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SOCIAL SECURITY (PARENTING ALLOWANCE AND OTHER MEASURES) LEGISLATION AMENDMENT ACT 1994 No. 174, 1994 - SCHEDULE 1

                                SCHEDULE 1                Section 3

AMENDMENTS RELATING TO PARENTING ALLOWANCE
PART 1-THE PARENTING ALLOWANCE 1. Part 2.18: Repeal the Part, substitute:

"PART 2.18-PARENTING ALLOWANCE

"Division 1-Parenting allowance child status Parenting allowance child

"901. Subject to sections 902 to 904, a parenting allowance child is a child
who:

   (a)  has not turned 16; and

   (b)  is a dependent child of a person. Note: For 'dependent child' see
        subsections 5(2) to (9). Parenting allowance child-child absent from
        Australia for more than 13 weeks

"902.(1) If a dependent child:

   (a)  leaves Australia temporarily; and

   (b)  continues to be absent from Australia for more than 13 weeks; the
        child cannot be a parenting allowance child at any time after the 13
        weeks while the child remains absent from Australia.

"(2) For the purposes of subsection (1), in determining if an absence is
temporary, regard must be had to the following factors:

   (a)  the purpose of the absence;

   (b)  the intended duration of the absence;

   (c)  the frequency of such absences. Parenting allowance child-child born
        outside Australia

"903. If a dependent child:

   (a)  is born outside Australia; and

   (b)  continues to be absent from Australia for more than 13 weeks; the
        child cannot be a parenting allowance child at any time after the 13
        weeks while the child remains absent from Australia. Parenting
        allowance child-child subsequently departs Australia

"904. If:

   (a)  a dependent child is not a parenting allowance child because of
        section 902 or 903, or because of a previous application of this
        section; and

   (b)  the child comes to Australia; and

   (c)  the child leaves Australia less than 13 weeks later; the child cannot
        be a parenting allowance child when the child leaves Australia as
        mentioned in paragraph (c).

"Division 2-Qualification for and payability of parenting allowance

"Subdivision A-Qualification for parenting allowance Qualification for
parenting allowance

"905. A person is qualified for parenting allowance if the person:

   (a)  is a member of a couple; and

   (b)  has at least one parenting allowance child; and

   (c)  is an Australian resident, or has a qualifying residence exemption for
        parenting allowance; and

   (d)  is in Australia, or satisfies the requirements of section 906. Note 1:
        See section 4 for whether a person is a member of a couple. Note 2:
        For 'Australian resident' and 'qualifying residence exemption' see
        section 7. Qualification for parenting allowance-temporary absences
        from Australia

"906.(1) Subject to subsection (3), for the purposes of paragraph 905(d), a
person satisfies the requirements of this section if the person:

   (a)  is temporarily absent from Australia; and

   (b)  has not been absent from Australia for more than 13 weeks.

"(2) For the purposes of subsection (1), in determining if an absence is
temporary, regard must be had to the following factors:

   (a)  the purpose of the absence;

   (b)  the intended duration of the absence;

   (c)  the frequency of such absences.

"(3) If:

   (a)  a person does not satisfy the requirements of this section:

        (i)    because the person's absence from Australia is not temporary;
               or

        (ii)   because the person has been absent from Australia for more than
               13 weeks; or

        (iii)  because of a previous application of this subsection; and

   (b)  the person comes to Australia; and

   (c)  the person leaves Australia again less than 13 weeks later; the person
        is taken, for the purposes of paragraph 905(d), not to satisfy the
        requirements of this section when the person leaves Australia as
        mentioned in paragraph (c). Qualification for parenting
        allowance-assurance of support

"907. A person is not qualified for parenting allowance if the Secretary is
satisfied that:

   (a)  an assurance of support is in force in respect of the person (the
        'assuree'); and

   (b)  the person who gave the assurance of support is willing and able to
        provide an adequate level of support to the assuree; and

   (c)  it would be reasonable for the assuree to accept that support. Note:
        For 'assurance of support' see subsection 23(1). Qualification for
        parenting allowance-unemployment due to industrial action

"908.(1) If:

   (a)  a person has claimed but has not yet received parenting allowance; and

   (b)  when the claim was lodged, the person was unemployed; the person is
        not qualified for parenting allowance unless the Secretary is
        satisfied that the person's unemployment is not due to the person
        being, or having been, engaged in industrial action or a series of
        industrial actions.

"(2) For the purposes of subsection (1) and without limiting that subsection,
a person is taken not to be, or to have been, engaged in industrial action or
a series of industrial actions if the Secretary is satisfied that the person's
unemployment is due to other people being, or having been, engaged in
industrial action or in a series of industrial actions, and that:

   (a)  if industrial action is still being engaged in:

        (i)    the people, or some of the people, are members of a trade union
               that is involved in the industrial action, or have been such
               members at any time since industrial action started; and

        (ii)   the person has not been a member of that trade union at any
               time since industrial action started; or

   (b)  if industrial action has stopped:

        (i)    at any time while industrial action was being engaged in, the
               people, or some of the people, were members of a trade union
               that was involved in the industrial action; and

        (ii)   the person was not a member of that trade union at any time
               while industrial action was being engaged in.

"(3) Subsection (1) does not prevent a person from being qualified for
parenting allowance on a payday that occurs after the relevant industrial
action or series of industrial actions has stopped. Note: For 'industrial
action', 'trade union' and 'unemployment' see section 16.

"Subdivision B-Payability of parenting allowance Parenting allowance not
payable in some circumstances

"909.(1) Even though a person is qualified for parenting allowance, the
allowance may not be payable to the person because:

   (a)  the allowance has not commenced to be payable (see sections 910 and
        938); or

   (b)  the person has not provided a tax file number for the person (see
        sections 912, 932 and 948) or for the person's partner (see sections
        913, 933 and 949); or

   (c)  another person is receiving parenting allowance in respect of the same
        child (see section 914); or

   (d)  the person's partner is receiving parenting allowance (see section
        915); or

   (e)  a social security benefit or a Youth Training Allowance is payable to
        the person (see section 916); or

   (f)  the person is receiving a payment under certain educational schemes
        (see section 917); or

   (g)  the person is receiving income that is paid by a community or group
        from funds provided under a Commonwealth funded employment program
        (see section 918); or

   (h)  the person is receiving payments under a LEAP program (see section
        919); or

   (i)  the person is subject to a newly arrived resident's waiting period
        (see section 920); or

   (j)  the person is subject to an unused annual leave waiting period (see
        section 923); or

   (k)  the person is subject to a non-payment period for job search allowance
        or newstart allowance (see section 926); or

   (l)  the person has not nominated a bank, credit union or building society
        account for payment of the allowance (see section 943); or

   (m)  the person is in gaol (see Part 3.13); or

   (n)  the person is subject to a compensation preclusion period (see Part
        3.14).

"(2) Subject to subsection (3), a parenting allowance is not payable to a
person if the person's parenting allowance rate would be nil.

"(3) Subsection (2) does not apply to a person if the person's rate is nil
merely because an advance pharmaceutical allowance has been paid to the person
under:

   (a)  Part 2.23 of this Act; or

   (b)  Division 2 of Part VIIA of the Veterans' Entitlements Act.
        Commencement of parenting allowance

"910. A parenting allowance is not payable to a person before the person's
provisional commencement day (identified under section 911). Provisional
commencement day General rule

"911.(1) Subject to subsections (2) to (7), a person's provisional
commencement day is the day on which the person claims parenting allowance.
Claim made within 4 weeks of becoming qualified

"(2) If a person claims parenting allowance within 4 weeks after becoming
qualified for parenting allowance, the person's provisional commencement day
is the day on which he or she became qualified. Initial incorrect or
inappropriate claim followed by claim for parenting allowance

"(3) If:

   (a)  a person makes a claim (the 'initial claim') for:

        (i)    a social security or service pension or a social security
               benefit (other than parenting allowance); or

        (ii)   a pension, allowance, benefit or other payment under another
               Act, or under a program administered by the Commonwealth, that
               is similar in character to a parenting allowance; and

   (b)  on the day on which the person makes the initial claim, the person is
        qualified for parenting allowance; and

   (c)  the person subsequently makes a claim for parenting allowance; and

   (d)  the Secretary is satisfied that it is reasonable for this subsection
        to apply to the person; the person's provisional commencement day is
        the day on which the person made the initial claim. Early claim

"(4) If:

   (a)  a person lodges a claim for parenting allowance; and

   (b)  the person is not, on the day on which the claim is lodged, qualified
        for parenting allowance; and

   (c)  the person becomes qualified for parenting allowance during the period
        of 13 weeks that starts immediately after that day; the person's
        provisional commencement day is the first day on which the person is
        qualified for parenting allowance. Partner allowee not required to
        make claim

"(5) If a person is not required to make a claim for parenting allowance
because of subsection 927(3), the person's provisional commencement day is the
day on which the person becomes qualified for parenting allowance. Claim
resulting from a major disaster

"(6) If a person:

   (a)  claims a disaster relief payment; and

   (b)  is qualified for the payment; and

   (c)  as a result of the major disaster to which the payment relates, claims
        a parenting allowance within 14 days of claiming the disaster relief
        payment; the person's provisional commencement day is the day on which
        the person was affected by the disaster. Transferees

"(7) If:

   (a)  a person is a transferee to parenting allowance; and

   (b)  the person claims parenting allowance within 14 days after the
        transfer day; the person's provisional commencement day is the
        person's transfer day. Note: For 'transferee' and 'transfer day' see
        subsections 23(6) and (7). Provision of person's tax file number

"912.(1) A parenting allowance is not payable to a person if:

   (a)  the person is requested under section 932 or 948 to:

        (i)    give the Secretary a written statement of the person's tax file
               number; or

        (ii)   apply for a tax file number and give the Secretary a written
               statement of the person's tax file number once it has been
               issued; and

   (b)  at the end of the period of 28 days after the request is made, the
        person has neither:

        (i)    given the Secretary a written statement of the person's tax
               file number; nor

        (ii)   given the Secretary a declaration by the person in a form
               approved by the Secretary and satisfied either subsection (2)
               or (3).

"(2) The person satisfies this subsection if:

   (a)  the person's declaration states that the person:

        (i)    has a tax file number but does not know what it is; and

        (ii)   has asked the Commissioner of Taxation to inform him or her of
               the number; and

   (b)  the person has given the Secretary a document by the person that
        authorises the Commissioner of Taxation to tell the Secretary:

        (i)    whether the person has a tax file number; and

        (ii)   if the person has a tax file number-the tax file number; and

   (c)  the Commissioner of Taxation has not told the Secretary that the
        person has no tax file number.

"(3) The person satisfies this subsection if:

   (a)  the person's declaration states that the person has applied for a tax
        file number; and

   (b)  the person has given the Secretary a document by the person that
        authorises the Commissioner of Taxation to tell the Secretary:

        (i)    if a tax file number is issued to the person-the tax file
               number; or

        (ii)   if the application is refused-that the application has been
               refused; or

        (iii)  if the application is withdrawn-that the application has been
               withdrawn; and

   (c)  the Commissioner of Taxation has not told the Secretary that the
        person has not applied for a tax file number; and

   (d)  the Commissioner of Taxation has not told the Secretary that an
        application by the person for a tax file number has been refused; and

   (e)  the application for a tax file number has not been withdrawn.
        Provision of partner's tax file number

"913.(1) Subject to subsection (4), a parenting allowance is not payable to a
person if:

   (a)  the person is requested under section 933 or 949 to give the Secretary
        a written statement of the tax file number of the person's partner;
        and

   (b)  at the end of the period of 28 days after the request is made the
        person has neither:

        (i)    given the Secretary a written statement of the partner's tax
               file number; nor

        (ii)   given the Secretary a declaration by the partner in a form
               approved by the Secretary and satisfied either subsection (2)
               or (3).

"(2) The person satisfies this subsection if:

   (a)  the partner's declaration states that the partner:

        (i)    has a tax file number but does not know what it is; and

        (ii)   has asked the Commissioner of Taxation to inform the partner of
               the partner's number; and

   (b)  the person has given the Secretary a document by the partner that
        authorises the Commissioner of Taxation to tell the Secretary:

        (i)    whether the partner has a tax file number; and

        (ii)   if the partner has a tax file number-the tax file number; and

   (c)  the Commissioner of Taxation has not told the Secretary that the
        partner has no tax file number.

"(3) The person satisfies this subsection if:

   (a)  the partner's declaration states that an application by the partner
        for a tax file number is pending; and

   (b)  the person has given the Secretary a document by the partner that
        authorises the Commissioner of Taxation to tell the Secretary:

        (i)    if a tax file number is issued to the partner-the tax file
               number; or

        (ii)   if the application is refused-that the application has been
               refused; or

        (iii)  if the application is withdrawn-that the application has been
               withdrawn; and

   (c)  the Commissioner of Taxation has not told the Secretary that an
        application by the partner for a tax file number has been refused; and

   (d)  the application for a tax file number has not been withdrawn.

"(4) The Secretary may waive the requirement for a statement of the partner's
tax file number if the Secretary is satisfied that:

   (a)  the person does not know the partner's tax file number; and

   (b)  the person can obtain none of the following from the partner:

        (i)    the partner's tax file number;

        (ii)   a statement of the partner's tax file number;

        (iii)  a declaration by the partner under subparagraph (1)(b)(ii).
               Parenting allowance not payable to more than one person for the
               same child

"914.(1) Subject to subsection (2), if one person is receiving parenting
allowance in relation to a child, parenting allowance is not payable to any
other person in relation to that child.

"(2) If:

   (a)  more than one person qualifies for parenting allowance in relation to
        the same child; and

   (b)  more than one of them has claimed parenting allowance in relation to
        the child (whether or not one of them is receiving parenting allowance
        in relation to the child); the Secretary must:

   (c)  make a written determination specifying one of them as the person to
        whom parenting allowance is payable in relation to the child; and

   (d)  give a copy of the determination to each person who has claimed
        parenting allowance in relation to the child.

"(3) Parenting allowance is not payable, in relation to that child, to any
person other than the person specified in the determination. Parenting
allowance not payable to more than one member of a couple

"915.(1) Subject to subsection (2), if one member of a couple is receiving
parenting allowance, parenting allowance is not payable to the other member of
the couple.

"(2) If:

   (a)  both members of a couple are qualified for parenting allowance; and

   (b)  both of them have claimed parenting allowance (whether or not one of
        them is receiving parenting allowance); the Secretary must:

   (c)  make a written determination specifying one of them as the member of
        the couple to whom parenting allowance is payable; and

   (d)  give a copy of the determination to both of them.

"(3) Parenting allowance is not payable to the member of the couple not
specified in the determination. Multiple entitlement exclusion

"916.(1) Parenting allowance is not payable to a person if the person is
already receiving a social security benefit or a Youth Training Allowance.

"(2) Subject to subsection (3), if:

   (a)  a person is receiving parenting allowance; and

   (b)  a social security benefit or a Youth Training Allowance becomes
        payable to the person; parenting allowance is not payable to the
        person. Note 1: Another payment type will generally not become payable
        to the person until the person claims it. Note 2: For the day on which
        the parenting allowance ceases to be payable see section 951B. Note 3:
        For 'Youth Training Allowance' see subsection 23(1).

"(3) This section does not apply in relation to a social security benefit:

   (a)  that is payable to an armed services widow; and

   (b)  in relation to which subsection 1068(3) applies. Note: For 'armed
        services widow' see subsection 4(1). Educational schemes exclusion

"917. A parenting allowance is not payable to a person if the person is
receiving:

   (a)  payments under the AUSTUDY Scheme; or

   (b)  payments under the ABSTUDY Scheme (other than payments under the
        ABSTUDY Tertiary Scheme as a part-time student); or

   (c)  payments under the Student Financial Supplement Scheme. Commonwealth
        funded employment program exclusion

"918. A parenting allowance is not payable to a person if the person is
receiving income that is paid by a community or group from funds provided
under a Commonwealth funded employment program. Note: For 'Commonwealth funded
employment program' see subsection 23(1). Payments under LEAP programs

"919. A parenting allowance is not payable to a person if the person is
receiving payments under a LEAP program. Note: For 'LEAP program' see
subsection 23(1). Newly arrived residents

"920. A parenting allowance is not payable to a person if:

   (a)  the person is subject to a newly arrived resident's waiting period
        (see section 921); and

   (b)  that period has not ended (see section 922). Newly arrived resident's
        waiting period

"921.(1) Subject to this section, a person who:

   (a)  has entered Australia on or after 1 January 1993; and

   (b)  holds a permanent visa; is subject to a newly arrived resident's
        waiting period. Note: For 'holder' and 'permanent visa' see subsection
        7(1).

"(2) Subsection (1) does not apply to a person who has a qualifying residence
exemption for a parenting allowance. Note: For 'qualifying residence
exemption' see subsection 7(6).

"(3) Subsection (1) does not apply to a person:

   (a)  if, immediately before this section commenced, the person had held a
        valid designated temporary entry permit for a continuous period of at
        least 26 weeks; or

   (b)  if:

        (i)    immediately before this section commenced, the person had held
               a valid designated temporary entry permit for a continuous
               period (the 'permit period') of less than 26 weeks; and

        (ii)   that permit was continued in force as a temporary visa by
               regulations made under the Migration Reform Act 1992; and

        (iii)  the period during which that permit continued to be in force as
               a temporary visa together with the permit period is at least 26
               weeks. Note: For 'designated temporary entry permit' see
               subsection 7(1).

"(4) Subsection (1) does not apply to a person if:

   (a)  the person was a member of a couple immediately before entering
        Australia; and

   (b)  the person's partner had been an Australian resident for at least 26
        weeks when the person entered Australia. Note: For 'Australian
        resident' see subsection 7(2).



"(5) Subsection (1) does not apply to a person if:

   (a)  the person is already subject to a newly arrived resident's waiting
        period; or

   (b)  the person has already served a newly arrived resident's waiting
        period; or

   (c)  the person:

        (i)    has previously entered Australia; and

        (ii)   held a permanent entry permit granted under the
               Migration Act 1958 as then in force, or a permanent visa,
               before the person's last departure from Australia. Duration of
               newly arrived resident's waiting period

"922.(1) If a person is subject to a newly arrived resident's waiting period,
the period starts on the day on which the person's permanent visa comes into
force and ends on the day worked out under subsection (2) or (3).

"(2) If:

   (a)  immediately before this section commenced, the person held a valid
        designated temporary entry permit; and

   (b)  that permit was continued in force as a temporary visa by regulations
        made under the Migration Reform Act 1992; and

   (c)  that temporary visa was in force immediately before the person was
        granted his or her permanent visa; the newly arrived resident's
        waiting period ends 26 weeks after the day on which the designated
        temporary entry permit was granted to the person. Note: For
        'designated temporary entry permit' see subsection 7(1).

