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This is a Bill, not an Act. For current law, see the Acts databases.
2019-2020
The Parliament of the
Commonwealth of Australia
HOUSE OF REPRESENTATIVES
Presented and read a first time
Social Services and Other Legislation
Amendment (Simplifying Income
Reporting and Other Measures) Bill 2020
No. , 2020
(Social Services)
A Bill for an Act to amend the law relating to social
security, family assistance, student assistance and
veterans' entitlements, and for related purposes
No. , 2020
Social Services and Other Legislation Amendment (Simplifying Income
Reporting and Other Measures) Bill 2020
i
Contents
1
Short title ........................................................................................... 1
2
Commencement ................................................................................. 1
3
Schedules ........................................................................................... 2
Schedule 1--Amendments
3
Part 1--Simplifying income reporting
3
Social Security Act 1991
3
Social Security (Administration) Act 1999
15
Veterans' Entitlements Act 1986
18
Part 2--Exchange of information relating to taxation
information
21
A New Tax System (Family Assistance) (Administration) Act 1999
21
Social Security (Administration) Act 1999
23
Student Assistance Act 1973
26
Part 3--Other amendments
29
Social Security Act 1991
29
No. , 2020
Social Services and Other Legislation Amendment (Simplifying Income
Reporting and Other Measures) Bill 2020
1
A Bill for an Act to amend the law relating to social
1
security, family assistance, student assistance and
2
veterans' entitlements, and for related purposes
3
The Parliament of Australia enacts:
4
1 Short title
5
This Act is the
Social Services and Other Legislation Amendment
6
(Simplifying Income Reporting and Other Measures) Act 2020
.
7
2 Commencement
8
(1) Each provision of this Act specified in column 1 of the table
9
commences, or is taken to have commenced, in accordance with
10
2
Social Services and Other Legislation Amendment (Simplifying Income
Reporting and Other Measures) Bill 2020
No. , 2020
column 2 of the table. Any other statement in column 2 has effect
1
according to its terms.
2
3
Commencement information
Column 1
Column 2
Column 3
Provisions
Commencement
Date/Details
1. The whole of
this Act
As follows:
(a) if this Act receives the Royal Assent
before 15 May 2020--1 July 2020;
(b) if this Act receives the Royal Assent on
or after 15 May 2020--the first day of
the first calendar month that occurs after
the end of the period of 2 months
beginning on the day this Act receives
the Royal Assent.
Note:
This table relates only to the provisions of this Act as originally
4
enacted. It will not be amended to deal with any later amendments of
5
this Act.
6
(2) Any information in column 3 of the table is not part of this Act.
7
Information may be inserted in this column, or information in it
8
may be edited, in any published version of this Act.
9
3 Schedules
10
Legislation that is specified in a Schedule to this Act is amended or
11
repealed as set out in the applicable items in the Schedule
12
concerned, and any other item in a Schedule to this Act has effect
13
according to its terms.
14
Amendments
Schedule 1
Simplifying income reporting
Part 1
No. , 2020
Social Services and Other Legislation Amendment (Simplifying Income
Reporting and Other Measures) Bill 2020
3
Schedule 1--Amendments
1
Part 1--Simplifying income reporting
2
Social Security Act 1991
3
1 Paragraph 8(1A)(a)
4
Omit "earned, derived or received, or that is taken to have been earned,
5
derived or received, by the person from remunerative work undertaken
6
by", substitute "for remunerative work of".
7
2 Subparagraph 8(1A)(b)(i)
8
Omit "that are so earned, derived or received or taken to have been so
9
earned, derived or received".
10
3 Paragraph 8(1B)(a)
11
Repeal the paragraph, substitute:
12
(a) a person is treated, for the purposes of working out the
13
person's ordinary income, as having ordinary income of the
14
person's partner; and
15
4 Paragraph 23(4A)(d)
16
Omit "earns, derives or receives, or is taken to earn, derive or receive,
17
employment income", substitute "has employment income".
18
5 After subsection 93H(2)
19
Insert:
20
(2A) The annual pension rate is to be worked out under subsection (2)
21
by disregarding the amendments made by Part 1 of Schedule 1 to
22
the
Social Services and Other Legislation Amendment (Simplifying
23
Income Reporting and Other Measures) Act 2020
.
24
6 Paragraph 1061Q(3C)(b)
25
Omit "earns, derives or receives, or is taken to earn, derive or receive,
26
employment income", substitute "has employment income".
27
Schedule 1
Amendments
Part 1
Simplifying income reporting
4
Social Services and Other Legislation Amendment (Simplifying Income
Reporting and Other Measures) Bill 2020
No. , 2020
7 Paragraph 1061Q(3F)(b)
1
Omit "earns, derives or receives, or is taken to earn, derive or receive,
2
employment income", substitute "has employment income".
3
8 Paragraph 1061Q(3G)(b)
4
Omit "earns, derives or receives, or is taken to earn, derive or receive,
5
employment income", substitute "has employment income".
6
9 Paragraph 1061ZEA(2)(e)
7
Omit "earns, derives or receives, or is taken to earn, derive or receive,
8
employment income", substitute "has employment income".
9
10 Paragraph 1061ZMA(2)(e)
10
Omit "earns, derives or receives, or is taken to earn, derive or receive,
11
employment income", substitute "has employment income".
12
11 Point 1067G-H23
13
After "ordinary income", insert "(except employment income)".
14
12 At the end of point 1067G-H23
15
Add:
16
Note:
See Division 1AA of Part 3.10 for the treatment of employment
17
income.
18
13 After paragraph 1067G-H23A(c)
19
Insert:
20
and (d) is not employment income;
21
14 After subparagraph 1067G-H23B(b)(iii)
22
Insert:
23
and (iv) is not employment income;
24
15 Paragraph 1067G-H24(a)
25
Omit "ordinary income payments", substitute "payments of ordinary
26
income (except employment income)".
27
Amendments
Schedule 1
Simplifying income reporting
Part 1
No. , 2020
Social Services and Other Legislation Amendment (Simplifying Income
Reporting and Other Measures) Bill 2020
5
16 Point 1067L-D19
1
After "ordinary income", insert "(except employment income)".
