Commonwealth Numbered ActsRepeal the subclauses, substitute:
(a) in respect of any payment made at any time before 1 July 2000if
the person's notional pension/supplement child-related amount ceases to be
greater than the notional family allowance child-related amount in relation to
the person or the person's partner at that time; and
(b) in respect of any payment made at any time on or after 1 July
2000if the person has elected, by written notice given to the
Secretary, no longer to be covered by this clause.
(a) at any time before 1 July 2000, the person's notional
pension/supplement child-related amount ceases to be greater than the notional
family allowance child-related amount in relation to the person or person's
partner; and
(b) because of this fact, the rate of service pension or income support
supplement payable to a person is no longer to include the
first-mentioned amount;
the rate of that pension or supplement is never thereafter to include the person's notional pension/supplement child-related amount even though that amount may again become greater than the notional family allowance child-related amount in relation to the person or the person's partner.
2 Subclause 10(4) of Schedule 5 (definition of notional family allowance child-related amount)
After "at any time", insert "before 1 July 2000".
3 Subclause 10(4) of Schedule 5 (definition of notional pension/supplement child-related amount)
Repeal the definition, substitute:
(a) if the time is a time occurring before 1 July 2000the total of
the pension supplement child-related amounts that would have been included at
that time in the rate of the service pension or income support supplement
payable to the person in respect of any child or children referred to in
paragraph (1)(a) if the amendments made by Schedule 1 to the
Veterans Affairs Legislation Amendment (Budget and Simplification Measures)
Act 1997 had not been made; and
(b) if the time is a time occurring on or after 1 July 2000an
amount that has been determined by the Commission, by instrument in
writing, to be the amount of the pension/supplement child-related
amount at that time, having regard to the indexation of the Part A
rate of family tax benefit to that time under the
A New Tax System (Family Assistance) Act 1999 .
Part 2Amendments concerning commutation of income streams
4 Subsection 52ZMA(3)
Repeal the subsection, substitute:
(a) began on:
(i) the day 5 years before the day the income stream was commuted; or
(ii) the commencement day of the income stream; or
(iii) 20 September 2001;
whichever is the latest; and
(b) ended when the income stream was commuted.
5 Subsection 52ZMA(5)
Repeal the subsection, substitute:
(a) an asset-test exempt income stream (the old income stream ) is commuted,
in whole or in part; and
(b) part, but not the whole, of the payment resulting from the commutation
of the old income stream (the commutation payment ) is transferred
directly to the purchase of another asset-test exempt income stream
(the new income stream );
the following paragraphs have effect for the purposes of this section:
(c) the new income stream is taken to
have the same commencement day as:
(i) the old income stream; or
(ii) if the old income stream was one of a succession of asset-test exempt
income streamsthe first income stream in that succession;
(d) if the old income stream was not one of a succession of asset-test
exempt income streamsincome stream payments made under the old
income stream are taken to have been made under the new income stream;
(e) if the old income stream was one of a succession of asset-test exempt
income streamsincome stream payments made under any of the
income streams in that succession are taken to have been made under
the new income stream.
(a) a hardship amount; or
(b) superannuation contributions surcharge that the person is liable to
pay in his or her capacity as purchaser of the old income stream.
(a) the whole of an asset-test exempt income stream is commuted; and
(b) no part of the payment resulting from the commutation of the income
stream is transferred directly to the purchase of another asset-test
exempt income stream; and
(c) the commuted income stream was one of a succession of asset-test
exempt income streams;
the following paragraphs have effect for the purposes of this section:
(d) the commuted income stream is taken to
have had the same commencement day as the first income stream in that
succession;
(e) income stream payments made under any of the income streams in that
succession (other than the commuted income stream) are taken to have
been, at the time when they were made, payments under the commuted
income stream.
(a) a hardship amount; or
(b) superannuation contributions surcharge that the person is liable to
pay in his or her capacity as purchaser of the old income stream.
(a) 2 or more asset-test exempt income streams constitute a succession of
asset-test exempt income streams if each income stream (other than the first
of those income streams to be provided) has been funded by means of the
payment, or part of the payment, resulting from the commutation of another of
those income streams; and
(b) an income stream is the first income stream in a succession of income
streams if it is the first of those income streams to be provided.
