Senate

Revised Explanatory Memorandum

(Circulated by the authority of the Minister for Social Services, the Hon Christian Porter MP)

Schedule 4 - Cessation of Bereavement Allowance

Summary

This Schedule ceases Bereavement Allowance from 20 March 2020.

From 20 March 2020, a person qualified for Youth Allowance or Jobseeker Payment will be able to receive a one-off, higher payment if their partner dies, in addition to their regular fortnightly payments.

Certain exemptions from the ordinary waiting period, the liquid assets test waiting period, the income maintenance period and the seasonal work preclusion period will also apply to newly bereaved claimants of Youth Allowance or Jobseeker Payment.

Background

Ceasing Bereavement Allowance

Bereavement Allowance is a short-term income support payment that provides financial assistance to recently bereaved persons in the period immediately following the death of their partner.

Bereavement Allowance is paid under the pension income and assets tests and is generally payable for up to 14 weeks following the death of a person's partner. If a woman is pregnant at the time of her partner's death, Bereavement Allowance is payable from the time of claim until the birth of the child, the end of the pregnancy or for up to 14 weeks (which ever results in the longest period).

The amendments made by Schedule 4 will cease Bereavement Allowance from 20 March 2020.

The one-off higher payment

The amendments made by this Schedule provide for a one-off higher payment to be made to new claimants or existing recipients of Youth Allowance or Jobseeker Payment following the death of their partner. This payment will provide newly bereaved recipients of Youth Allowance or Jobseeker Payment some additional financial assistance, above their standard payment.

The one off payment is calculated by reference to either the day on which the person claims Youth Allowance or Jobseeker Payment or the day on which the existing recipient notifies the Secretary that their partner has died. The person's daily rate for that day is multiplied by 14 and by 2 to give an approximate payment amount for two fortnights. When this lump sum payment is made along with a person's usual fortnightly payment, they will receive an amount that is approximately triple their usual fortnightly payment.

An existing recipient of Jobseeker Payment or Youth Allowance will only be eligible for the payment where they have elected not to receive other bereavement payments that they may be entitled to as a result of their partner's death.

The person must claim or report their partner's death within 14 weeks starting on the date of death of their partner in order to be eligible for the payment. A woman who is pregnant when her partner dies has either 14 weeks or until the birth of the child to report her partner's death (whichever results in a longer period of time).

Exemptions from certain requirements

The amendments made by this Schedule will exempt newly bereaved recipients of Youth Allowance and Jobseeker Payment from the liquid assets test waiting period, the income maintenance period and the seasonal work preclusion period (where relevant) in circumstances where their partner has recently died. In order for the exemptions to apply, the person must lodge their claim for one of these payment types within the period of 14 weeks starting on the date of death of their partner or, for a woman who is pregnant, before the birth of the child (where that results in a period of time longer than 14 weeks).

Recipients of parenting payment, Youth Allowance, Jobseeker Payment and special benefit that are recently bereaved will also be exempt from activity testing requirements. The exemption from these requirements will be for a period of 14 weeks starting on the date of death of the person's partner or, for a pregnant woman, until the birth of the child (if that results in a longer exemption period).

The amendments made by this Schedule commence on 20 March 2020.

Explanation of the changes

Income Tax Assessment Act 1997

Amendments to the Income Tax Assessment Act 1997 remove references to Bereavement Allowance and insert references to the new one off higher payment of Jobseeker Payment (new section 660LH of the Social Security Act) and Youth Allowance (new section 567FA of the Social Security Act). The new one off higher payment will be treated as a lump sum payment and will be tax exempt up to the tax free amount as calculated under subsection 52-30(3) of the Income Tax Assessment Act 1997.

Item 1 repeals table item 3.1 in section 52-10 to remove references to Bereavement Allowance from the table.

Item 2 removes the reference to Bereavement Allowance in table item 1 of section 52-15.

Item 3 removes the reference to paragraph 567(1)(f) in table item 5A of subsection 52-20(3) and replaces it with references to subsection 567(1) and section 567FA of the Social Security Act.

Item 4 removes the reference to subdivision AA in table item 6 of subsection 52-20(3).

Item 5 removes a reference to paragraph 660LA(1)(f) in table item 6 of subsection 52-20(3) and replaces it with a reference to subsection 660LA(1) and section 660LH of the Social Security Act.