2
17 At the end of point 1067L-D19
3
Add:
4
Note:
See Division 1AA of Part 3.10 for the treatment of employment
5
income.
6
18 After paragraph 1067L-D20(c)
7
Insert:
8
and (d) is not employment income;
9
19 After subparagraph 1067L-D21(b)(iii)
10
Insert:
11
and (iv) is not employment income;
12
20 Paragraph 1067L-D23(a)
13
Omit "ordinary income payments", substitute "payments of ordinary
14
income (except employment income)".
15
21 Point 1068-G7A
16
After "ordinary income", insert "(except employment income)".
17
22 At the end of point 1068-G7A
18
Add:
19
Note:
See Division 1AA of Part 3.10 for the treatment of employment
20
income.
21
23 After paragraph 1068-G7B(c)
22
Insert:
23
and (d) is not employment income;
24
24 After subparagraph 1068-G7C(b)(iii)
25
Insert:
26
and (iv) is not employment income;
27
Schedule 1
Amendments
Part 1
Simplifying income reporting
6
Social Services and Other Legislation Amendment (Simplifying Income
Reporting and Other Measures) Bill 2020
No. , 2020
25 Paragraph 1068-G8(a)
1
Omit "ordinary income payments", substitute "payments of ordinary
2
income (except employment income)".
3
26 Point 1068-G8 (example)
4
Repeal the example.
5
27 Point 1068B-D19
6
After "ordinary income", insert "(except employment income)".
7
28 Point 1068B-D19 (note)
8
Omit "Note", substitute "Note 1".
9
29 At the end of point 1068B-D19 (after the note)
10
Add:
11
Note 2:
See Division 1AA of Part 3.10 for the treatment of employment
12
income.
13
30 Point 1068B-D20
14
After "ordinary income", insert "(except employment income)".
15
31 Subsection 1073AA(2) (examples 1 and 2)
16
Omit "earns", substitute "has".
17
32 Subsection 1073AA(4) (example)
18
Omit "earns", substitute "has".
19
33 Subsection 1073AA(4A) (example)
20
Omit "earns", substitute "has".
21
34 Paragraph 1073AA(4BA)(a)
22
After "employment income", insert "taken, in accordance with
23
Division 1AA, to have been received".
24
35 Subsection 1073AA(5)
25
Repeal the subsection (not including the heading).
26
Amendments
Schedule 1
Simplifying income reporting
Part 1
No. , 2020
Social Services and Other Legislation Amendment (Simplifying Income
Reporting and Other Measures) Bill 2020
7
36 Subsection 1073AB(2) (example)
1
Omit "earns", substitute "has".
2
37 Sections 1073A and 1073B
3
Repeal the sections, substitute:
4
1073A Attribution of employment income paid in respect of a
5
particular period or periods
6
(1) This section applies if:
7
(a) a person is receiving a social security pension or a social
8
security benefit; and
9
(b) the person's rate of payment of the pension or benefit is
10
worked out with regard to the income test module of a rate
11
calculator in this Chapter; and
12
(c) one or more amounts of employment income, each of which
13
is in respect of a particular period or periods (each period is
14
an
employment period
), are paid in an instalment period of
15
the person to or for the benefit of the person by the same
16
employer.
17
Note 1:
If the person has multiple employers, this section applies separately in
18
relation to each employer.
19
Note 2:
If a person is receiving a social security pension and is paid
20
employment income monthly, section 1073B may apply to that
21
income instead of this section.
22
Note 3:
Section 1073BA deals with the payment of employment income that is
23
not in respect of a particular period.
24
(2) The person is taken to have received the employment income over
25
a period (the
assessment period
) that consists of the number of
26
days that is equal to the sum of the number of days in each
27
employment period, where the assessment period begins on the
28
first day of the instalment period in which the amounts of
29
employment income are paid.
30
Example: On 3 June a person is paid $756 employment income for work the
31
person performed in the period beginning on 9 May and ending at the
32
end of 29 May. The number of days in the employment period is 21.
33
Assume the instalment period begins on 1 June. The person is taken to
34
have received the $756 over the period beginning on 1 June and
35
ending at the end of 21 June (a period of 21 days).
36
Schedule 1
Amendments
Part 1
Simplifying income reporting
8
Social Services and Other Legislation Amendment (Simplifying Income
Reporting and Other Measures) Bill 2020
No. , 2020
(3) Subject to subsection (4), for each day in the assessment period,
1
the person is taken to have received an amount of employment
2
income worked out by dividing the total amount of the
3
employment income covered by paragraph (1)(c) by the number of
4
days in the assessment period.
5
Example: To continue the example in subsection (2), the person is taken to have
6
received $36 ($756/21) on each of the days in the period beginning on
7
1 June and ending at the end of 21 June.
8
(4) If the person is taken, under subsection (3), to have received
9
employment income (the
attributed employment income
) during a
10
part, but not the whole, of a particular instalment period, the person
11
is taken to receive on each day in that instalment period an amount
12
of employment income worked out by dividing the total amount of
13
the attributed employment income by the number of days in the
14
instalment period.
15
Example: To continue the example in subsection (2), for the instalment period
16
beginning on 15 June and ending at the end of 28 June the person is
17
taken, under subsection (3), to have received employment income
18
during a part of that instalment period (15 June to 21 June). The
19
person is taken to have received $252 ($36 x 7).
20
Under subsection (4), the person is taken to receive on each day in that
21
instalment period an amount of employment income of $18 ($252/14).
22
Interpretation
23
(5) This section applies in relation to an amount of employment
24
income paid on a day in an instalment period, whether or not the
25
amount is received on that day.
26
(6) In applying subsection (2) in relation to one or more amounts of
27
employment income paid by a particular employer in an instalment
28
period, in working out the sum of the number of days in each
29
employment period, if a day in an employment period overlaps
30
with a day in another employment period, that day must only be
31
counted once.