Note: The heading to section 52ZMA is replaced by the heading "Debt resulting from commutation of asset-test exempt income stream contrary to subsection 5JA(2) or 5JB(2)."
Part 3Amendments concerning accrual
of certain pension bonuses unclaimed under social security law
6
Section 45T
At the end of the simplified outline, add:
*
Division 12 modifies the other provisions of the Part to deal with the
case where a person was, before becoming a war widow/war
widowerpensioner, either registered, or eligible to be registered, as a
member of the pension bonus scheme under Part 2.2A of the Social
Security Act 1991 .
7 At the end of Part IIIAB
Add:
(a) who is a war widow/war widowerpensioner; and
(b) who registers under this Act as a member of the pension bonus scheme
in respect of income support supplement; and
(c) who either:
(i) was registered as a member of the pension bonus scheme under
Part 2.2A of the Social Security Act 1991 (the SSA pension bonus
scheme ) with effect from a date before becoming a war widow/war
widowerpensioner; or
(ii) although not so registered, could, in the opinion of the Commission,
have been so registered before becoming a war widow/war
widowerpensioner had the person applied for that registration;
and
(d) who has not received age pension under the social security law; and
(e) who has not claimed pension bonus under that law before becoming a war
widow/war widowerpensioner.
45UW Commission may request the
provision of information
(a) for the purpose of determining whether the person:
(i) was registered as a member of the SSA pension bonus scheme; or
(ii) in the opinion of the Commission, could have been so registered before
becoming a war widow/war widowerpensioner had the person applied
for that registration; and
(b) for the purpose of working out the bonus periods that the person would
have accrued under the social security law:
(i) if the person was registered as a member of the SSA pension bonus
schemeif the person had made a claim for pension bonus under
that law immediately before becoming a war widow/war
widowerpensioner; and
(ii) if the person was not so registered but, in the opinion of the
Commission, could have been so registered before becoming a war
widow/war widowerpensioner had the person applied for that
registrationif the person had been so registered from the
earliest day that the person could have been so registered and,
immediately before becoming a war widow/war widowerpensioner,
had made a claim for pension bonus under that law.
45UX Commission
may determine whether periods occurring before becoming a war
widow/war widowerpensioner are bonus periods under the social
security law
(a) is a person to whom this Division applies; and
(b) was registered as a member of the SSA pension bonus scheme;
the Commission may, subject to subsection (3), determine, having regard to information supplied to it under this Act or the social security law, that if:
(c) the person had made a claim for pension
bonus under that law immediately before becoming a war widow/war
widowerpensioner; and
(d) the claim had been made in respect of a period the whole or part of
which the Commission determines would have been a period of accruing
membership of that scheme;
that period, or that part of that period, would have accrued to the person as a bonus period under that law.
(a) is a person to whom this Division applies; and
(b) was not registered as a member of the SSA pension bonus scheme but, in
the opinion of the Commission, could have been so registered before
becoming a war widow/war widowerpensioner had the person applied
for that registration;
the Commission may, subject to subsection (3), determine, having regard to information supplied to it under this Act or the social security law, that if:
(c) the
person had been so registered from the earliest possible date that the
person could have been so registered; and
(d) the person had made a claim for pension bonus under that law
immediately before becoming a war widow/war widowerpensioner;
and
(e) the claim had been made in respect of a period the whole or part of
which the Commission determines would have been a period of accruing
membership of that scheme;
that period, or that part of that period, would have accrued to the person as a bonus period under that law.
(a) a period would have been:
(i) if the person was registered as a member of the SSA pension bonus
schemea part-year period of accruing membership of that scheme;
or
(ii) if the person was not, but, in the opinion of the Commission, could
have been so registered before becoming a war widow/war
widowerpensioner had the person applied for that registration
and had the person been so registered from the earliest possible date
that the person could have been so registeredsuch a part-year
period of accruing membership of that scheme; and
(b) the period was not immediately preceded by another period that would
have accrued to that person as a bonus period under the social
security law;
the Commission may, despite the terms of subsection 92T(3) of the Social Security Act 1991 , treat that part-year period as a bonus period under the social security law if, had the person made a claim for pension bonus under that law immediately before becoming a war widow/war widowerpensioner, the person would have passed the work test under that law in respect of that period.