"(3) If subsection (2) does not apply, the newly arrived resident's waiting
period ends 26 weeks after the day on which the person was granted his or her
permanent visa. Unused annual leave

"923. A parenting allowance is not payable to a person if:

   (a)  the person is subject to an unused annual leave waiting period (see
        section 924); and

   (b)  that period has not ended (see section 925). Unused annual leave
        waiting period

"924.(1) A person is subject to an unused annual leave waiting period if:

   (a)  the person's employment with an employer has ended; and

   (b)  when that employment ended, the person became entitled to receive a
        payment for unused annual leave; and

   (c)  the person's provisional commencement day occurs within the notional
        leave period. Note 1: For 'unused annual leave' see subsection 23(1).
        Note 2: For the person's provisional commencement day see section 911.

"(2) A person's notional leave period is the period that:

   (a)  starts on the day after the day on which the person's employment
        ended; and

   (b)  runs for the number of days for which the person has unused annual
        leave as worked out under subsections (3) and (4).

"(3) Subject to subsection (4), the number of days for which the person has
unused annual leave is worked out as follows:

   (a)  if the period of unused annual leave is expressed in weeks-multiply by
        7 the number of weeks (including fractions of weeks) in the period of
        unused annual leave and disregard any fraction that results;

   (b)  otherwise-multiply by 7 the number of working weeks (including any
        fraction of a working week) represented by the period of unused annual
        leave and disregard any fraction that results.

"(4) The number of days for which a person has unused annual leave cannot
exceed 28 days. Duration of unused annual leave waiting period

"925. A person's unused annual leave waiting period starts on the person's
provisional commencement day and finishes on the last day of the notional
leave period. Note 1: For the person's provisional commencement day see
section 911. Note 2: For the notional leave period see section 924.
Non-payment periods for job search allowance and newstart allowance

"926.(1) A parenting allowance is not payable to a person if:

   (a)  a period of non-payment of job search allowance has been applied to
        the person under paragraph 526(1)(j), or a period of non-payment of
        newstart allowance has been applied to the person under paragraph
        608(1)(j); and

   (b)  that period has not ended.

"(2) This section does not apply in relation to a particular period of
non-payment if the Secretary is satisfied that it should not so apply.

"Division 3-Claim for parenting allowance Need for a claim

"927.(1) Subject to subsection (3), a person who wants to be granted a
parenting allowance must make a proper claim for that allowance. Note: For
'proper claim' see section 928 (form), section 929 (manner of lodgment) and
section 930 (residence / presence in Australia).

"(2) For the purposes of subsection (1), if:

   (a)  a claim for parenting allowance is made by or on behalf of a person;
        and

   (b)  at the time the claim is made, the claim cannot be granted because the
        person is not qualified for parenting allowance; and

   (c)  subsection 911(4) does not apply to the claim; the claim is to be
        taken to have not been made.

"(3) A person does not have to make a claim for a parenting allowance if:

   (a)  the person is receiving a partner allowance; and

   (b)  the person becomes qualified for a parenting allowance because the
        person becomes a person who has at least one parenting allowance
        child. Note: For 'parenting allowance child' see sections 901 to 904.
        Form of claim

"928. To be a proper claim, a claim must be made in writing and must be in
accordance with a form approved by the Secretary. Lodgment of claim

"929.(1) To be a proper claim, a claim must be lodged:

   (a)  at an office of the Department; or

   (b)  at a place approved for the purpose by the Secretary; or

   (c)  with a person approved for the purpose by the Secretary.

"(2) A place or person approved under subsection (1) must be a place or person
in Australia. Claimant must be Australian resident and in Australia

"930. A claim by a person is not a proper claim unless the person:

   (a)  is an Australian resident, or has a qualifying residence exemption for
        parenting allowance; and

   (b)  is in Australia; on the day on which the claim is lodged. Note: For
        'Australian resident' and 'qualifying residence exemption' see section
        7. Claim may be withdrawn

"931.(1) A claimant for parenting allowance or a person on behalf of a
claimant may withdraw a claim that has not been determined.

"(2) A claim that is withdrawn is taken to have not been made.

"(3) A withdrawal may be made orally or in writing. Secretary may request
claimant to give statement of claimant's tax file number

"932.(1) The Secretary may request but not compel a claimant for parenting
allowance:

   (a)  if the claimant has a tax file number-to give the Secretary a written
        statement of the claimant's tax file number; or

   (b)  if the claimant does not have a tax file number:

        (i)    to apply to the Commissioner of Taxation for a tax file number;
               and

        (ii)   to give the Secretary a written statement of the claimant's tax
               file number after the Commissioner of Taxation has issued it.

"(2) A parenting allowance is not payable to a claimant if, at the end of the
period of 28 days after the request is made:

   (a)  the claimant has failed to satisfy the request; and

   (b)  the Secretary has not exempted the claimant from having to satisfy the
        request. Note: In some cases the request can be satisfied by giving
        the Secretary a declaration by the claimant about the claimant's tax
        file number and an authority to the Commissioner of Taxation to give
        the Secretary certain information about the claimant's tax file number
        (see subsections 912(2) and (3)). Secretary may request claimant to
        give statement of partner's tax file number

"933.(1) The Secretary may request but not compel a claimant for parenting
allowance to give the Secretary a written statement of the tax file number of
the claimant's partner if the partner is in Australia.

"(2) A parenting allowance is not payable to a claimant if, at the end of the
period of 28 days after the request is made:

   (a)  the claimant has failed to satisfy the request; and

   (b)  the Secretary has not exempted the claimant from having to satisfy the
        request. Note 1: In some cases the request can be satisfied by giving
        the Secretary a declaration by the partner about the partner's tax
        file number and an authority by the partner to the Commissioner of
        Taxation to give the Secretary certain information about the partner's
        tax file number (see subsections 913(2) and (3)). Note 2: The
        Secretary can waive the requirement in some cases (see subsection
        913(4)).

"Division 4-Determination of claim Secretary to determine claim

"934. The Secretary must, in accordance with this Act, determine the claim.
Grant of claim

"935. The Secretary is to determine that the claim is to be granted if the
Secretary is satisfied that:

   (a)  the person is qualified for a parenting allowance; and

   (b)  the allowance is payable. Date of effect of determination General

"936.(1) Subject to subsections (2), (3) and (4), a determination under
section 935 takes effect on the day on which the determination is made or on
such later day or earlier day as is specified in the determination. Notified
decision-review sought within 3 months

"(2) If:

   (a)  a decision (the 'previous decision') is made rejecting a person's
        claim for parenting allowance; and

   (b)  a notice is given to the person advising the person of the making of
        the previous decision; and

   (c)  the person applies to the Secretary under section 1240, within 3
        months after the notice is given, for review of the previous decision;
        and

   (d)  a determination granting the claim is made as a result of the
        application for review; the determination takes effect on the day on
        which the previous decision took effect. Notified decision-review
        sought after 3 months

"(3) If:

   (a)  a decision (the 'previous decision') is made rejecting a person's
        claim for parenting allowance; and

   (b)  a notice is given to the person advising the person of the making of
        the previous decision; and

   (c)  the person applies to the Secretary under section 1240, more than 3
        months after the notice is given, for review of the previous decision;
        and

   (d)  a determination granting the claim is made as a result of the
        application for review; the determination takes effect on the day on
        which the person sought the review. Decision not notified

"(4) If:

   (a)  a decision (the 'previous decision') is made rejecting a person's
        claim for parenting allowance; and

   (b)  no notice is given to the person advising the person of the making of
        the previous decision; and

   (c)  the person applies to the Secretary under section 1240 for review of
        the previous decision; and

   (d)  a determination granting the claim is made as a result of the
        application for review; the determination takes effect on the day on
        which the previous decision took effect.

"Division 5-Rate of parenting allowance How to work out a person's parenting
allowance rate

"937. A person's parenting allowance rate is worked out using the Parenting
Allowance Rate Calculator at the end of section 1068A.

"Division 6-Payment of parenting allowance Commencement of parenting allowance

"938. Parenting allowance becomes payable to a person on the first day on
which:

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

   (b)  no provision of this Act makes the allowance not payable to the
        person. Note 1: For qualification see section 905. Note 2: For
        circumstances in which a parenting allowance is not payable see
        section 909. Payment by instalments

"939. Subject to section 940, a full instalment of parenting allowance is
payable to a person on each parenting allowance payday on which:

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

   (b)  the allowance is payable to the person. Note: For 'parenting allowance
        payday' see subsection 23(1). Effect on instalments of backdating
        claim

"940. If:

   (a)  a person claims parenting allowance on a particular day (the 'claim
        day'); and

   (b)  the person's provisional commencement day is before the claim day; and

   (c)  there is a parenting allowance payday on or after the provisional
        commencement day and before the claim day; then:

   (d)  no instalment of parenting allowance is payable on that payday; and

   (e)  a full instalment in respect of that payday is payable on the first
        parenting allowance payday on or after the claim day. Note 1: For
        'provisional commencement day' see section 911. Note 2: For 'parenting
        allowance payday' see subsection 23(1). Calculation of amount of
        instalment

"941.(1) The amount of an instalment of parenting allowance is the fortnightly
rate of the allowance.

"(2) If an amount that is payable to a person on a parenting allowance payday
is not a multiple of 10 cents, the amount is, subject to subsection (3), to be
increased or decreased to the nearest multiple of 10 cents.

"(3) If an amount that is payable to a person on a parenting allowance payday
is not a multiple of 10 cents but is a multiple of 5 cents, the amount is to
be increased by 5 cents.

"(4) If:

   (a)  an amount of pharmaceutical allowance is added to a person's
        provisional rate of parenting allowance in working out the amount of
        an instalment of parenting allowance; and

   (b)  apart from this subsection, the amount of the instalment would be less
        than that amount of pharmaceutical allowance; the amount of the
        instalment is to be increased to that amount of pharmaceutical
        allowance. Note: For the provisional rate of parenting allowance see
        Step 3 of point 1068A-A3 of the Parenting Allowance Rate Calculator at
        the end of section 1068A.

"(5) If, apart from this subsection, the amount of an instalment would be less
than $1.00, the amount is to be increased to $1.00. Instalments to be paid to
person or nominee

"942.(1) Subject to subsection (3), instalments of a person's parenting
allowance are to be paid to that person.

"(2) The Secretary may direct that the whole or part of the instalments of a
person's parenting allowance are to be paid to someone else on behalf of the
person.

"(3) If the Secretary makes a direction under subsection (2), the instalments
are to be paid in accordance with the direction. Payment into bank account
etc.

"943.(1) An amount that is to be paid to a person under section 942 is to be
paid in the way set out in this section.

"(2) Subject to this section, the amount is to be paid to the credit of a bank
account, credit union account or building society account nominated and
maintained by the person.

"(3) The account may be an account that is maintained by the person either
alone or jointly or in common with another person.

"(4) If the person has not nominated an account for the purposes of subsection
(2), then, subject to subsections (5) and (7), the amount is not to be paid.

"(5) If:

   (a)  an amount has not been paid because of subsection (4); and

   (b)  the person nominates an account for the purposes of subsection (2);
        the amount is to be paid under subsection (2).

"(6) The Secretary may direct that the whole or a part of the amount be paid
to the person in a different way from that provided for by subsection (2).

"(7) If the Secretary gives a direction under subsection (6), the amount is to
be paid in accordance with the direction. Where allowance payday would fall on
public holiday etc.

"944. If the Secretary is satisfied that an amount of parenting allowance that
would normally be paid on a particular day cannot reasonably be paid on that
day (because, for example, it is a public holiday or a bank holiday), the
Secretary may direct that the amount be paid on an earlier day. Payment of
allowance after death

"945.(1) If:

   (a)  parenting allowance is payable to a person; and

   (b)  the person dies; and

   (c)  at the date of the person's death the person had not received an
        amount of parenting allowance payable to him or her; and

   (d)  another person applies to receive that amount; and

   (e)  the application is made:

        (i)    within 6 months after the death; or

        (ii)   within a further period allowed by the Secretary in special
               circumstances; the Secretary may pay the amount to the person
               who, in the Secretary's opinion, is best entitled to it.

"(2) If the Secretary pays an amount of parenting allowance under subsection
(1), the Commonwealth has no further liability to any person in respect of
that amount of parenting allowance.

"Division 7-Protection of parenting allowance Parenting allowance to be
absolutely inalienable General

"946.(1) Subject to subsections (2) and (3) and section 1359, parenting
allowance is absolutely inalienable, whether by way of, or in consequence of,
sale, assignment, charge, execution, bankruptcy or otherwise. Payments to
Commissioner of Taxation at recipient's request

"(2) The Secretary may make deductions from the instalments of parenting
allowance payable to a person if the recipient asks the Secretary:

   (a)  to make the deductions; and

   (b)  to pay the amounts to be deducted to the Commissioner of Taxation.
        Note: The Secretary must make deductions from a person's social
        security payment if requested by the Commissioner of Taxation-see
        section 1359. Deductions from instalments with recipient's consent

"(3) The Secretary may make deductions from the instalments of parenting
allowance payable to a person if the recipient consents under section 1234A to
the Secretary making the deductions. Note: Section 1234A enables the Secretary
to recover a debt from a person other than the debtor if the person is
receiving a social security payment. Effect of garnishee or attachment order

"947.(1) If:

   (a)  a person has an account with a financial institution; and

   (b)  instalments of parenting allowance payable to the person (whether on
        the person's own behalf or not) are being paid to the credit of that
        account; and

   (c)  a court order in the nature of a garnishee order comes into force in
        respect of the account; the court order does not apply to the saved
        amount (if any) in the account.

"(2) The saved amount is worked out as follows: Method statement Step 1. Work
out the total amount of parenting allowance payable to the person that has
been paid to the credit of the account during the 4 week period immediately
before the court order came into force. Step 2. Subtract from that amount the
total amount withdrawn from the account during the same 4 week period: the
result is the saved amount.

"(3) This section applies to an account whether it is maintained by a person:

   (a)  alone; or

   (b)  jointly with another person; or

   (c)  in common with another person. Note: A person affected by a garnishee
        order may have other saved amounts if the person receives telephone
        allowance (see section 1061X).

"Division 8-Recipient obligations Secretary may request recipient to give
statement of recipient's tax file number

"948.(1) The Secretary may request but not compel a recipient of parenting
allowance:

   (a)  if the recipient has a tax file number-to give the Secretary a written
        statement of the recipient's tax file number; or

   (b)  if the recipient does not have a tax file number:

        (i)    to apply to the Commissioner of Taxation for a tax file number;
               and

        (ii)   to give the Secretary a written statement of the recipient's
               tax file number after the Commissioner of Taxation has issued
               it.

"(2) A parenting allowance is not payable to a recipient if, at the end of the
period of 28 days after the request is made:

   (a)  the recipient has failed to satisfy the request; and

   (b)  the Secretary has not exempted the recipient from having to satisfy
        the request. Note: In some cases the request can be satisfied by
        giving the Secretary a declaration by the claimant about the
        claimant's tax file number and an authority to the Commissioner of
        Taxation to give the Secretary certain information about the
        recipient's tax file number (see subsections 912(2) and (3)).
        Secretary may request recipient to give statement of partner's tax
        file number

"949.(1) The Secretary may request but not compel a recipient of parenting
allowance to give the Secretary a written statement of the tax file number of
the recipient's partner if the partner is in Australia.

"(2) A parenting allowance is not payable to a recipient if, at the end of the
period of 28 days after the request is made:

   (a)  the recipient has failed to satisfy the request; and

   (b)  the Secretary has not exempted the recipient from having to satisfy
        the request. Note 1: In some cases the request can be satisfied by
        giving the Secretary a declaration by the partner about the partner's
        tax file number and an authority by the partner to the Commissioner of
        Taxation to give the Secretary certain information about the partner's
        tax file number (see subsections 913(2) and (3)). Note 2: The
        Secretary can waive the requirement in some cases (see subsection
        913(4)).

Secretary may require notice of the happening of an event or a change in
circumstances

"950.(1) The Secretary may give a person to whom a parenting allowance is
being paid a notice that requires the person to inform the Department if:

   (a)  a specified event or change of circumstances occurs; or

   (b)  the person becomes aware that a specified event or change of
        circumstances is likely to occur.

"(2) An event or change of circumstances is not to be specified in a notice
under subsection (1) unless the occurrence of the event or change of
circumstances might affect the payment of the allowance.

"(3) Subject to subsection (4), a notice under subsection (1):

   (a)  must be in writing; and

   (b)  may be given personally or by post; and

   (c)  must specify how the person is to give the information to the
        Department; and

   (d)  must specify the period within which the person is to give the
        information to the Department; and

   (e)  must specify that the notice is a recipient notification notice given
        under this Act. Note: For 'recipient notification notice' see
        subsection 23(1).

"(4) A notice under subsection (1) is not invalid merely because it fails to
comply with paragraph (3)(c) or (e).

"(5) Subject to subsections (6) and (7), the period specified under paragraph
(3)(d) must end at least 14 days after:

   (a)  the day on which the event or change of circumstances occurs; or

   (b)  the day on which the person becomes aware that the event or change of
        circumstances is likely to occur.

"(6) If a notice requires the person to inform the Department of any proposal
by the person to leave Australia, subsection (5) does not apply to that
requirement.

"(7) If the notice requires information about receipt of a compensation
payment, the period specified under paragraph (3)(d) in relation to that
information must end at least 7 days after the day on which the person becomes
aware that he or she has received or is to receive a compensation payment.

"(8) A person must not, without reasonable excuse, refuse or fail to comply
with a notice under subsection (1) to the extent that the person is capable of
complying with the notice. Penalty: Imprisonment for 6 months. Note:
Subsections 4B(2) and (3) of the Crimes Act 1914 allow a court to impose an
appropriate fine instead of, or in addition to, a term of imprisonment.

"(9) This section extends to:

   (a)  acts, omissions, matters and things outside Australia whether or not
        in a foreign country; and

   (b)  all persons irrespective of their nationality or citizenship.
        Secretary may require recipient to give particular information
        relevant to payment of parenting allowance

"951.(1) The Secretary may give a person to whom a parenting allowance is
being paid a notice that requires the person to give the Department a
statement about a matter that might affect the payment of the allowance to the
person.

"(2) Subject to subsection (3), a notice under subsection (1):

   (a)  must be in writing; and

   (b)  may be given personally or by post; and

   (c)  must specify how the statement is to be given to the Department; and

   (d)  must specify the period within which the person is to give the
        statement to the Department; and

   (e)  must specify that the notice is a recipient statement notice given
        under this Act. Note: For 'recipient statement notice' see subsection
        23(1).