Item 6 repeals table item 3 in section 52-40 to remove the reference to Bereavement Allowance from the table.

Note that Schedule 1 to the Bill amends the reference to Jobseeker Payment in the table in section 52-40 and includes a reference to section 660LH of the Social Security Act.

Item 7 adds a reference to section 567FA of the Social Security Act in table item 35 of section 52-40.

Social Security Act

Item 8 repeals paragraph 7(4)(d) to remove the reference to Part 2.7 of the Act from the definition of Australian resident.

Item 9 repeals paragraph (f) of the definition of social security pension in subsection 23(1) of the Act to remove the reference to Bereavement Allowance.

Item 10 repeals the whole of Part 2.7 of the Act which relates to Bereavement Allowance.

Parenting payment

Item 11 repeals and substitutes the heading to section 501E of the Act to make it more accurately describe the new provision. The heading to section 501E will change from 'Parenting Payment Employment Pathway Plans - suspension of plans in cases of domestic violence etc.' to 'Parenting Payment Employment Pathway Plans - suspension of plans'.

Item 12 inserts a reference to section 502BA into section 501E. The effect of this amendment is that when a person's partner dies, their Parenting Payment Employment Pathway Plan is taken to be suspended for the period of their participation exemption.

Item 13 inserts new section 502BA into the Act.

New section 502BA sets out circumstances under which a new claimant or existing recipient of parenting payment will be covered by a participation exemption in relation to their Parenting Payment Employment Pathway Plan.

Under new subsection 502BA(1) a person will be covered by a participation exemption where they make a new claim for parenting payment on or after commencement and after the death of their partner (which must also occur after commencement).

Ordinarily, for the participation exemption to apply, the claim for parenting payment must be made within the period of 14 weeks starting on the day the person's partner died. However, for a woman who was pregnant when her partner died, the claim must be made within the period of 14 weeks starting on the day her partner died or before the birth of the child or end of the pregnancy (whichever results in a longer period).

Under new subsection 502BA(2), a person will also be covered by a participation exemption where they are an existing recipient of parenting payment on or after commencement and their partner dies.

Ordinarily, for the participation exemption to apply, the person must notify the Secretary of their partner's death within the period of 14 weeks starting on the day their partner died. However, for a woman who was pregnant when her partner died, the notification must occur within the period of 14 weeks starting on the day her partner died or before the birth of the child or end of the pregnancy (whichever results in a longer period).

For both new claimants and existing recipients of parenting payment, the period of the participation exemption is 14 weeks from the date of the partner's death. However, for a woman who was pregnant when her partner died, the participation exemption will start on the day her partner died and end after 14 weeks or on the birth of the child or end of the pregnancy (whichever results in a longer period).

Youth Allowance

Item 14 inserts new subsection 542(ca) to make it clear that a Youth Allowance recipient is not required to satisfy the activity test if the person has a death of partner exemption under section 542EA.

Item 15 inserts new section 542EA into the Act.

Section 542EA sets out circumstances under which a new claimant or existing recipient of Youth Allowance will be covered by a death of partner exemption in relation to the Youth Allowance activity test set out in section 541 of the Act.

Under new subsection 542EA(1) a person will have a death of partner exemption where they make a new claim for Youth Allowance on or after commencement and after the death of their partner (which must also occur after commencement).

Ordinarily, for the death of partner exemption to apply, the claim for Youth Allowance must be made within the period of 14 weeks starting on the day the person's partner died. However, for a woman who was pregnant when her partner died, the claim must be made within the period of 14 weeks starting on the day her partner died or before the birth of the child or end of the pregnancy (whichever results in a longer period).

Under new subsection 542EA(2), a person will also be covered by a death of partner exemption where they are an existing recipient of Youth Allowance on or after commencement and their partner dies.

Ordinarily, for the death of partner exemption to apply, the person must notify the Secretary of their partner's death within the period of 14 weeks starting on the day their partner died. However, for a woman who was pregnant when her partner died, the notification must occur within the period of 14 weeks starting on the day her partner died or before the birth of the child or end of the pregnancy (whichever results in a longer period).