32
1073B Attribution of employment income paid monthly
33
(1) This section applies if:
34
(a) a person is receiving a social security pension; and
35
Amendments
Schedule 1
Simplifying income reporting
Part 1
No. , 2020
Social Services and Other Legislation Amendment (Simplifying Income
Reporting and Other Measures) Bill 2020
9
(b) the person's rate of payment of the pension is worked out
1
with regard to the income test module of a rate calculator in
2
this Chapter; and
3
(c) an amount (the
initial amount
) of employment income, in
4
respect of a period of 1 month, is paid on a day in a calendar
5
month (the
initial calendar month
) to or for the benefit of the
6
person by the person's employer; and
7
(d) the Secretary is satisfied that, for the reasonably foreseeable
8
future, an amount of employment income, in respect of a
9
period of 1 month, equal to the initial amount will be paid to
10
or for the benefit of the person by that employer on the
11
following:
12
(i) the corresponding day in each calendar month (a
later
13
calendar month
) after the initial calendar month;
14
(ii) if there is no such day in a later calendar month
15
month--the last day of the later calendar month.
16
Note:
If the person has multiple employers, this section applies separately in
17
relation to each employer.
18
(2) Subject to this section, for the day on which the initial amount is
19
paid and for each day after that day, the person is taken to have
20
received an amount of employment income worked out as follows:
21
Initial amount
12
364
ï‚´
22
(3) If, after the day on which the initial amount is paid, the Secretary
23
ceases to be satisfied as mentioned in paragraph (1)(d) in relation
24
to the person and the person's employer, then subsection (2) ceases
25
to apply in relation to the person and the person's employer at the
26
end of the period of 1 month beginning on the last payment day.
27
(4) For the purposes of this section, a
payment day
is:
28
(a) the day in the calendar month on which the initial amount is
29
paid by the person's employer; or
30
(b) the following on which an amount of employment income
31
equal to the initial amount is paid to or for the benefit of the
32
person by that employer:
33
(i) a corresponding day in a later calendar month;
34
Schedule 1
Amendments
Part 1
Simplifying income reporting
10
Social Services and Other Legislation Amendment (Simplifying Income
Reporting and Other Measures) Bill 2020
No. , 2020
(ii) if there is no such day in a later calendar month--the
1
last day of the later calendar month.
2
(5) If the person is taken, under this section, to have received
3
employment income (the
attributed employment income
) during a
4
part, but not the whole, of a particular instalment period, the person
5
is taken to receive on each day in that instalment period an amount
6
of employment income worked out by dividing the total amount of
7
the attributed employment income by the number of days in the
8
instalment period.
9
(6) Section 1073A does not apply to an amount of employment income
10
covered by paragraph (4)(a) or (b).
11
Interpretation
12
(7) This section applies in relation to an amount of employment
13
income paid on a day in a calendar month, whether or not the
14
amount is received on that day.
15
(8) Subsection (3) does not prevent a later application of this section in
16
relation to the person, whether in connection with the same
17
employer or another employer.
18
1073BA Attribution of employment income paid not in respect of a
19
particular period
20
(1) This section applies if:
21
(a) a person is receiving a social security pension or a social
22
security benefit; and
23
(b) the person's rate of payment of the pension or benefit is
24
worked out with regard to the income test module of a rate
25
calculator in this Chapter; and
26
(c) an amount of employment income is paid on a day to or for
27
the benefit of the person; and
28
(d) the employment income is not in respect of a particular
29
period.
30
(2) The person is taken to have received that employment income over
31
such period, not exceeding 52 weeks, as the Secretary determines.
32
Amendments
Schedule 1
Simplifying income reporting
Part 1
No. , 2020
Social Services and Other Legislation Amendment (Simplifying Income
Reporting and Other Measures) Bill 2020
11
(3) The period determined by the Secretary must begin on the first day
1
of the instalment period in which the amount of employment
2
income is paid.
3
(4) Subject to subsection (5), for each day in the period determined by
4
the Secretary, the person is taken to have received an amount of
5
employment income worked out by dividing the amount of
6
employment income covered by paragraph (1)(c) by the number of
7
days in that period.
8
(5) If the person is taken, under subsection (4), to have received
9
employment income (the
attributed employment income
) during a
10
part, but not the whole, of a particular instalment period, the person
11
is taken to receive on each day in that instalment period an amount
12
of employment income worked out by dividing the total amount of
13
the attributed employment income by the number of days in the
14
instalment period.
15
Interpretation
16
(6) This section applies in relation to an amount of employment
17
income paid on a day, whether or not the amount is received on
18
that day.
19
1073BB Anti-avoidance
20
(1) This section applies if:
21
(a) a person (the
relevant person
) is receiving a social security
22
pension or a social security benefit; and
23
(b) the relevant person earns or derives employment income
24
during the whole or a part of an instalment period of the
25
person; and
26
(c) one or more entities (who may be, or may include, the
27
relevant person) enter into, commence to carry out, or carry
28
out, a scheme to defer the payment of that employment
29
income; and
30
(d) it would be concluded that the entity, or any of the entities,
31
who entered into, commenced to carry out, or carried out, the
32
scheme did so for the sole or dominant purpose of obtaining a
33
social security advantage for a person (who may be the
34
relevant person or may be the entity or one of the entities).
35
Schedule 1
Amendments
Part 1
Simplifying income reporting
12
Social Services and Other Legislation Amendment (Simplifying Income
Reporting and Other Measures) Bill 2020
No. , 2020
(2) The Secretary may determine that the relevant person is taken to
1
have received an amount of employment income, equal to the
2
amount of employment income referred to in paragraph (1)(b),
3
over the period determined by the Secretary.
4
(3) The period determined by the Secretary must begin on the first day
5
of the instalment period referred to in paragraph (1)(b).
6
(4) Subject to subsection (5), for each day in the period determined by
7
the Secretary, the relevant person is taken to have received an
8
amount of employment income worked out by dividing the total
9
amount of the employment income referred to in paragraph (1)(b)
10
by the number of days in that period.
11
(5) If the relevant person is taken, under subsection (4), to have
12
received employment income (the
attributed employment income
)
13
during a part, but not the whole, of a particular instalment period,
14
the relevant person is taken to receive on each day in that
15
instalment period an amount of employment income worked out by
16
dividing the total amount of the attributed employment income by
17
the number of days in the instalment period.