"(3) A notice under subsection (1) is not invalid merely because it fails to
comply with paragraph (2)(c) or (e).

"(4) The period specified under paragraph (2)(d) must end at least 14 days
after the day on which the notice is given.

"(5) A statement given in response to a notice under subsection (1) must be in
writing and in accordance with a form approved by the Secretary.

"(6) A person must not, without reasonable excuse, refuse or fail to comply
with a notice under subsection (1) to the extent that the person is capable of
complying with the notice. Penalty: Imprisonment for 6 months. Note:
Subsections 4B(2) and (3) of the Crimes Act 1914 allow a court to impose an
appropriate fine instead of, or in addition to, a term of imprisonment.

"(7) This section extends to:

   (a)  acts, omissions, matters and things outside Australia whether or not
        in a foreign country; and

   (b)  all persons irrespective of their nationality or citizenship.

"Division 9-Continuation, variation and termination

"Subdivision A-General Continuing effect of determination Entitlement
determination

"951A.(1) A determination that:

   (a)  a person's claim for parenting allowance is to be granted; or

   (b)  parenting allowance is payable to a person; continues in effect until:

   (c)  the allowance ceases to be payable under section 951B, 951C, 951D or
        951E; or

   (d)  a further determination in relation to the allowance under section
        951P or 951Q has taken effect. Note 1: A determination to grant a
        claim for parenting allowance is made under section 935. Note 2: A
        determination that parenting allowance is payable to a person is
        necessary where the determination is to reverse an earlier
        determination to cancel or suspend the allowance (see section 951S).
        Note 3: If changes are made to a person's parenting allowance payments
        because of the operation of a computer program, a determination is
        taken to have been made in certain circumstances (see section 951R).
        Rate determination

"(2) A determination of the rate of a parenting allowance continues in effect
until:

   (a)  the allowance becomes payable at a lower rate under sections 951G,
        951H, 951J or 951K; or

   (b)  a further determination in relation to the allowance under section
        951M or 951N has taken effect. Note: For paragraph (b) see also
        section 951R.

"Subdivision B-Automatic termination Automatic termination-transfer to new
payment type

"951B. If:

   (a)  a person is receiving parenting allowance; and

   (b)  a social security benefit or a youth training allowance becomes
        payable to the person; the allowance ceases to be payable to the
        person immediately before the day on which the benefit becomes payable
        to the person. Automatic termination-recipient complying with section
        950 notification obligations

"951C. If:

   (a)  a person who is receiving parenting allowance is given a notice under
        section 950; and

   (b)  the notice requires the person to inform the Department of the
        occurrence of an event or change in circumstances within a specified
        period (the 'notification period'); and

   (c)  the event or change in circumstances occurs; and

   (d)  the person informs the Department of the occurrence of the event or
        change in circumstances within the notification period in accordance
        with the notice; and

   (e)  because of the occurrence of the event or change in circumstances:

        (i)    the person ceases to be qualified for the allowance; or

        (ii)   the allowance would, apart from this section, cease to be
               payable to the person; and

   (f)  the allowance is not cancelled before the end of the notification
        period; the allowance continues to be payable to the person until the
        end of the notification period and then ceases to be payable to the
        person. Note: If the person informs the Department, within the
        notification period, of an event or change in circumstances that
        reduces the rate of the person's allowance, there is no automatic rate
        reduction and a determination under section 951N must be made in order
        to bring the rate reduction into effect. Automatic
        termination-recipient not complying with section 950 notification
        obligations

"951D. If:

   (a)  a person who is receiving parenting allowance is given a notice under
        section 950; and

   (b)  the notice requires the person to inform the Department of the
        occurrence of an event or change in circumstances within a specified
        period (the 'notification period'); and

   (c)  the event or change in circumstances occurs; and

   (d)  the person does not inform the Department of the occurrence of the
        event or change in circumstances within the notification period in
        accordance with the notice; and

   (e)  because of the occurrence of the event or the change in circumstances:

        (i)    the person ceases to be qualified for the allowance; or

        (ii)   the allowance ceases to be payable to the person; the allowance
               ceases to be payable to the person immediately after the day on
               which the event or change in circumstances occurs. Automatic
               termination-failure to provide section 951 statement

"951E.(1) If:

   (a)  a person who is receiving parenting allowance is given a notice under
        section 951 requiring the person to give the Department a statement;
        and

   (b)  the notice relates to the payment of the allowance during a period
        specified in the notice; and

   (c)  the person does not comply with the notice; the allowance, subject to
        subsection (2), ceases to be payable to the person as from the first
        day in that period.

"(2) If the Secretary is satisfied that, in the special circumstances of the
case, it is appropriate to do so, the Secretary may determine in writing that
subsection (1) does not apply to the person from a day specified in the
determination.

"(3) The day specified under subsection (2) may be before or after the making
of the determination. Changes to payments by computer following automatic
termination

"951F. If:

   (a)  a person is receiving parenting allowance on the basis of data in a
        computer; and

   (b)  the allowance is automatically terminated by the operation of a
        provision of this Act; and

   (c)  the automatic termination is given effect to by the operation of a
        computer program approved by the Secretary stopping payment of the
        allowance; there is taken to be a decision by the Secretary that the
        automatic termination provision applies to the person's allowance.
        Note: The decision that is taken to have been made is a decision of an
        officer for the purposes of review by the Secretary (see sections 1239
        and 1240) and the Social Security Appeals Tribunal (see section 1247).

"Subdivision C-Automatic rate reduction Automatic rate reduction-recipient not
complying with section 950 notification obligations

"951G. If:

   (a)  a person who is receiving parenting allowance is given a notice under
        section 950; and

   (b)  the notice requires the person to inform the Department of the
        occurrence of an event or change in circumstances within a specified
        period (the 'notification period'); and

   (c)  the event or change in circumstances occurs; and

   (d)  the person does not inform the Department of the occurrence of the
        event or change in circumstances within the notification period in
        accordance with the notice; and

   (e)  because of the occurrence of the event or change in circumstances, the
        person's rate of allowance is to be reduced; the allowance becomes
        payable to the person at the reduced rate immediately after the day on
        which the event or change in circumstances occurs. Automatic rate
        reduction-failure to inform Department of payment for remunerative
        work where earnings credit account balance available

"951H. If:

   (a)  a person who is receiving parenting allowance is given a notice under
        section 950; and

   (b)  the notice requires the person to inform the Department of income for
        remunerative work undertaken by the person or the person's partner;
        and

   (c)  the person fails to notify the Department of income of that kind in
        accordance with the notice; and

   (d)  the person has an earnings credit account balance for the purposes of
        Division 5 of Part 3.10; the allowance becomes payable to the person
        at the reduced rate from the first payday after the day on which the
        person's earnings credit account balance is reduced to nil. Automatic
        rate reduction-receipt of social security pension or service pension

"951J. If:

   (a)  a person is receiving parenting allowance at a rate that exceeds the
        maximum basic component of parenting allowance; and

   (b)  as a result of a social security pension or a service pension becoming
        payable to the person, the person's rate of parenting allowance is
        reduced; the allowance becomes payable to the person at the reduced
        rate immediately before the day on which the social security pension
        or service pension becomes payable to the person. Note: For the
        maximum basic component of parenting allowance see point 1068A-B6 of
        the Parenting Allowance Rate Calculator at the end of section 1068A.
        Automatic rate reduction-partner receiving AUSTUDY allowance that
        includes dependent spouse allowance

"951K. If:

   (a)  a person is receiving parenting allowance at a rate that exceeds the
        maximum basic component of parenting allowance; and

   (b)  as a result of an AUSTUDY allowance that includes a dependent spouse
        allowance becoming payable to the person's partner, the person's rate
        of parenting allowance is reduced; the allowance becomes payable to
        the person at the reduced rate immediately before the day on which the
        AUSTUDY allowance that includes a dependent spouse allowance becomes
        payable to the person's partner. Note: For the maximum basic component
        of parenting allowance see point 1068A-B6 of the Parenting Allowance
        Rate Calculator at the end of section 1068A. Changes to payments by
        computer following automatic reduction

"951L. If:

   (a)  a person is receiving parenting allowance on the basis of data in a
        computer; and

   (b)  the allowance rate is automatically reduced by the operation of a
        provision of this Act; and

   (c)  the automatic reduction is given effect to by the operation of a
        computer program approved by the Secretary reducing the rate of
        payment of the allowance; there is taken to be a decision by the
        Secretary that the automatic rate reduction provision applies to the
        person's allowance. Note: The decision that is taken to have been made
        is a decision of an officer for the purposes of review by the
        Secretary (see sections 1239 and 1240) and the Social Security Appeals
        Tribunal (see section 1247).

"Subdivision D-Determinations Rate increase determination

"951M. If the Secretary is satisfied that the rate at which parenting
allowance is being, or has been, paid is less than the rate provided for by
this Act, the Secretary is to determine that the rate is to be increased to
the rate specified in the determination. Note: For the date of effect of a
determination under this section see section 951T. Rate reduction
determination

"951N. If the Secretary is satisfied that the rate at which parenting
allowance is being, or has been, paid is more than the rate provided for by
this Act, the Secretary is to determine that the rate is to be reduced to the
rate specified in the determination. Note 1: A determination under this
section is not necessary if an automatic rate reduction is produced by section
951G, 951H, 951J or 951K (see subsection 951A(2)). Note 2: For the date of
effect of a determination under this section see section 951U. Cancellation or
suspension determination

"951P. If the Secretary is satisfied that parenting allowance is being, or has
been, paid to a person to whom it is not, or was not, payable under this Act,
the Secretary is to determine that the allowance is to be cancelled or
suspended. Note 1: A determination under this section is not necessary if an
automatic termination is produced by section 951B, 951C, 951D or 951E (see
subsection 951A(1)). Note 2: For the date of effect of a determination under
this section see section 951U. Cancellation or suspension for failure to
comply with section 951, 1304 or 1305 notice

"951Q. If:

   (a)  a person who is receiving parenting allowance is given a notice under
        section 951, 1304 or 1305; and

   (b)  the person does not comply with the requirements set out in the
        notice; the Secretary may determine that the allowance is to be
        cancelled or suspended. Note 1: This section will not apply if section
        951E or 951N applies. Note 2: For the date of effect of a
        determination under this section see section 951U. Changes to payments
        by computer

"951R. If:

   (a)  payment of parenting allowance to a person is based on data in a
        computer; and

   (b)  the allowance rate is increased or reduced, or the allowance is
        cancelled or suspended, because of the operation of a computer program
        approved by the Secretary; and

   (c)  the program causes the change for a reason for which the Secretary
        could determine the change; the change is taken to have been made
        because of a determination by the Secretary for that reason. Note: The
        determination that is taken to have been made is a decision of an
        officer for the purposes of review by the Secretary (see sections 1239
        and 1240) and the Social Security Appeals Tribunal (see section 1247).
        Resumption of payment after cancellation or suspension

"951S.(1) If the Secretary:

   (a)  cancels or suspends a person's parenting allowance under section 951P
        or 951Q; and

   (b)  reconsiders the decision to cancel or suspend; and

   (c)  becomes satisfied that because of the decision to cancel or suspend:

        (i)    the person did not receive parenting allowance that was payable
               to the person; or

        (ii)   the person is not receiving parenting allowance that is payable
               to the person; the Secretary is to determine that parenting
               allowance was or is payable to the person.

"(2) The reconsideration referred to in paragraph (1)(b) might be a
reconsideration on an application under section 1240 for review or a
reconsideration on the Secretary's own initiative. Note: For the date of
effect of a determination under this section see section 951T.

"Subdivision E-Date of effect of determinations Date of effect of favourable
determination General

"951T.(1) The day on which a determination under section 951M or 951S (the
'favourable determination') takes effect is worked out in accordance with this
section. Notified decision-review sought within 3 months

"(2) If:

   (a)  a decision (the 'previous decision') is made in relation to a
        parenting allowance; and

   (b)  a notice is given to the person to whom the allowance is payable
        advising the person of the making of the previous decision; and

   (c)  the person applies to the Secretary under section 1240, within 3
        months after the notice is given, for review of the previous decision;
        and

   (d)  a favourable determination is made as a result of the application for
        review; the determination takes effect on the day on which the
        previous decision took effect. Notified decision-review sought after 3
        months

"(3) If:

   (a)  a decision (the 'previous decision') is made in relation to a
        parenting allowance; and

   (b)  a notice is given to the person to whom the allowance is payable
        advising the person of the making of the previous decision; and

   (c)  the person applies to the Secretary under section 1240, more than 3
        months after the notice is given, for review of the previous decision;
        and

   (d)  a favourable determination is made as a result of the application for
        review; the determination takes effect on the day on which the person
        sought the review. Decision not notified

"(4) If:

   (a)  a decision (the 'previous decision') is made in relation to a
        parenting allowance; and

   (b)  no notice is given to the person to whom the allowance is payable
        advising the person of the making of the previous decision; and

   (c)  the person applies to the Secretary under section 1240 for review of
        the previous decision; and

   (d)  a favourable determination is made as a result of the application for
        review; the determination takes effect on the day on which the
        previous decision took effect. Notified change of circumstances

"(5) If the favourable determination is made following a person having advised
the Department of a change in circumstances, the determination takes effect on
the day on which the advice was received or on the day on which the change
occurred, whichever is the later. Other determinations

"(6) In any other case, the favourable determination takes effect on the day
on which the determination was made or on such later day or earlier day (not
being a day more than 3 months before the determination was made) as is
specified in the determination. Date of effect of adverse determination
General

"951U.(1) The day on which a determination under section 951N, 951P or 951Q
(the 'adverse determination') takes effect is worked out in accordance with
this section. Note: If the adverse determination depends on a discretion or
opinion and a person affected by the determination applies for review, the
Secretary may continue payment pending the outcome of the review (see section
1241 (internal review) and section 1251 (review by Social Security Appeals
Tribunal)). Date of effect

"(2) The adverse determination takes effect on:

   (a)  the day on which the determination is made; or

   (b)  if another day is specified in the determination-on that day. Later
        day must be specified

"(3) Subject to subsections (4) to (8), the day specified under paragraph
(2)(b) must be later than the day on which the determination is made.

Contravention of Act

"(4) If:

   (a)  the person whose allowance is affected by the adverse determination
        has contravened a provision of this Act (other than section 951, 1304,
        1305, 1306 or 1307); and

   (b)  the contravention causes a delay in making the determination; the day
        specified under paragraph (2)(b) may be earlier than the day on which
        the determination is made. False statement or
        misrepresentation-suspension or cancellation

"(5) If:

   (a)  a person has made a false statement or misrepresentation; and

   (b)  because of the false statement or misrepresentation, the allowance has
        been paid to a person when it should have been cancelled or suspended;
        the day specified under paragraph (2)(b) may be earlier than the day
        on which the determination is made. False statement or
        misrepresentation-rate reduction

"(6) If:

   (a)  a person has made a false statement or misrepresentation; and

   (b)  because of the false statement or misrepresentation, the rate at which
        the allowance was paid to a person was more than it should have been;
        the day specified under paragraph (2)(b) may be earlier than the day
        on which the determination is made. Payment of arrears of periodic
        compensation payments-suspension or cancellation

"(7) If:

   (a)  an adverse determination is made in relation to a person because of
        point 1068A-D11 (payment of arrears of periodic compensation
        payments); and

   (b)  the allowance has been paid to the person or the person's partner
        when, because of the payment of arrears of periodic compensation, the
        allowance should have been cancelled or suspended; the day specified
        under paragraph (2)(b) may be earlier than the day on which the
        determination is made. Payment of arrears of periodic compensation
        payments-rate reduction

"(8) If:

   (a)  an adverse determination is made in relation to a person because of
        point 1068A-D11 (payment of arrears of periodic compensation
        payments); and

   (b)  the rate at which the allowance was paid to the person or the person's
        partner was, because of the payment of arrears of periodic
        compensation, more than the rate at which the allowance should have
        been paid; the day specified under paragraph (2)(b) may be earlier
        than the day on which the determination is made.

"Division 10-Bereavement payments

"Subdivision A-Preliminary Surviving partner and deceased partner

"951V. If:

   (a)  a person is receiving parenting allowance; and

   (b)  the person's partner dies; then, for the purposes of this Division:

   (c)  the person is the surviving partner; and

   (d)  the person's partner is the deceased partner.

"Subdivision B-Death of parenting allowance children Death of parenting
allowance children-continuation of qualification for 14 weeks in some cases

"951W.(1) If:

   (a)  a person is receiving parenting allowance for a dependent child; and

   (b)  the child dies; and

   (c)  following the child's death, there is no other dependent child of the
        person who is a parenting allowance child; and

   (d)  immediately before the child dies:

        (i)    the person was receiving additional family payment for the
               child; or

        (ii)   the person or the person's partner was receiving a service
               pension whose rate included a dependent child add-on for the
               child or guardian allowance in respect of the child; the person
               is qualified for parenting allowance in respect of the child,
               for the period of 14 weeks that starts on the next day after
               the child's death.

"(2) If a person is qualified under subsection (1), the person's parenting
allowance rate during the 14 weeks is to be worked out as if the child had not
died. Death of parenting allowance children-continuation of qualification for
4 weeks

"951X.(1) If:

   (a)  a person is receiving parenting allowance for a dependent child; and

   (b)  the child dies; and

   (c)  following the child's death, there is no other dependent child of the
        person who is a parenting allowance child; and

   (d)  the person is not qualified for parenting allowance under section
        951W; the person is qualified for parenting allowance in respect of
        the child, for the period of 4 weeks that starts on the next day after
        the child's death.

"(2) If a person is qualified under subsection (1), the person's parenting
allowance rate during the 4 weeks is to be worked out as if the child had not
died.

"Subdivision C-Death of recipient Death of recipient of parenting allowance
during period for payments under Subdivision B

"951Y. If:

   (a)  a person is receiving parenting allowance; and

   (b)  the person dies; and

   (c)  the person:

        (i)    was qualified at the time of the person's death for payments
               under Subdivision B in relation to the death of a parenting
               allowance child; or

        (ii)   would have been qualified if the person had not died; there is
               payable to the partner of the person an amount equal to the
               amount of parenting allowance that would have been payable to
               the person under Subdivision B if the person had not died.

"Subdivision D-Continuation of parenting allowance following death of
recipient's partner Continuation of parenting allowance for bereavement period

"951Z.(1) This section applies if:

   (a)  a person is receiving a parenting allowance; and

   (b)  the person's partner dies; and

   (c)  immediately before the deceased partner died, he or she:

        (i)    was a long-term social security recipient; or

        (ii)   was receiving a social security pension, a service pension or a
               rehabilitation allowance; and

   (d)  immediately before the deceased partner died, the surviving partner
        was a long-term social security recipient.