For both new claimants and existing recipients of Youth Allowance, the period of the death of partner exemption is 14 weeks from the date of their partner's death. However, for a woman who was pregnant when her partner died, the participation exemption will start on the day her partner died and end after 14 weeks or on the birth of the child or end of the pregnancy (whichever results in a longer period).

Item 16 inserts paragraph 544A(2)(baa) so that a person that has a death of partner exemption under section 542EA is not required to enter into a Youth Allowance Employment Pathway Plan.

Item 17 inserts paragraph 544E(aa). The effect of this amendment is that when a person's partner dies, the person's Youth Allowance Employment Pathway Plan is taken to be suspended for the period of their death of partner exemption under section 542EA.

Item 18 inserts subsection 549A(7) so that where a person claims Youth Allowance after commencement and after the death of their partner (which must also occur after commencement) they will not be subject to the liquid assets test waiting period.

The person must apply for Youth Allowance within the period of 14 weeks starting on the day their partner died. However, for a woman who was pregnant when her partner died, the claim must be made within the period of 14 weeks starting on the day her partner died or before the birth of the child or end of the pregnancy (whichever results in a longer period).

The exemption from the liquid assets test waiting period is 14 weeks from the date of the partner's death. However, for a woman who was pregnant when her partner died, the exemption will start on the day her partner died and end after 14 weeks or on the birth of the child or end of the pregnancy (whichever results in a longer period).

Item 19 includes a reference to subsection 549CA(5) in subsection 549CA(2).

Item 20 inserts subsection 549CA(5) so that where a person claims Youth Allowance after commencement and after the death of their partner (which must also occur after commencement) the ordinary waiting period will not apply.

The person must apply for Youth Allowance within the period of 14 weeks starting on the day their partner died. However, for a woman who was pregnant when her partner died, the claim must be made within the period of 14 weeks starting on the day her partner died or before the birth of the child or end of the pregnancy (whichever results in a longer period).

Item 21 inserts subsection 553C(6) so that where a person claims Youth Allowance after commencement and after the death of their partner (which must also occur after commencement) the seasonal work preclusion period will not apply.

The person must apply for Youth Allowance within the period of 14 weeks starting on the day their partner died. However, for a woman who was pregnant when her partner died, the claim must be made within the period of 14 weeks starting on the day her partner died or before the birth of the child or end of the pregnancy (whichever results in a longer period).

Item 22 repeals and substitutes the heading to Subdivision A of Division 10 of Part 2.11 of the Act so it more accurately describes the amended subdivision. The heading will change from 'Subdivision A - Bereavement payments on death of partner' to 'Subdivision A - Ongoing payments for death of partner'.

Item 23 repeals and substitutes the heading to section 567 of the Act to refer to Subdivision rather than Division. The heading will change from 'Qualification for payments under this Division' to 'Qualification for payment under this Subdivision'.

Items 24-26, 28-32, 34 and 36-38 remove references to 'Division' and replaces those references with 'Subdivision' in paragraph 567(1)(f), subsection 567(1), subsection 567(2), paragraph 567(3)(b), subsection 567(4), section 567A, paragraph 567B(a), section 567C, paragraph 567D(a), paragraphs 567E(1)(a), (d) and (e), paragraph 567E(2)(a) and section 567F.

Item 27 adds a note at the end of subsection 567(2) to make it clear that by choosing not to receive a payment under Subdivision A of Division 10 of Part 2.11, a person may qualify for the new one off higher payment under Subdivision AA.

Example

A person and their partner both receive Youth Allowance. The person's partner dies on 1 May 2020 and they notify Centrelink of their partner's death the following day. The person qualifies for bereavement payments under Subdivision A of Division 10 of Part 2.11, but under subsection 567(2), they elect not to receive those payments. As a result, they qualify for a one off lump sum payment under section 567FA.

Item 33 repeals and substitutes the heading to section 567D of the Act to refer to Subdivision rather than Division. The heading to section 567D will change from 'Effect of death of person entitled to payments under this Division' to 'Effect of death of person entitled to payments under this Subdivision'.

Item 35 repeals and substitutes the heading to section 567E of the Act to refer to Subdivision rather than Division. The heading to section 567E will change from 'Matters affecting payments under this Division' to 'Matters affecting payments under this Subdivision'.

Item 39 inserts Subdivision AA - One off payment for death of partner.

