of the Taxation Administration Act 1953

26 

26  Section 1190 (after table item 69) 

27 

Insert: 

28 

 

Student start-up 

loans 

 

 

69A. 

student start-up 

loan amount 

student start-up 

loan amount 

section 1061ZVAD 

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27  Subsection 1191(1) (after table item 41) 

Insert: 

 

Student start-up loans 

 

 

 

 

41A. 

student start-up loan 

amount 

1 January 

June 

highest June 

quarter 

before 

reference 

quarter (but 

not earlier 

than June 

quarter 

2013) 

$1.00 

28  After subsection 1192(8A) 

Insert: 

 

(8B)  The student start-up loan amount (see item 41A of the CPI 

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

1 January 2014, 1 January 2015 and 1 January 2016. 

29  At the end of subsection 1223(1) 

Add: 

Note: 

The amount of a debt that arises under this subsection in relation to a 

10 

student start-up loan may be affected by section 1223ABG. 

11 

30  After section 1223ABE 

12 

Insert: 

13 

1223ABF  Debts in respect of student start-up loans 

14 

 

(1)  If: 

15 

 

(a)  a person has received a student start-up loan for which the 

16 

person qualified at a time (the qualification time) in a 

17 

qualification period; and 

18 

 

(b)  at a time between the qualification time and the end of the 

19 

person's enrolment test day, the person does not meet the 

20 

condition in paragraph 1061ZVAB(1)(c) or (2)(c) that the 

21 

person met at the qualification time; 

22 

then: 

23 

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(c)  the amount of the loan is a debt due to the Commonwealth; 

and 

 

(d)  the debt is taken to have arisen when the person received the 

loan. 

Note 1: 

The conditions in paragraphs 1061ZVAB(1)(c) and (2)(c) relate to 

whether the person is qualified for youth allowance or austudy 

payment because the person is studying in an approved scholarship 

course (as defined in section 592M). 

Note 2: 

The amount of a debt that arises under this subsection may be affected 

by section 1223ABG. 

10 

 

(2)  A person's enrolment test day, for a qualification period, is the 

11 

earliest of the following days: 

12 

 

(a)  if the approved scholarship course ends in the qualification 

13 

period--the last day of the approved scholarship course; 

14 

 

(b)  the last day of the qualification period; 

15 

 

(c)  the 35th day of the period starting on whichever of the 

16 

following applies: 

17 

 

(i)  if the person's qualification time for the qualification 

18 

period was before the first day of the relevant approved 

19 

scholarship course--the first day of that approved 

20 

scholarship course; 

21 

 

(ii)  otherwise--the day of the qualification time. 

22 

Note 1: 

In some circumstances, a person's enrolment test day will be the same 

23 

as the day of the person's qualification time. 

24 

Note 2: 

For approved scholarship course, see section 592M. 

25 

 

(3)  Subsection (1) does not apply if, in the Secretary's opinion, the 

26 

person does not meet the condition in paragraph 1061ZVAB(1)(c) 

27 

or (2)(c) that the person met at the qualification time because of 

28 

exceptional circumstances beyond the person's control. 

29 

Note: 

The conditions in paragraphs 1061ZVAB(1)(c) and (2)(c) relate to 

30 

whether the person is qualified for youth allowance or austudy 

31 

payment because the person is studying in an approved scholarship 

32 

course (as defined in section 592M). 

33 

1223ABG  Student start-up loan previously treated as part of 

34 

accumulated SSL debt 

35 

 

(1)  This section applies if: 

36 

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(a)  a debt arises under section 1223 or 1223ABF in relation to a 

student start-up loan; and 

 

(b)  the Commissioner had treated the amount of the loan as if it 

were part of an accumulated SSL debt, but at a time since 

(the cessation time) has ceased to do so. 

 

(2)  The amount of the debt that arises under section 1223 or 1223ABF 

is taken to be so much of the supposed accumulated SSL debt as is, 

immediately before the cessation time, attributable to the amount 

of the loan. 

31  After subparagraph 1229D(1)(b)(iii) 

10 

Insert: 

11 

 

(iiia)  student start-up loan (but the debt must not be an SSL 

12 

debt or accumulated SSL debt within the meaning of 

13 

Chapter 2AA); 

14 

Social Security (Administration) Act 1999 

15 

32  Subsection 10(1) 

16 

After "Part 4", insert "(other than Division 2A)". 

17 

33  After Subdivision EA of Division 1 of Part 3 

18 

Insert: 

19 

Subdivision EB--Time limits for claims for student start-up 

20 

loans 

21 

26C  Time limit for claim 

22 

 

(1)  A person's claim for a student start-up loan for a qualification 

23 

period must be made before the end of the qualification period. 

24 

 

(2)  Despite subsection (1), a person's claim for a student start-up loan 

25 

for a qualification period in which the person is expected to 

26 

complete the relevant approved scholarship course must be made at 

27 

least 35 days before the course end date. 

28 

34  At the end of section 36 

29 

Add: 

30 

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(4)  If a person claims a student start-up loan for a qualification period, 

the Secretary may determine the person's claim at a time the 

Secretary considers appropriate, having regard to the principle that, 

generally, the time should be close to the start of the period of 

study concerned for the relevant approved scholarship course. 

Note: 

For approved scholarship course, see section 592M of the 1991 Act. 

 

(5)  Nothing in subsection (4) affects the operation of section 39. 

35  Subsection 39(1) 

Omit "subsection (3)", substitute "subsections (3) and (9)". 

36  At the end of section 39 

10 

Add: 

11 

 

(9)  A claim for a student start-up loan for a qualification period made 

12 

before the start of the qualification period is taken to have been 

13 

made on the first day of the qualification period. 

14 

37  Subsection 47(1) (after paragraph (ba) of the definition of 

15 

lump sum benefit

16 

Insert: 

17 

 

(baa)  a student start-up loan; or 

18 

38  Subsection 47(4) 

19 

Omit "section 47DA", substitute "sections 47DA and 47DB". 

20 

39  After section 47DA 

21 

Insert: 

22 

47DB  Student start-up loans 

23 

 

(1)  If a person is qualified for a student start-up loan at the time 

24 

referred to in subsection 1061ZVAB(3) on a particular day: 

25 

 

(a)  the loan becomes payable to the person on that day; and 

26 

 

(b)  the Secretary must pay the amount of the loan to the person 

27 

as soon as reasonably practicable after that day. 

28 

 

(2)  If: 

29 

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(a)  a person is qualified for a student start-up loan on a particular 

day because the person is receiving youth allowance; and 

 

(b)  the whole or a part of the person's instalment of youth 

allowance in respect of a period that included that day is paid 

to a parent of the person under section 45 of this Act; 

the Secretary may pay the whole, or the same proportion, of the 

person's loan to that parent or to any other person. 

40  Section 58 (heading) 

Repeal the heading, substitute: 

58  Payment of social security payment after death 

10 

41  Paragraph 58(1)(a) 

11 

Omit "or pension bonus bereavement payment", substitute ", pension 

12 

bonus bereavement payment or a student start-up loan". 

13 

42  At the end of section 127 

14 

Add: 

15 

 

(4)  The Secretary may not review a decision that is a reviewable 

16 

decision under section 138A (certain decisions made by the 

17 

Commissioner in relation to student start-up loans). 

18 

43  After paragraph 129(4)(d) 

19 

Insert: 

20 

 

(da)  a decision that is a reviewable decision under section 138A 

21 

(certain decisions made by the Commissioner in relation to 

22 

student start-up loans); or 

23 

44  After Division 2 of Part 4 

24 

Insert: 

25 

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Division 2A--Internal review of certain Commissioner 

decisions relating to student start-up loans 

138A  Decisions reviewable under this Division 

 

  Each of the following is a reviewable decision for the purposes of 

this Division: 

 

(a)  a decision by the Commissioner under section 1061ZVGH of 

the 1991 Act (Commissioner may defer making 

assessments); 

 

(b)  a decision by the Commissioner under section 1061ZVGJ of 

the 1991 Act (Commissioner may amend assessments). 

10 

138B  Commissioner must give reasons for reviewable decisions 

11 

 

(1)  The Commissioner's notice to a person of the making of a 

12 

reviewable decision must include reasons for the decision. 

13 

 

(2)  Subsection (1) does not affect an obligation, imposed upon the 

14 

Commissioner by any other law, to give reasons for a decision. 

15 

138C  Reviewer of decisions 

16 

 

(1)  The Commissioner is the reviewer of a reviewable decision for the 

17 

purposes of this Division, subject to subsection (2). 

18 

 

(2)  If: 

19 

 

(a)  the reviewable decision was made by a delegate of the 

20 

Commissioner; and 

21 

 

(b)  the decision is to be reconsidered by a delegate of the 

22 

Commissioner; 

23 

then the delegate who reconsiders the decision must be a person 

24 

who: 

25 

 

(c)  was not involved in making the decision; and 

26 

 

(d)  occupies a position that is senior to that occupied by any 

27 

person involved in making the decision. 

28 

138D  Reviewer may reconsider reviewable decisions 

29 

 

(1)  The reviewer of a reviewable decision may reconsider the decision 

30 

if the reviewer is satisfied that there is sufficient reason to do so. 

31 

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(2)  The reviewer may reconsider the decision even if: 

 

(a)  an application for reconsideration of the decision has been 

made under section 138E; or 

 

(b)  the decision has been confirmed, varied or set aside under 

section 138E and an application has been made under 

section 138F for review of the decision. 

 

(3)  After reconsidering the decision, the reviewer must: 

 

(a)  confirm the decision; or 

 

(b)  vary the decision; or 

 

(c)  set the decision aside and substitute a new decision. 