"(2) The surviving partner remains qualified for parenting allowance during
the bereavement period as if:

   (a)  the deceased partner had not died; and

   (b)  the deceased partner had continued to receive a social security
        pension, a service pension, a social security benefit or a
        rehabilitation allowance; and

   (c)  the surviving partner and the deceased partner had continued to be
        members of a couple.

"(3) The surviving partner's parenting allowance rate during the bereavement
rate continuation period is the rate that would have been payable to the
surviving partner if:

   (a)  the deceased partner had not died; and

   (b)  if the couple had been an illness separated couple or a respite care
        couple-they had not been such a couple.

"(4) The surviving partner's parenting allowance rate during the bereavement
lump sum period (if any) is the rate at which parenting allowance would have
been payable to the surviving partner if:

   (a)  he or she had been qualified for newstart allowance; and

   (b)  he or she was not a member of a couple; and

   (c)  the appropriate maximum basic rate was worked out under Module B of
        Benefit Rate Calculator B as if he or she had a dependent child. Note
        1: For 'long-term social security recipient' see subsection 23(1).
        Note 2: For 'bereavement period', 'bereavement rate continuation
        period' and 'bereavement lump sum period' see section 21. Note 3: For
        'illness separated couple' and 'respite care couple' see subsections
        4(7) and 4(8) respectively.

"Subdivision E-Bereavement payments for person receiving parenting allowance
following death of the person's partner Qualification for payments under this
Subdivision

"951ZA.(1) If:

   (a)  a person is receiving a parenting allowance; and

   (b)  the person's partner dies; and

   (c)  immediately before the deceased partner died, he or she:

        (i)    was a long-term social security recipient; or

        (ii)   was receiving a social security pension, a service pension or a
               rehabilitation allowance; and

   (d)  immediately before the deceased partner died, the surviving partner
        was a long-term social security recipient; the surviving partner is
        qualified for payments under this Subdivision to cover the bereavement
        period. Note 1: Section 951ZB provides for the payment to the
        surviving partner, up to the first available bereavement adjustment
        payday, of amounts equal to the instalments that would have been paid
        to the deceased partner during that period if the partner had not
        died. Note 2: Section 951ZC provides for payment to the surviving
        partner of a lump sum that represents the instalments that would have
        been paid to the deceased partner, between the first available
        bereavement adjustment payday and the end of the bereavement period,
        if the deceased partner had not died. Note 3: For 'bereavement period'
        see section 21.

"(2) A surviving partner who is qualified for payments under this Subdivision
may choose not to receive payments under this Subdivision.

"(3) An election under subsection (2):

   (a)  must be made by written notice to the Secretary; and

   (b)  may be made after the surviving partner has been paid an amount or
        amounts under this Subdivision; and

   (c)  cannot be withdrawn after the Department has taken all the action
        required to give effect to that election. Continued payment of
        deceased partner's previous entitlement

"951ZB. If a surviving partner is qualified for payments under this
Subdivision in relation to the death of the deceased partner, there is payable
to the surviving partner, on each of the deceased partner's paydays in the
bereavement rate continuation period, an amount equal to the amount that would
have been payable to the deceased partner on that payday if he or she had not
died. Note: For 'bereavement rate continuation period' see section 21. Lump
sum payable in some circumstances

"951ZC. If:

   (a)  a surviving partner is qualified for payments under this Subdivision
        in relation to the death of the deceased partner; and

   (b)  the first available bereavement adjustment payday occurs before the
        end of the bereavement period; there is payable to the surviving
        partner as a lump sum an amount worked out using the following Lump
        Sum Calculator: LUMP SUM CALCULATOR This is how to work out the amount
        of the lump sum: Method statement Step 1. Work out the amount that
        would have been payable to the surviving partner on the surviving
        partner's payday immediately before the first available bereavement
        adjustment payday if:

   (a)  the deceased partner had not died; and

   (b)  if immediately before the partner's death the couple were an illness
        separated couple or a respite care couple-they were not such a couple.
        Note: For 'illness separated couple' and 'respite care couple' see
        subsections 4(7) and 4(8) respectively. Step 2. Work out the amount
        that would have been payable to the deceased partner on the deceased
        partner's payday immediately before the first available bereavement
        adjustment payday if:

   (a)  the deceased partner had not died; and

   (b)  if immediately before the partner's death the couple were an illness
        separated couple or a respite care couple-they were not such a couple.
        Note: For 'illness separated couple' and 'respite care couple' see
        subsections 4(7) and 4(8) respectively. Step 3. Add the results of
        Step 1 and Step 2: the result is called the combined rate. Step 4.
        Work out the amount of newstart allowance that would have been payable
        to the surviving partner on the surviving partner's payday immediately
        before the first available bereavement adjustment payday if:

   (a)  newstart allowance had been payable to the surviving partner on that
        payday; and

   (b)  the surviving partner was not a member of a couple on that payday; and

   (c)  the appropriate maximum basic rate was worked out under Module B of
        Benefit Rate Calculator B as if the surviving partner had a dependent
        child: the result is called the surviving partner's notional rate.
        Step 5. Take the surviving partner's notional rate away from the
        combined rate: the result is called the deceased partner's instalment
        component. Step 6. Work out the number of the deceased partner's
        paydays in the bereavement lump sum period. Step 7. Multiply the
        deceased partner's instalment component by the number obtained in Step
        6: the result is the amount of the lump sum payable to the surviving
        partner under this section. Note: For 'bereavement period',
        'bereavement lump sum period' and 'first available bereavement
        adjustment payday' see section 21. Effect of death of surviving
        partner

"951ZD. If:

   (a)  a surviving partner is qualified for payments under this Subdivision
        in relation to the death of the deceased partner; and

   (b)  the surviving partner dies within the bereavement period; and

   (c)  the Secretary does not become aware of the death of the deceased
        partner before the surviving partner dies; there is payable, as a lump
        sum, to any person that the Secretary thinks appropriate, an amount
        worked out using the following Lump Sum Calculator: LUMP SUM
        CALCULATOR This is how to work out the amount of the lump sum: Method
        statement Step 1. Work out the amount that would have been payable to
        the surviving partner on the surviving partner's payday immediately
        after the day on which the surviving partner died if:

   (a)  neither the surviving partner nor the deceased partner had died; and

   (b)  if immediately before the deceased partner's death the couple were an
        illness separated couple or a respite care couple-they were not such a
        couple. Note: For 'illness separated couple' and 'respite care couple'
        see subsections 4(7) and 4(8) respectively. Step 2. Work out the
        amount that would have been payable to the deceased partner on the
        deceased partner's payday immediately after the day on which the
        surviving partner died if:

   (a)  neither the surviving partner nor the deceased partner had died; and

   (b)  if immediately before the deceased partner's death the couple were an
        illness separated couple or a respite care couple-they were not such a
        couple. Note: For 'illness separated couple' and 'respite care couple'
        see subsections 4(7) and 4(8) respectively. Step 3. Add the results of
        Step 1 and Step 2: the result is called the combined rate. Step 4.
        Work out the amount of newstart allowance that would have been payable
        to the surviving partner on the surviving partner's payday immediately
        after the day on which the surviving partner died if:

   (a)  newstart allowance had been payable to the surviving partner on that
        payday; and

   (b)  the surviving partner was not a member of a couple on that payday; and

   (c)  the appropriate maximum basic rate was worked out under Module B of
        Benefit Rate Calculator B as if the surviving partner had a dependent
        child: the result is called the surviving partner's notional rate.
        Step 5. Take the surviving partner's notional rate away from the
        combined rate: the result is called the deceased partner's instalment
        component. Step 6. Work out the number of the surviving partner's
        paydays in the period that commences on the day after the surviving
        partner dies and ends on the day on which the bereavement period ends.
        Step 7. Multiply the deceased partner's instalment component by the
        number obtained in Step 6: the result is the amount of the lump sum
        payable under this section. Note: For 'bereavement period' and 'first
        available bereavement adjustment payday' see section 21. Matters
        affecting payments under this Subdivision

"951ZE.(1) If:

   (a)  the surviving partner is qualified for payments under this
        Subdivision; and

   (b)  after the deceased partner died, an amount to which the deceased
        partner would have been entitled if he or she had not died has been
        paid under this Act or under Part III of the Veterans' Entitlements
        Act; and

   (c)  the Secretary is not satisfied that the surviving partner had not had
        the benefit of that amount; the following provisions have effect:

   (d)  the amount referred to in paragraph (b) is not recoverable from the
        surviving partner or from the personal representative of the deceased
        partner, except to the extent (if any) that the amount exceeds the
        amount payable to the surviving partner under this Subdivision;

   (e)  the amount payable to the surviving partner under this Subdivision is
        to be reduced by the amount referred to in paragraph (b).

"(2) If:

   (a)  the surviving partner is qualified for payments under this
        Subdivision; and

   (b)  an amount to which the deceased partner would have been entitled if
        the deceased partner had not died has been paid under this Act or
        under Part III of the Veterans' Entitlements Act, within the
        bereavement period, into an account with a bank, credit union or
        building society (the 'financial institution'); and

   (c)  the financial institution pays to the surviving partner, out of that
        account, an amount not exceeding the total of the amounts paid as
        mentioned in paragraph (b); the financial institution is, in spite of
        anything in any other law, not liable to any action, claim or demand
        by the Commonwealth, the personal representative of the deceased
        partner or anyone else in respect of the payment of that money to the
        surviving partner. Note: For 'bereavement period' see section 21.

"Division 11-Fringe benefits Fringe benefits

"951ZF.(1) A person is qualified for fringe benefits if:

   (a)  the person is receiving a benefit parenting allowance; and

   (b)  at all times during the last 12 months the person has been receiving
        any of the following:

        (i)    a social security pension;

        (ii)   a social security benefit;

        (iii)  a service pension; and

   (c)  the person has turned 60; and

   (d)  the person is an Australian resident or has a qualifying residence
        exemption for parenting allowance; and

   (e)  the person is in Australia. Note 1: For 'benefit parenting allowance'
        see Module B of the Parenting Allowance Rate Calculator at the end of
        section 1068A. Note 2: For 'Australian resident' and 'qualifying
        residence exemption' see section 7.

"(2) If a person is qualified for fringe benefits, benefits and concessions of
various kinds may be made available to the person by the Commonwealth, State
and Territory governments and authorities and local authorities. Note: For an
example of Commonwealth benefits and concessions see the
National Health Act 1953.".
PART 2-THE PARENTING ALLOWANCE RATE CALCULATOR 2. After Part 3.6: Insert:

"PART 3.6A-PARENTING ALLOWANCE RATE CALCULATOR Rate of parenting allowance

"1068A. The rate of parenting allowance is to be worked out in accordance with
the Rate Calculator at the end of this section.

"PARENTING ALLOWANCE RATE CALCULATOR

"MODULE A-OVERALL RATE CALCULATION PROCESS Method of calculating rate-general

"1068A-A1. The rate of parenting allowance is a fortnightly rate. There are 2
ways of working out the rate, one for non-benefit parenting allowance (see
point 1068A-A2) and the other for benefit parenting allowance (see point
1068A-A3). Use Module B to decide whether a parenting allowance is a
non-benefit parenting allowance or a benefit parenting allowance. Method of
calculating rate-non-benefit parenting allowance

"1068A-A2. If the parenting allowance is a non-benefit parenting allowance,
the rate of parenting allowance is worked out as follows: Method statement
Step 1. Work out the person's maximum basic rate using MODULE C below. Step 2.
Apply the income test using MODULE D below to work out the income reduction.
Note: There is no partner income reduction for the income test for non-benefit
parenting allowance-see paragraph 1068A-D13(a). Step 3. The rate of parenting
allowance is worked out by taking the income reduction away from the person's
maximum basic rate. Method of calculating rate-benefit parenting allowance

"1068A-A3. If the parenting allowance is a benefit parenting allowance, the
rate of parenting allowance is worked out as follows: Method statement Step 1.
Work out the person's maximum basic rate using MODULE C below. Step 2. Apply
the income test using MODULE D below to work out the income reduction. Step 3.
Take the income reduction away from the person's maximum basic rate: the
result is called the provisional rate of parenting allowance. Note: The result
may be a negative amount. Step 4. The rate of parenting allowance is the
provisional rate of parenting allowance plus:

   (a)  the amount per fortnight (if any) of pharmaceutical allowance (see
        MODULE E below); and

   (b)  any applicable additional amount for rent (see MODULE F below); and

   (c)  any amount payable by way of remote area allowance (see MODULE G
        below). Note: If a person's rate contains components of pharmaceutical
        allowance and/or rent assistance but is reduced under Step 3, the
        order in which the reduction is to be made against the components of
        the rate of parenting allowance is laid down by section 1207 (maximum
        basic rate first, then rent assistance). Maximum payment rate

"1068A-A4. For the purposes of this Act, a person's maximum payment rate of
parenting allowance is the sum of:

   (a)  the person's maximum basic rate (see Module C below); and

   (b)  the amount per fortnight (if any) of pharmaceutical allowance (see
        Module E below); and

   (c)  any applicable additional amount for rent (see Module F below).



"MODULE B-NON-BENEFIT AND BENEFIT PARENTING ALLOWANCES Non-benefit parenting
allowances and benefit parenting allowances

"1068A-B1. The question whether the parenting allowance payable to a person is
a non-benefit parenting allowance or a benefit parenting allowance is decided
as follows: Method statement Step 1. If the person is a person to whom point
1068A-B2 applies, the parenting allowance is a non-benefit parenting
allowance. Step 2. If the value of the person's assets exceeds the person's
assets value limit (see points 1068A-B3 to 1068A-B5), the parenting allowance
is a non-benefit parenting allowance. Step 3. If neither Step 1 nor Step 2
applies, apply the income test using MODULE D below to work out the income
reduction. Step 4. If the difference between:

   (a)  the amount that would be the person's maximum basic rate under MODULE
        C below if the parenting allowance were a benefit parenting allowance;
        and

   (b)  the income reduction; is more than the maximum basic component of
        parenting allowance under point 1068A-B6, the parenting allowance is a
        benefit parenting allowance. Step 5. If Step 4 does not apply, work
        out what would have been the person's rate of parenting allowance if
        the rate were worked out under Benefit Rate Calculator B. If the rate
        would have been greater than nil, the parenting allowance is a benefit
        parenting allowance. Step 6. If neither Step 4 nor Step 5 applies, the
        parenting allowance is a non-benefit parenting allowance. Parenting
        allowance received by certain persons taken to be non-benefit
        parenting allowance

"1068A-B2. A person is a person to whom this point applies if:

   (a)  the person is receiving a social security pension, a service pension
        or a rehabilitation allowance; or

   (b)  the person is an armed services widow or an armed services widower; or

   (c)  the person's partner is receiving an AUSTUDY allowance that includes a
        dependent spouse allowance; or

   (d)  because of the application of subsection 1164(4B), 1164(5B) or
        1165(2B), the person's rate of parenting allowance is, or (but for
        this paragraph) would be, equal to the maximum basic component of
        parenting allowance under point 1068A-B6. Method of working out assets
        value limit

"1068A-B3. A person's assets value limit is worked out using the following
table: work out which situation applies to the person; the assets value limit
is the corresponding amount in the appropriate 'assets value limit' column.
TABLE B
ASSETS VALUE LIMIT TABLE
column 1  column 2                        column 3

item      person's situation              assets value limit

                                          column 3A         column 3B

                                          either person     neither person

                                          or partner        nor partner

                                          homeowner         homeowner

  1.      Partnered (partner getting      $163,500          $245,500

neither pension nor benefit)
  2.      Partnered (partner getting      $81,750           $122,750

pension or benefit) Note 1: For 'partnered (partner getting neither pension
nor benefit)' and 'partnered (partner getting pension or benefit)' see
subsection 4(11). Note 2: For 'homeowner' see subsection 11(4). Note 3: If
item 1 applies to a person, the value of all the assets of the person's
partner are to be taken as being included in the value of the person's assets
(see point 1068A-B4)-this is why the assets value limit is so high. If, on the
other hand, item 2 applies to a person, the value of the person's assets is
only half the combined value of the person's assets and the assets of the
person's partner (see point 1068A-B5). Note 4: If parenting allowance is not
payable to a person because of the value of the person's assets, the person
may be able to take advantage of provisions dealing with financial hardship
(see sections 1131 and 1132). Note 5: The assets value limits of item 2 are
indexed annually in line with CPI increases (see sections 1191 to 1194). Note
6: The item 1 assets value limits are adjusted annually so that they are twice
the corresponding item 2 limits (see subsections 1204(2) and (3)). Partner not
receiving pension or benefit

"1068A-B4. If the person's partner is not receiving a social security pension,
a service pension or a social security benefit:

   (a)  the value of the person's assets includes the value of the partner's
        assets; and

   (b)  the value of assets of a particular kind of the person includes the
        assets of that kind of the partner. Note: 'Social security pension'
        includes a sheltered employment or rehabilitation allowance. Partner
        receiving pension or benefit

"1068A-B5. If the person's partner is receiving a social security pension, a
service pension or a social security benefit, the value of:

   (a)  the person's assets is taken to be 50% of the sum of the value of the
        assets of the person and the value of the assets of the person's
        partner; and

   (b)  the person's assets of a particular kind are taken to be 50% of the
        sum of the value of the assets of that kind of the person and the
        value of the assets of that kind of the person's partner. Maximum
        basic component of parenting allowance

"1068A-B6. For the purposes of this Act, the maximum basic component of
parenting allowance is $60 per fortnight. Note: The amount is indexed 6
monthly in line with CPI increases (see sections 1191 to 1194).

"MODULE C-MAXIMUM BASIC RATE Maximum basic rate-non-benefit parenting
allowance

"1068A-C1. If the parenting allowance payable to a person is a non-benefit
parenting allowance, the person's maximum basic rate is an amount equal to the
maximum basic component of parenting allowance under point 1068A-B6. Maximum
basic rate-benefit parenting allowance

"1068A-C2. If the parenting allowance payable to a person is a benefit
parenting allowance, the person's maximum basic rate is worked out using Table
C. Work out the person's family situation. The maximum basic rate is the
corresponding amount in column 3.
TABLE C
MAXIMUM BASIC RATES
column 1  column 2                                  column 3

item      person's family situation                 rate

  1.      Person not covered by item 2 or 3         $268.20

  2.      Member of illness separated couple        $321.60

  3.      Partnered (partner in gaol)               $321.60
Note 1: For 'illness separated couple' and 'partnered (partner in gaol)' see
section 4. Note 2: The rates are indexed 6 monthly in line with CPI increases
(see sections 1191 to 1194).