45UY Modification of provisions of this Part in respect of persons to whom this Division applies
(a) that bonus period is to be treated as if it were a bonus period that had
accrued to the person under this Act; and
(b) that bonus period, or if more than one, the last such bonus period, is
to be treated as if it were continuous with the first bonus period (if
any) that accrues to the person under this Act after the person
becomes a war widow/war widowerpensioner.
(a) that bonus period is immediately preceded by a period that the Commission
determines would have been another bonus period accruing to the person under
that law; or
(b) that bonus period, when aggregated with any bonus period or bonus
periods accruing to the person under this Act after the person becomes
a war widow/war widowerpensioner, would amount to at least one
year.
(a) a person to whom this Division applies has a part-year period of accruing
membership of the pension bonus scheme under this Act; and
(b) the part-year period does not begin immediately after a bonus period
accruing to that person under this Act;
then, for the purposes of applying subsection 45TR(3) of this Act in determining whether that part-year period is a bonus period under this Act, the Commission may treat that part-year period as if it were immediately preceded by a bonus period accruing to that person under this Act.
8 Application provision
The amendments of the Veterans' Entitlements Act 1986 made by this Part apply in relation to any claim for pension bonus made under that Act on, or at any time after, the day on which this Act receives the Royal Assent.
Part 4Amendments concerning
the calculation of pension bonuses
9 Subsection 5Q(1) (definition of
pension)
After "Parts IIIA,", insert "IIIAB,".
10 Paragraphs 45UG(1)(a) and (b)
Repeal the paragraphs, substitute:
(a) a person
either:
(i) was a member of a couple throughout the person's overall qualifying
period; or
(ii) was not a member of a couple at any time during that period; and
(b) the person remained eligible for the same pension throughout that
period; and
(c) if the person is a war widow/war widowerpensionerthe
person was such a person during the whole of the person's overall
qualifying period;
11 After subsection 45UG(1)
Insert:
(a) a person either:
(i) was a member of a couple throughout the person's overall qualifying
period; or
(ii) was not a member of a couple at any time during that period; and
(b) the person is a war widow/war widowerpensioner; and
(c) the person was not a war widow/war widowerpensioner throughout
some or all of the person's overall qualifying period;
the amount of the person's pension bonus is worked out using the following formula (for rounding up, see subsection (4)):

where:
12 Subsection 45UG(2)
Omit "subsection (1) does not apply", substitute "neither subsection (1) nor (1A) applies".
13 Subsection 45UG(4)
After "subsection (1)", insert ", (1A)".
14 Subsection 45UH(1) (cell at table item 1, column 3)
Repeal the cell, substitute:
the sum of the adjusted percentage of the person's maximum basic rate under point SCH6-B1 and the person's pension supplement under Module BA, worked out, in each case, as at the date of grant of the designated pension if it were assumed that the person were not a member of a couple at that date |
15 Subsection 45UH(1) (cell at table item 3, column 3)
Repeal the cell, substitute:
the person's annual pension rate worked out as at the date of grant of the designated pension |
16 Subsection 45UH(1) (cell at table item 4, column 2)
Repeal the cell, substitute:
The person: (a) is a war widow/war widowerpensioner; but
|
17 Subsection 45UH(2) (definition of annual pension rate)
Repeal the definition, substitute:
18 At the end of subsection 45UH(2)
Add:
19 Subsection 45UH(2) (definition of provisional payment rate)
Repeal the definition, substitute:
(a) if the person:
(i) has, during some or all of the single part of the person's overall
qualifying period, deferred an age service pension or a partner
service pension; and
(ii) the person is not permanently blind;
the sum of the adjusted percentage of the person's maximum basic rate under
point SCH6-B1 and the person's pension supplement under Module BA worked out,
in each case, as at the date of grant of the designated pension if it were
assumed that the person were not a member of a couple at that date; or
(b) if the person:
(i) has, during some or all of the single part of the person's overall
qualifying period, deferred an age service pension or a partner
service pension; and
(ii) the person is permanently blind;
the sum of the amounts under steps 2 and 2A of method statement 2 in subpoint
SCH6-A1(3), worked out as at the date of grant of the designated pension if it
were assumed that the person were not a member of a couple at that date; or
(c) if the person:
(i) has, during some or all of the single part of the person's overall
qualifying period, deferred an age pension; and
(ii) is not permanently blind;
the sum of:
(iii) the adjusted percentage of the person's maximum basic rate under
Table B in point 1064-B1 of the Social Security Act 1991; and
(iv) the person's pension supplement under point 1064-BA2 of that Act;
worked out, in each case, as at the date of grant of the designated pension if
it were assumed that the person were not a member of a couple at that date; or
(d) if the person:
(i) has, during some or all of the single part of the person's overall
qualifying period, deferred an age pension; and
(ii) is permanently blind;
the sum of:
(iii) the maximum basic rate under Table B in point 1065-B1 of the Social
Security Act 1991 ; and
(iv) the person's pension supplement under point 1065-BA2 of that Act;
worked out, in each case, as at the date of grant of the designated pension if
it were assumed that the person were not a member of a couple at that date.
20 Subsection 45UI(1) (cell at table item 1, column 3)
Repeal the cell, substitute:
the sum of the adjusted percentage of the person's maximum basic rate under point SCH6-B1 and the person's pension supplement under Module BA, worked out, in each case, as at the date of grant of the designated pension if it were assumed that the person were a member of a couple at that date |
21 Subsection 45UI(1) (cell at table item 3, column 3)
Repeal the cell, substitute:
the person's annual pension rate worked out as at the date of grant of the designated pension |
22 Subsection 45UI(1) (cell at table item 4, column 2)
Repeal the cell, substitute:
The person: (a) is a war widow/war widowerpensioner; but
|
23 Subsection 45UI(2) (formula)
Repeal the formula, substitute:

24 Subsection 45UI(2) (definition of annual pension rate)
Repeal the definition, substitute:
25 At the end of subsection 45UI(2)
Add:
26 Subsection 45UI(2) (definition of provisional payment rate)
Repeal the definition, substitute:
(a) if the person:
(i) has, during some or all of the partnered part of the person's overall
qualifying period, deferred an age service pension or a partner
service pension; and
(ii) is not permanently blind;
the sum of the adjusted percentage of the person's maximum basic rate under
point SCH6-B1 and the person's pension supplement under Module BA worked out,
in each case, as at the date of grant of the designated pension if it were
assumed that the person were a member of a couple at that date; or
(b) if the person:
(i) has, during some or all of the partnered part of the person's overall
qualifying period, deferred an age service pension or a partner
service pension; and
(ii) the person is permanently blind;
the sum of the amounts under steps 2 and 2A of method statement 2 in subpoint
SCH6-A1(3), worked out as at the date of grant of the designated pension if it
were assumed that the person were a member of a couple at that date; or
(c) if the person:
(i) has, during some or all of the partnered part of the person's overall
qualifying period, deferred an age pension; and
(ii) is not permanently blind;
the sum of:
(iii) the adjusted percentage of the person's maximum basic rate under
Table B in point 1064-B1 of the Social Security Act 1991; and
(iv) the person's pension supplement under point 1064-BA2 of that Act;
worked out, in each case, as at the date of grant of the designated pension if
it were assumed that the person were a member of a couple at that date; or
(d) if the person:
(i) has, during some or all of the partnered part of the person's overall
qualifying period, deferred an age pension; and
(ii) is permanently blind;
the sum of:
(iii) the maximum basic rate under Table B in point 1065-B1 of the Social
Security Act 1991 ; and
(iv) the person's pension supplement under point 1065-BA2 of that Act;
worked out, in each case, as at the date of grant of the designated pension if
it were assumed that the person were a member of a couple at that date.