10 

 

(4)  The reviewer's decision (the decision on review) to confirm, vary 

11 

or set aside the decision takes effect: 

12 

 

(a)  on the day specified in the decision on review; or 

13 

 

(b)  if a day is not specified--on the day on which the decision on 

14 

review was made. 

15 

 

(5)  The reviewer must give written notice of the decision on review to 

16 

the person to whom that decision relates. 

17 

 

(6)  The notice: 

18 

 

(a)  must be given within a reasonable period after the decision is 

19 

made; and 

20 

 

(b)  must contain a statement of the reasons for the reviewer's 

21 

decision on review. 

22 

Note: 

Section 27A of the Administrative Appeals Tribunal Act 1975 requires 

23 

the person to be notified of the person's review rights. 

24 

138E  Reconsideration of reviewable decisions on request 

25 

 

(1)  A person whose interests are affected by a reviewable decision 

26 

may request the reviewer to reconsider the decision. 

27 

 

(2)  The person's request must be made by written notice given to the 

28 

reviewer within 28 days, or such longer period as the reviewer 

29 

allows, after the day on which the person first received notice of 

30 

the decision. 

31 

 

(3)  The notice must set out the reasons for making the request. 

32 

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(4)  After receiving the request, the reviewer must reconsider the 

decision and: 

 

(a)  confirm the decision; or 

 

(b)  vary the decision; or 

 

(c)  set the decision aside and substitute a new decision. 

 

(5)  The reviewer's decision (the decision on review) to confirm, vary 

or set aside the decision takes effect: 

 

(a)  on the day specified in the decision on review; or 

 

(b)  if a day is not specified--on the day on which the decision on 

review was made. 

10 

 

(6)  The reviewer must give the person written notice of the decision on 

11 

review. 

12 

 

(7)  The notice: 

13 

 

(a)  must be given within a reasonable period after the decision 

14 

on review is made; and 

15 

 

(b)  must contain a statement of the reasons for the decision on 

16 

review. 

17 

 

(8)  The reviewer is taken, for the purposes of this Division, to have 

18 

confirmed the decision if the reviewer does not give notice of a 

19 

decision to the person within 45 days after receiving the person's 

20 

request. 

21 

Note: 

Section 27A of the Administrative Appeals Tribunal Act 1975 requires 

22 

the person to be notified of the person's review rights. 

23 

138F  AAT review of reviewable decisions 

24 

 

  An application may be made to the Administrative Appeals 

25 

Tribunal for the review of a reviewable decision that has been 

26 

confirmed, varied or set aside under section 138D (Reviewer may 

27 

reconsider reviewable decisions) or 138E (Reconsideration of 

28 

reviewable decisions on request). 

29 

45  At the end of section 144 

30 

Add: 

31 

 

; (t)  a decision that is a reviewable decision under section 138A 

32 

(certain decisions made by the Commissioner in relation to 

33 

student start-up loans); 

34 

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(u)  a decision under section 138D or 138E (review of certain 

decisions made by the Commissioner in relation to student 

start-up loans). 

Student Assistance Act 1973 

46  Subsection 3(1) 

Insert: 

ABSTUDY SSL debt means a debt incurred under section 7B. 

47  Subsection 3(1) 

Insert: 

ABSTUDY student start-up loan means a loan for which a person 

10 

qualifies under Division 1 of Part 2. 

11 

Note: 

Part 2 is taken to be part of the ABSTUDY Scheme and ABSTUDY 

12 

student start-up loans are taken to be made under the ABSTUDY 

13 

Scheme: see section 6B. 

14 

48  Subsection 3(1) 

15 

Insert: 

16 

ABSTUDY student start-up loan overpayment has the meaning 

17 

given by subsection 38A(1). 

18 

49  Subsection 3(1) 

19 

Insert: 

20 

accumulated ABSTUDY SSL debt has the meaning given by 

21 

section 8C. 

22 

50  Subsection 3(1) 

23 

Insert: 

24 

accumulated HELP debt has the same meaning as in the Higher 

25 

Education Support Act 2003

26 

51  Subsection 3(1) 

27 

Insert: 

28 

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approved form has the meaning given by section 388-50 in 

Schedule 1 to the Taxation Administration Act 1953

52  Subsection 3(1) 

Insert: 

approved scholarship course has the same meaning as in the 

ABSTUDY Scheme. 

53  Subsection 3(1) 

Insert: 

Commonwealth Education Costs Scholarship means a scholarship 

of that name provided for under the Commonwealth Scholarships 

10 

Guidelines made for the purposes of Part 2-4 of the Higher 

11 

Education Support Act 2003

12 

54  Subsection 3(1) 

13 

Insert: 

14 

compulsory ABSTUDY SSL repayment amount means an amount 

15 

that: 

16 

 

(a)  is required to be paid in respect of an accumulated 

17 

ABSTUDY SSL debt under section 9F; and 

18 

 

(b)  is included in a notice of assessment made under section 9L. 

19 

55  Subsection 3(1) 

20 

Insert: 

21 

enrolment test day has the meaning given by subsection 38A(2). 

22 

56  Subsection 3(1) 

23 

Insert: 

24 

former accumulated ABSTUDY SSL debt has the meaning given 

25 

by section 8B. 

26 

57  Subsection 3(1) 

27 

Insert: 

28 

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HELP debt indexation factor has the same meaning as in the 

Higher Education Support Act 2003

58  Subsection 3(1) 

Insert: 

HELP repayment income has the meaning given by 9G. 

59  Subsection 3(1) (definition of income tax law

Repeal the definition, substitute: 

income tax law has the meaning given by subsection 995-1(1) of 

the Income Tax Assessment Act 1997

60  Subsection 3(1) 

10 

Insert: 

11 

minimum HELP repayment income has the meaning given by 

12 

section 9H. 

13 

61  Subsection 3(1) 

14 

Insert: 

15 

qualification period, for an ABSTUDY student start-up loan, 

16 

means a period of 6 months starting on 1 January or 1 July in any 

17 

year. 

18 

62  Subsection 3(1) 

19 

Insert: 

20 

repayable ABSTUDY SSL debt has the meaning given by 

21 

section 9J. 

22 

63  Subsection 3(1) 

23 

Insert: 

24 

return means an income tax return within the meaning of 

25 

subsection 995-1(1) of the Income Tax Assessment Act 1997

26 

64  Subsection 3(1) 

27 

Insert: 

28 

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scholarship-entitled person has the meaning given by 

subsection 6D(2). 

65  Subsection 3(1) 

Insert: 

tax file number has the same meaning as in Part VA of the Income 

Tax Assessment Act 1936

66  Subsection 3(1) 

Insert: 

voluntary ABSTUDY SSL repayment means a payment made to 

the Commissioner in discharge of an accumulated ABSTUDY SSL 

10 

debt or an ABSTUDY SSL debt. It does not include a payment 

11 

made in discharge of a compulsory ABSTUDY SSL repayment 

12 

amount. 

13 

67  After Part 1 

14 

Insert: 

15 

Part 2--ABSTUDY student start-up loans 

16 

Division 1--Qualification for and amount of ABSTUDY 

17 

student start-up loan 

18 

6A  Simplified outline of this Division 

19 

Broadly, full-time students who are receiving Living Allowance 

20 

might be qualified for an ABSTUDY student start-up loan under 

21 

the ABSTUDY Scheme. A student can qualify for up to 2 loans 

22 

each calendar year. 

23 

6B  ABSTUDY Scheme 

24 

 

(1)  For the purposes of a reference in this Act or another law to the 

25 

ABSTUDY Scheme: 

26 

 

(a)  this Part is taken to be part of the ABSTUDY Scheme; and 

27 

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(b)  ABSTUDY student start-up loans are taken to be made under 

the ABSTUDY Scheme. 

 

(2)  This Part does not limit the ABSTUDY Scheme. In particular, the 

ABSTUDY Scheme may make provision for matters relating to 

ABSTUDY student start-up loans for which provision is not made 

in this Act. 

6C  Qualification for ABSTUDY student start-up loan 

 

(1)  A person is qualified for an ABSTUDY student start-up loan for a 

qualification period if, at the time in that period referred to in 

subsection (2): 

10 

 

(a)  the person is qualified for a payment known as Living 

11 

Allowance under the ABSTUDY Scheme and Living 

12 

Allowance is payable to the person; and 

13 

 

(b)  the person is receiving Living Allowance and would be 

14 

receiving Living Allowance if any amounts of 

15 

pharmaceutical allowance and rent assistance payable to the 

16 

person under the ABSTUDY Scheme were disregarded for 

17 

the purposes of working out the person's rate of that 

18 

allowance; and 

19 

 

(c)  the person is qualified for Living Allowance because the 

20 

person is undertaking full-time study in a course of education 

21 

that is an approved scholarship course; and 

22 

 

(d)  the Secretary is satisfied that the person is not likely to 

23 

receive the amount or value of a Commonwealth Education 

24 

Costs Scholarship in the period of 6 months starting 

25 

immediately after the time; and 

26 

 

(e)  the person has notified his or her tax file number to the 

27 

Secretary and the Secretary has: 

28 

 

(i)  verified the person's tax file number in accordance with 

29 

section 10B; or 

30 

 

(ii)  obtained the correct tax file number in accordance with 

31 

section 10C. 

32 

 

(2)  For the purposes of subsection (1), the time is the earliest of the 

33 

following: 

34 

 

(a)  the time the Secretary determines the person's claim for an 

35 

ABSTUDY student start-up loan; 

36 

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(b)  if the approved scholarship course ends in the qualification 

period--the start of the last day of the approved scholarship 

course; 

 

(c)  the start of the last day of the qualification period. 