18
(6) Sections 1073A, 1073B and 1073BA do not apply in relation to the
19
payment of the employment income referred to in paragraph (1)(b).
20
(7) A determination under subsection (2) has effect accordingly.
21
Obtaining a social security advantage
22
(8) For the purposes of this section, an entity has a purpose of
23
obtaining a social security advantage for a person (who may be the
24
entity) if the entity has a purpose of:
25
(a) enabling the person to obtain any of the following:
26
(i) a social security pension;
27
(ii) a social security benefit;
28
(iii) a service pension;
29
(iv) income support supplement;
30
(v) a veteran payment;
31
(vi) a payment under the ABSTUDY Scheme; or
32
(b) enabling the person to obtain any of the following at a higher
33
rate than would otherwise have been payable:
34
Amendments
Schedule 1
Simplifying income reporting
Part 1
No. , 2020
Social Services and Other Legislation Amendment (Simplifying Income
Reporting and Other Measures) Bill 2020
13
(i) a social security pension;
1
(ii) a social security benefit;
2
(iii) a service pension;
3
(iv) income support supplement;
4
(v) a veteran payment;
5
(vi) a payment under the ABSTUDY Scheme.
6
Definitions
7
(9) In this section:
8
entity
means any of the following:
9
(a) an individual;
10
(b) a company within the meaning of the
Income Tax Assessment
11
Act 1997
;
12
(c) a trust;
13
(d) a partnership within the meaning of the
Income Tax
14
Assessment Act 1997
;
15
(e) any other unincorporated association or body of persons;
16
(f) a corporation sole;
17
(g) a body politic.
18
scheme
means:
19
(a) any agreement, arrangement, understanding, promise or
20
undertaking, whether express or implied and whether or not
21
enforceable, or intended to be enforceable, by legal
22
proceedings; or
23
(b) any scheme, plan, proposal, action, course of action or course
24
of conduct, whether there are 2 or more parties or only one
25
party involved.
26
1073BC Exclusion of certain payments
27
Sections 1073A, 1073B, 1073BA and 1073BB do not apply in
28
relation to the following:
29
(a) a payment in respect of which a person is taken to have
30
received ordinary income for a period under point 1064-F4,
31
1066A-G4, 1067G-H11, 1067L-D5, 1068-G7AG, 1068A-E3
32
or 1068B-D9;
33
Schedule 1
Amendments
Part 1
Simplifying income reporting
14
Social Services and Other Legislation Amendment (Simplifying Income
Reporting and Other Measures) Bill 2020
No. , 2020
(b) a payment in respect of which a person is taken to receive an
1
amount under point 1064-F10, 1066A-G10, 1067G-H15,
2
1067L-D11 or 1068-G7AL;
3
(c) an amount that a person's ordinary income is taken to include
4
under point 1067G-H5 or 1068-G7AA.
5
1073BD Daily attribution of employment income for amounts not
6
elsewhere covered in this Division
7
If:
8
(a) a person is receiving a social security pension or a social
9
security benefit; and
10
(b) the person's rate of payment of the pension or benefit is
11
worked out with regard to the income test module of a rate
12
calculator in this Chapter; and
13
(c) the person is taken, under a provision of this Act (except
14
section 1073A, 1073B, 1073BA or 1073BB), to receive
15
employment income during the whole or a part of a particular
16
instalment period of the person;
17
the person is taken to receive, on each day in that instalment
18
period, an amount of employment income worked out by dividing
19
the total amount of the employment income referred to in
20
paragraph (c) by the number of days in the instalment period.
21
38 Section 1073C
22
Omit "section 1073B, a person is taken to earn, derive or receive",
23
substitute "section 1073A, 1073B, 1073BA, 1073BB or 1073BD, a
24
person is taken to receive".
25
39 Section 1073F (method statement, step 1)
26
Repeal the step, substitute:
27
Step 1. Work out the amount (including a nil amount) of the
28
participant's employment income taken, in accordance
29
with Division 1AA, to have been received on that day.
30
40 Section 1073H (method statement, step 1)
31
Repeal the step, substitute:
32
Amendments
Schedule 1
Simplifying income reporting
Part 1
No. , 2020
Social Services and Other Legislation Amendment (Simplifying Income
Reporting and Other Measures) Bill 2020
15
Step 1. Work out the amount (including a nil amount) of the
1
participant's employment income taken, in accordance
2
with Division 1AA, to have been received on that day.
3
41 Subparagraph 1073J(b)(i)
4
Omit "earn, derive or receive, or to be taken to earn, derive or receive,",
5
substitute "be taken, under a provision of this Act, to receive".
6
42 Subparagraph 1073J(b)(ii)
7
Omit "earned, derived or received, or taken to be earned, derived or
8
received,", substitute "taken, under a provision of this Act, to be
9
received".
10
Social Security (Administration) Act 1999
11
43 Paragraph 96(3)(a)
12
Omit "the income, or increased income, earned by the person from his
13
or her employment", substitute "employment income of the person".
14
44 Paragraph 96(3)(b)
15
Omit "income or increased income", substitute "employment income".
16
45 Paragraph 97(3)(a)
17
Omit "the income, or increased income, earned by the person from his
18
or her employment", substitute "employment income of the person".
19
46 Paragraph 97(3)(b)
20
Omit "income earned by the person from his or her employment",
21
substitute "employment income of the person".
22
47 Paragraph 97B(1)(a)
23
Omit "the income, or increased income, earned by the person from his
24
or her employment", substitute "employment income of the person".
25
48 Paragraph 97B(1)(b)
26
Omit "income or increased income", substitute "employment income".
27
Schedule 1
Amendments
Part 1
Simplifying income reporting
16
Social Services and Other Legislation Amendment (Simplifying Income
Reporting and Other Measures) Bill 2020
No. , 2020
49 Paragraph 97B(1)(d)
1
Omit "income the person earned from his or her employment",
2
substitute "employment income of the person".