Under section 567FA, a person qualifies for a lump sum payment if:

•

they notify the Secretary that their partner died;

•

they are qualified for Youth Allowance on that day and Youth Allowance is payable to them on that day;

•

before that day (but after commencement) the person was a member of a couple and stopped being a member of a couple because their partner died;

•

the person is not a member of a new couple;

•

when the person's partner died, both the person and their partner were Australian residents;

•

the day on which the person notifies the Secretary of their partner's death occurs within the period of 14 weeks starting on the day that the person's partner died or, for a woman who is pregnant, within the period of 14 weeks starting on the day that her partner died or before the birth of the child or end of the pregnancy (whichever results in a longer period); and

•

if the person is qualified for bereavement payments under section 567, they have chosen not to receive those payments under subsection 567(2).

Section 567FB sets out the formula for working out the amount of the lump sum payment. The amount is determined by reference to the daily amount of Youth Allowance that is payable to the person on the day that they notify the Secretary of their partner's death. That daily amount is multiplied by 14 and then by 2 to give an amount that will be around double what the person would ordinarily get in a fortnight. The practical result is that a recently bereaved Youth Allowance recipient will be entitled to around three times their ordinary payment of Youth Allowance (i.e. their usual payment plus the bereavement lump sum) in the fortnight after they notify the Secretary of their partner's death.

Jobseeker Payment

Item 40 inserts a reference to subsection 598(8B) into subsection 598(1).

Item 41 inserts subsection 598(8B) so that where a person claims Jobseeker Payment after commencement and after the death of their partner (which must also occur after commencement) they will not be subject to the liquid assets test waiting period.

The person must apply for Jobseeker Payment within the period of 14 weeks starting on the day their partner died. However, for a woman who was pregnant when her partner died, the claim must be made within the period of 14 weeks starting on the day her partner died or before the birth of the child or end of the pregnancy (whichever results in a longer period).

The exemption from the liquid assets test waiting period is 14 weeks from the date of the partner's death. However, for a woman who was pregnant when her partner died, the exemption will start on the day her partner died and end after 14 weeks or on the birth of the child or end of the pregnancy (whichever results in a longer period).

Items 42 and 43 repeal the notes to subsections 601(1) and 601(5). Item 42 also inserts new notes to subsections 601(1) which clarify that subsections 601(2A) and 601(2B) set out what paid work is unsuitable and that Subdivisions B and BA set out situations in which a person is taken to satisfy, or is not required to satisfy, the activity test.

Item 44 inserts new section 602AA into the Act.

Section 602AA sets out circumstances under which a new claimant or existing recipient of Jobseeker Payment will not be required to satisfy the activity test set out in section 601 of the Act.

Under new subsection 602AA(1) a person will not be required to satisfy the activity test where they make a new claim for Jobseeker Payment on or after commencement and after the death of their partner (which must also occur after commencement).

Ordinarily, for a person not to be required to satisfy the activity test, the claim for Jobseeker Payment must be made within the period of 14 weeks starting on the day the person's partner died. However, for a woman who was pregnant when her partner died, the claim must be made within the period of 14 weeks starting on the day her partner died or before the birth of the child or end of the pregnancy (whichever results in a longer period).

Under new subsection 602AA(2), a person will also not be required to satisfy the activity test where they are an existing recipient of Jobseeker Payment on or after commencement and their partner dies.

Ordinarily, for a person not to be required to satisfy the activity test, the person must notify the Secretary of their partner's death within the period of 14 weeks starting on the day their partner died. However, for a woman who was pregnant when her partner died, the notification must occur within the period of 14 weeks starting on the day her partner died or before the birth of the child or end of the pregnancy (whichever results in a longer period).

For both new claimants and existing recipients of Jobseeker Payment, the period that they will not to be required to satisfy the activity test is 14 weeks from the date of their partner's death. However, for a woman who was pregnant when her partner died, the participation exemption will start on the day her partner died and end after 14 weeks or on the birth of the child or end of the pregnancy (whichever results in a longer period).

Item 45 inserts a reference to section 602AA into subsection 605(2C) so that a person who is not required to satisfy the activity test under section 602AA is not required to enter into a Jobseeker Employment Pathway Plan under subsection 605(1) or 605(2).

Item 46 repeals the words 'in cases of domestic violence etc.' in the heading to section 607C so the heading more accurately describes the new provision.