6D  Circumstances in which person is not qualified for ABSTUDY 

student start-up loan 

 

(1)  Despite section 6C, a person is not qualified for an ABSTUDY 

student start-up loan for a qualification period at the relevant time 

in that period if: 

 

(a)  a determination is in effect that the person is qualified for an 

10 

ABSTUDY student start-up loan for the qualification period; 

11 

or 

12 

 

(b)  a determination is in effect that the person is qualified for a 

13 

student start-up loan under the Social Security Act 1991 for 

14 

the qualification period; or 

15 

 

(c)  at the time, the person is a scholarship-entitled person (see 

16 

subsection (2)); or 

17 

 

(d)  in the period of 6 months ending immediately before the 

18 

time, the person: 

19 

 

(i)  has received a payment known as a student start-up 

20 

scholarship payment under the scheme referred to in 

21 

section 117 of the Veterans' Entitlements Act 1986; or 

22 

 

(ii)  has received a payment known as a student start-up 

23 

scholarship payment under the scheme referred to in 

24 

section 258 of the Military Rehabilitation and 

25 

Compensation Act 2004; or 

26 

 

(iii)  has received the amount or value of a Commonwealth 

27 

Education Costs Scholarship; or 

28 

 

(iv)  was entitled to the amount or value of a Commonwealth 

29 

Education Costs Scholarship but has not received the 

30 

full entitlement only because the scholarship was 

31 

suspended. 

32 

 

(2)  A person is a scholarship-entitled person if: 

33 

 

(a)  any of the following (a scholarship) was received by the 

34 

person in respect of a time before 1 January 2014: 

35 

 

(i)  a student start-up scholarship payment under 

36 

section 592F of the Social Security Act 1991

37 

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(ii)  a payment under the ABSTUDY Scheme known as an 

ABSTUDY student start-up scholarship payment; 

 

(iii)  the amount or value of a Commonwealth Education 

Costs Scholarship; and 

 

(b)  for a continuous period since the time in respect of which the 

person received the scholarship, the person has been 

receiving at least one of the following: 

 

(i)  youth allowance (within the meaning of the Social 

Security Act 1991); 

 

(ii)  austudy payment (within the meaning of the Social 

10 

Security Act 1991); 

11 

 

(iii)  payments under the ABSTUDY Scheme known as 

12 

Living Allowance. 

13 

6E  Amount of ABSTUDY student start-up loan 

14 

 

(1)  The amount of an ABSTUDY student start-up loan for which a 

15 

person is qualified on or after 1 January 2014 is $1,025. 

16 

 

(2)  The amount of an ABSTUDY student start-up loan is to be indexed 

17 

under Division 2 of Part 3.16 of the Social Security Act 1991, on 

18 

1 January 2017 and each subsequent 1 January, as if it were a 

19 

student start-up loan amount referred to in the table in 

20 

subsection 1191(1) of that Act. 

21 

Division 2--Indebtedness: incurring ABSTUDY SSL debts 

22 

7A  Simplified outline of this Division 

23 

A person incurs an ABSTUDY SSL debt if the person receives an 

24 

ABSTUDY student start-up loan (except in certain circumstances 

25 

when the loan is required to be recovered as a debt under this Act). 

26 

7B  ABSTUDY SSL debts 

27 

 

(1)  A person incurs an ABSTUDY SSL debt to the Commonwealth if: 

28 

 

(a)  the person has received an ABSTUDY student start-up loan 

29 

for a qualification period; and 

30 

 

(b)  the amount of the loan is not a debt under section 39. 

31 

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(2)  The ABSTUDY SSL debt is incurred by the person on the later of: 

 

(a)  the day the person received the loan; and 

 

(b)  the day after the person's enrolment test day for the 

qualification period. 

Note: 

For enrolment test day, see subsection 38A(2). 

 

(3)  The amount of the person's ABSTUDY SSL debt is the amount of 

the loan, reduced by any amount repaid before the day on which 

the debt is incurred. 

 

(4)  Despite subsection (1), an ABSTUDY SSL debt is not incurred in 

relation to a loan if: 

10 

 

(a)  the loan has been fully repaid before the day on which the 

11 

ABSTUDY SSL debt in respect of the loan would be 

12 

incurred; or 

13 

 

(b)  the Secretary has formed an opinion under subsection 38A(3) 

14 

in relation to the loan (relating to exceptional circumstances 

15 

beyond the person's control). 

16 

7C  ABSTUDY SSL debt discharged by death 

17 

 

  Upon the death of a person who owes an ABSTUDY SSL debt to 

18 

the Commonwealth, the debt is taken to have been paid. 

19 

Division 3--Indebtedness: working out accumulated 

20 

ABSTUDY SSL debts 

21 

8A  Simplified outline of this Division 

22 

Each ABSTUDY SSL debt a person incurs is incorporated into the 

23 

person's accumulated ABSTUDY SSL debt. This accumulated 

24 

ABSTUDY SSL debt forms the basis for working out the amounts 

25 

the person is obliged to repay. 

26 

There are 2 stages to working out a person's accumulated 

27 

ABSTUDY SSL debt for a financial year. 

28 

In stage 1, the person's former accumulated ABSTUDY SSL debt 

29 

is worked out by adjusting the preceding financial year's 

30 

accumulated ABSTUDY SSL debt to take account of: 

31 

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(a) 

changes in the Consumer Price Index; and 

 

(b) 

the debts that the person incurs during the last 6 months 

of the preceding financial year; and 

 

(c) 

voluntary ABSTUDY SSL repayments of the debt; and 

 

(d) 

compulsory ABSTUDY SSL repayment amounts in 

respect of the debt. 

In stage 2, the person's accumulated ABSTUDY SSL debt is 

worked out from: 

 

(a) 

the person's former accumulated ABSTUDY SSL debt; 

and 

10 

 

(b) 

the ABSTUDY SSL debts that the person incurs during 

11 

the first 6 months of the financial year; and 

12 

 

(c) 

voluntary ABSTUDY SSL repayments of those debts. 

13 

8B  Working out a former accumulated ABSTUDY SSL debt 

14 

 

(1)  A person's former ABSTUDY accumulated SSL debt, in relation 

15 

to the person's accumulated ABSTUDY SSL debt for a financial 

16 

year, is worked out by multiplying: 

17 

 

(a)  the amount worked out using the following method 

18 

statement; by 

19 

 

(b)  the HELP debt indexation factor for 1 June in that financial 

20 

year. 

21 

Method statement 

22 

Step 1.  Take the person's accumulated ABSTUDY SSL debt for 

23 

the immediately preceding financial year. (This amount is 

24 

taken to be zero if the person has no accumulated 

25 

ABSTUDY SSL debt for that financial year.) 

26 

Step 2.  Add the sum of all of the ABSTUDY SSL debts (if any) 

27 

that the person incurred during the last 6 months of the 

28 

immediately preceding financial year. 

29 

Step 3.  Subtract the sum of the amounts by which the person's 

30 

debts referred to in steps 1 and 2 are reduced because of 

31 

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any voluntary ABSTUDY SSL repayments that have 

been made during the period: 

 

(a) 

starting on 1 June in the immediately preceding 

financial year; and 

 

(b) 

ending immediately before the next 1 June. 

Step 4.  Subtract the sum of all of the person's compulsory 

ABSTUDY SSL repayment amounts that: 

 

(a) 

were assessed during that period (excluding any 

assessed as a result of a return given before that 

period); or 

10 

 

(b) 

were assessed after the end of that period as a 

11 

result of a return given before the end of that 

12 

period. 

13 

Step 5.  Subtract the sum of the amounts by which any 

14 

compulsory ABSTUDY SSL repayment amount of the 

15 

person is increased (whether as a result of an increase in 

16 

the person's taxable income of an income year or 

17 

otherwise) by an amendment of an assessment made 

18 

during that period. 

19 

Step 6.  Add the sum of the amounts by which any compulsory 

20 

ABSTUDY SSL repayment amount of the person is 

21 

reduced (whether as a result of a reduction in the person's 

22 

taxable income of an income year or otherwise) by an 

23 

amendment of an assessment made during that period. 

24 

 

(2)  For the purposes of this section, an assessment, or an amendment 

25 

of an assessment, is taken to have been made on the day specified 

26 

in the notice of assessment, or notice of amended assessment, as 

27 

the date of issue of that notice. 

28 

8C  Working out an accumulated ABSTUDY SSL debt 

29 

 

(1)  A person's accumulated ABSTUDY SSL debt, for a financial year, 

30 

is worked out as follows: 

31 

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Former accumulated

ABSTUDY SSL

ABSTUDY SSL

ABSTUDY SSL debt

debts incurred

debt repayments

 

where: 

ABSTUDY SSL debt repayments is the sum of all of the voluntary 

ABSTUDY SSL repayments (if any) paid, on or after 1 July in the 

financial year and before 1 June in that year, in reduction of the 

ABSTUDY SSL debts incurred in that year. 

ABSTUDY SSL debts incurred is the sum of the amounts of all of 

the SSL debts (if any) that the person incurred during the first 6 

months of the financial year. 

former accumulated ABSTUDY SSL debt is the person's former 

10 

accumulated ABSTUDY SSL debt in relation to that accumulated 

11 

ABSTUDY SSL debt. 

12 

 

(2)  The person incurs the accumulated ABSTUDY SSL debt on 1 June 

13 

in the financial year. 

14 

 

(3)  The first financial year for which a person can have an 

15 

accumulated ABSTUDY SSL debt is the financial year starting on 

16 

1 July 2014. 

17 

8D  Rounding of amounts 

18 

 

(1)  If, apart from this section, a person's accumulated ABSTUDY SSL 

19 

debt would be an amount consisting of a number of whole dollars 

20 

and a number of cents, disregard the number of cents. 