3
50 Subparagraph 110(1A)(b)(i)
4
Omit "employment income that is earned, derived or received, or that is
5
taken to have been earned, derived or received, by the person",
6
substitute "the person's employment income taken, in accordance with
7
Division 1AA of Part 3.10 of the 1991 Act, to have been received by the
8
person".
9
51 Subparagraph 110(1A)(b)(ii)
10
Omit "ceased to earn, derive or receive, or to be taken to earn, derive or
11
receive, employment income", substitute "ceased to be taken, in
12
accordance with that Division, to have received employment income".
13
52 Subparagraph 110(2A)(b)(i)
14
Omit "employment income that is earned, derived or received, or that is
15
taken to have been earned, derived or received, by the person",
16
substitute "the person's employment income taken, in accordance with
17
Division 1AA of Part 3.10 of the 1991 Act, to have been received by the
18
person".
19
53 Subparagraph 110(2A)(b)(ii)
20
Omit "ceased to earn, derive or receive, or to be taken to earn, derive or
21
receive, employment income", substitute "ceased to be taken, in
22
accordance with that Division, to have received employment income".
23
54 Subparagraph 110(3A)(g)(i)
24
Omit "employment income that is earned, derived or received, or that is
25
taken to have been earned, derived or received, by the partner",
26
substitute "the partner's employment income taken, in accordance with
27
Division 1AA of Part 3.10 of the 1991 Act, to have been received by the
28
partner".
29
Amendments
Schedule 1
Simplifying income reporting
Part 1
No. , 2020
Social Services and Other Legislation Amendment (Simplifying Income
Reporting and Other Measures) Bill 2020
17
55 Subparagraph 110(3A)(g)(ii)
1
Omit "ceased to earn, derive or receive, or to be taken to earn, derive or
2
receive, employment income", substitute "ceased to be taken, in
3
accordance with that Division, to have received employment income".
4
56 Paragraph 118(2A)(b)
5
Omit "earns, derives or receives, or is taken to earn, derive or receive,",
6
substitute "is taken, in accordance with Division 1AA of Part 3.10 of
7
the 1991 Act, to have received".
8
57 Subparagraph 118(2B)(b)(ii)
9
Omit "earns, derives or receives, or is taken to earn, derive or receive,",
10
substitute "is taken, in accordance with Division 1AA of Part 3.10 of
11
the 1991 Act, to have received".
12
58 Paragraph 118(5A)(b)
13
Omit "earns, derives or receives, or is taken to earn, derive or receive,",
14
substitute "is taken, in accordance with Division 1AA of Part 3.10 of
15
the 1991 Act, to have received".
16
59 Subparagraph 118(5B)(b)(ii)
17
Omit "earns, derives or receives, or is taken to earn, derive or receive,",
18
substitute "is taken, in accordance with Division 1AA of Part 3.10 of
19
the 1991 Act, to have received".
20
60 Paragraph 118(6A)(g)
21
Omit "earns, derives or receives, or is taken to earn, derive or receive,",
22
substitute "is taken, in accordance with Division 1AA of Part 3.10 of
23
the 1991 Act, to have received".
24
61 Subparagraph 118(6B)(g)(ii)
25
Omit "earns, derives or receives, or is taken to earn, derive or receive,",
26
substitute "is taken, in accordance with Division 1AA of Part 3.10 of
27
the 1991 Act, to have received".
28
Schedule 1
Amendments
Part 1
Simplifying income reporting
18
Social Services and Other Legislation Amendment (Simplifying Income
Reporting and Other Measures) Bill 2020
No. , 2020
Veterans' Entitlements Act 1986
1
62 Section 45UF
2
Before "For the purposes of", insert "(1)".
3
63 At the end of section 45UF
4
Add:
5
(2) The annual pension rate is to be worked out under subsection (1)
6
by disregarding the amendments made by Part 1 of Schedule 1 to
7
the
Social Services and Other Legislation Amendment (Simplifying
8
Income Reporting and Other Measures) Act 2020
.
9
64 Subsection 46AA(2) (examples 1 and 2)
10
Omit "earns", substitute "has".
11
65 Subsection 46AA(4) (example)
12
Omit "earns", substitute "has".
13
66 Subsection 46AA(4A) (example)
14
Omit "earns", substitute "has".
15
67 Paragraph 46AA(4BA)(a)
16
Omit "for", substitute "received in".
17
68 Paragraph 46AB(1)(a)
18
Omit "earned, derived or received, or that is taken to have been earned,
19
derived or received, by the person from remunerative work undertaken
20
by", substitute "for remunerative work of".
21
69 Subparagraph 46AB(1)(b)(i)
22
Omit "that are so earned, derived or received or taken to have been so
23
earned, derived or received".
24
70 Subsection 46AC(2) (example)
25
Omit "earns", substitute "has".
26
Amendments
Schedule 1
Simplifying income reporting
Part 1
No. , 2020
Social Services and Other Legislation Amendment (Simplifying Income
Reporting and Other Measures) Bill 2020
19
71 Subsection 46AD(3) (example)
1
Omit "earns", substitute "has".
2
72 Application and saving provisions
--social security
3
legislation
4
(1)
The amendments made by items 4, 6 to 11, 15, 16, 20, 21, 25, 27, 30,
5
34, 35, 37 (to the extent that it substitutes sections 1073A, 1073B and
6
1073BA of the
Social Security Act 1991
) and 38 to 42 apply in relation
7
to an amount of employment income paid to or for the benefit of a
8
person:
9
(a) on or after the commencement of this item; and
10
(b) if the person has a transitional instalment period--after the
11
beginning of that period and before this item commences.
12
(2)
Subitem (1) does not apply in relation to an amount of employment
13
income to the extent that the amount:
14
(a) was earnt or derived before the commencement of this item;
15
and
16
(b) has been taken into account in working out the person's rate
17
of social security pension or social security benefit.
18
(3)
Subitem (1) does not apply in relation to a lump sum amount paid to a
19
person, or a partner of a person, after the beginning of a transitional
20
instalment period of the person and before this item commences, where
21
the lump sum amount is covered by point 1067G-H23A, 1067G-H23B,
22
1067L-D20, 1067L-D21, 1068-G7B or 1068-G7C of the
Social Security
23
Act 1991
.