"MODULE D-INCOME TEST Effect of income on maximum payment rate

"1068A-D1. This is how to work out the effect of a person's ordinary income,
and (if applicable) the ordinary income of the person's partner, on the
person's maximum basic rate: Method statement Step 1. Work out the amount of
the person's ordinary income on a fortnightly basis. Note 1: For the treatment
of the ordinary income of a partner who is receiving a social security pension
or service pension see points 1068A-D2 to 1068A-D4. Note 2: For the treatment
of amounts received from friendly societies see point 1068A-D5. Step 2. Work
out the partner income free area using point 1068A-D12. Note: The partner
income free area is the maximum amount of ordinary income the person's partner
can have without affecting the person's benefit. Step 3. Use paragraphs
1068A-D13(a), (b) and (c) to work out whether the person has a partner income
excess. Step 4. If the requirements of paragraphs 1068A-D13(a), (b) and (c)
are not satisfied, the person's partner income excess is nil. Step 5. If the
requirements of paragraphs 1068A-D13(a), (b) and (c) are satisfied, the
person's partner income excess is the partner's ordinary income less the
partner income free area. Step 6. Use the person's partner income excess to
work out the person's partner income reduction using points 1068A-D14 and
1068A-D15. Step 7. Work out whether the person's ordinary income exceeds the
person's ordinary income free area (see point 1068A-D16). Note: A person's
ordinary income free area is the maximum amount of ordinary income the person
can have without affecting the person's benefit rate. Step 8. If the person's
ordinary income does not exceed the person's ordinary income free area, the
person's ordinary income excess is nil. Step 9. If the person's ordinary
income exceeds the person's ordinary income free area, the person's ordinary
income excess is the person's ordinary income less the person's ordinary
income free area. Step 10. Use the person's ordinary income excess to work out
the person's ordinary income reduction using points 1068A-D18 to 1068A-D21.
Step 11. Add the person's ordinary income reduction and partner income
reduction: the result is the person's income reduction referred to in Step 2
of points 1068A-A2 and 1068A-A3. Note 1: For 'ordinary income' see section 8.
Note 2: See points 1068A-A2 (Step 3) and 1068A-A3 (Step 3) for the
significance of the person's income reduction. Note 3: the application of the
ordinary income test is affected by provisions concerning:
. investment income (sections 1073 to 1099);
. disposal of income (sections 1106 to 1112);
. pensions earnings credit (sections 1113 to 1115);
. benefits earnings credit (sections 1115A to 1115C);
. VEA earnings credit (point 1068A-D3). Ordinary income of members of certain
couples

"1068A-D2. Subject to point 1068A-D3, if a person's partner is receiving a
social security pension, a service pension or a rehabilitation allowance, the
person's ordinary income is taken to be one half of the sum of:

   (a)  the amount that would be the person's ordinary income if he or she
        were not a member of a couple; and

   (b)  the amount that would be the ordinary income of the person's partner
        if the partner were not a member of a couple. Note: Point 1068A-D21
        limits the extent to which this way of working out a person's ordinary
        income can reduce his or her rate of parenting allowance. Partner's
        VEA earnings credit to be taken into account

"1068A-D3. If:

   (a)  the person's partner is receiving a service pension; and

   (b)  an amount earned by the partner is disregarded under section 49 of the
        Veterans' Entitlements Act; that amount is also to be disregarded in
        working out the ordinary income of the person for the purposes of
        point 1068A-D2. Ordinary income of pensioners, rehabilitation allowees
        and armed services widows

"1068A-D4. For the purpose of this Module:

   (a)  the ordinary income of a person who is receiving a social security
        pension, a service pension or a rehabilitation allowance is taken to
        include any payment of a social security pension, a service pension or
        a rehabilitation allowance, other than any part of such a payment by
        way of rent assistance, pharmaceutical allowance or remote area
        allowance; and

   (b)  the ordinary income of an armed services widow is taken to include any
        payment of a social security pension, a service pension, a social
        security benefit or a rehabilitation allowance, other than any part of
        such a payment by way of rent assistance, pharmaceutical allowance or
        remote area allowance. Friendly society amounts

"1068A-D5. The ordinary income of a person to whose partner a sickness
allowance is payable is not to include any amount received by the person from
an approved friendly society in respect of the incapacity because of which the
partner is qualified for the sickness allowance. Note: For 'approved friendly
society' see subsection 23(1). Ordinary income includes certain periodical
payments from relatives

"1068A-D6. Subject to point 1068A-D7, in this Module, a person's ordinary
income includes a periodical payment or benefit by way of gift or allowance
from the father, mother, son, daughter, brother or sister of the person. Note:
Point 1068A-D6 reverses paragraph 8(8)(z) which excludes these amounts. Board
and lodging

"1068A-D7. A person's ordinary income is not to include a payment to the
person for board or lodging provided by the person to the person's father,
mother, son, daughter, brother or sister. Termination payments

"1068A-D8. If:

   (a)  a person's employment has been terminated; and

   (b)  as a result the person is entitled to a lump sum payment from the
        person's former employer; the person is taken to have received the
        lump sum payment on the day on which the person's employment was
        terminated. Period over which ordinary income taken into account

"1068A-D9. A person's ordinary income is to be taken into account over a
period, not exceeding 12 months, determined by the Secretary. Fortnightly rate
of ordinary income

"1068A-D10. For the purposes of this Module, the person's ordinary income for
such a period is to be reduced to a fortnightly rate rounded to the nearest
cent (rounding 0.5 cents downwards). Payment of arrears of periodic
compensation payments

"1068A-D11. If:

   (a)  at the time of an event that gives rise to an entitlement of a person
        to compensation, the person is receiving parenting allowance; and

   (b)  in relation to that entitlement, the person receives a payment of
        arrears of periodic compensation; the person is taken to receive, on
        each day falling within the periodic payments period, an amount
        calculated by dividing the amount received by the number of days in
        the periodic payments period. Note: For 'periodic payments period' see
        section 17. Partner income free area

"1068A-D12. The partner income free area for a person is:

   (a)  if the person is not receiving a social security benefit-the amount of
        income of the person (rounded up to the nearest dollar) beyond which
        job search allowance would not be payable to the person if the person
        were qualified for a job search allowance; or

   (b)  if the person is receiving a social security benefit-the amount of
        income of the person (rounded up to the nearest dollar) beyond which
        that benefit would not be payable to the person. Partner income excess

"1068A-D13. If:

   (a)  the person's parenting allowance is a benefit parenting allowance; and

   (b)  the person's partner is not receiving a social security pension, a
        service pension or a rehabilitation allowance; and

   (c)  the partner's ordinary income exceeds the partner income free area for
        the partner; then:

   (d)  the person has a partner income excess; and

   (e)  the person's partner income excess is the amount by which the
        partner's ordinary income exceeds the partner income free area.
        Partner income reduction

"1068A-D14. Subject to point 1068A-D15, if a person has a partner income
excess, the person's partner income reduction is an amount equal to 70% of the
part of the partner's ordinary income that exceeds the partner income free
area. Limit on partner income reduction

"1068A-D15. If the person's maximum basic rate less the amount that, apart
from this point, would be the person's partner income reduction does not
exceed the maximum basic component of parenting allowance under point
1068A-B6, the person's partner income reduction is taken to be the difference
between:

   (a)  the person's maximum basic rate; and

   (b)  the maximum basic component of parenting allowance under point
        1068A-B6. Example: Facts: Yvonne's partner Bob has an ordinary income
        of $522. Assume that the partner income free area for Bob under point
        1068A-D12 is $462, and that Yvonne's parenting allowance is a benefit
        parenting allowance. Application: Bob's ordinary income exceeds the
        partner income free area. He therefore has a partner income excess
        under point 1068A-D13 of $542 - $462 = $80. Yvonne's partner income
        reduction under point 1068A-D14 is therefore 70% of $80 = $56.
        (However, under point 1068A-D15, her partner income reduction cannot
        exceed the difference between her maximum basic rate and the maximum
        basic component of parenting allowance under point 1068A-B6.) Ordinary
        income free area

"1068A-D16. A person's ordinary income free area is $60. Ordinary income
excess

"1068A-D17. If a person's ordinary income exceeds the person's ordinary income
free area:

   (a)  the person has an ordinary income excess; and

   (b)  the person's ordinary income excess is the amount by which the
        person's ordinary income exceeds the person's ordinary income free
        area. Ordinary income reduction

"1068A-D18. Subject to point 1068A-D21, if a person has an ordinary income
excess, the person's ordinary income reduction is the sum of:

   (a)  the person's lower range reduction (see point 1068A-D19); and

   (b)  the person's upper range reduction (if any) (see point 1068A-D20).
        Note: A person's ordinary income reduction may be reduced under point
        1068A-D21 if his or her partner is receiving a social security
        pension, a service pension or a rehabilitation allowance. Lower range
        reduction

"1068A-D19. The person's lower range reduction is an amount equal to 50% of
the part of the person's ordinary income excess that does not exceed $80.
Upper range reduction

"1068A-D20. The person's upper range reduction is an amount equal to 70% of
the part (if any) of the person's ordinary income excess that exceeds $80.
Example: Facts: Further to the Example at the end of point 1068A-D15, assume
Yvonne's ordinary income is $130. Her partner Bob is not receiving a social
security pension, a service pension or a rehabilitation allowance.
Application: Yvonne's ordinary income free area under point 1068A-D16 is $60.
Her ordinary income exceeds her ordinary income free area. She therefore has
an ordinary income excess under point 1068A-D17 of $130 - $60 = $70. Because
her ordinary income excess does not exceed $80:
. her lower range reduction under point 1068A-D19 is 50% of $70 = $35; and
. there is no upper range reduction under point 1068A-D20. Her ordinary income
reduction under point 1068A-D18 is therefore $35. Yvonne's income reduction
referred to in Step 2 of points 1068A-A2 and 1068A-A3 is $56 + $35 = $91.
Alteration of ordinary income reduction for members of certain couples

"1068A-D21. If the person's partner is receiving a social security pension, a
service pension or a rehabilitation allowance, use the following Method
statement to determine whether what would, apart from this point, be the
person's ordinary income reduction should be altered: Method statement Step 1.
Work out whether the person's ordinary income reduction would, apart from this
point, have the effect of reducing the person's maximum basic rate to an
amount that is less than the maximum basic component of parenting allowance
under point 1068A-B6. Note: Point 1068A-D2 will apply to working out the
person's ordinary income reduction. There will be no partner income reduction
(see paragraph 1068A-13(b)). Step 2. If it would not reduce the person's
maximum basic rate to that extent, the person's ordinary income reduction is
not altered under this point. Step 3. If it would reduce the person's maximum
basic rate to that extent, work out:

   (a)  the person's excess amount under Step 4; and

   (b)  the person's personal income reduction under Step 5. Step 4. The
        person's excess amount is the amount by which the person's ordinary
        income reduction would, apart from this point, reduce the person's
        maximum basic rate below the maximum basic component of parenting
        allowance. Step 5. The person's personal income reduction is the
        amount that would have been the person's ordinary income reduction
        under this Module if:

   (a)  the person's parenting allowance were a non-benefit parenting
        allowance; and

   (b)  point 1068A-D2 did not apply (that is, if the income of the person's
        partner were not taken into account in working out the person's
        ordinary income). Step 6. If Step 3 applies, the person's ordinary
        income reduction is the sum of:

   (a)  the difference between the person's maximum basic rate and the maximum
        basic component of parenting allowance under point 1068A-B6; and

   (b)  whichever is the lesser of the person's excess amount and the person's
        personal income reduction. Example: Facts: Margaret is receiving
        parenting allowance. Her partner Reg has an ordinary income of $700.
        He is receiving a social security pension. Margaret's ordinary income
        is $80. Assume that Margaret's maximum basic rate under point 1068A-C2
        is $268.20, and that the maximum basic component of parenting
        allowance under point 1068A-B6 is $60. Application: Margaret's
        ordinary income is calculated under point 1068A-D2. (Because Reg is
        receiving a social security pension, Margaret has no partner income
        excess under point 1068A-D13.) Her ordinary income is one half of
        ($700 + $80) = $390. Margaret's ordinary income free area under point
        1068A-D16 is $60. Her ordinary income exceeds her ordinary income free
        area. She therefore has an ordinary income excess of $390-$60 = $330.
        Because her ordinary income excess exceeds $80:
. her lower range reduction under point 1068A-D19 is 50% of $80 = $40; and
. her upper range reduction under point 1068A-D20 is 70% of $250 = $175.
Disregarding point 1068A-D21, her ordinary income reduction under point
1068-D18 is therefore $40 + $175 = $215. Applying this ordinary income
reduction to Margaret's maximum basic rate yields a result of $268.20-$215 =
$53.20. This is less than the maximum basic component of parenting allowance
under point 1068A-B6 ($60). The excess amount under Step 4 of point 1068A-D21
is therefore $60-$53.20 = $6.80. Margaret's personal income reduction is
worked out under Step 5 of point 1068A-D21 as if point 1068A-D2 does not apply
and as if Margaret's parenting allowance were a non-benefit parenting
allowance. Her ordinary income excess worked out on this basis is $80-$60 =
$20. Because this figure does not exceed $80:
. her lower range reduction under point 1068A-D19 is 50% of $20 = $10; and
. there is no upper range reduction under point 1068A-D20. Her personal income
reduction under point 1068A-D18 is therefore $10. Margaret's personal income
reduction is not less than her excess amount ($6.80). Therefore, under Step 6
of point 1068A-D21, Margaret's ordinary income reduction is $215, being the
sum of:
. the difference between her maximum basic rate and the maximum basic
component of parenting allowance, that is $268.20-$60 = $208.20; and
. her excess amount of $6.80. Margaret's rate of parenting allowance is
therefore $268.20-$215 = $53.20. (This amount may be increased by amounts of
pharmaceutical allowance, rent assistance and remote area allowance where
appropriate.)



"MODULE E-PHARMACEUTICAL ALLOWANCE Qualification for pharmaceutical allowance

"1068A-E1. Subject to points 1068A-E2, 1068A-E3, 1068A-E4 and 1068A-E6, an
additional amount by way of pharmaceutical allowance is to be added to a
person's provisional rate of parenting allowance under Step 4 of point
1068A-A3 if:

   (a)  the person's parenting allowance is a benefit parenting allowance; and

   (b)  the person is an Australian resident, or has a qualifying residence
        exemption for a parenting allowance; and

   (c)  the person is in Australia; and

   (d)  the person has turned 60; and

   (e)  at all times during the last 6 months the person has been receiving
        any of the following:

        (i)    a social security pension;

        (ii)   a social security benefit;

        (iii)  a service pension. Note: For 'Australian resident' and
               'qualifying residence exemption' see section 7. No
               pharmaceutical allowance if person receiving pharmaceutical
               allowance under the Veterans' Entitlements Act

"1068A-E2. Pharmaceutical allowance is not to be added to a person's maximum
basic rate if the person is receiving pharmaceutical allowance under the
Veterans' Entitlements Act. No pharmaceutical allowance if partner receiving
pharmaceutical allowance under the Veterans' Entitlements Act and not a
service pensioner

"1068A-E3. Pharmaceutical allowance is not to be added to a person's maximum
basic rate if:

   (a)  the person's partner is receiving pharmaceutical allowance under the
        Veterans' Entitlements Act; and

   (b)  the person's partner is not receiving a service pension. Note: If
        paragraphs (a) and (b) apply to the person's partner, the partner is
        receiving pharmaceutical allowance under the VEA at the higher rate
        (rather than the person and the person's partner each receiving
        pharmaceutical allowance at the lower rate). No pharmaceutical
        allowance before advance payment period ends

"1068A-E4. Pharmaceutical allowance is not to be added to a person's maximum
basic rate if:

   (a)  the person has received an advance pharmaceutical allowance under:

        (i)    Part 2.23 of this Act; or

        (ii)   Division 2 of Part VIIA of the Veterans' Entitlements Act; and

   (b)  the person's advance payment period has not ended. Note: For 'advance
        payment period' see point 1068A-E5. Advance payment period

"1068A-E5. A person's advance payment period:

   (a)  starts on the day on which the advance pharmaceutical allowance is
        paid to the person; and

   (b)  ends after the number of paydays worked out using the following
        formula have passed:
amount of advance x 26
pharmaceutical allowance rate where:
'amount of advance' is the amount of the advance paid to the person;
'pharmaceutical allowance rate' is the fortnightly amount of pharmaceutical
allowance which would be added to the person's provisional rate of parenting
allowance under Step 4 of point 1068A-A3 in working out the parenting
allowance instalment for the day on which the advance is paid if parenting
allowance were payable to the person and pharmaceutical allowance were to be
added to the person's provisional rate of parenting allowance under Step 4 of
point 1068A-A3 on that day. Note: The person may have commenced receiving
parenting allowance after having been a pension recipient and have received an
advance while a pension recipient. No pharmaceutical allowance if annual limit
reached

"1068A-E6. Pharmaceutical allowance is not to be added to a person's maximum
basic rate if:

   (a)  the person has received an advance pharmaceutical allowance during the
        current calendar year; and

   (b)  the total amount paid to the person for that year by way of:

        (i)    pharmaceutical allowance; and

        (ii)   advance pharmaceutical allowance; equals the total amount of
               pharmaceutical allowance that would have been paid to the
               person during that year if the person had not received any
               advance pharmaceutical allowance. Note 1: For the amount 'paid'
               to a person by way of pharmaceutical allowance see subsections
               19A(2) to (6). Note 2: The annual limit is affected by:
. how long during the calendar year the person was on pension or benefit; and
. whether the person's rate of pharmaceutical allowance varies during the
calendar year. VEA payments taken into account

"1068A-E7. In points 1068A-E5 and 1068A-E6:
'advance pharmaceutical allowance' includes advance pharmaceutical allowance
under the Veterans' Entitlements Act;
'pharmaceutical allowance' includes pharmaceutical allowance under the
Veterans' Entitlements Act. Amount of pharmaceutical allowance

"1068A-E8. The amount of pharmaceutical allowance is the amount per fortnight
worked out using Table E.
TABLE E
PHARMACEUTICAL ALLOWANCE AMOUNTS
column 1    column 2                                       column 3

item        person's family situation                      amount per

fortnight
  1.        Person not covered by item 2, 3, 4 or 5        $2.60

  2.        Member of illness separated couple             $5.20

  3.        Member of respite care couple                  $5.20

  4.        Partnered (partner getting service pension)    $2.60

  5.        Partnered (partner in gaol)                    $5.20
Note 1: For 'illness separated couple', 'respite care couple', 'partnered' and
'partnered (partner in gaol)' see section 4. Note 2: The amounts in column 3
are indexed or adjusted annually in line with CPI increases (see sections 1191
to 1194 and 1206A).