21 

 

(2)  If, apart from this section, a person's accumulated ABSTUDY SSL 

22 

debt would be an amount of less than one dollar, the person's 

23 

accumulated ABSTUDY SSL debt is taken to be zero. 

24 

8E  Accumulated ABSTUDY SSL debt discharges earlier debts 

25 

 

(1)  The accumulated ABSTUDY SSL debt that a person incurs on 

26 

1 June in a financial year discharges, or discharges the unpaid part 

27 

of: 

28 

 

(a)  any ABSTUDY SSL debt that the person incurred during the 

29 

calendar year immediately preceding that day; and 

30 

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(b)  any accumulated ABSTUDY SSL debt that the person 

incurred on the immediately preceding 1 June. 

 

(2)  Nothing in subsection (1) affects the application of section 7B, 7C, 

8B or 8C. 

8F  Accumulated ABSTUDY SSL debt discharged by death 

 

(1)  Upon the death of a person who has an accumulated ABSTUDY 

SSL debt, the accumulated ABSTUDY SSL debt is taken to be 

discharged. 

 

(2)  To avoid doubt, this section does not affect any compulsory 

ABSTUDY SSL repayment amounts required to be paid in respect 

10 

of the accumulated ABSTUDY SSL debt, whether or not those 

11 

amounts were assessed before the person's death. 

12 

Division 4--Discharge of indebtedness 

13 

Subdivision A--Introduction 

14 

9A  Simplified outline of this Division 

15 

A person who owes a debt to the Commonwealth under this Part 

16 

may make voluntary ABSTUDY SSL repayments. 

17 

The person is required to make repayments, of amounts based on 

18 

his or her income, if that income is above a particular amount and 

19 

if the person has repaid the person's accumulated HELP debts 

20 

arising under the Higher Education Support Act 2003. The 

21 

Commissioner makes assessments of repayment amounts, which 

22 

are collected in the same way as amounts of income tax and 

23 

accumulated HELP debts. 

24 

9B  Debts under this Part 

25 

 

(1)  The debts under this Part are: 

26 

 

(a)  ABSTUDY SSL debts; and 

27 

 

(b)  accumulated ABSTUDY SSL debts. 

28 

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(2)  To avoid doubt, debts that arise under section 39 are not debts 

under this Part. 

 

(3)  To avoid doubt, nothing in this section affects section 6B (about 

the relationship of this Part to the ABSTUDY Scheme). 

Subdivision B--Voluntary discharge of indebtedness 

9C  Voluntary ABSTUDY SSL repayments in respect of debts 

 

(1)  A person may at any time make a payment in respect of a debt that 

the person owes to the Commonwealth under this Part. 

 

(2)  The payment must be made to the Commissioner. 

9D  Application of voluntary ABSTUDY SSL repayments 

10 

 

(1)  Any money a person pays under this Subdivision to meet the 

11 

person's debts to the Commonwealth under this Part is to be 

12 

applied in payment of those debts as the person directs at the time 

13 

of the payment. 

14 

 

(2)  If the person has not given any directions, or the directions given 

15 

do not adequately deal with the matter, any money available is to 

16 

be applied as follows: 

17 

 

(a)  first, in discharge or reduction of any accumulated 

18 

ABSTUDY SSL debt of the person; 

19 

 

(b)  second, in discharge or reduction of: 

20 

 

(i)  any ABSTUDY SSL debt of the person; or 

21 

 

(ii)  if there is more than one such debt, those debts in the 

22 

order in which they were incurred. 

23 

9E  Refunding of payments 

24 

 

  If: 

25 

 

(a)  a person pays an amount to the Commonwealth under this 

26 

Subdivision; and 

27 

 

(b)  the amount exceeds the sum of: 

28 

 

(i)  the amount required to discharge the total debt that the 

29 

person owed to the Commonwealth under this Part; and 

30 

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(ii)  the total amount of the person's primary tax debts 

(within the meaning of Part IIB of the Taxation 

Administration Act 1953); 

the Commonwealth must refund to the person an amount equal to 

that excess. 

Subdivision C--Compulsory discharge of indebtedness 

9F  Liability to repay amounts 

 

(1)  If: 

 

(a)  a person's HELP repayment income for an income year 

exceeds the minimum HELP repayment income for the 

10 

income year; and 

11 

 

(b)  on 1 June immediately preceding the making of an 

12 

assessment in respect of the person's income of that income 

13 

year, the person had an accumulated ABSTUDY SSL debt; 

14 

and 

15 

 

(c)  on that 1 June: 

16 

 

(i)  the person did not have an accumulated HELP debt; or 

17 

 

(ii)  the amount required to be paid in respect of the person's 

18 

accumulated HELP debt for the income year would, if 

19 

paid, fully discharge the person's accumulated HELP 

20 

debt; 

21 

the person is liable to pay to the Commonwealth, in accordance 

22 

with this Subdivision, the amount worked out under section 9K in 

23 

reduction of the person's repayable ABSTUDY SSL debt. 

24 

 

(2)  A person is not liable under this section to pay an amount for an 

25 

income year if, under section 8 of the Medicare Levy Act 1986

26 

 

(a)  no Medicare levy is payable by the person on the person's 

27 

taxable income for the income year; or 

28 

 

(b)  the amount of the Medicare levy payable by the person on the 

29 

person's taxable income for the income year is reduced. 

30 

9G  HELP repayment income 

31 

 

  For the purposes of this Part, HELP repayment income has the 

32 

same meaning as repayment income has in the Higher Education 

33 

Support Act 2003

34 

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9H  Minimum HELP repayment income 

 

  For the purposes of this Part, minimum HELP repayment income 

has the same meaning as minimum repayment income has in the 

Higher Education Support Act 2003

9J  Repayable ABSTUDY SSL debt for an income year 

 

(1)  A person's repayable ABSTUDY SSL debt for an income year is: 

 

(a)  the person's accumulated ABSTUDY SSL debt referred to in 

paragraph 9F(1)(b) in relation to that income year; or 

 

(b)  if one or more amounts: 

 

(i)  have been paid in reduction of that debt; or 

10 

 

(ii)  have been assessed under section 9L to be payable in 

11 

respect of that debt; 

12 

 

  the amount (if any) remaining after deducting from that debt 

13 

the amount, or sum of the amounts, so paid or assessed to be 

14 

payable. 

15 

 

(2)  A reference in paragraph (1)(b) of this section to an amount 

16 

assessed to be payable is, if the amount has been increased or 

17 

reduced by an amendment of the relevant assessment, a reference 

18 

to the increased amount or the reduced amount. 

19 

9K  Amounts payable to the Commonwealth 

20 

 

  The amount that a person is liable to pay under section 9F, in 

21 

respect of an income year, is an amount equal to so much of the 

22 

person's repayable ABSTUDY SSL debt for the income year as 

23 

does not exceed: 

24 

 

(a)  if subparagraph 9F(1)(c)(i) applies--the percentage of the 

25 

person's HELP repayment income that is applicable under 

26 

the table in section 154-20 of the Higher Education Support 

27 

Act 2003; or 

28 

 

(b)  if subparagraph 9F(1)(c)(ii) applies--the percentage of the 

29 

person's HELP repayment income that is applicable under 

30 

the table in section 154-20 of the Higher Education Support 

31 

Act 2003, reduced by the amount required to be paid in 

32 

respect of the person's accumulated HELP debt for the 

33 

income year. 

34 

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Subdivision D--Assessments 

9L  Commissioner may make assessments 

 

  The Commissioner may, from any information in the 

Commissioner's possession, whether from a return or otherwise, 

make an assessment of: 

 

(a)  the person's accumulated ABSTUDY SSL debt on 1 June 

immediately before the making of the assessment; and 

 

(b)  the amount required to be paid in respect of that debt under 

section 9F. 

9M  Notification of notices of assessment of tax 

10 

 

  If: 

11 

 

(a)  the Commissioner is required to serve on a person a notice of 

12 

assessment in respect of the person's income of an income 

13 

year under section 174 of the Income Tax Assessment Act 

14 

1936; and 

15 

 

(b)  the Commissioner has made, in respect of the person, an 

16 

assessment under section 9L of this Act of the amounts 

17 

referred to in that section; and 

18 

 

(c)  notice of the assessment under that section has not been 

19 

served on the person; 

20 

notice of the assessment under that section may be served by 

21 

specifying the amounts concerned in the notice referred to in 

22 

paragraph (a). 

23 

9N  Commissioner may defer making assessments 

24 

 

(1)  A person may apply in the approved form to the Commissioner for 

25 

deferral of the making of an assessment in respect of the person 

26 

under section 9L. 

27 

 

(2)  The application must specify: 

28 

 

(a)  the income year for which the deferral is being sought; and 

29 

 

(b)  the reasons for seeking the deferral. 

30 

 

(3)  The income year specified in the application must be: 

31 

 

(a)  the income year in which the person makes the application; 

32 

or 

33 

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(b)  the immediately preceding income year; or 

 

(c)  the immediately succeeding income year. 

 

(4)  The Commissioner may, on application by a person under this 

section, defer making an assessment in respect of the person under 

section 9L if the Commissioner is of the opinion that: 

 

(a)  if the assessment were made, payment of the assessed 

amount would cause serious hardship to the person; or 

 

(b)  there are other special reasons that make it fair and 

reasonable to defer making the assessment. 

 

(5)  The Commissioner may defer making the assessment for any 

10 

period that he or she thinks appropriate. 

11 

 

(6)  The Commissioner must, as soon as practicable after an application 

12 

is made under this section: 

13 

 

(a)  consider the matter to which the application relates; and 

14 

 

(b)  notify the applicant of the Commissioner's decision on the 

15 

application. 

