Commonwealth Consolidated Acts(1) The Minister must, by legislative instrument, determine a method for working out a person's penalty amount for a no show no pay failure or a reconnection failure.
(2) The method determined for a no show no pay failure that a person commits on a day must not provide for a penalty amount for the person that is more than the following:

(3) The method determined for a reconnection failure that a person commits must not provide for a penalty amount for the person that is more than the total of the daily rates of the participation payment payable to the person during the reconnection failure period (before deducting a penalty amount).
(4) In addition, the method determined for a no show no pay failure or a reconnection failure must relate to:
(a) for a person's no show no pay failure--the amount of the participation payment paid to the person on the day on which the person commits the no show no pay failure; or
(b) for a person's reconnection failure--the amount of the participation payment paid to the person during the reconnection failure period.
(5) The method determined by the Minister for working out a person's penalty amount must not affect any rent assistance, pharmaceutical allowance or youth disability supplement payable to the person.
(6) The method determined may provide for a penalty amount that is nil.
(7) The legislative instrument may also deal with the amount of a penalty amount to be deducted from an instalment of a participation payment.
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