24
(4)
Subitem (1) does not apply in relation to a lump sum amount of
25
employment income in respect of which paragraphs 1073A(1)(a) and
26
(b) of the
Social Security Act 1991
are satisfied before the
27
commencement of this item. Section 1073A of that Act, as in force
28
immediately before that commencement, continues to apply in relation
29
to that amount on and after that commencement.
30
(5)
The amendments made by items 13, 14, 18, 19, 23 and 24 apply in
31
relation to a lump sum amount that is paid on or after the
32
commencement of this item.
33
Schedule 1
Amendments
Part 1
Simplifying income reporting
20
Social Services and Other Legislation Amendment (Simplifying Income
Reporting and Other Measures) Bill 2020
No. , 2020
(6)
Section 1073BB of the
Social Security Act 1991
, as substituted by this
1
Part, applies in relation to an amount of employment income referred to
2
in paragraph 1073BB(1)(b) of that Act that is earnt or derived on or
3
after the commencement of this item, whether:
4
(a) the instalment period referred to in that paragraph begins
5
before, on or after that commencement; or
6
(b) the scheme was entered into, or commenced to be carried out,
7
before, on or after that commencement.
8
(7)
Paragraph 1073BD(c) of the
Social Security Act 1991
, as substituted by
9
this Part, applies in relation to an amount of employment income that,
10
on or after the commencement of this item, a person is taken to receive,
11
whether the instalment period referred to in that paragraph begins
12
before, on or after that commencement.
13
(8)
The amendments of sections 96, 97 and 97B of the
Social Security
14
(Administration) Act 1999
made by this Part apply in relation to an
15
amount of employment income paid on or after the commencement of
16
this item.
17
(9)
Sections 96, 97 and 97B of the
Social Security (Administration) Act
18
1999
, as in force immediately before the commencement of this item,
19
continue to apply on and after that commencement in relation to
20
income, or increased income, earned by a person before that
21
commencement from the person's employment.
22
(10)
The amendments of sections 110 and 118 of the
Social Security
23
(Administration) Act 1999
made by this Part apply in relation to:
24
(a) an instalment period of a person that begins on or after the
25
commencement of this item; and
26
(b) a transitional instalment period of a person.
27
(11)
In this item:
28
transitional instalment period
, of a person, means an instalment period
29
that begins before the day on which this item commences and includes
30
that day.
31
73 Application provision
--veterans' entitlements legislation
32
The amendment made by item 67 applies in respect of a pension period
33
that includes the day on which this item commences and later pension
34
periods.
35
Amendments
Schedule 1
Exchange of information relating to taxation information
Part 2
No. , 2020
Social Services and Other Legislation Amendment (Simplifying Income
Reporting and Other Measures) Bill 2020
21
Part 2--Exchange of information relating to taxation
1
information
2
A New Tax System (Family Assistance) (Administration) Act
3
1999
4
74 After section 161
5
Insert:
6
161A Definitions
7
In this Division:
8
taxation information
means information (including protected
9
information within the meaning of subsection 355-30(1) in
10
Schedule 1 to the
Taxation Administration Act 1953
but not
11
including a tax file number) that is held by a taxation officer.
12
taxation officer
means the following:
13
(a) a person who is a taxation officer within the meaning of
14
subsection 355-30(2) in Schedule 1 to the
Taxation
15
Administration Act 1953
;
16
(b) an entity covered by section 355-15 in that Schedule.
17
75 Section 162 (heading)
18
Repeal the heading, substitute:
19
162 Permitted obtaining of, making a record of, disclosure of or use
20
of protected information
21
76 At the end of subsection 162(1)
22
Add:
23
Note:
For an example of obtaining protected information for the purposes of
24
the family assistance law, see section 162A.
25
77 At the end of subsection 162(2)
26
Add:
27
Schedule 1
Amendments
Part 2
Exchange of information relating to taxation information
22
Social Services and Other Legislation Amendment (Simplifying Income
Reporting and Other Measures) Bill 2020
No. , 2020
Note:
For an example of a disclosure of, making a record of or the use of
1
protected information for the purposes of the family assistance law,
2
see section 162A.
3
78 After section 162
4
Insert:
5
162A Obtaining of, making a record of, disclosure of or use of
6
protected information relating to taxation information
7
Disclosure to taxation officers for matching against taxation
8
information
9
(1) A disclosure of protected information by an officer is made for the
10
purposes of the family assistance law if:
11
(a) the disclosure is to a taxation officer; and
12
(b) the disclosure is for the purposes of a taxation officer
13
matching that information against taxation information
to
14
facilitate the performance of functions, or the exercise of
15
powers, under the family assistance law.
16
(2) The obtaining of, making of a record of or the use of protected
17
information by an officer is for the purposes of the family
18
assistance law if the obtaining of, making of the record of or the
19
use of the protected information is in connection with a disclosure
20
referred to in subsection (1).
21
Authorised collection of personal information that is taxation
22
information
23
(3) The collection of personal information about a person is authorised
24
by this Act for the purposes of the
Privacy Act 1988
if:
25
(a) the personal information is taxation information; and
26
(b) the collection is from a taxation officer; and
27
(c) the collection is for the purposes of the family assistance law.
28
Obtaining of taxation information
29
(4) If an officer obtains personal information about a person in the
30
circumstances referred to in subsection (3), then the officer has
31
obtained the information under the family assistance law.
32
Amendments
Schedule 1
Exchange of information relating to taxation information
Part 2
No. , 2020
Social Services and Other Legislation Amendment (Simplifying Income
Reporting and Other Measures) Bill 2020
23
Interpretation
1
(5) This section does not limit section 162.
2
79 Section 163 (heading)
3
Repeal the heading, substitute:
4
163 Offence--unauthorised obtaining of protected information
5
80 Section 164 (heading)
6
Repeal the heading, substitute:
7
164 Offence--unauthorised making a record of, disclosure of or use
8
of protected information
9
81 Subsection 223(1)
10
After "for which the Secretary", insert "or any other officer".