16 

Note: 

Deferrals of making assessments, or refusals of applications, are 

17 

reviewable under Division 1A of Part 9. 

18 

9P  Commissioner may amend assessments 

19 

 

(1)  A person may apply in the approved form to the Commissioner for 

20 

an amendment of an assessment made in respect of the person 

21 

under section 9L so that: 

22 

 

(a)  the amount payable under the assessment is reduced; or 

23 

 

(b)  no amount is payable under the assessment. 

24 

 

(2)  The application: 

25 

 

(a)  must be made within 2 years after the day on which the 

26 

Commissioner gives notice of the assessment to the person; 

27 

or 

28 

 

(b)  must specify the reasons justifying a later application. 

29 

 

(3)  The Commissioner may, on application by a person under this 

30 

section, amend an assessment made in respect of the person under 

31 

section 9L so that: 

32 

 

(a)  the amount payable under the assessment is reduced; or 

33 

 

(b)  no amount is payable under the assessment; 

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if the Commissioner is of the opinion that: 

 

(c)  payment of the assessed amount has caused or would cause 

serious hardship to the person; or 

 

(d)  there are other special reasons that make it fair and 

reasonable to make the amendment. 

 

(4)  The Commissioner must, as soon as practicable after an application 

is made under this section: 

 

(a)  consider the matter to which the application relates; and 

 

(b)  notify the applicant of the Commissioner's decision on the 

application. 

10 

Note: 

Amendments of assessments, or refusals of applications, are 

11 

reviewable under Division 1A of Part 9. 

12 

Division 5--Tax administration matters 

13 

10A  Simplified outline of this Division 

14 

The Secretary and the Commissioner may share information about 

15 

tax file numbers for the purposes of administering ABSTUDY 

16 

student start-up loans. The Commissioner is also responsible for 

17 

the recovery of debts under this Part and has functions and powers 

18 

to fulfil that responsibility relating to returns, assessments, 

19 

collection and other administrative matters. 

20 

10B  Verification of tax file numbers 

21 

 

(1)  The Secretary may provide to the Commissioner a tax file number 

22 

that a person has notified to the Secretary for the purposes of 

23 

paragraph 6C(1)(e), for the purpose of verifying that the number is 

24 

the person's tax file number. 

25 

 

(2)  If the Commissioner is satisfied that the number is the person's tax 

26 

file number, the Commissioner may give the Secretary a written 

27 

notice informing the Secretary accordingly. 

28 

10C  When person with tax file number incorrectly notifies number 

29 

 

  If the Commissioner is satisfied: 

30 

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(a)  that the tax file number that a person has notified to the 

Secretary for the purposes of paragraph 6C(1)(e): 

 

(i)  has been cancelled or withdrawn since the notification 

was given; or 

 

(ii)  is otherwise wrong; and 

 

(b)  that the person has a tax file number; 

the Commissioner may give to the Secretary written notice of the 

incorrect notification and of the person's tax file number. 

10D  When person without tax file number incorrectly notifies 

number 

10 

 

(1)  If: 

11 

 

(a)  the Commissioner is satisfied that the tax file number that a 

12 

person notified to the Secretary for the purposes of 

13 

paragraph 6C(1)(e): 

14 

 

(i)  has been cancelled since the notification was given; or 

15 

 

(ii)  is for any other reason not the person's tax file number; 

16 

and 

17 

 

(b)  the Commissioner is not satisfied that the person has a tax 

18 

file number; 

19 

the Commissioner may give to the Secretary a written notice 

20 

informing the Secretary accordingly. 

21 

 

(2)  The Commissioner must give a copy of any notice under 

22 

subsection (1) of this section to the person concerned, together 

23 

with a written statement of the reasons for the decision to give the 

24 

notice. 

25 

Note: 

Decisions to give notice under subsection (1) are reviewable under 

26 

section 202F of the Income Tax Assessment Act 1936

27 

10E  When tax file numbers are cancelled 

28 

 

(1)  If the Commissioner cancels a tax file number issued to a person 

29 

who has notified the tax file number to the Secretary for the 

30 

purposes of paragraph 6C(1)(e), the Commissioner may give to the 

31 

Secretary a written notice informing the Secretary accordingly. 

32 

 

(2)  The Commissioner must give a copy of any notice under 

33 

subsection (1) of this section to the person concerned, together 

34 

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with a written statement of the reasons for the decision to give the 

notice. 

Note: 

Decisions to give notice under subsection (1) are reviewable under 

section 202F of the Income Tax Assessment Act 1936

10F  Returns, assessments, collection and recovery 

 

  Subject to Division 4 and this Division: 

 

(a)  Part IV of the Income Tax Assessment Act 1936; and 

 

(b)  Division 5 of the Income Tax Assessment Act 1997; and 

 

(c)  Part 4-15 in Schedule 1 to the Taxation Administration Act 

1953

10 

apply, so far as they are capable of application, in relation to a 

11 

compulsory ABSTUDY SSL repayment amount of a person as if it 

12 

were income tax assessed to be payable by a taxpayer by an 

13 

assessment made under Part IV of the Income Tax Assessment Act 

14 

1936

15 

10G  Charges and civil penalties for failing to meet obligations 

16 

 

(1)  Part 4-25 in Schedule 1 to the Taxation Administration Act 1953 

17 

has effect as if: 

18 

 

(a)  any compulsory ABSTUDY SSL repayment amount of a 

19 

person were income tax payable by the person in respect of 

20 

the income year in respect of which the assessment of that 

21 

debt was made; and 

22 

 

(b)  Division 1 so far as it relates to tax file numbers, and 

23 

Divisions 2, 3, 4 and this Division, were income tax laws. 

24 

 

(2)  Subsection (1) does not have the effect of making a person liable to 

25 

a penalty for any act or omission that happened before the 

26 

commencement of this subsection. 

27 

10H  Pay as you go (PAYG) withholding 

28 

 

  Part 2-5 (other than section 12-55 and Subdivisions 12-E, 12-F and 

29 

12-G) in Schedule 1 to the Taxation Administration Act 1953 

30 

applies, so far as it is capable of application, in relation to the 

31 

collection of amounts of a compulsory ABSTUDY SSL repayment 

32 

amount of a person as if the compulsory ABSTUDY SSL 

33 

repayment amount were income tax. 

34 

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10J  Pay as you go (PAYG) instalments 

 

  Division 45 in Schedule 1 to the Taxation Administration Act 1953 

applies, so far as it is capable of application, in relation to the 

collection of a compulsory ABSTUDY SSL repayment amount of 

a person as if the compulsory ABSTUDY SSL repayment amount 

were income tax. 

10K  Administration of this Part 

 

  The Commissioner has the general administration of: 

 

(a)  Division 1 so far as it relates to tax file numbers; and 

 

(b)  Divisions 2, 3, 4 and this Division; and 

10 

 

(c)  Division 1A of Part 9 (Internal review of certain 

11 

Commissioner decisions relating to ABSTUDY student 

12 

start-up loans). 

13 

Note: 

One effect of this is that these Divisions are taxation laws for the 

14 

purposes of the Taxation Administration Act 1953

15 

68  Section 38 (definition of ABSTUDY debt

16 

Repeal the definition, substitute: 

17 

ABSTUDY debt means: 

18 

 

(a)  an amount paid under the ABSTUDY Scheme (also known 

19 

as the Aboriginal Study Assistance Scheme) that should not 

20 

have been paid; or 

21 

 

(b)  an ABSTUDY student start-up loan overpayment. 

22 

Note: 

The amount in paragraph (a) is a debt under paragraph (a) of the 

23 

definition of debt in this section. The amount in paragraph (b) is a debt 

24 

under paragraph (aa) of the definition of debt in this section 

25 

69  Section 38 (after paragraph (a) of the definition of debt

26 

Insert: 

27 

 

(aa)  an ABSTUDY student start-up loan overpayment; 

28 

70  Section 38 (paragraph (c) of the definition of debt

29 

Omit "or (b)", substitute ", (aa) or (b)". 

30 

71  After section 38 

31 

Insert: 

32 

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38A  ABSTUDY student start-up loan overpayments 

 

(1)  If: 

 

(a)  a person has received an ABSTUDY student start-up loan for 

which the person qualified at a time (the qualification time

in a qualification period; and 

 

(b)  at a time between the qualification time and the end of the 

person's enrolment test day, the person does not meet the 

condition in paragraph 6C(1)(c) that the person met at the 

qualification time; 

then the amount of the loan is an ABSTUDY student start-up loan 

10 

overpayment

11 

Note: 

The condition in paragraph 6C(1)(c) relates to whether the person is 

12 

qualified for Living Allowance because the person is studying in an 

13 

approved scholarship course (as defined in the ABSTUDY Scheme). 

14 

 

(2)  A person's enrolment test day, for a qualification period, is the 

15 

earliest of the following days: 

16 

 

(a)  if the approved scholarship course ends in the qualification 

17 

period--the last day of the approved scholarship course; 

18 

 

(b)  the last day of the qualification period; 

19 

 

(c)  the 35th day of the period starting on whichever of the 

20 

following applies: 

21 

 

(i)  if the person's qualification time for the qualification 

22 

period was before the first day of the relevant approved 

23 

scholarship course--the first day of that approved 

24 

scholarship course; 

25 

 

(ii)  otherwise--the day of the qualification time. 

26 

Note: 

In some circumstances, a person's enrolment test day will be the same 

27 

as the day of the person's qualification time. 

28 

 

(3)  Subsection (1) does not apply if, in the Secretary's opinion, the 

29 

person does not meet the condition in paragraph 6C(1)(c) that the 

30 

person met at the qualification time because of exceptional 

31 

circumstances beyond the person's control. 