Item 47 inserts a reference to section 602AA in section 607C. The effect of this amendment is that when a person's partner dies, their Jobseeker Employment Pathway Plan is taken to be suspended for the period that the person is not required to satisfy the activity test because of section 602AA.

Item 48 inserts a reference to subsection 620(4) in subsection 620(1).

Item 49 inserts subsection 620(4) so that where a person claims Jobseeker Payment after commencement and after the death of their partner (which must also occur after commencement) the ordinary waiting period will not apply.

The person must apply for Jobseeker Payment within the period of 14 weeks starting on the day their partner died. However, for a woman who was pregnant when her partner died, the claim must be made within the period of 14 weeks starting on the day her partner died or before the birth of the child or end of the pregnancy (whichever results in a longer period).

Item 50 inserts subsection 633(6) so that where a person claims Jobseeker Payment after commencement and after the death of their partner (which must also occur after commencement) the seasonal work preclusion period will not apply.

The person must apply for Jobseeker Payment within the period of 14 weeks starting on the day their partner died. However, for a woman who was pregnant when her partner died, the claim must be made within the period of 14 weeks starting on the day her partner died or before the birth of the child or end of the pregnancy (whichever results in a longer period).

Item 51 repeals and substitutes the heading to Subdivision AA of Division 9 of Part 2.12 of the Act to make it more accurately describe the amended subdivision. The heading will change from 'Subdivision AA - Death of partner' to 'Subdivision AA - Ongoing payments for death of partner'.

Item 52 adds a note at the end of subsection 660LA(2) to make it clear that by choosing not to receive a payment under Subdivision AA of Division 9 of Part 2.12, a person may qualify for payment under Subdivision A.

Example

A person and their partner both receive Jobseeker Payment. The person's partner dies on 1 May 2020 and they notify Centrelink of their partner's death the following day. The person qualifies for bereavement payments under Subdivision AA of Division 9 of Part 2.12, but under subsection 660LA(2), they elect not to receive those payments. As a result, they qualify for a one off lump sum payment under section 660LH.

Item 53 substitutes the reference to 'Division' in section 660LG with a reference to 'Subdivision'.

Item 54 inserts Subdivision A - One off payment for death of partner.

Under section 660LH, a person qualifies for a lump sum payment if:

•

they notify the Secretary that their partner died;

•

they are qualified for Jobseeker Payment on that day and Jobseeker Payment is payable to them on that day;

•

before that day (but after commencement) the person was a member of a couple and stopped being a member of a couple because their partner died;

•

the person is not a member of a new couple;

•

when the person's partner died, both the person and their partner were Australian residents;

•

the day on which the person notifies the Secretary of their partner's death occurs within the period of 14 weeks starting on the day that the person's partner died or, for a woman who is pregnant, within the period of 14 weeks starting on the day that her partner died or before the birth of the child or end of the pregnancy (whichever results in a longer period); and

•

if the person is qualified for payments under section 660LA, they have chosen not to receive those payments under subsection 660LA(2).

Section 660LI sets out the formula for working out the amount of the lump sum payment. The amount is determined by reference to the daily amount of Jobseeker Payment that is payable to the person on the day that they notify the Secretary of their partner's death. That daily amount is multiplied by 14 and then by 2 to give an amount that will be around double what the person would ordinarily get in a fortnight. The practical result is that a recently bereaved Jobseeker Payment recipient will be entitled to around three times their ordinary payment of Jobseeker Payment (i.e. their usual payment plus the bereavement lump sum) in the fortnight after they notify the Secretary of their partner's death.

Special benefit

Item 55 inserts new section 731DAA into the Act.

Section 731DAA sets out circumstances under which a new claimant or existing recipient of special benefit will not be required to satisfy the activity test set out in section 731A of the Act.

Under new subsection 731DAA(1) a person will not be required to satisfy the activity test where they make a new claim for special benefit on or after commencement and after the death of their partner (which must also occur after commencement).

Ordinarily, for a person not to be required to satisfy the activity test, the claim for special benefit must be made within the period of 14 weeks starting on the day the person's partner died. However, for a woman who was pregnant when her partner died, the claim must be made within the period of 14 weeks starting on the day her partner died or before the birth of the child or end of the pregnancy (whichever results in a longer period).