11
82 At the end of subsection 223(1)
12
Add:
13
Note:
The definition of
decision
in subsection 3(1) covers the doing of any
14
act or thing. This means, for example, that the doing of things under
15
subsection 162(1) or (2) are decisions for the purposes of this section.
16
Social Security (Administration) Act 1999
17
83 Subsection 6A(1)
18
After "for which the Secretary", insert "or any other officer".
19
84 At the end of subsection 6A(1)
20
Add:
21
Note:
The definition of
decision
in the 1991 Act applies for the purposes of
22
this section: see subsection 3(2) of this Act. That definition covers the
23
doing of any act or thing. This means, for example, that the doing of
24
things under subsection 202(1) or (2) of this Act are decisions for the
25
purposes of this section.
26
Schedule 1
Amendments
Part 2
Exchange of information relating to taxation information
24
Social Services and Other Legislation Amendment (Simplifying Income
Reporting and Other Measures) Bill 2020
No. , 2020
85 Section 201A (heading)
1
Repeal the heading, substitute:
2
201A Definitions
3
86 Section 201A
4
Insert:
5
taxation information
means information (including protected
6
information within the meaning of subsection 355-30(1) in
7
Schedule 1 to the
Taxation Administration Act 1953
but not
8
including a tax file number) that is held by a taxation officer.
9
taxation officer
means the following:
10
(a) a person who is a taxation officer within the meaning of
11
subsection 355-30(2) in Schedule 1 to the
Taxation
12
Administration Act 1953
;
13
(b) an entity covered by section 355-15 in that Schedule.
14
87 Section 202 (heading)
15
Repeal the heading, substitute:
16
202 Permitted obtaining of, making a record of, disclosure of or use
17
of protected information
18
88 At the end of subsection 202(1)
19
Add:
20
Note:
For an example of obtaining protected information for the purposes of
21
the social security law, see section 202A.
22
89 At the end of subsection 202(2)
23
Add:
24
Note:
For an example of a disclosure of, making a record of or the use of
25
protected information for the purposes of the social security law, see
26
section 202A.
27
90 After section 202
28
Insert:
29
Amendments
Schedule 1
Exchange of information relating to taxation information
Part 2
No. , 2020
Social Services and Other Legislation Amendment (Simplifying Income
Reporting and Other Measures) Bill 2020
25
202A Obtaining of, making a record of, disclosure of or use of
1
protected information relating to taxation information
2
Disclosure to taxation officers for matching against taxation
3
information
4
(1) A disclosure of protected information by an officer is made for the
5
purposes of the social security law if:
6
(a) the disclosure is to a taxation officer; and
7
(b) the disclosure is for the purposes of a taxation officer
8
matching that information against taxation information
to
9
facilitate the performance of functions, or the exercise of
10
powers, under the social security law.
11
(2) The obtaining of, making of a record of or the use of protected
12
information by an officer is for the purposes of the social security
13
law if the obtaining of, making of the record of or the use of the
14
protected information is in connection with a disclosure referred to
15
in subsection (1).
16
Authorised collection of personal information that is taxation
17
information
18
(3) The collection of personal information about a person is authorised
19
by this Act for the purposes of the
Privacy Act 1988
if:
20
(a) the personal information is taxation information; and
21
(b) the collection is from a taxation officer; and
22
(c) the collection is for the purposes of the social security law.
23
Obtaining of taxation information
24
(4) If an officer obtains personal information about a person in the
25
circumstances referred to in subsection (3), then the officer has
26
obtained the information under the social security law.
27
Interpretation
28
(5) This section does not limit section 202.
29
91 Section 203 (heading)
30
Repeal the heading, substitute:
31
Schedule 1
Amendments
Part 2
Exchange of information relating to taxation information
26
Social Services and Other Legislation Amendment (Simplifying Income
Reporting and Other Measures) Bill 2020
No. , 2020
203 Offence--unauthorised obtaining of protected information
1
92 Section 204 (heading)
2
Repeal the heading, substitute:
3
204 Offence--unauthorised making a record of, disclosure of or use
4
of protected information
5
Student Assistance Act 1973
6
93 After section 350
7
Insert:
8
350A Definitions
9
In this Division:
10
taxation information
means information (including protected
11
information within the meaning of subsection 355-30(1) in
12
Schedule 1 to the
Taxation Administration Act 1953
but not
13
including a tax file number) that is held by a taxation officer.
14
taxation officer
means the following:
15
(a) a person who is a taxation officer within the meaning of
16
subsection 355-30(2) in Schedule 1 to the
Taxation
17
Administration Act 1953
;
18
(b) an entity covered by section 355-15 in that Schedule.
19
94 Section 351 (heading)
20
Repeal the heading, substitute:
21
351 Permitted obtaining of, making a record of, disclosure of or use
22
of protected information
23
95 At the end of subsection 351(1) (before the note)
24
Add:
25
Note 1:
For an example of obtaining protected information for the purposes of
26
this Act (including the purposes of the administration of the
27
ABSTUDY scheme), see section 351A.
28
Amendments
Schedule 1
Exchange of information relating to taxation information
Part 2
No. , 2020
Social Services and Other Legislation Amendment (Simplifying Income
Reporting and Other Measures) Bill 2020
27
96 Subsection 351(1) (note)
1
Omit "Note", substitute "Note 2".
2
97 Subsection 351(2) (heading)
3
Repeal the heading, substitute:
4
Making a record of, disclosure of or use of protected information
5
98 At the end of subsection 351(2) (before the note)
6
Add:
7
Note 1:
For an example of a disclosure of, making a record of or the use of
8
protected information for the purposes of this Act (including the
9
purposes of the administration of the ABSTUDY scheme), see
10
section 351A.
11
99 Subsection 351(2) (note)
12
Omit "Note", substitute "Note 2".
13
100 After section 351
14
Insert:
15
351A Obtaining of, making a record of, disclosure of or use of
16
protected information relating to taxation information
17
Disclosure to taxation officers for matching against taxation
18
information
19
(1) A disclosure of protected information by an officer is made for the
20
purposes of this Act (including the purposes of the administration
21
of the ABSTUDY scheme) if:
22
(a) the disclosure is to a taxation officer; and
23
(b) the disclosure is for the purposes of a taxation officer
24
matching that information against taxation information
to
25
facilitate the performance of functions, or the exercise of
26
powers, under this Act or the ABSTUDY scheme.