32 

Note: 

The condition in paragraph 6C(1)(c) relates to whether the person is 

33 

qualified for Living Allowance because the person is studying in an 

34 

approved scholarship course (as defined in the ABSTUDY Scheme). 

35 

72  Section 39 

36 

Before "If", insert "(1)". 

37 

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73  Paragraph 39(a) 

Omit "or (b)", substitute ", (aa) or (b)". 

74  At the end of section 39 

Add: 

Note: 

The amount of a debt that arises because of an ABSTUDY student 

start-up loan overpayment may be affected by section 39AAA. 

 

(2)  A debt that arises under subsection (1) because of an ABSTUDY 

student start-up loan overpayment is taken to have arisen when the 

person received the loan to which the overpayment relates. 

75  After section 39 

10 

Insert: 

11 

39AAA  ABSTUDY student start-up loan previously treated as part 

12 

of accumulated ABSTUDY SSL debt 

13 

 

(1)  This section applies if: 

14 

 

(a)  a debt arises under section 39 because of an ABSTUDY 

15 

student start-up loan overpayment in relation to an 

16 

ABSTUDY student start-up loan; and 

17 

 

(b)  the Commissioner had treated the amount of the loan as if it 

18 

were part of an accumulated ABSTUDY SSL debt, but at a 

19 

time since (the cessation time) has ceased to do so. 

20 

 

(2)  The amount of the debt that arises under section 39 is taken to be 

21 

so much of the supposed accumulated ABSTUDY SSL debt as is, 

22 

immediately before the cessation time, attributable to the amount 

23 

of the loan. 

24 

76  Subsection 44A(5) 

25 

Omit "subsection (6)", substitute "subsections (6) and (7)". 

26 

77  Subsection 44A(7) 

27 

Repeal the subsection, substitute: 

28 

 

(7)  Subsection (5) does not apply in relation to qualification for an 

29 

ABSTUDY student start-up loan under section 6C. 

30 

Student start-up loans  Schedule 6 

   

 

 

No.      , 2013 

Social Services and Other Legislation Amendment Bill 2013 

93 

 

78  After subsection 55A(1) 

Insert: 

 

(1AAA)  Payments in relation to ABSTUDY student start-up loans are to be 

made out of the Consolidated Revenue Fund, which is appropriated 

accordingly. 

79  Section 302 

Before "Unless", insert "(1)". 

80  At the end of section 302 

Add: 

 

(2)  This Division does not apply to a decision that is a reviewable 

10 

decision under section 308A (certain decisions made by the 

11 

Commissioner in relation to ABSTUDY student start-up loans). 

12 

81  After Division 1 of Part 9 

13 

Insert: 

14 

Division 1A--Internal review of certain Commissioner 

15 

decisions relating to ABSTUDY student start-up 

16 

loans 

17 

308A  Decisions reviewable under this Division 

18 

 

  Each of the following is a reviewable decision for the purposes of 

19 

this Division: 

20 

 

(a)  a decision by the Commissioner under section 9N 

21 

(Commissioner may defer making assessments); 

22 

 

(b)  a decision by the Commissioner under section 9P 

23 

(Commissioner may amend assessments). 

24 

308B  Commissioner must give reasons for reviewable decisions 

25 

 

(1)  The Commissioner's notice to a person of the making of a 

26 

reviewable decision must include reasons for the decision. 

27 

 

(2)  Subsection (1) does not affect an obligation, imposed upon the 

28 

Commissioner by any other law, to give reasons for a decision. 

29 

Schedule 6  Student start-up loans 

   

 

 

94 

Social Services and Other Legislation Amendment Bill 2013 

No.      , 2013 

 

308C  Reviewer of decisions 

 

(1)  The Commissioner is the reviewer of a reviewable decision for the 

purposes of this Division, subject to subsection (2). 

 

(2)  If: 

 

(a)  the reviewable decision was made by a delegate of the 

Commissioner; and 

 

(b)  the decision is to be reconsidered by a delegate of the 

Commissioner; 

then the delegate who reconsiders the decision must be a person 

who: 

10 

 

(c)  was not involved in making the decision; and 

11 

 

(d)  occupies a position that is senior to that occupied by any 

12 

person involved in making the decision. 

13 

308D  Reviewer may reconsider reviewable decisions 

14 

 

(1)  The reviewer of a reviewable decision may reconsider the decision 

15 

if the reviewer is satisfied that there is sufficient reason to do so. 

16 

 

(2)  The reviewer may reconsider the decision even if: 

17 

 

(a)  an application for reconsideration of the decision has been 

18 

made under section 308E; or 

19 

 

(b)  the decision has been confirmed, varied or set aside under 

20 

section 308E and an application has been made under 

21 

section 308F for review of the decision. 

22 

 

(3)  After reconsidering the decision, the reviewer must: 

23 

 

(a)  confirm the decision; or 

24 

 

(b)  vary the decision; or 

25 

 

(c)  set the decision aside and substitute a new decision. 

26 

 

(4)  The reviewer's decision (the decision on review) to confirm, vary 

27 

or set aside the decision takes effect: 

28 

 

(a)  on the day specified in the decision on review; or 

29 

 

(b)  if a day is not specified--on the day on which the decision on 

30 

review was made. 

31 

 

(5)  The reviewer must give written notice of the decision on review to 

32 

the person to whom that decision relates. 

33 

Student start-up loans  Schedule 6 

   

 

 

No.      , 2013 

Social Services and Other Legislation Amendment Bill 2013 

95 

 

 

(6)  The notice: 

 

(a)  must be given within a reasonable period after the decision is 

made; and 

 

(b)  must contain a statement of the reasons for the reviewer's 

decision on review. 

Note: 

Section 27A of the Administrative Appeals Tribunal Act 1975 requires 

the person to be notified of the person's review rights. 

308E  Reconsideration of reviewable decisions on request 

 

(1)  A person whose interests are affected by a reviewable decision 

may request the reviewer to reconsider the decision. 

10 

 

(2)  The person's request must be made by written notice given to the 

11 

reviewer within 28 days, or such longer period as the reviewer 

12 

allows, after the day on which the person first received notice of 

13 

the decision. 

14 

 

(3)  The notice must set out the reasons for making the request. 

15 

 

(4)  After receiving the request, the reviewer must reconsider the 

16 

decision and: 

17 

 

(a)  confirm the decision; or 

18 

 

(b)  vary the decision; or 

19 

 

(c)  set the decision aside and substitute a new decision. 

20 

 

(5)  The reviewer's decision (the decision on review) to confirm, vary 

21 

or set aside the decision takes effect: 

22 

 

(a)  on the day specified in the decision on review; or 

23 

 

(b)  if a day is not specified--on the day on which the decision on 

24 

review was made. 

25 

 

(6)  The reviewer must give the person written notice of the decision on 

26 

review. 

27 

 

(7)  The notice: 

28 

 

(a)  must be given within a reasonable period after the decision 

29 

on review is made; and 

30 

 

(b)  must contain a statement of the reasons for the decision on 

31 

review. 

32 

Schedule 6  Student start-up loans 

   

 

 

96 

Social Services and Other Legislation Amendment Bill 2013 

No.      , 2013 

 

 

(8)  The reviewer is taken, for the purposes of this Division, to have 

confirmed the decision if the reviewer does not give notice of a 

decision to the person within 45 days after receiving the person's 

request. 

Note: 

Section 27A of the Administrative Appeals Tribunal Act 1975 requires 

the person to be notified of the person's review rights. 

308F  AAT review of reviewable decisions 

 

  An application may be made to the Administrative Appeals 

Tribunal for the review of a reviewable decision that has been 

confirmed, varied or set aside under section 308D (Reviewer may 

10 

reconsider reviewable decisions) or 308E (Reconsideration of 

11 

reviewable decisions on request). 

12 

82  Before paragraph 313(a) 

13 

Insert: 

14 

 

(aa)  that is a reviewable decision under section 308A (certain 

15 

decisions made by the Commissioner in relation to 

16 

ABSTUDY student start-up loans); or 

17 

 

(ab)  under section 308D or 308E (review of decisions made by 

18 

the Commissioner in relation to ABSTUDY student start-up 

19 

loans); or 

20 

Taxation Administration Act 1953 

21 

83  Section 8AAZA 

22 

Insert: 

23 

compulsory ABSTUDY SSL repayment amount has the same 

24 

meaning as in the Student Assistance Act 1973

25 

84  Section 8AAZA 

26 

Insert: 

27 

compulsory SSL repayment amount has the same meaning as in 

28 

Chapter 2AA of the Social Security Act 1991

29 

85  After paragraph 8AAZLD(aa) 

30 

Insert: 

31 

Student start-up loans  Schedule 6 

   

 

 

No.      , 2013 

Social Services and Other Legislation Amendment Bill 2013 

97 

 

 

(ab)  then against any compulsory SSL repayment amount of the 

entity; and 

 

(ac)  then against any compulsory ABSTUDY SSL repayment 

amount of the entity; and 

86  Section 6-1 in Schedule 1 

After "(HELP)", insert ", liability to repay debts in relation to Student 

Start-up Loans and ABSTUDY Student Start-up Loans". 