Under new subsection 731DAA(2), a person will also not be required to satisfy the activity test where they are an existing recipient of special benefit on or after commencement and their partner dies.

Ordinarily, for a person not to be required to satisfy the activity test, the person must notify the Secretary of their partner's death within the period of 14 weeks starting on the day their partner died. However, for a woman who was pregnant when her partner died, the notification must occur within the period of 14 weeks starting on the day her partner died or before the birth of the child or end of the pregnancy (whichever results in a longer period).

For both new claimants and existing recipients of special benefit, the period that they will not to be required to satisfy the activity test is 14 weeks from the date of their partner's death. However, for a woman who was pregnant when her partner died, the participation exemption will start on the day her partner died and end after 14 weeks or on the birth of the child or end of the pregnancy (whichever results in a longer period).

Item 56 inserts a reference to section 731DAA in subsection 731L(3) so that a person who is not required to satisfy the activity test under section 731A is not required to enter into a Special Benefit Employment Pathway Plan under subsections 731L(1) and 731L(2).

Item 57 repeals the words 'in cases of domestic violence etc.' in the heading to section 731R so the heading more accurately describes the new provision.

Item 58 inserts a reference to section 731DAA in section 731R. The effect of this amendment is that when a person's partner dies, their Special Benefit Employment Pathway Plan is taken to be suspended for the period that the person is not required to satisfy the activity test because of section 731DAA.

Item 59 is a consequential amendment related to item 10 that removes the reference to Bereavement Allowance from subparagraph 1061T(1)(a)(iii). Section 1061T sets out qualification for utilities allowance.

Item 60 is a consequential amendment related to item 10 that removes the reference to Bereavement Allowance from subparagraph 1067F(1)(d)(viii) of the definition of long term income support student.

Item 61 adds section 1067G-H12A to create an exemption to points 1067G-H11 and 1067G-H12. This section operates so that if a person makes a claim for Youth Allowance after commencement and after the death of their partner (which must also occur after commencement), the income maintenance period for leave payments or termination payments do not apply.

The period which the income maintenance period does not apply is 14 weeks from the date of their partner's death. However, for a woman who was pregnant when her partner died, the exemption will start on the day her partner died and end after 14 weeks or on the birth of the child or end of the pregnancy (whichever results in a longer period).

Item 62 is a consequential amendment related to item 10 that repeals table item 5 in Module L of the Youth Allowance Rate Calculator in section 1067G to remove the reference to Bereavement Allowance.

Item 63 is a consequential amendment related to item 10 that repeals the reference to Bereavement Allowance in subparagraph 1067K(1)(d)(vii).

Item 64 adds section 1068-G7AI to create an exemption to points 1068-G7AG and 1068-G7AH. This section operates so that if a person makes a claim for Jobseeker Payment after commencement and after the death of their partner (which must also occur after commencement), the income maintenance period for leave payments or termination payments do not apply.

The period which the income maintenance period does not apply is 14 weeks from the date of their partner's death. However, for a woman who was pregnant when her partner died, the exemption will start on the day her partner died and end after 14 weeks or on the birth of the child or end of the pregnancy (whichever results in a longer period).

Items 65 and 66 repeal subparagraph 1133(1)(a)(vi) which refers to Bereavement Allowance and makes a technical amendment to replace 'or' with 'and' at the end of the preceding subparagraph. Section 1133 sets out qualification for participation in the pension loans scheme.

Item 67, 69-73 and 75-77 are consequential amendments to the amendments made by item 10. These amendments remove references to allowance from paragraph 1133(1)(b), paragraph 1134(1)(e), subsection 1134(2), subsection 1135(1), method statement, steps 1 and 3 in subsection 1135(3), paragraph 1136(1A)(c), paragraphs 1137(1)(b) and (d), section 1141 and subsection 1142(1).

Item 68 repeals and substitutes the heading to section 1134 of the Act to make it more accurately describe the amended subdivision. The heading will change from 'Effect of participation in pension loans scheme - pension or allowance rate' to 'Effect of participation in pension loans scheme - pension rate'.

Item 74 repeals and substitutes the heading to section 1137 to make it more accurately describe the amended section. The heading will change from 'Need for a request to later nominate or change guaranteed amount or rate of pension or allowance' to 'Need for a request to later nominate or change guaranteed amount or rate of pension'.