27
(2) The obtaining of, making of a record of or the use of protected
28
information by an officer is for the purposes of this Act (including
29
the purposes of the administration of the ABSTUDY scheme) if the
30
Schedule 1
Amendments
Part 2
Exchange of information relating to taxation information
28
Social Services and Other Legislation Amendment (Simplifying Income
Reporting and Other Measures) Bill 2020
No. , 2020
obtaining of, making of the record of or the use of the protected
1
information is in connection with a disclosure referred to in
2
subsection (1).
3
Authorised collection of personal information that is taxation
4
information
5
(3) The collection of personal information about a person is authorised
6
by this Act for the purposes of the
Privacy Act 1988
if:
7
(a) the personal information is taxation information; and
8
(b) the collection is from a taxation officer; and
9
(c) the collection is for the purposes of this Act (including the
10
purposes of the administration of the ABSTUDY scheme).
11
Interpretation
12
(4) This section does not limit section 351.
13
351B Secretary may arrange for use of computer programs to make
14
decisions
15
(1) The Secretary may arrange for the use, under the Secretary's
16
control, of computer programs for any purposes for which an
17
officer may make a decision that is the doing of a thing under
18
subsection 351(1) or (2).
19
(2) A decision made by the operation of a computer program under an
20
arrangement made under subsection (1) is taken to be a decision
21
made by the Secretary.
22
101 Section 352 (heading)
23
Repeal the heading, substitute:
24
352 Offence--unauthorised obtaining of protected information
25
102 Section 353 (heading)
26
Repeal the heading, substitute:
27
353 Offence--unauthorised making a record of, disclosure of or use
28
of protected information
29
Amendments
Schedule 1
Other amendments
Part 3
No. , 2020
Social Services and Other Legislation Amendment (Simplifying Income
Reporting and Other Measures) Bill 2020
29
Part 3--Other amendments
1
Social Security Act 1991
2
103 Subsection 8(1) (note 3 to the definition of
ordinary
3
income
)
4
Omit "sections 1072 and 1073 (ordinary income concept)", substitute
5
"Division 1 of Part 3.10 (ordinary income concept and treatment of
6
certain income amounts)".
7
104 Point 1064-E1 (note 2)
8
Omit "(sections 1072 and 1073)", substitute "and the treatment of
9
certain income amounts (Division 1 of Part 3.10)".
10
105 Point 1066-E1 (note 2)
11
Omit "(sections 1072 and 1073)", substitute "and the treatment of
12
certain income amounts (Division 1 of Part 3.10)".
13
106 Point 1066A-F1 (note 2)
14
Omit "(sections 1072 and 1073)", substitute "and the treatment of
15
certain income amounts (Division 1 of Part 3.10)".
16
107 Point 1067G-H1 (note 2)
17
Omit "(sections 1072 and 1073)", substitute "and the treatment of
18
certain income amounts (Division 1 of Part 3.10)".
19
108 Point 1067G-H23
20
Omit "section 1073", substitute "sections 1072A and 1073".
21
109 Point 1067L-D1 (note 2)
22
Omit "(sections 1072 and 1073)", substitute "and the treatment of
23
certain income amounts (Division 1 of Part 3.10)".
24
110 Point 1067L-D19
25
Omit "section 1073", substitute "sections 1072A and 1073".
26
Schedule 1
Amendments
Part 3
Other amendments
30
Social Services and Other Legislation Amendment (Simplifying Income
Reporting and Other Measures) Bill 2020
No. , 2020
111 Point 1068-G1 (note 3)
1
Omit "(sections 1072 and 1073)", substitute "and the treatment of
2
certain income amounts (Division 1 of Part 3.10)".
3
112 Point 1068-G7A
4
Omit "section 1073", substitute "sections 1072A and 1073".
5
113 Point 1068A-E1 (note 2)
6
Omit "(sections 1072 and 1073)", substitute "and the treatment of
7
certain income amounts (Division 1 of Part 3.10)".
8
114 Point 1068B-D1 (note 3)
9
Omit "(sections 1072 and 1073)", substitute "and the treatment of
10
certain income amounts (Division 1 of Part 3.10)".
11
115 Division 1 of Part 3.10 of Chapter 3 (heading)
12
Repeal the heading, substitute:
13
Division 1--Ordinary income concept and treatment of
14
certain income amounts
15
116 After section 1072
16
Insert:
17
1072A Treatment of certain lump sum payments
18
(1) This section applies if:
19
(a) a person has claimed a social security pension or a social
20
security benefit; and
21
(b) on or after the first day of the period of 12 months ending at
22
the end of the day the person made the claim, the person
23
receives an amount of income in the form of a lump sum
24
payment of arrears of periodic payments; and
25
(c) the lump sum payment is not income within the meaning of
26
Division 1B or 1C of this Part; and
27
(d) the lump sum payment is not in relation to remunerative
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work undertaken by the person; and
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(e) the lump sum payment is not an exempt lump sum; and
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Amendments
Schedule 1
Other amendments
Part 3
No. , 2020
Social Services and Other Legislation Amendment (Simplifying Income
Reporting and Other Measures) Bill 2020
31
(f) the lump sum payment is not a payment of compensation.
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(2) The Secretary may determine that the person is taken to have
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received the lump sum payment over such period, not exceeding 52
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weeks, as the Secretary determines.
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(3) The period determined by the Secretary must begin on the day on
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which the person received the lump sum payment.
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(4) For each day in the period determined by the Secretary, the person
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is taken to have received an amount of ordinary income worked out
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by dividing the amount of the lump sum payment by the number of
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days in that period.
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117 Subsection 1228A(3)
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Omit "Section 1073 does", substitute "Sections 1072A and 1073 do".
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118 Application provision
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Section 1072A of the
Social Security Act 1991
, as inserted by this Part,
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applies in relation to a lump sum payment received on or after the
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commencement of this item.
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