27
After section 45UI
Insert:
45UIA Apportioned amount

where:
period a war widow or war widower is the number of days in so much of the overall qualifying period as occurred when the person was a war widow/war widowerpensioner.
period not a war widow or war widower is the number of days in so much of the overall qualifying period as occurred when the person was not a war widow/war widowerpensioner.
provisional payment rate is:
(a) if the person has, during some or all of the person's overall qualifying
period, deferred:
(i) an age service pension; or
(ii) a partner service pension; and
the person is not permanently blindthe person's provisional payment rate
under method statement 1 in subpoint SCH6-A1(2), worked out as at the date of
grant of the designated pension, if it were assumed that steps 2 and 3 were
omitted from the method statement; or
(b) if the person has, during some or all of the person's overall
qualifying period, deferred:
(i) an age service pension; or
(ii) a partner service pension; and
the person is permanently blindthe sum of the amounts under steps 2 and
2A of method statement 2 in subpoint SCH6-A1(3), worked out as at the date of
grant of the designated pension; or
(c) if the person has, during some or all of the person's overall
qualifying period, deferred age pension and is not permanently
blindthe person's provisional annual payment rate under the
method statement in point 1064-A1 of the Social Security Act 1991 ,
worked out as at the date of grant of the designated pension, if it
were assumed that steps 2 and 3 were omitted from the method
statement; or
(d) if the person has, during some or all of the person's overall
qualifying period, deferred age pension and is permanently
blindthe sum of the maximum basic rate under Table B in point
1065-B1 of the Social Security Act 1991 and the person's pension
supplement under point 1065-BA2, worked out as at the date of grant of
the designated pension.
28 Application provision
The amendments of the Veterans' Entitlements Act 1986 made by this Part apply in relation to any claim for pension bonus made under that Act on, or at any time after, the day on which this Act receives the Royal Assent.
Part 5Amendments
concerning the backdating of claims for partner service pension in certain
circumstances
29 After section 38
Insert:
38AA Disclosure or use of personal information relevant to partner service pension eligibility
(a) disclose to the veteran's partner personal information to the effect that,
with effect from a specified date, the veteran has become a veteran to whom
section 24 applies so as to facilitate the making of a claim, or of a
further claim, by the veteran's partner for partner service pension; or
(b) otherwise use that information for the purpose of dealing with a
claim, or a further claim, by the veteran's partner for such a
pension.
30 Subsection 38B(1A)
Omit "subsection (2)", substitute "subsections (2) and (3)".
31 At the end of section 38B
Add:
After a person makes a claim, the person's partner becomes a special rate disability pensioner
(a) a person makes a claim for partner service pension; and
(b) that claim is refused; and
(c) that claim would not have been refused if, on the day on which the
claim was made, the person's partner was a veteran to whom
section 24 applied; and
(d) after that claim is refused, the Secretary notifies the person's
partner that he or she is a veteran to whom section 24 applies;
and
(e) within 3 months after that notification, the person makes another
claim for partner service pension;
then the person's provisional commencement day is the later of:
(f) the day the person made the
claim referred to in paragraph (a); and
(g) the day the person's partner became a veteran to whom section 24
applies.
32 Application of items 29, 30 and 31
The amendments made by items 29, 30 and 31 apply to claims for partner service pension lodged on or after the commencement of those items.
Part 6Amendments to achieve alignment with social security
law concerning the treatment of compensation payable in lump sums
33
Subsection 59Q(5)
Repeal the subsection.
34 After section 59Q
Insert:
59QA Deemed lump sum payments arising from separate payments
(a) a person receives 2 or more lump sum payments in relation to the same
event that gave rise to the entitlement of the person to compensation (the
multiple payments ); and
(b) at least one of the multiple payments is made wholly or partly in
respect of lost earnings or lost capacity to earn;
the following paragraphs have effect for the purposes of this Act:
(c) the person
is taken to have received one lump sum compensation payment (the
single payment ) of an amount equal to the sum of the multiple
payments;
(d) the single payment is taken to have been received by the person:
(i) on the day on which he or she received the last of the multiple
payments; or
(ii) if the multiple payments were all received on the same dayon
that day.
35 Application of items 33 and 34
The amendments made by items 33 and 34 apply to multiple compensation payments in relation to the same event of which at least one is received after the commencement of those items.