87  After paragraph 11-1(ca) in Schedule 1 

Insert: 

 

(cb)  amounts of liabilities to the Commonwealth under 

10 

Chapter 2AA of the Social Security Act 1991; and 

11 

 

(cc)  amounts of liabilities to the Commonwealth under Part 2 of 

12 

the Student Assistance Act 1973; and 

13 

88  After paragraph 15-30(ca) in Schedule 1 

14 

Insert: 

15 

 

(cb)  the percentages specified in section 1061ZVGE (about 

16 

repayments of accumulated SSL debt) of the Social Security 

17 

Act 1991 for any financial year starting on or after 1 July 

18 

2014; 

19 

 

(cc)  the percentages specified in section 9K (about repayments of 

20 

accumulated ABSTUDY SSL debt) of the Student Assistance 

21 

Act 1973 for any financial year starting on or after 1 July 

22 

2014; 

23 

89  After paragraph 45-5(1)(ca) in Schedule 1 

24 

Insert: 

25 

 

(cb)  amounts of liabilities to the Commonwealth under 

26 

Chapter 2AA of the Social Security Act 1991; and 

27 

 

(cc)  amounts of liabilities to the Commonwealth under Part 2 of 

28 

the Student Assistance Act 1973; and 

29 

90  Section 45-340 in Schedule 1 (method statement, after 

30 

step 3) 

31 

Insert: 

32 

Schedule 6  Student start-up loans 

   

 

 

98 

Social Services and Other Legislation Amendment Bill 2013 

No.      , 2013 

 

Step 3AA.  The amount (if any) that you would have been liable to 

pay for the 

*

base year in respect of an 

*

accumulated SSL 

debt if your taxable income for the base year had been 

your 

*

adjusted taxable income, or your 

*

adjusted 

withholding income, for that year is worked out. 

Step 3AB.  The amount (if any) that you would have been liable to 

pay for the 

*

base year in respect of an 

*

accumulated 

ABSTUDY SSL debt if your taxable income for the base 

year had been your 

*

adjusted taxable income, or your 

*

adjusted withholding income, for that year is worked 

10 

out. 

11 

91  Section 45-340 in Schedule 1 (method statement, step 4) 

12 

After "3", insert ", 3AA, 3AB". 

13 

92  Section 45-375 in Schedule 1 (method statement, after 

14 

step 3) 

15 

Insert: 

16 

Step 3AA.  The amount (if any) that you would have been liable to 

17 

pay for the variation year in respect of an 

*

accumulated 

18 

SSL debt if your taxable income for that year had been 

19 

your 

*

adjusted assessed taxable income for that year is 

20 

worked out. 

21 

Step 3AB.  The amount (if any) that you would have been liable to 

22 

pay for the variation year in respect of an 

*

accumulated 

23 

ABSTUDY SSL debt if your taxable income for that year 

24 

had been your 

*

adjusted assessed taxable income for that 

25 

year is worked out. 

26 

93  Section 45-375 in Schedule 1 (method statement, step 4) 

27 

After "3", insert ", 3AA, 3AB". 

28 

94  Subsection 250-10(2) in Schedule 1 (after table item 36A) 

29 

Insert: 

30 

Student start-up loans  Schedule 6 

   

 

 

No.      , 2013 

Social Services and Other Legislation Amendment Bill 2013 

99 

 

36B 

compulsory SSL 

repayment amount 

under the Social 

Security Act 1991 

5-5 

Income Tax Assessment Act 1997 

36C 

compulsory 

ABSTUDY SSL 

repayment amount 

under the Student 

Assistance Act 1973 

5-5 

Income Tax Assessment Act 1997 

95  Subsection 355-65(2) in Schedule 1 (cell at table item 1, 

column headed "The record is made for or the 

disclosure is to...")

 

At the end of the cell, add "or to the Student Assistance Act 1973 so far 

as it relates to ABSTUDY student start-up loans (within the meaning of 

that Act) and debts relating to such loans". 

Taxation (Interest on Overpayments and Early Payments) 

Act 1983 

96  Subsection 3(1) 

Insert: 

10 

compulsory ABSTUDY SSL repayment amount has the same 

11 

meaning as in the Student Assistance Act 1973

12 

97  Subsection 3(1) 

13 

Insert: 

14 

compulsory SSL repayment amount has the same meaning as in 

15 

Chapter 2AA of the Social Security Act 1991

16 

98  Subsection 3C(1) (after table item 45) 

17 

Insert: 

18 

46 

Amounts that are treated under Part 2AA.4 of the Social Security Act 1991 as 

if they were income tax 

47 

Amounts that are treated under Division 5 of Part 2 of the Student Assistance 

Act 1973 as if they were income tax 

Schedule 6  Student start-up loans 

   

 

 

100 

Social Services and Other Legislation Amendment Bill 2013 

No.      , 2013 

 

99  After subparagraph 8A(1)(a)(iia) 

Insert: 

 

(iib)  compulsory SSL repayment amount; or 

 

(iic)  compulsory ABSTUDY SSL repayment amount; or 

100  After paragraph 8A(2)(ba) 

Insert: 

 

(bb)  compulsory SSL repayment amount; or 

 

(bc)  compulsory ABSTUDY SSL repayment amount; or 

101  After subparagraph 8E(1)(d)(iii) 

Insert: 

10 

 

(iiia)  a compulsory SSL repayment amount that is notified in 

11 

the notice of assessment; 

12 

 

(iiib)  a compulsory ABSTUDY SSL repayment amount that 

13 

is notified in the notice of assessment; 

14 

102  After subparagraph 8E(2)(d)(iii) 

15 

Insert: 

16 

 

(iiia)  a compulsory SSL repayment amount, worked out by 

17 

reference to the person's taxable income of the year of 

18 

income, payable by the person immediately before the 

19 

post-notice crediting; 

20 

 

(iiib)  a compulsory ABSTUDY SSL repayment amount, 

21 

worked out by reference to the person's taxable income 

22 

of the year of income, payable by the person 

23 

immediately before the post-notice crediting; 

24 

103  Subparagraph 12A(1)(a)(iv) 

25 

Repeal the subparagraph, substitute: 

26 

 

(iv)  refunds the whole or part of a payment made by a 

27 

person on account of something listed in 

28 

subsection (1A); and 

29 

104  After subsection 12A(1) 

30 

Insert: 

31 

 

(1A)  For the purposes of subparagraph (1)(a)(iv), the following are 

32 

listed: 

33 

Student start-up loans  Schedule 6 

   

 

 

No.      , 2013 

Social Services and Other Legislation Amendment Bill 2013 

101 

 

 

(a)  income tax; 

 

(b)  compulsory repayment amount; 

 

(c)  compulsory SSL repayment amount; 

 

(d)  compulsory ABSTUDY SSL repayment amount; 

 

(e)  FS assessment debt; 

 

(f)  interest under section 102AAM of the Tax Act. 

105  Subsection 12A(2) 

Repeal the subsection, substitute: 

 

(2)  A reference in subparagraph (1)(a)(iv) to a person making a 

payment on account of something listed in subsection (1A) does 

10 

not include a reference to the making of a deduction or payment 

11 

under Division 5 of the Tax Act. 

12 

Schedule 7  Paid parental leave 

Part 1  Amendments 

 

 

102 

Social Services and Other Legislation Amendment Bill 2013 

No.      , 2013 

 

Schedule 7

--

Paid parental leave 

Part 1

--

Amendments 

Paid Parental Leave Act 2010 

1  Section 4 (paragraph relating to Part 3-3) 

Omit "(e.g. the person is a contractor and so does not have an 

employer)", substitute "(e.g. the person's employer does not make an 

election to pay instalments to the person)". 

2  Section 4 (paragraph relating to Part 3-3) 

Omit "is being reviewed or". 

3  Section 4 (paragraph relating to Part 3-5) 

10 

Repeal the paragraph, substitute: 

11 

Part 3-5 is about employer determinations. An employer is only 

12 

required to pay instalments to a person if an employer 

13 

determination is in force for the employer and the person. An 

14 

employer determination cannot be made unless certain conditions 

15 

are met (e.g. the employer has made an election to pay instalments 

16 

to the person). 

17 

4  Section 6 (definition of acceptance notice

18 

Omit "section 103", substitute "paragraph 103(1)(a)". 

19 

5  Section 6 (definition of bank account information

20 

Omit "subsection 104(2)", substitute "paragraph 109(2)(b)". 

21 

6  Section 6 (definition of employer determination decision

22 

Repeal the definition. 

23 

7  Section 6 

24 

Insert: 

25 

non-acceptance notice: see paragraph 103(1)(b). 

26 

Paid parental leave  Schedule 7 

Amendments  Part 1 

 

 

No.      , 2013 

Social Services and Other Legislation Amendment Bill 2013 

103 

 

8  Section 6 (definition of transfer day

Omit "84(3), (4) and (5)", substitute "84(4) and (5)". 

9  Subsection 64(1) (note) 

Omit "Sections 93 and 94 affect", substitute "Section 94 affects". 

10  Section 83 (third paragraph) 

Omit "is being reviewed or". 

11  Subsection 84(3) 

Repeal the subsection. 

12  Section 85 (heading) 

Repeal the heading, substitute: 

10 

85  Payment of arrears--employer determination revoked before 

11 

coming into force 

12 

13  Subsection 85(1) 

13 

Repeal the subsection, substitute: 

14 

 

(1)  This section applies if: 

15 

 

(a)  the Secretary is required to pay an instalment to a person 

16 

under subsection 84(4) (which deals with payment of 

17 

instalments where an employer determination is revoked); 

18 

and 

19 

 

(b)  the employer determination made for the person and the 

20 

person's employer has never come into force. 

21 

14  Subsection 85(3) 

22 

Omit "or (b)". 

23 

15  Section 93 

24 

Repeal the section. 

25 

16  Section 100 

26 

Repeal the section, substitute: 

27 

Schedule 7  Paid parental leave 

Part 1  Amendments 

 

 

104 

Social Services and Other Legislation Amendment Bill 2013 

No.      , 2013 

 

This Part is about employer determinations. An employer is only 

required to pay instalments to a person if an employer 

determination has been made and is in force for the employer and 

the person. 