"MODULE F-RENT ASSISTANCE Rent assistance

"1068A-F1. An amount to help cover the cost of rent is to be added to a
person's provisional rate of parenting allowance under Step 4 of point
1068A-A3 for a period if:

   (a)  the person's parenting allowance is a benefit parenting allowance; and

   (b)  the person is not an ineligible homeowner; and

   (c)  the person pays, or is liable to pay, rent (other than Government
        rent) in respect of the period; and

   (d)  the rent is payable at a rate of more than the rent threshold rate;
        and

   (e)  the person is in Australia throughout the period; and

   (f)  the person's partner is not receiving a rent increased pension; and

   (g)  neither the person nor the person's partner is qualified for
        additional family payment for a dependent child of the person. Note 1:
        For 'rent', 'Government rent' and 'ineligible homeowner' see section
        13. Note 2: For 'rent threshold rate' see point 1068A-F2. Note 3: For
        'rent increased pension' see point 1068A-F3. Rent threshold rate

"1068A-F2. A person's rent threshold rate depends on the person's family
situation. Work out which family situation in Table F-1 applies to the person.
The rent threshold rate is the corresponding amount in column 3.
TABLE F-1
RENT THRESHOLD RATES
column 1    column 2                                        column 3

item        person's family situation                       amount per

fortnight
  1.        Person's partner does not have rent increased   $103.20

benefit
  2.        Person's partner has rent increased benefit     $103.20

  3.        Member of illness separated couple              $123.60

  4.        Member of respite care couple                    $61.80

  5.        Member of temporarily separated couple           $61.80

  6.        Partnered (partner in gaol)                      $61.80
Note 1: For 'illness separated couple', 'respite care couple', 'temporarily
separated couple' and 'partnered' see section 4. Note 2: For 'rent increased
benefit' see point 1068A-F5. Note 3: The column 3 amounts are indexed 6
monthly in line with CPI increases (see sections 1191 to 1194). Partner with
rent increased pension

"1068A-F3. A person has a partner with a rent increased pension, for the
purposes of point 1068A-F1, if:

   (a)  the partner is living with the person in their home; and

   (b)  the partner is receiving a social security or service pension; and

   (c)  the rate of pension is increased to take account of rent. Note:
        'Social security pension' includes a sheltered employment or
        rehabilitation allowance. Factors affecting rate of rent assistance

"1068A-F4. The rate of rent assistance depends on:

   (a)  the fortnightly rent paid or payable by the person; and

   (b)  whether or not the person has a partner who has a rent increased
        benefit. Partner with rent increased benefit

"1068A-F5. A person's partner has a rent increased benefit for the purposes of
this Module if the partner:

   (a)  is living with the person in their home; and

   (b)  either:

        (i)    is receiving a social security benefit the rate of which is
               increased to take account of rent; or

        (ii)   would be receiving such a benefit but for the application of
               the income test under Module H of Benefit Rate Calculator A,
               Module G of Benefit Rate Calculator B or Module D of this Rate
               Calculator. Note: For the treatment of rent paid by a member of
               a couple see points 1068A-F8 and 1068A-F9. Rate of rent
               assistance

"1068A-F6. The rate of rent assistance per fortnight is worked out using Table
F-2. Work out the person's family situation and calculate Rate A for the
person using the corresponding formula in column 3. This will be the person's
rate of rent assistance but only up to the person's maximum rent assistance
rate. The person's maximum rent assistance rate is Rate B for the person
worked out using column 4 of the Table.
TABLE F-2
RATE OF RENT ASSISTANCE column 1 item
column 2
person's family situation
column 3
Rate A
column 4
Rate B
1.
Person's partner does not have rent increased benefit
3 x (fortnightly rent - $61.80)
4
$65.20
2.
Person's partner has rent increased benefit
3 x (fortnightly rent - $103.60)
8
$32.60
3.
Member of illness separated couple
3 x (fortnightly rent - $61.80)
4
$71.20
4.
Member of respite care couple
3 x (fortnightly rent - $61.80)
4
$69.20
5.
Member of temporarily separated couple
3 x (fortnightly rent - $61.80)
4
$65.20
6.
Partnered (partner in gaol)
3 x (fortnightly rent - $61.80)
4
$69.20 Note 1: For 'illness separated couple', 'respite care couple',
'temporarily separated couple' and 'partnered (partner in gaol)' see section
4. Note 2: For 'rent increased benefit' see point 1068A-F5. Note 3: The rent
threshold amounts in column 3 are indexed 6 monthly in line with CPI increases
(see sections 1191 to 1194). Note 4: The Rate B amounts are indexed 6 monthly
in line with CPI increases (see sections 1191 to 1194). Fortnightly rent

"1068A-F7. Fortnightly rent is the fortnightly rent paid or payable by the
person whose parenting allowance rate is being calculated. Rent paid by a
person's partner

"1068A-F8. If a person's partner is living with the person in their home, any
rent that the person's partner pays or is liable to pay in respect of the home
is to be treated as paid or payable by the person. Rent paid by a member of an
illness separated couple

"1068A-F9. If a person is a member of an illness separated couple, any rent
that the person's partner pays or is liable to pay in respect of the premises
or lodgings occupied by the person is to be treated as paid or payable by the
person. Note: For 'illness separated couple' see section 4.

"MODULE G-REMOTE AREA ALLOWANCE Remote area allowance-person physically in
remote area

"1068A-G1. An amount by way of remote area allowance is to be added to a
person's provisional rate of parenting allowance under Step 4 of point
1068A-A3 if:

   (a)  the person's parenting allowance is a benefit parenting allowance; and

   (b)  either:

        (i)    the person's rate of parenting allowance apart from this point
               is greater than nil; or

        (ii)   apart from this point the person's rate of benefit would be nil
               merely because an advance pharmaceutical allowance has been
               paid to the person under Part 2.23 of this Act or Division 2 of
               Part VIIA of the Veterans' Entitlements Act; and

   (c)  the person's usual place of residence is in the remote area; and

   (d)  the person is physically present in the remote area. Note 1: For
        'remote area' see subsection 14(1). Note 2: A person may be considered
        to be physically present in a remote area during temporary
        absences-see subsection 14(2). Remote area allowance-partner
        physically present in remote area

"1068A-G2. An amount by way of remote area allowance is to be added to a
person's rate if:

   (a)  the person's parenting allowance is a benefit parenting allowance; and

   (b)  either:

        (i)    the person's rate of parenting allowance apart from this point
               is greater than nil; or

        (ii)   apart from this point the person's rate of benefit would be nil
               merely because an advance pharmaceutical allowance has been
               paid to the person under Part 2.23 of this Act or Division 2 of
               Part VIIA of the Veterans' Entitlements Act; and

   (c)  the person's usual place of residence is in the remote area; and

   (d)  the person is absent from the remote area for a period exceeding 8
        weeks (disregarding the operation of subsection 14(2)); and

   (e)  the person has a partner whose usual place of residence is in the
        remote area and who is physically present in the remote area. Rate of
        remote area allowance

"1068A-G3. The rate of remote area allowance payable to a person is worked out
using Table G. Work out which family situation in the Table applies to the
person. The rate of remote area allowance is the corresponding amount in
column 3 plus an additional corresponding amount in column 4 for each AFP
child of the person.
TABLE G
REMOTE AREA ALLOWANCE
column 1  column 2                               column 3     column 4

item      person's family situation              basic        additional

                                                 allowance    allowance

for each AFP
child
  1.      Person not covered by item 2, 3, or 4  $15.00       $7.00

  2.      Member of illness separated couple     $17.50       $7.00

  3.      Both person and partner are in the     $30.00       $7.00

remote area
  4.      Partnered (partner in gaol)            $17.50       $7.00
Note 1: For 'illness separated couple' and 'partnered (partner in gaol)' see
section 4. Note 2: Item 3 includes illness separated couples. Meaning of
remote area allowance

"1068A-G4. In point 1068A-G3, remote area allowance means:

   (a)  an amount added to a person's social security pension or benefit by
        way of remote area allowance; or

   (b)  a remote area allowance payable under the following provisions of the
        VEA:

        (i)    Service Pension Rate Calculator Where There Are No Dependent
               Children (point 41-G1);

        (ii)   Service Pension Rate Calculator Where There Are Dependent
               Children (point 42-H1);

        (iii)  Service Pension Rate Calculator For Blinded Veterans (point
               43-E1);

        (iv)   Service Pension Rate Calculator For Widows, Widowers and
               Non-Illness Separated Spouses (point 44-G1). In remote area

"1068A-G5. For the purposes of point 1068A-G3, a person is in the remote area
if:

   (a)  the person's usual place of residence is in the remote area; and

   (b)  the person is physically present in the remote area. Dependent
        children must be physically present in Australia

"1068A-G6. Additional allowance is not payable for a dependent child unless
the dependent child is physically present in Australia. Special rule where
partner has an AFP child but is not receiving a pension

"1068A-G7. If:

   (a)  a person who is a member of a couple is qualified for an amount by way
        of additional allowance; and

   (b)  the person's partner is not receiving a pension or benefit; and

   (c)  the person's partner has an AFP child; the child is taken, for the
        purposes of this Module, to be an AFP child of the person. Special
        rule where partner has an AFP child but is not receiving additional
        allowance for the AFP child

"1068A-G8. If:

   (a)  a person who is a member of a couple is qualified for an amount by way
        of remote area allowance; and

   (b)  the person's partner has an AFP child; and

   (c)  the person's partner is not receiving additional allowance for the AFP
        child; the child is taken, for the purposes of this Module, to be an
        AFP child of the person.".
PART 3-CONSEQUENTIAL AMENDMENTS OF THE SOCIAL SECURITY ACT 1991 3. Section 3
(Index of definitions): Omit:
  "home child care allowance payday                       23(1)".
4. Section 3 (Index of definitions): Insert the following entries in their
respective appropriate alphabetical positions (determined on a
letter-by-letter basis):
  "benefit parenting allowance                            23(1)

   maximum basic component of parenting allowance         23(1)

   non-benefit parenting allowance                        23(1)

   parenting allowance payday                             23(1)".
5. Subsection 8(1) (definition of "ordinary income"): Omit the Note added by
item 3 of Part 1 of Schedule 1 to the Social
Security (Home Child Care and Partner Allowances) Legislation Amendment Act
1994, substitute the following Note:

"Note 4: Point 1068A-D4 varies the definition of 'ordinary income'. This
varied definition applies only to Module D of the Parenting Allowance Rate
Calculator.". 6. Paragraph 8(8)(z) (Note): Omit "and Benefit Rate Calculator B
(point 1068-G5). Points 1067-H6 and 1068-G5", substitute ", Benefit Rate
Calculator B (point 1068-G5) and the Parenting Allowance Rate Calculator
(point 1068A-D6). Points 1067-H6, 1068-G5 and 1068A-D6". 7. Subsection 9(1)
(paragraph (b) of the definition of "assessable period"): After the paragraph,
insert:

"or (c) a parenting allowance;". 8. After subsection 11(10): Insert:

"(10AA) References in subsection (10) to a social security benefit include
references to a parenting allowance (whether or not the allowance would apart
from this subsection be a social security benefit for the purposes of this
Act).". 9. After paragraph 11(10A)(b): Insert:

"(ba) a parenting allowance; or". 10. Subsection 12C(5) (paragraph (b) of the
definition of "couple's assets deeming provisions"): After the paragraph,
insert:

"(ba) Parenting Allowance Rate Calculator (points 1068A-B4 and 1068A-B5);
and". 11. Subsection 17(1) (paragraph (d) of the definition of "compensation
affected payment"): After the paragraph, insert:

"(da) a parenting allowance; or". 12. Paragraph 17(7)(b): After "benefit
payment" insert "(other than a payment of parenting allowance)". 13. After
paragraph 17(7)(b): Insert:

"(c) where the payment is a payment of parenting allowance-a person receiving
a payment during the period; or". 14. Subsection 19A(2): Omit "and (6)",
substitute ", (6) and (7)". 15. Paragraphs 19A(4)(a), (5)(a) and (6)(a): After
"benefit" insert "(other than parenting allowance)".

16. Section 19A: Add at the end:

"(7) If the amount of instalment is an instalment of parenting allowance, the
amount of allowance paid is the fortnightly amount of pharmaceutical allowance
added to the person's provisional rate of parenting allowance in working out
the amount of the instalment. Note: For the provisional rate of parenting
allowance see Step 3 of point 1068A-A3 of the Parenting Allowance Rate
Calculator at the end of section 1068A.". 17. Subsection 21(1) (definition of
"partner bereavement payment"): After "771NW" insert ", 951ZB". 18. Subsection
21(1) (definition of "child bereavement payment"): Omit the definition. 19.
Subsection 23(1) (paragraph (g) of the definition of "assurance of support
debt"): Before the paragraph, insert:

"(fb) parenting allowance under Part 2.18 of this Act; or". 20. Subsection
23(1) (definition of "compensation arrears debt"): Omit "or 821", substitute
", 821 or 951U". 21. Subsection 23(1) (definition of "newly arrived resident's
waiting period"): Add at the end:

"or (d) a parenting allowance newly arrived resident's waiting period under
sections 920 to 922;". 22. Subsection 23(1) (paragraph (b) of the definition
of "payday"): After "benefit" (first occurring) insert "(other than a
parenting allowance)". 23. Subsection 23(1) (paragraph (b) of the definition
of "payday"): After the paragraph, insert:

"(ba) if the person is receiving a parenting allowance-a parenting allowance
payday; and". 24. Subsection 23(1) (paragraph (n) of the definition of
"recipient notification notice"): Omit the paragraph, substitute:

"(n) section 950 (parenting allowance); or". 25. Subsection 23(1) (paragraph
(n) of the definition of "recipient statement notice"): Omit the paragraph,
substitute:

"(n) section 951 (parenting allowance); or". 26. Subsection 23(1) (definition
of "social security benefit"): Add at the end:

"or (f) parenting allowance (other than non-benefit parenting allowance);".
27. Subsection 23(1) (definition of "unused annual leave waiting period"): Add
at the end:

"or (d) a parenting allowance unused annual leave waiting period under
sections 923 to 925;". 28. Subsection 23(1) (definition of "waiting period"):
Add at the end:

"or (l) a parenting allowance newly arrived resident's waiting period under
sections 920 to 922; or

   (m)  a parenting allowance unused annual leave waiting period under
        sections 923 to 925;". 29. Subsection 23(1) (definition of "home child
        care allowance payday"): Omit the definition. 30. Subsection 23(1):
        Insert:

" 'benefit parenting allowance' means parenting allowance that, under Module B
of the Parenting Allowance Rate Calculator at the end of section 1068A, is a
benefit parenting allowance;
'maximum basic component of parenting allowance' has the meaning given in
point 1068A-B6 of the Parenting Allowance Rate Calculator at the end of
section 1068A;
'non-benefit parenting allowance' means parenting allowance that, under Module
B of the Parenting Allowance Rate Calculator at the end of section 1068A, is a
non-benefit parenting allowance;
'parenting allowance payday' means:

   (a)  the Thursday that falls on 6 July 1995; and

   (b)  each succeeding alternate Thursday;". 31. Subsection 23(4): After
        "social security benefit" insert "(other than a parenting allowance)".
        32. After subsection 23(4): Insert:

"(4AAA) For the purposes of this Act, a person is taken to be receiving a
parenting allowance until the last day on which the allowance is payable to
the person even if the last instalment of the allowance is paid before that
day.". 33. Subsection 23(10): Omit "or Part 2.14 (sickness allowance)",
substitute ", Part 2.14 (sickness allowance) or Part 2.18 (parenting
allowance)". 34. Subsection 37(1): After "Part 2.17 (family payment)" insert
"and Part 2.18 (parenting allowance)". 35. Subsection 37(2): After "that"
insert ", for the purposes of Part 2.17 (family payment),". 36. Subsection
42(2) (Note): Omit "and family payment", substitute ", family payment and
parenting allowance". 37. Subsection 42(3) (Note 1): Add at the end "(other
than parenting allowance)". 38. Subparagraph 46(2)(a)(i): Omit "or a social
security benefit", substitute ", a social security benefit or a parenting
allowance". 39. Subparagraph 100(2)(a)(i): Omit "or a social security
benefit", substitute ", a social security benefit or a parenting allowance".
40. Subparagraph 150(2)(a)(i): Omit "or a social security benefit", substitute
", a social security benefit or a parenting allowance". 41. Subparagraph
201(2)(a)(i): Omit "or a social security benefit", substitute ", a social
security benefit or a parenting allowance". 42. Subparagraph 255(2)(a)(i):
Omit "or a social security benefit", substitute ", a social security benefit
or a parenting allowance". 43. Subparagraph 318(2)(a)(i): Omit "or a social
security benefit", substitute ", a social security benefit or a parenting
allowance". 44. Subparagraph 366(2)(a)(i): Omit "or a social security
benefit", substitute ", a social security benefit or a parenting allowance".
45. Subparagraph 408CC(2)(a)(i): Omit "or a social security benefit",
substitute ", a social security benefit or a parenting allowance". 46.
Subparagraph 415(2)(a)(i): Omit "or a social security benefit", substitute ",
a social security benefit or a parenting allowance". 47. Subparagraph
533(2)(a)(i): Omit "or a social security benefit", substitute ", a social
security benefit or a parenting allowance". 48. Subparagraph 615(2)(a)(i):
Omit "or a social security benefit", substitute ", a social security benefit
or a parenting allowance". 49. Subparagraph 660XCC(2)(a)(i): Omit "or a social
security benefit", substitute ", a social security benefit or a parenting
allowance". 50. Subparagraph 689(a)(i): Omit "or a social security allowance",
substitute ", a social security benefit or a parenting allowance". 51.
Subparagraph 731(2)(a)(i): Omit "or a social security benefit", substitute ",
a social security benefit or a parenting allowance". 52. Subparagraph
771HN(2)(a)(i): Omit "or a social security benefit", substitute ", a social
security benefit or a parenting allowance". 53. Subparagraph 784(2)(a)(i):
Omit "or a social security benefit", substitute ", a social security benefit
or a parenting allowance". 54. Subparagraph 1002(2)(a)(i): Omit "or child
disability allowance", substitute ", child disability allowance or parenting
allowance". 55. Paragraph 1061Q(3)(a): Before "or special benefit" insert ",
parenting allowance". 56. Paragraph 1061Q(3A)(a): After "partner allowance"
insert "or parenting allowance". 57. Subsection 1061U(2) (paragraph (b) of the
definition of "telephone allowance payday"): After "social security benefit"
insert "(other than parenting allowance)". 58. Subsection 1061U(2) (definition
of "telephone allowance payday"): Add at the end:

"; or (c) if the person is receiving a parenting allowance-the first parenting
allowance payday that falls on or after:

        (i)    1 January; and

        (ii)   20 March; and

        (iii)  1 July; and

        (iv)   20 September.". 59. Subsection 1072A(1) (Note): Omit "section
               926 (home child care allowance)", substitute "point 1068A-D4
               (Parenting Allowance Rate Calculator)". 60. Subsection
               1074C(2): Omit "person's pension or benefit rate", substitute
               "person's rate". 61. Section 1082: Omit "person's pension or
               benefit rate", substitute "person's rate". 62. Paragraphs
               1106(2)(a) and (b): After "benefit," insert "a parenting
               allowance,". 63. Section 1113 (Note): Add at the end:

"; . Parenting Allowance Rate Calculator (Module D).". 64. Subsection 1115A(1)
(Note): Add at the end:

"; . Parenting Allowance Rate Calculator (Module D).". 65. Point 1115C-A4:
Omit the point, substitute: EC accounting periods

"1115C-A4. The earnings credit accounting periods for an account established
under section 1115B are:

   (a)  if the person is not receiving parenting allowance-the fortnights
        commencing on the first day in each period for which the instalment of
        the person's social security benefit is payable; or

   (b)  if the person is receiving parenting allowance:

        (i)    the fortnight that starts on the first parenting allowance
               payday on or after 1 July 1995; and

        (ii)   the succeeding fortnights.". 66. Point 1115C-C1 (Note 2): Omit
               "or Module G of Benefit Rate Calculator B", substitute ",
               Module G of Benefit Rate Calculator B or Module D of the
               Parenting Allowance Rate Calculator". 67. Paragraphs 1123(2)(a)
               and (b): After "benefit" (wherever occurring) insert ", a
               parenting allowance". 68. After subsection 1131(2): Insert:

"(2A) In deciding whether a person is receiving, or is eligible to apply for,
acceptable alternative Commonwealth income support, a person's receipt of, or
eligibility for, non-benefit parenting allowance is to be disregarded. Note:
For non-benefit parenting allowance see Module B of the Parenting Allowance
Rate Calculator at the end of section 1068A.". 69. Subsection 1158(1): Omit ",
special needs pension or home child care allowance", substitute "or special
needs pension". 70. Subsection 1158(2): Omit the subsection. 71. Section 1158
(Note 4): Omit the Note. 72. Division 2 of Part 3.13 (Heading): Add at the end
"(excluding parenting allowance)". 73. Section 1160: After "A social security
benefit" insert "(other than parenting allowance)". 74. After Division 2 of
Part 3.13: Insert:

"Division 3-Parenting Allowance Parenting allowance not payable while person
in gaol or in psychiatric confinement following criminal charge

"1162. A parenting allowance is not payable to a person on a parenting
allowance payday if:

   (a)  on that payday, the person is:

        (i)    in gaol; or

        (ii)   undergoing psychiatric confinement because the person has been
               charged with committing an offence; and

   (b)  that payday is not the first parenting allowance payday and is not the
        last parenting allowance payday in the period of imprisonment or
        confinement. Note 1: For 'parenting allowance payday' see subsection
        23(1). Note 2: For 'in gaol' see subsection 23(5). Note 3: For
        'psychiatric confinement' see subsections 23(8) and (9).". 75.
        Paragraph 1163(1)(d): After the paragraph, insert:

"(da) parenting allowance;". 76. Subsection 1164(4A): Omit "If", substitute
"Subject to subsection (4B), if". 77. After subsection 1164(4A): Insert:

"(4B) Subsection (4A) does not affect the payability of a parenting allowance
to the person unless the person's maximum basic rate of parenting allowance
exceeds the maximum basic component of parenting allowance. Note: For the
maximum basic component of parenting allowance see point 1068A-B6 of the
Parenting Allowance Rate Calculator at the end of section 1068A.". 78.
Subsection 1164(5A): Omit "If", substitute "Subject to subsection (5B), if".
79. After subsection 1164(5A): Insert:

"(5B) Subsection (5A) does not prevent a parenting allowance being granted to
the person unless the person's maximum basic rate of parenting allowance
exceeds the maximum basic component of parenting allowance. Note: For the
maximum basic component of parenting allowance see point 1068A-B6 of the
Parenting Allowance Rate Calculator at the end of section 1068A.". 80.
Paragraph 1165(2)(a): After "compensation affected payment" insert "(other
than a parenting allowance)". 81. After subsection 1165(2): Insert:

"(2A) If:

   (a)  a person is qualified for a parenting allowance; and

   (b)  the person receives compensation in the form of a lump sum (whether
        before or after the person became qualified for the allowance);
        parenting allowance is not payable to the person for the lump sum
        preclusion period.

"(2B) If:

   (a)  a person is qualified for parenting allowance; and

   (b)  the person's partner receives compensation in the form of a lump sum
        (whether before or after the person became qualified for the
        allowance); the following provisions have effect:

   (c)  so far as the person's rate of parenting allowance does not exceed the
        maximum basic component of parenting allowance component, the
        allowance continues to be payable to the person for the lump sum
        preclusion period;

   (d)  if the person's rate of parenting allowance exceeds the maximum basic
        component of parenting allowance-the part of the allowance that
        exceeds the maximum basic component is not payable to the person for
        the lump sum preclusion period. Note: For the maximum basic component
        of parenting allowance see point 1068A-B6 of the Parenting Allowance
        Rate Calculator.". 82. Subsection 1166(2) (Recoverable Amount
        Table-item 2- column 3): Add at the end "PgA". 83. Subsection 1166(2)
        (Recoverable Amount Table-item 2- column 4): Add at the end "PgA". 84.
        Subsection 1166(2) (Recoverable Amount Table-item 3- column 3): Add at
        the end "PgA". 85. Subsection 1166(2) (Recoverable Amount Table-item
        3- column 4): Add at the end "PgA". 86. Subsection 1166(2)
        (Recoverable Amount Table-item 3- column 5): Omit "subsection (4)",
        substitute "subsections (4) and (4A)". 87. Subsection 1166(2)
        (Recoverable Amount Table-Key): After "YTA = youth training allowance"
        insert "PgA = parenting allowance". 88. Subsection 1166(2)
        (Recoverable Amount Table-Key): Omit "PPBAP = partner's pension,
        benefit or allowance payments", substitute PPBAP = partner's pension,
        benefit or allowance payments (but see subsection (4A) in relation to
        payments of parenting allowance)". 89. Subsection 1166(4): After "item
        3 in the Table" insert "and subsection (4A) does not apply". 90. After
        subsection 1166(4): Insert:

"(4A) If:

   (a)  the person's situation is covered by item 3 in the Table; and

   (b)  the person's partner is receiving a parenting allowance for some or
        all of the lump sum preclusion period; the recoverable amount is equal
        to the smaller of:

   (c)  the compensation part of the lump sum; or

   (d)  the sum of:

        (i)    the pension, benefit or allowance payments made to the person
               for the lump sum preclusion period; and

        (ii)   the pension, benefit or allowance payments (excluding any
               payments of parenting allowance) made to the person's partner
               for the lump sum preclusion period; and

        (iii)  any payments of parenting allowance in excess of the maximum
               basic component of parenting allowance made to the person's
               partner during the lump sum preclusion period. Note 1: For the
               maximum basic component of parenting allowance see point
               1068A-B6 of the Parenting Allowance Rate Calculator at the end
               of section 1068A. Note 2: If the partner of a compensation
               recipient is qualified for or receives parenting allowance,
               parenting allowance during the lump sum preclusion period may
               be reduced under subsection 1165(2B).". 91. Subsection 1168(3)
               (Reduction Table-item 2-column 3): Add at the end "PgA". 92.
               Subsection 1168(3) (Reduction Table-item 2-column 4): Add at
               the end "PgA". 93. Subsection 1168(3) (Reduction Table-item
               3-column 3): Add at the end "PgA". 94. Subsection 1168(3)
               (Reduction Table-item 3-column 4): Add at the end "PgA". 95.
               Subsection 1168(3) (Reduction Table-item 4-column 3): Add at
               the end "PgA". 96. Subsection 1168(3) (Reduction Table-item
               4-column 4): Add at the end "PgA". 97. Subsection 1168(3)
               (Reduction Table-item 5-column 3): Add at the end "PgA". 98.
               Subsection 1168(3) (Reduction Table-item 5-column 4): Add at
               the end "PgA". 99. Subsection 1168(3) (Reduction Table-Key):
               After "YTA = youth training allowance" insert "PgA = parenting
               allowance". 100. Subsection 1170(1) (Note): Omit "or 821(7) and
               (8) (special needs disability support pension and disability
               support wife pension)", substitute ", 821(7) and (8) (special
               needs disability support pension and disability support wife
               pension) or 951U(7) and (8) (parenting allowance)". 101.
               Subsection 1170(2) (Recoverable Amount Table-item 2- column 3):
               Add at the end "PgA". 102. Subsection 1170(2) (Recoverable
               Amount Table-item 2- column 4): Add at the end "PgA". 103.
               Subsection 1170(2) (Recoverable Amount Table-item 3- column 3):
               Add at the end "PgA". 104. Subsection 1170(2) (Recoverable
               Amount Table-item 3- column 4): Add at the end "PgA". 105.
               Subsection 1170(2) (Recoverable Amount Table-item 3- column 5):
               Omit "subsection (4)", substitute "subsections (4) and (4A)".
               106. Subsection 1170(2) (Recoverable Amount Table-Key): After
               "YTA = youth training allowance" insert "PgA = parenting
               allowance". 107. Subsection 1170(2) (Recoverable Amount
               Table-Key): Omit "PPBAP = partner's pension, benefit or
               allowance payments", substitute PPBAP = partner's pension,
               benefit or allowance payments (but see subsection (4A) in
               relation to payments of parenting allowance)". 108. Subsection
               1170(4): After "item 3 in the Table" insert "and subsection
               (4A) does not apply". 109. After subsection 1170(4): Insert:

"(4A) If:

   (a)  the person's situation is covered by item 3 in the Table; and

   (b)  the person's partner is receiving a parenting allowance for some or
        all of the periodic payments period; the recoverable amount is equal
        to the smaller of:

   (c)  the sum of the amounts of the periodic compensation payments; or

   (d)  the sum of:

        (i)    the pension, benefit or allowance payments made to the person
               for the periodic payments period; and

        (ii)   the pension, benefit or allowance payments (excluding any
               payments of parenting allowance) made to the person's partner
               for the periodic payments period; and

        (iii)  any payments of parenting allowance in excess of the maximum
               basic component of parenting allowance made to the person's
               partner during the periodic payments period. Note 1: For the
               maximum basic component of parenting allowance see point
               1068A-B6 of the Parenting Allowance Rate Calculator at the end
               of section 1068A. Note 2: If the partner of a compensation
               recipient is qualified for or receives parenting allowance,
               parenting allowance during the periodic payments period may be
               reduced under subsection 1168(6).". 110. Paragraph 1174(6)(c):
               Before "the sum of" insert "subject to subsection (6AA),". 111.
               After subsection 1174(6): Insert:

"(6AA) For the purposes of paragraph (6)(c), any payment of parenting
allowance payable to the person's partner for the periodic payments period or
the lump sum preclusion period is to be disregarded so far as it does not
exceed the maximum basic component of parenting allowance. Note: For the
maximum basic component of parenting allowance see point 1068A-B6 of the
Parenting Allowance Rate Calculator at the end of section 1068A.". 112.
Paragraph 1179(6)(c): Before "the sum of" insert "subject to subsection
(6AA),". 113. After subsection 1179(6): Insert:

"(6AA) For the purposes of paragraph (6)(c), any payment of parenting
allowance payable to the person's partner for the periodic payments period or
the lump sum preclusion period is to be disregarded so far as it does not
exceed the maximum basic component of parenting allowance. Note: For the
maximum basic component of parenting allowance see point 1068A-B6 of the
Parenting Allowance Rate Calculator at the end of section 1068A.".

114. After subparagraph 1187(1A)(a)(iva): Insert:

"(v) parenting allowance; or". 115. Section 1190 (Indexed and Adjusted Amounts
Table-item 2- column 2): Add at the end "or for parenting allowance". 116.
Section 1190 (Indexed and Adjusted Amounts Table-item 2- column 4): Add at the
end:

"(Parenting Allowance Rate Calculator-point 1068A-C2- Table C-column 3-all
amounts)". 117. Section 1190 (Indexed and Adjusted Amounts Table-item 16A):
Omit the item. 118. Section 1190 (Indexed and Adjusted Amounts Table-item 18-
column 2): Add at the end "or for parenting allowance". 119. Section 1190
(Indexed and Adjusted Amounts Table-item 18- column 4): Add at the end:

"(Parenting Allowance Rate Calculator-point 1068A-F6- Table F-2-column 4-all
amounts)". 120. Section 1190 (Indexed and Adjusted Amounts Table-item 18A-
column 2): Add at the end "or for parenting allowance". 121. Section 1190
(Indexed and Adjusted Amounts Table-item 18A- column 4): Add at the end:

"(Parenting Allowance Rate Calculator-point 1068A-F2- Table F-1-column 3-all
amounts) (Parenting Allowance Rate Calculator-point 1068A-F6- Table F-2-column
3-all amounts)". 122. Section 1190 (Indexed and Adjusted Amounts Table-item
30- column 2): After "social security benefit" insert "or parenting
allowance". 123. Section 1190 (Indexed and Adjusted Amounts Table-item 30-
column 4): Add at the end:

"(Parenting Allowance Rate Calculator-point 1068A-B3- Table B-column 3A-item
1)". 124. Section 1190 (Indexed and Adjusted Amounts Table-item 31- column 2):
After "social security benefit" insert "or parenting allowance". 125. Section
1190 (Indexed and Adjusted Amounts Table-item 31- column 4): Add at the end:

"(Parenting Allowance Rate Calculator-point 1068A-B3- Table B-column 3B-item
1)". 126. Section 1190 (Indexed and Adjusted Amounts Table-item 32- column 2):
After "social security benefit" insert "or parenting allowance". 127. Section
1190 (Indexed and Adjusted Amounts Table-item 32- column 4): Add at the end:

"(Parenting Allowance Rate Calculator-point 1068A-B3- Table B-column 3A-item
2)". 128. Section 1190 (Indexed and Adjusted Amounts Table-item 33- column 2):
After "social security benefit" insert "or parenting allowance". 129. Section
1190 (Indexed and Adjusted Amounts Table-item 33- column 4): Add at the end:

"(Parenting Allowance Rate Calculator-point 1068A-B3- Table B-column 3B-item
2)". 130. Section 1190 (Indexed and Adjusted Amounts Table-item 47- column 2):
Omit paragraphs (a), (b) and (c), substitute:

"(a) who is receiving a social security benefit and who has a partner; or

   (b)  who is receiving a parenting allowance". 131. Section 1190 (Indexed
        and Adjusted Amounts Table-item 47- column 4): Add at the end:

"(Parenting Allowance Rate Calculator-point 1068A-E8- Table E-column 3-item
1)". 132. Section 1190 (Indexed and Adjusted Amounts Table-item 49- column 2):
After "social security benefit" insert "or a parenting allowance". 133.
Section 1190 (Indexed and Adjusted Amounts Table-item 49- column 4): Add at
the end:

"(Parenting Allowance Rate Calculator-point 1068A-E8- Table E-column 3-items 2
and 3)". 134. Section 1190 (Indexed and Adjusted Amounts Table-item 49B-
column 2): Omit all the words from and including "person who", substitute:

"person:

   (a)  who is receiving a social security benefit and has a partner who is
        getting a service pension; or

   (b)  who is receiving a parenting allowance and whose partner is getting a
        service pension". 135. Section 1190 (Indexed and Adjusted Amounts
        Table-item 49B- column 4): Add at the end:

"(Parenting Allowance Rate Calculator-point 1068A-E8- Table E-column 3-item
4)". 136. Section 1190 (Indexed and Adjusted Amounts Table-item 49D- column
2): Omit paragraphs (a), (b) and (c), substitute:

"(a) who is receiving a social security benefit and has a partner who is in
gaol; or

   (b)  who is receiving a parenting allowance and whose partner is in gaol".
        137. Section 1190 (Indexed and Adjusted Amounts Table-item 49D- column
        4): Add at the end:

"(Parenting Allowance Rate Calculator-point 1068A-E8- Table E-column 3-item
5)". 138. Section 1190 (Indexed and Adjusted Amounts Table): After item 49D,
insert:

"49E.
Maximum basic component of parenting allowance
Maximum basic parenting allowance component
(Parenting Allowance Rate Calculator-point 1068A-B6) ". 139. Section 1191 (CPI
Indexation Table-item 10A): Omit the item. 140. Section 1191 (CPI Indexation
Table): After item 33 insert:

"33A.
Parenting allowance maximum basic parenting allowance component

   (a)  20 March

   (b)  20 September

   (a)  December

   (b)  June
highest June quarter before reference quarter (but not
earlier than June quarter 1994)
$0.10 ". 141. Subparagraph 1207(1)(b)(i): Omit "ordinary". 142. Subsection
1207(2) (Table-column 4): Omit "ordinary". 143. Subsection 1207(2) (Table):
Add at the end:

" Parenting Allowance Rate Calculator (section 1068A)
Module E
Module F
Module D
Not applicable ". 144. Section 1211:

   (a)  After "social security benefits" insert ", parenting allowance".

   (b)  Omit ", additional family payment and home child care allowance",
        substitute "and additional family payment".

   (c)  Omit "906(d)", substitute "905(d)". 145. Section 1211 (Note 4): Omit
        the Note, substitute:

"Note 4: A person is taken to satisfy the requirements relating to being in
Australia for the purposes of paragraph 905(d) (qualification for parenting
allowance) if the person is temporarily absent from Australia for a period of
13 weeks or less.". 146. After subparagraph 1223(2)(b)(x): Insert:

"(xi) section 917 or 919 (parenting allowance);". 147. Subsections 1223(5) and
(6) (Note): Add at the end "or, in the case of the Parenting Allowance Rate
Calculator, is worked out under point 1068A-A4 of the Parenting Allowance Rate
Calculator". 148. Paragraph 1223A(1)(a): After "or benefit" insert ", or a
parenting allowance,". 149. Paragraph 1223A(1)(b): Omit "or benefit",
substitute ", benefit or allowance". 150. Subsection 1223A(3): Add at the end:

"; (q) section 951B (parenting allowance).". 151. Subsection 1223B(2): Add at
the end:

"; (k) section 951K (parenting allowance).". 152. Paragraph 1239(1)(b): Omit
"or 5EA", substitute ", 5EA or 5EB". 153. Subsection 1239(1) (Note):

   (a)  Omit "950", substitute "951F, 951L".

