Commonwealth Numbered Acts

SOCIAL SECURITY AND VETERANS' ENTITLEMENTS (MAINTENANCE INCOME TEST) AMENDMENT ACT 1988 No. 13, 1988 - SECT 4

4. Section 3 of the Principal Act is amended:

   (a)  by omitting "or" (last occurring) from paragraph (w) of the definition
of "income" in subsection (1);
(b) by adding at the end of the definition of "income" in subsection (1) the
following word and paragraph:

"; or (y) maintenance income;";

   (c)  by inserting in subsection (1) the following definitions:

" 'annual maintenance free area' means:

   (a)  in relation to an unmarried person or a married person whose spouse is
        not in receipt of a prescribed pension-an amount equal to the
        aggregate of:

        (i)    $780; and

        (ii)   $260 for each dependent child (other than the first) of the
               person;

   (b)  in relation to a married person whose spouse is in receipt of a
        prescribed pension but does not (apart from subsection (5AA)) have
        maintenance income-an amount equal to the aggregate of:

        (i)    $390; and

        (ii)   $130 for each child (other than the first) who is a dependent
               child of the person, the person's spouse or both;

   (c)  in relation to a married person whose spouse is in receipt of a
        prescribed pension and does (apart from subsection (5AA)) have
        maintenance income-an amount equal to the aggregate of:

        (i)    $780; and

        (ii)   $130 for each child (other than the first) who is a dependent
               child of the person, the person's spouse or both;
'capitalised maintenance income', in relation to a person, means maintenance
income of the person:

   (a)  that is not a periodic amount or a benefit provided on a periodic
        basis; and

   (b)  the amount or value of which exceeds $1,500;
'fortnightly maintenance free area', in relation to a person, means an amount
equal to one twenty-sixth of the annual maintenance free area of the person;
'in-kind housing maintenance income', in relation to a person, means:

   (a)  in-kind maintenance income of the person in relation to the provision
        of a residence that:

        (i)    is the principal home of the person; and

        (ii)   is the residence (in paragraphs (b) and (c) called the 'family
               home') that was the principal home, or last principal home, of
               both the person and the person's spouse, former spouse or last
               former spouse, as the case requires, immediately before their
               separation;

   (b)  in-kind maintenance income of the person in relation to the provision
        of a residence that:

        (i)    is, or is to be, the principal home of the person;

        (ii)   was not the family home; and

        (iii)  has a value exceeding the value of the family home at the time
               the in-kind maintenance income is received or, if the Secretary
               considers that some other time would be more appropriate, that
               time;
less such part (if any) of that in-kind maintenance income as the Secretary
considers appropriate having regard to the amount of that excess and the
circumstances of the case; or

   (c)  in-kind maintenance income of the person in relation to the provision
        of a residence:

        (i)    that is, or is to be, the principal home of the person; and

        (ii)   to which paragraphs (a) and (b) do not apply (whether because
               there was no family home or otherwise);
and, for the purposes of this definition, in-kind maintenance income in
relation to the provision of a residence includes in-kind maintenance income
consisting of:

   (d)  a benefit received because of the transfer or settlement of a right or
        interest in relation to the residence;

   (e)  a benefit received because of the payment of interest, charges or
        other amounts, or the repayment of amounts borrowed, under a loan
        secured by a mortgage or other interest in relation to the residence
        where the sole or principal purpose of the loan was to enable the
        residence, or a right or interest in relation to the residence, to be
        acquired; and

   (f)  a benefit received because of the payment of rent (including
        Government rent), or a like payment, in relation to the residence;
'in-kind maintenance income', in relation to a person, means maintenance
income of the person other than the amount of a payment received by the person
or a dependent child of the person;
'maintenance agreement' means an agreement in writing (whether made within or
outside Australia) that makes provision in relation to the maintenance of a
person (whether or not it also makes provision in relation to other matters),
and includes such an agreement that varies an earlier maintenance agreement;
'maintenance income', in relation to a person, means:

   (a)  the amount of a payment, or the value of a benefit, received by the
        person:

        (i)    from a parent of a dependent child of the person, or from the
               spouse or former spouse of such a parent, for the maintenance
               of the child; or

        (ii)   from the person's spouse or former spouse for the maintenance
               of the person; or

   (b)  the amount of a payment, or the value of a benefit, received by a
        dependent child of the person from a parent of the child, or from the
        spouse or former spouse of a parent of the child, for the maintenance
        of the child;
and, for the purposes of this definition:

   (c)  a payment received under subsection 76 (1) of the Child Support
        Act 1988 in relation to a registered maintenance liability (within the
        meaning of that Act) shall be taken to be received from the person who
        is the payer (within the meaning of that Act) in relation to the
        liability;

   (d)  a reference to a benefit received by a person includes a reference to
        a benefit received by the person because of a payment made to, or a
        benefit conferred on, another person (including a payment made or
        benefit conferred under a liability owed to the other person); and

   (e)  a reference to a payment or benefit received from a person includes a
        reference to a payment or benefit received:

        (i)    directly or indirectly from the person;

        (ii)   out of any assets of, under the control of, or held for the
               benefit of, the person; and

        (iii)  from the person under or as a result of a court order, a court
               registered or approved maintenance agreement or otherwise;
'parent', in relation to a child who has been adopted, means an adoptive
parent of the child;
'special maintenance income', in relation to a person, means:

   (a)  in-kind housing maintenance income of the person;

   (b)  in-kind maintenance income of the person (other than in-kind housing
        maintenance income or capitalised maintenance income) received from
        the person's spouse or former spouse during the period of 6 months
        following the person's separation from the spouse or former spouse; or

   (c)  maintenance income of the person provided in relation to expenses
        arising directly from a physical, intellectual or psychiatric
        disability, or a learning difficulty, of a dependent child of the
        person where the disability or difficulty is likely to be permanent or
        to last for an extended period;";

   (d)  by inserting after subsection (5) the following subsection:

"(5AA) For the purposes of this Act, unless the contrary intention appears,
the annual rate of the maintenance income of a married person (other than a
person whose spouse is not in receipt of a prescribed pension and does not
have maintenance income) shall be taken to be 50% of the sum of the annual
rates of the maintenance income of the person and the person's spouse.".