Items 78-83 are consequential amendments to the amendments made by item 10. These amendments remove references to Bereavement Allowance from subparagraph 1187(1)(a)(v), subparagraph 1188C(1)(a)(vi), table items 8 and 9 in subsection 1188C(5), subparagraph 1188D(2)(a)(vi), subparagraph 1188F(2)(b)(vi) and table item 7 in section 1217.

Items 84 and 85 are consequential amendments to the amendments made by item 10. These amendments remove the reference to Bereavement Allowance in subsection 1220(1)(d)(iii) and make a technical amendment to replace 'or' with 'and' at the end of the preceding subparagraph.

Items 86-88 and 91-93 are consequential amendments to the amendments made by item 10. These amendments remove references to Bereavement Allowance from paragraph 1220(1)(e), subsection 1220(1), paragraph 1220(2)(e) and subsection 1220(2).

Items 89 and 90 are consequential amendments to the amendments made by item 10. These amendments remove the reference to Bereavement Allowance in subsection 1220(2)(d)(iii) and makes a technical amendment to replace 'or' with 'and' at the end of the preceding subparagraph.

Item 94 is a consequential amendment that removes the reference to Bereavement Allowance in subparagraph 146(1)(a)(v) of Schedule 1A.

Social Security Administration Act

Items 95-98 are consequential amendments to the amendments made by item 10. These amendments remove references to Bereavement Allowance from paragraph 52(1)(b), paragraph 66(1)(b), subsection 124PD(1) (subparagraph (b)(ii) of the definition of trigger payment) and subclause 1(1) of Schedule 1 (paragraph (e) of the definition of social security bereavement payment).

Item 99 inserts a reference to Subdivision AA of Division 10 of Part 2.11 in paragraph (h) of the definition of social security bereavement payment to include a reference to the new one off Youth Allowance payment for the death of a partner.

Item 100 inserts a reference to Subdivision A of Division 9 of Part 2.12 in paragraph (j) of the definition of social security bereavement payment to include a reference to the new one off Jobseeker Payment for the death of a partner.

International Agreements Act

Items 101-103 are consequential amendments to the amendments made by item 10. These amendments remove references to Bereavement Allowance from the heading to section 21, paragraph 21(a) and paragraph 21(b).

Veterans' Entitlements Act

Item 104 repeals paragraph (e) of the definition of bereavement payment provisions in subsection 118ND(4) to remove the reference to Bereavement Allowance.

Item 105 provides for saving provisions for Bereavement Allowance.

Subitem (1) operates so that if a person was receiving Bereavement Allowance in relation to the death of their partner before commencement, all relevant provisions of the Social Security Act and Social Security (Administration) Act as in force immediately before commencement will continue to apply to that person.

Example

A person's partner dies on 1 March 2020 and they start receiving Bereavement Allowance under Part 2.7 of the Social Security Act on 15 March 2020. On 20 March 2020 they continue to receive Bereavement Allowance. The person travels overseas on 15 April 2020. Sections 1214 and 1217 of the Social Security Act, as in force immediately prior to commencement, apply so that they continue to receive Bereavement Allowance while they are overseas. The person stops receiving Bereavement Allowance on 6 June 2020, 14 weeks after the death of their partner.

Example

A person's partner dies on 1 March 2020 and they start receiving Bereavement Allowance under Part 2.7 of the Social Security Act on 15 March 2020. On 21 March 2020 the person applies for Youth Allowance. On that day they qualify for Youth Allowance and Youth Allowance is payable to them. Subsection 321(2) of the Social Security Act, as in force immediately prior to commencement, applies so that Bereavement Allowance is no longer payable to the person. The person does not qualify for a lump sum payment under section 567FA because they first notified Centrelink of their partner's death before the day on which they qualified for Youth Allowance and Youth Allowance was payable to them (subsection 567FA(h) of the Act).

Subitem (2) operates so that where a person qualified for Bereavement Allowance under section 315 of the Social Security Act prior to commencement, all relevant provisions of the Social Security Act and Social Security (Administration) Act as in force immediately before commencement continue to apply to that person.