   (b)  Omit "951D", substitute "951R". 154. Paragraph 1240(1)(b): Omit "or
        5EA", substitute ", 5EA or 5EB". 155. Section 1240 (Note 1):

   (a)  Omit "950", substitute "951F, 951L".

   (b)  Omit "951D", substitute "951R". 156. Section 1247 (Note):

   (a)  Omit "950", substitute " 951F, 951L".

   (b)  Omit "951D", substitute "951R". 157. Paragraph 1250(1)(d): Omit "916,
        917", substitute "928, 929,".
PART 4-CONSEQUENTIAL AMENDMENTS OF OTHER ACTS
Data-matching Program (Assistance and Tax) Act 1990 158. Section 3
(subparagraph (c)(xxivb) of the definition of "personal assistance"): After
the subparagraph, insert:

"(xxivc) parenting allowance;". Health Insurance Act 1973 159. Subsection 3(1)
(definition of "dependant"): Add at the end:

"or (d) in relation to a disadvantaged person in respect of whom there is in
force a declaration under section 5EB:

        (i)    a parenting allowance child (within the meaning of Division 1
               of Part 2.18 of the Social Security Act 1991) who is an AFP
               child (within the meaning of that Act); or

        (ii)   the person's partner (within the meaning of that Act);". 160.
               After section 5EA: Insert: Disadvantaged persons (persons
               receiving benefit parenting allowance)

"5EB.(1) If:

   (a)  a person is granted a parenting allowance; and

   (b)  the allowance is a benefit parenting allowance; and

   (c)  the person's partner is declared under section 5D to be a
        disadvantaged person within the meaning of that section in respect of
        a period; and

   (d)  there is no declaration in force under this section in respect of the
        person; the Secretary must declare the person to be a disadvantaged
        person within the meaning of this section in respect of the period
        referred to in paragraph (c).

"(2) If:

   (a)  a person is granted a parenting allowance; and

   (b)  the allowance is a benefit parenting allowance; and

   (c)  the person's partner is not declared under section 5D to be a
        disadvantaged person within the meaning of that section; and

   (d)  there is no declaration in force under this section in respect of the
        person; the Secretary must declare the person to be a disadvantaged
        person within the meaning of this section in respect of the period
        during which the person is receiving a benefit parenting allowance.

"(3) A declaration under subsection (1) or (2) must be in writing and a notice
of it must be given to the person concerned.

"(4) In this section:
'benefit parenting allowance' has the same meaning as in the Social
Security Act 1991;
'parenting allowance' means parenting allowance under the Social Security
Act 1991;
'Secretary' means the Secretary to the Department of Social Security.". 161.
Section 5F: Omit "sections 5 to 5EA", substitute "sections 5 to 5EB". 162.
Subsection 5G(1): Omit "or 5EA", substitute ", 5EA or 5EB".
Income Tax Assessment Act 1936 163. Section 24AB (Table-after the entry for
Newstart allowance): Insert:

"Parenting allowance 24ABXB". 164. Subsection 24ABA(1) (Table-after the entry
for Special benefit): Insert:

"Parenting allowance". 165. Section 24ABXA: After " Social Security Act 1991",
insert ", as in force immediately before the commencement of Schedule 1 to the
Social Security (Parenting Allowance
and Other Measures) Legislation Amendment Act 1994,". 166. Before section
24ABY: Insert: Parenting allowance

"24ABXB.(1) Payments of non-benefit parenting allowance under Part 2.18 of the
Social Security Act 1991 are exempt.

"(2) The treatment of payments of benefit parenting allowance under Part 2.18
of the Social Security Act 1991 is as follows:

   (a)  the supplementary amount of each payment is exempt;

   (b)  so much of each payment as:

        (i)    was included in the payment by way of provisional rate of
               parenting allowance in accordance with the Method statement in
               point 1068A-A3 of the Social Security Act 1991; and

        (ii)   does not exceed the maximum basic component of parenting
               allowance; is exempt;

   (c)  the balance of each payment is not exempt.

"(3) Payments under sections 951Y and 951ZB of the Social Security Act 1991
(which deal with bereavement payments) are exempt.

"(4) If a taxpayer derives a payment under section 951ZC of the Social
Security Act 1991:

   (a)  so much of the sum of that payment and other payments under the
        Social Security Act 1991 derived by the taxpayer during the
        bereavement lump sum period as does not exceed the tax-free amount
        calculated using the exempt bereavement payment calculator AB in
        section 24ABZD is exempt; and

   (b)  the balance of the sum is not exempt.". 167. Subsection 159J(5E): Omit
        the subsection, substitute:

"(5E) If:

   (a)  after taking into account any reduction because of the application of
        any other provision of this section, a rebate is allowable to a
        taxpayer under this section for a year of income in respect of a
        dependant who is the spouse of the taxpayer; and

   (b)  any of the following amounts were paid to the spouse at any time
        during the year of income:

        (i)    home child care allowance (within the meaning of the Social
               Security Act 1991 as in force immediately before the
               commencement of Schedule 1 to the Social Security (Parenting
               Allowance and Other Measures) Legislation Amendment Act 1994);

        (ii)   parenting allowance (within the meaning of the
               Social Security Act 1991); the rebate is to be reduced or
               further reduced, as the case requires, by the sum of the
               following amounts:

   (c)  any home child care allowance;

   (d)  if any parenting allowance is non-benefit parenting allowance (within
        the meaning of the Social Security Act 1991)-that non-benefit
        parenting allowance;

   (e)  if any parenting allowance is benefit parenting allowance (within the
        meaning of the Social Security Act 1991)-any part of that allowance
        that is exempt under paragraph 24ABXB(2)(b) of this Act.". 168.
        Subsection 159J(6) (paragraph (a) of definition of "separate net
        income"): Omit "home child care allowance", substitute "non-benefit
        parenting allowance". 169. Subsection 159J(6) (paragraph (a) of
        definition of "separate net income"): After "
        Social Security Act 1991,", insert "home child care allowance within
        the meaning of the Social Security Act 1991 as in force immediately
        before the commencement of Schedule 1 to the
        Social Security (Parenting Allowance
        and Other Measures) Legislation Amendment Act 1994,". 170. Subsection
        159J(6) (after paragraph (a) of definition of "separate net income"):
        Insert:

"(aaa) does not include any part of benefit parenting allowance paid under the
Social Security Act 1991 that is exempt under paragraph 24ABXB(2)(b) of this
Act;". 171. Subsection 160AAA(1) (after paragraph (a) of definition of
"rebatable benefit"): Insert:

"(aa) paid by way of parenting allowance under Part 2.18 of the Social
Security Act 1991, to the extent that the amount is not exempt under Division
1AA of this Part; or". 172. Subsection 160AAA(1) (paragraph (b) of definition
of "rebatable pension"): Omit "or 2.15A", substitute ", 2.15A or 2.18". 173.
Subsection 221YA(1): Insert:

" 'first non-159J(1C) year of income' means the first year of income in
respect of which the amount that is taken by section 159HA to replace the
amount of $1,000 in relation to dependants included in class 1 in the table in
subsection 159J(2) exceeds $1,452; Note: This definition is called the 'first
non-159J(1C) year of income' because, if it applies in relation to a year of
income, subsection 159J(1C) will not apply to any taxpayer for that year of
income.". 174. Subsection 221YCAA(2) (subparagraph (pa)(iii) of definition of
"Qualifying reductions"): Omit the subparagraph, substitute:

"(iii) if:

                (A)  the preceding year of income is the 1994-95 year of
                     income or any later year of income; and

                (B)  that preceding year of income is not the first
                     non-159J(1C) year of income or any later year of income;
                     and

                (C)  subsection 159J(1C) did not apply in relation to the
                     rebate; 100%; or

        (iv)   if the preceding year of income is the first non-159J(1C) year
               of income or any later year of income and neither of the
               following applies:

                (A)  on 30 June of that preceding year of income an amount of
                     non-benefit parenting allowance (within the meaning of
                     the Social Security Act 1991), or an amount of benefit
                     parenting allowance (within the meaning of that Act) that
                     was to any extent exempt under paragraph 24ABXB(2)(b),
                     became payable to the spouse;

                (B)  that 30 June occurred fewer than 14 days after a day on
                     which an amount of such parenting allowance became
                     payable to the spouse; 100%;".
                     Social Security (Home Child Care and Partner Allowances) Legislation
                     Amendment Act 1994 175. Paragraph (a) of item 9 of
                     Schedule 1: Omit the paragraph. 176. Items 13 and 14:
                     Omit the items.
PART 5-TRANSITIONAL ARRANGEMENTS FOR PARENTING ALLOWANCE 177. Schedule 1A: Add
at the end (after proposed clause 75): Recipients etc. of home child care
allowance on 30 June 1995

"76.(1) Despite the repeal of Part 2.18 (home child care allowance) on 1 July
1995, on and after that day:

   (a)  a claim for home child care allowance may still be made in respect of
        a period that occurred before that day; and

   (b)  a determination must still be made in relation to:

        (i)    any proper claim (within the meaning of Division 3 of Part 2.18
               as in force at the time the claim was made) for home child care
               allowance made before 1 July 1995 and not finally determined
               before that day; and

        (ii)   any claim of the kind referred to in paragraph (a) that is a
               proper claim (within the meaning of Division 3 of Part 2.18 as
               in force immediately before that day) for home child care
               allowance; as if Part 2.18 as in force immediately before that
               day were still in force.

"(2) Subject to subclause (3), if:

   (a)  a person was receiving home child care allowance immediately before 1
        July 1995; or

   (b)  immediately before 1 July 1995, a determination that home child care
        allowance be granted to a person was in force, but the allowance had
        not yet been paid to the person; or

   (c)  before 1 July 1995, a person made a proper claim (within the meaning
        of Division 3 of Part 2.18 as in force at the time the claim was made)
        for home child care allowance, and, on or after 1 July 1995, a
        determination is made under paragraph (1)(b) that the allowance be
        granted to the person; or

   (d)  on or after 1 July 1995, a person made a proper claim (within the
        meaning of Division 3 of Part 2.18 as in force immediately before that
        day) for home child care allowance, and, on or after 1 July 1995, a
        determination is made under paragraph (1)(b) that the allowance be
        granted to the person; the person is taken to have made on 1 July 1995
        a proper claim (within the meaning of Division 3 of Part 2.18) for
        parenting allowance.

"(3) Subclause (2) does not apply if, immediately before 1 July 1995, a
declaration under section 938 was in force specifying that the person was to
receive a share of the home child care allowance in question that was less
than 50%.

"(4) If:

   (a)  paragraph (2)(d) applies; and

   (b)  the person is granted parenting allowance as a result of the claim for
        parenting allowance that he or she is taken to have made; and

   (c)  his or her provisional commencement day under section 911 for
        parenting allowance would, apart from this subclause, be on or before
        6 July 1995; his or her provisional commencement day under section 911
        for parenting allowance is taken to be 1 July 1995.

"(5) If:

   (a)  paragraph (2)(d) applies; and

   (b)  the person is granted parenting allowance as a result of the claim for
        parenting allowance that he or she is taken to have made; and

   (c)  his or her provisional commencement day under section 911 for
        parenting allowance is after 6 July 1995; parenting allowance is,
        subject to subclause (6), payable to the person from 1 July 1995.

"(6) Until his or her provisional commencement day under section 911 for
parenting allowance, the person's rate of parenting allowance under subclause
(5) is to be worked out as if the person's parenting allowance were a
non-benefit parenting allowance. Note: For 'non-benefit parenting allowance'
see Module B of the Parenting Allowance Rate Calculator at the end of section
1068A.

"(7) If, immediately before 1 July 1995, the period for which a person had
been qualified for home child care allowance under section 951H had not yet
expired, the person remains qualified for that allowance after 1 July 1995
until the end of the period as if Part 2.18 as in force immediately before 1
July 1995 were still in force.

"(8) References in this clause relating to a person's entitlement in respect
of an allowance (including references to receipt of such an allowance) on a
particular day are taken to include references to such an entitlement
established by a process of review completed after the day in question. Note:
See Chapter 6 on review of decisions.

Recipients etc. of partner allowance on 30 June 1995

"77.(1) Despite the amendment of section 771HA by Schedule 3 to the
SOCIAL SECURITY (PARENTING ALLOWANCE AND OTHER MEASURES) LEGISLATION AMENDMENT ACT 1994
No. 174, 1994 ACT 1994 No. 174, 1994 Amendment Act 1994, on and after 1 July
1995:

   (a)  a claim for partner allowance may still be made, by a person who as at
        30 June 1995 had a dependent child who was under 16 years old, in
        respect of a period that occurred before that day; and

   (b)  a determination must still be made in relation to:

        (i)    any proper claim (within the meaning of Division 2 of Part
               2.15A) for partner allowance made before 1 July 1995 by a
               person who as at 30 June 1995 had a dependent child who was
               under 16 years old and not finally determined before that day;
               and

        (ii)   any claim of the kind referred to in paragraph (a) that is a
               proper claim (within the meaning of that Division) for
               parenting allowance; as if Part 2.15A as in force immediately
               before that day were still in force.

"(2) If a person had, as at 30 June 1995, a dependent child who was under 16
years old, and:

   (a)  the person was receiving partner allowance immediately before 1 July
        1995; or

   (b)  immediately before 1 July 1995, a determination that partner allowance
        be granted to the person was in force, but the allowance had not yet
        been paid to the person; or

   (c)  before 1 July 1995, the person made a proper claim (within the meaning
        of Division 2 of Part 2.15A) for partner allowance, and, on or after 1
        July 1995, a determination is made under paragraph (1)(b) that the
        allowance be granted to the person; or

   (d)  on or after 1 July 1995, the person made a proper claim (within the
        meaning of Division 2 of Part 2.15A) for partner allowance, and, on or
        after 1 July 1995, a determination is made under paragraph (1)(b) that
        the allowance be granted to the person; the person is taken to have
        made on 1 July 1995 a proper claim (within the meaning of Division 3
        of Part 2.18) for parenting allowance.

"(3) If:

   (a)  paragraph (2)(d) applies; and

   (b)  the person is granted parenting allowance as a result of the claim for
        parenting allowance that he or she is taken to have lodged; his or her
        provisional commencement day under section 911 for parenting allowance
        is taken to be 1 July 1995.

"(4) If:

   (a)  a person had, as at 30 June 1995, a dependent child who was under 16
        years old; and

   (b)  a fortnightly instalment of partner allowance was paid to the person
        between 19 June 1995 and 29 June 1995 (inclusive); and

   (c)  the person's provisional commencement day for parenting allowance is 1
        July 1995; partner allowance is payable to the person in respect of
        the period starting on the day after which that instalment was paid
        and ending immediately before 1 July 1995.

"(5) If:

   (a)  immediately before 1 July 1995, the period for which a person had been
        qualified for a payment under Division 9 of Part 2.15A had not yet
        expired; and

   (b)  because of the amendment of section 771HA by Schedule 3 to the Social
        Security (Parenting Allowance and Other Measures) Legislation Amendment Act
        1994, on 1 July 1995 the person is no longer qualified for partner
        allowance; for the purposes of those payments only, the person is
        taken to remain qualified for partner allowance after 1 July 1995
        until the end of the period.

"(6) References in this clause relating to a person's entitlement in respect
of an allowance (including references to receipt of such an allowance) on a
particular day are taken to include references to such an entitlement
established by a process of review completed after the day in question. Note:
See Chapter 6 on review of decisions. Claims for parenting allowance before 1
July 1995 or in respect of periods before 1 July 1995

"78.(1) If:

   (a)  before 1 July 1995, a person makes a claim for parenting allowance;
        and

   (b)  if it had been made on or after that day, it would have been a proper
        claim (within the meaning of Division 3 of Part 2.18 as in force on 1
        July 1995) for parenting allowance; then:

   (c)  on the day on which the claim was made, the person is taken to have
        made a proper claim (within the meaning of Division 3 of Part 2.18 as
        in force on that day) for home child care allowance; and

   (d)  on 1 July 1995, the person is taken to have made a proper claim
        (within the meaning of Division 3 of Part 2.18 as in force on 1 July
        1995) for parenting allowance.

"(2) If:

   (a)  on or after 1 July 1995, a person makes a proper claim (within the
        meaning of Division 3 of Part 2.18) for parenting allowance; and

   (b)  the period in respect of which the claim is made commenced before 1
        July 1995;

   (c)  on 30 June 1995, home child care allowance was payable to the person;
        then:

   (d)  on the day on which the period commenced, the person is taken to have
        made a proper claim (within the meaning of Division 3 of Part 2.18 as
        in force on that day) for home child care allowance; and

   (e)  if his or her provisional commencement day under section 911 for
        parenting allowance is after 6 July 1995-parenting allowance is,
        subject to subclause (3), payable to the person from 1 July 1995.

"(3) Until his or her provisional commencing day under section 911 for
parenting allowance, the person's rate of parenting allowance under paragraph
(2)(e) is to be worked out as if the person's parenting allowance were a
non-benefit parenting allowance. Note: For a non-benefit parenting allowance,
see Module B of the Parenting Allowance Rate Calculator at the end of section
1068A.

"(4) If:

   (a)  on or after 1 July 1995, a person makes a proper claim (within the
        meaning of Division 3 of Part 2.18) for parenting allowance; and

   (b)  the period in respect of which the claim is made commenced before 1
        July 1995;

   (c)  on 30 June 1995, a partner allowance was payable to the person; then:

   (d)  on the day on which the period commenced, the person is taken to have
        made a proper claim (within the meaning of Division 2 of Part 2.15A as
        in force on that day) for parenting allowance; and

   (e)  his or her provisional commencement day under section 911 for
        parenting allowance is taken to be 1 July 1995.". Indexing of
        parenting allowance amounts prior to 1 July 1995

"79.(1) The amounts set out in the provisions of the Parenting Allowance Rate
Calculator referred to in column 1 of the following Table are to be indexed on
the corresponding days referred to in column 2 of the Table.
TABLE column 1 provisions setting out amounts
column 2
indexation days item 2 of Table B of point 1068A-B3
1 July 1995 point 1068A-B6
1 January 1995 all items of Table C of point 1068A-C2
20 March 1995 column 3 of all items of Table F-1 of point 1068A-F2
20 March 1995 column 3 of all items of Table F-2 of point 1068A-F6
20 March 1995 column 4 of all items of Table F-2 of point 1068A-F6
20 March 1995

"(2) This clause has effect as if section 3 of, and Part 2 of Schedule 1 to,
the Social Security (Parenting Allowance and Other Measures)
Legislation Amendment Act 1994 had commenced on 31 December 1994.". 


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