An employer determination cannot be made unless certain 

conditions are met. One of those conditions is that the employer 

has made an election to pay instalments and that election applies to 

the person. 

Even though an employer determination is made, the obligations 

on the employer to pay instalments to the person only arise when 

10 

the employer determination is in force. An employer determination 

11 

comes into force when the employer gives the Secretary an 

12 

acceptance notice. Once the determination comes into force, it 

13 

stays in force unless the Secretary revokes it. 

14 

17  Paragraphs 101(1)(b) and (c) 

15 

Repeal the paragraphs, substitute: 

16 

 

(b)  the employer has made an election under section 109 to pay 

17 

instalments and that election applies to the person; and 

18 

 

(c)  the person has consented in the claim to the employer paying 

19 

instalments to the person; and 

20 

18  Paragraph 101(1)(e) 

21 

Repeal the paragraph. 

22 

19  Paragraph 101(1)(f) 

23 

Omit "(c) to (e) are satisfied in relation to more than one employer of 

24 

the person (other than because of subsection (2))", substitute "(b) to (d) 

25 

are satisfied in relation to more than one employer of the person". 

26 

20  Subsection 101(2) 

27 

Repeal the subsection. 

28 

21  Section 103 

29 

Repeal the section, substitute: 

30 

Paid parental leave  Schedule 7 

Amendments  Part 1 

 

 

No.      , 2013 

Social Services and Other Legislation Amendment Bill 2013 

105 

 

103  Employer response to notice of employer determination 

 

(1)  If an employer is given a notice under section 102 that an employer 

determination has been made, the employer may, within the period 

referred to in subsection (2): 

 

(a)  give the Secretary a written notice (the acceptance notice

that complies with section 104; or 

 

(b)  give the Secretary notice (the non-acceptance notice), orally 

or in writing, declaring that the employer does not accept the 

employer's obligations to pay instalments to the person. 

 

(2)  For the purposes of subsection (1), the period is 14 days, or such 

10 

longer period allowed by the Secretary, after the date of the notice 

11 

given under section 102. 

12 

22  Subsections 104(2) and (5) 

13 

Repeal the subsections. 

14 

23  Section 105 

15 

Repeal the section. 

16 

24  Subsection 107(1) 

17 

Omit "or (3)". 

18 

25  Subsection 107(2) (heading) 

19 

Repeal the heading. 

20 

26  Subsection 107(2) 

21 

Omit "or a compliance notice given under section 157". 

22 

27  Subsection 107(3) 

23 

Repeal the subsection. 

24 

28  Subsection 108(1) (after table item 1) 

25 

Insert: 

26 

1A 

The employer has given a 

non-acceptance notice for the person 

under paragraph 103(1)(b). 

The day of the revocation. 

Schedule 7  Paid parental leave 

Part 1  Amendments 

 

 

106 

Social Services and Other Legislation Amendment Bill 2013 

No.      , 2013 

 

29  Subsection 108(1) (table item 2, column 1) 

Omit "for the person as required by a compliance notice given for a 

contravention of", substitute "or a non-acceptance notice for the person 

in the period referred to in". 

30  Subsection 108(6) 

Repeal the subsection. 

31  Subsection 109(1) 

After "An employer", insert "who has an ABN". 

32  Paragraph 109(2)(b) 

Repeal the paragraph, substitute: 

10 

 

(b)  contain the following information (bank account 

11 

information) about an account held and maintained by the 

12 

employer with a financial institution into which PPL funding 

13 

amounts can be paid: 

14 

 

(i)  the account number; 

15 

 

(ii)  the BSB number of the account; 

16 

 

(iii)  the name in which the account is held; 

17 

 

(iv)  the name of the financial institution. 

18 

33  Section 146 (table items 10 and 11) 

19 

Repeal the items. 

20 

34  Subsection 157(1) 

21 

Repeal the subsection, substitute: 

22 

Compliance notice given by Secretary 

23 

 

(1)  This section applies if the Secretary reasonably believes that a 

24 

person has contravened subsection 82(2) (which deals with 

25 

notifying the Secretary if certain events happen). 

26 

35  Subsection 159(1) 

27 

Omit "one or more", substitute "either or both". 

28 

36  Paragraphs 159(1)(b) and (c) 

29 

Repeal the paragraphs. 

30 

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37  Section 202 (last paragraph) 

Repeal the paragraph, substitute: 

The third kind of review is where an employer applies for internal 

review of decisions that affect the employer in relation to PPL 

funding amounts (those decisions are "employer funding amount 

decisions"). 

38  Subsection 203(2) (note 1) 

Repeal the note. 

39  Subsection 203(2) (note 2) 

Omit "Note 2", substitute "Note". 

10 

40  Subsection 205(1) 

11 

Omit ", 207". 

12 

41  Section 207 

13 

Repeal the section. 

14 

42  Subsection 209(2) 

15 

Omit ", other than an application under section 207 (which deals with 

16 

application for review of employer determination decisions),". 

17 

43  Paragraphs 210(2)(a) and (b) 

18 

Omit "an employer determination decision or". 

19 

44  Paragraph 212(1)(c) 

20 

Repeal the paragraph. 

21 

45  Subsection 212(5) 

22 

Omit "or (1)(c)". 

23 

46  Paragraphs 223(1)(a), (b), (c) and (d) 

24 

Omit "an employer determination decision or". 

25 

Schedule 7  Paid parental leave 

Part 1  Amendments 

 

 

108 

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No.      , 2013 

 

47  Subsection 224(1) 

Repeal the subsection. 

48  Subsection 224(2) 

Omit "if the decision is an employer funding amount decision". 

49  Subsection 224(3) 

Omit "(1) or". 

50  Paragraph 225(2)(b) 

Repeal the paragraph. 

51  Subsection 278(1) 

Omit "(1)". 

10 

52  Subsection 278(2) 

11 

Repeal the subsection. 

12 

53  Subsection 299(1) 

13 

Repeal the subsection, substitute: 

14 

 

(1)  The PPL rules or the regulations may provide that a person may 

15 

make an election under section 109 to pay instalments to another 

16 

person if both persons are in a relationship that is similar to the 

17 

relationship between an employer and an employee. 

18 

Paid parental leave  Schedule 7 

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No.      , 2013 

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109 

 

Part 2

--

Application and transitional provisions 

54  Application of amendments 

The amendments made by Part 1 of this Schedule apply in relation to an 

employer determination that is made on or after the commencement of 

this Schedule in relation to a claim for parental leave pay that is made 

before, on or after that commencement. 

55  Transitional provision

--

elections made before 

commencement 

An election under section 109 of the Paid Parental Leave Act 2010 that 

is in force immediately before the commencement of this Schedule 

10 

ceases to be in force at that commencement. 

11 

56  Transitional provision

--

revoking employer determinations 

12 

made before commencement 

13 

(1) 

This item applies if: 

14 

 

(a)  an employer determination was made before the 

15 

commencement of this Schedule for a person and the 

16 

person's employer; and 

17 

 

(b)  the determination had not been revoked before that 

18 

commencement; and 

19 

 

(c)  the person's PPL period had not started before that 

20 

commencement. 

21 

(2) 

The Secretary must revoke the determination. 

22 

(3) 

The Paid Parental Leave Act 2010 applies as if a revocation under 

23 

subitem (2) of this item were made under subsection 108(1) of that Act. 

24 

Schedule 8  Pension bonus scheme 

   

 

 

110 

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No.      , 2013 

 

Schedule 8

--

Pension bonus scheme 

   

Social Security Act 1991 

1  Section 92A 

Omit: 

•  

A person who wants to get a pension bonus must register as a 

member of the pension bonus scheme

substitute: 

•  

A person who wants to get a pension bonus must register as a 

member of the pension bonus scheme. An application for 

10 

registration cannot be made on or after 1 March 2014. 

11 

2  Section 92D 

12 

Before "A", insert "(1)". 

13 

3  At the end of section 92D 

14 

Add: 

15 

 

(2)  However, a person cannot make an application on or after 1 March 

16 

2014. 

17 

4  Subsections 92H(1) and (2) (notes) 

18 

Repeal the notes. 

19 

5  Subsections 92H(3) to (7) 

20 

Repeal the subsections. 

21 

6  Saving provision 

22 

Despite the amendments made by this Schedule, if: 

23 

 

(a)  before the commencement of this item, an application under 

24 

section 92D of the Social Security Act 1991 was lodged; and 

25 

 

(b)  the application was lodged during an extended period 

26 

referred to in subsection 92H(3) of that Act; 

27 

Pension bonus scheme  Schedule 8 

   

 

 

No.      , 2013 

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then that subsection, as in force immediately before the commencement 

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

relation to that application. 

Veterans' Entitlements Act 1986 

7  Section 45T 

Omit: 

•  

A person who wants to get a pension bonus must register as a 

member of the pension bonus scheme

substitute: 

•  

A person who wants to get a pension bonus must register as a 

10 

member of the pension bonus scheme. An application for 

11 

registration cannot be made on or after 1 March 2014. 

12 

8  Section 45TD 

13 

Before "A", insert "(1)". 

14 

9  At the end of section 45TD 

15 

Add: 

16 

 

(2)  However, a person cannot make an application on or after 1 March 

17 

2014. 

18 

10  Subsections 45TH(1) and (2) (notes) 

19 

Repeal the notes. 

20 

11  Subsections 45TH(3) to (7) 

21 

Repeal the subsections. 

22 

12  Saving provision 

23 

Despite the amendments made by this Schedule, if: 

24 

 

(a)  before the commencement of this item, an application under 

25 

section 45TD of the Veterans' Entitlements Act 1986 was 

26 

lodged; and 

27 

Schedule 8  Pension bonus scheme