Example

A person's partner dies on 10 March 2020 and they lodge a claim for Bereavement Allowance on 21 March 2020. The person met the qualification requirements set out in section 315 of the Social Security Act on 10 March 2020, therefore they are able to be granted Bereavement Allowance after 20 March 2020.

Item 106 is a saving provision for the purpose of the Income Tax Assessment Act 1997 which provides that item 3.1 of the table in section 52-10 and section 52-15 of that Act, as in force immediately prior to commencement, continue to apply to Bereavement Allowance. This ensures that Bereavement Allowance paid after commencement receives the same taxation treatment that it did prior to commencement.

Item 107 provides for saving and transitional provisions for the Social Security Act.

Subitem (1) provides that despite the amendments made by this Schedule, subsection 7(4) of the Social Security Act, as in force immediately prior to commencement, continues to apply in relation to working out whether a person is an Australian resident for the purposes of Part 2.7 of the Act.

Subitem (2) provides that despite the amendments made by this Schedule, subparagraph 1061T(1)(a)(ii) of the Social Security Act, as in force immediately prior to commencement, continues to apply in relation to working out qualification for utilities allowance.

Subitem (3) provides that despite the amendments made by this Schedule, subparagraphs 1067F(1)(d)(viii) and 1067K(1)(d)(vii) of the Social Security Act, as in force immediately prior to commencement, continue to apply in relation to working out whether a person is a long term income support student.

Subitem (4) provides that despite the amendments made by this Schedule, table item 5 in Module L of the Youth Allowance Rate Calculator in section 1067G of the Social Security Act, as in force immediately prior to commencement, continues to apply in order to work out if a person is a family member in relation to another person for the purpose of Part 2.11 of the Act or working out if a person is exempt from the parental income test.

Subitem (5) provides that paragraph 1070(b) of the Social Security Act, as in force immediately prior to commencement, continues to apply in relation to working out qualification for, or the rate of, rent assistance in relation to Bereavement Allowance.

Subitem (6) provides that if a person made a request to participate in the pension loans scheme under section 1136 of the Social Security Act prior to commencement in relation to Bereavement Allowance and that request had not been decided, it is taken to have been refused.

Subitem (7) provides that despite the amendments made by this Schedule, Division 4 of Part 3.12 of the Social Security Act, as in force immediately prior to commencement, continues to apply in relation to a payment of Bereavement Allowance.

Subitem (8) provides that despite the amendments made by this Schedule, subparagraph 1187(1)(a)(v) of the Social Security Act, as in force immediately prior to commencement, continues to apply in relation to Bereavement Allowance payable to a person.

Subitem (9) provides that despite the amendments made by this Schedule, Divisions 2 and 3 of Part 3.15A of the Social Security Act, as in force immediately prior to commencement, continue to apply in relation to Bereavement Allowance payable to a person.

Subitem (10) provides that despite the amendments made by this Schedule, Chapter 5 of the Social Security Act, as in force immediately prior to commencement, continues to apply in relation to overpayments and debt recovery relating to a payment of Bereavement Allowance.

Item 108 provides for specific saving provisions in the Social Security Administration Act.

Subitem (1) provides that despite the amendments made by this Schedule, Part 3 of the Social Security Administration Act, as in force immediately prior to commencement, continues to apply in relation to making claims for Bereavement Allowance (where the person qualified prior to commencement), making payments of Bereavement Allowance and making determinations or requirements in relation to Bereavement Allowance.

Subitem (2) provides that despite the amendments made by this Schedule, Parts 3B and 3D of the Social Security Administration Act, as in force immediately prior to commencement, continue to apply in relation to payment of Bereavement Allowance or of a social security bereavement payment in relation to Bereavement Allowance.

Subitem (3) provides that despite the amendments made by this Schedule, Parts 4 and 4A of the Social Security Administration Act, as in force immediately prior to commencement, continue to apply to a decision in relation to Bereavement Allowance made before, on or after commencement.

Item 109 is a saving provision for the purposes of the International Agreements Act which provides that section 21 of that Act, as in force immediately prior to commencement, continues to apply on and after commencement in relation to working out the rate of Bereavement Allowance.

Item 110 is a saving provision for the purpose of the Veteran's Entitlements Act which provides that sections 118ND and 118NE of that Act, as in force immediately prior to commencement; continue to apply on and after commencement in relation to working out the rate of Bereavement Allowance.