HIGHER EDUCATION FUNDING ACT 1988
[ CCH Note: Act No 150 of 2003, s 3 and Sch 1 items 10 to 14 and 24, contains the following transitional provisions:
``Part 3 - Debts under the Higher Education Funding Act 1988
Conversion of accumulated HEC debts into accumulated HELP debts
10(1)
In working out, under section 140-25 of the Higher Education Support Act 2003 , a person's accumulated HELP debt for the financial year starting on 1 July 2005, if a person incurs an accumulated HEC debt on 1 June 2005, add the debt to the amount under step 1 of the method statement in section 140-5 of that Act.
10(2)
The accumulated HELP debt that a person incurs on 1 June 2006 discharges, or discharges the unpaid part of, any accumulated HEC debt that the person incurred on 1 June 2005.
Taking account of voluntary payments made under the Higher Education Funding Act 1988 on or after 1 June 2005
11
If:
(a) on or after 1 June 2005, a person makes a payment to the Commissioner under Division 1 of Part 5A.3 of the Higher Education Funding Act 1988 ; and
(b) the payment would but for subsection 106N(2A) of that Act, be used in working out the person's accumulated HEC debt incurred on 1 June in a particular financial year;in working out, under section 140-25 of the Higher Education Support Act 2003 , a person's accumulated HELP debt for the financial year, add the amount to the amount of the sum referred to in step 3 of the method statement in section 140-5 of that Act.
Taking account of voluntary payments made under the Higher Education Support Act 2003 before 1 June 2005
11A(1)
If:
(a) on or after 1 January 2005 and before 1 June 2005, a person makes a voluntary repayment to the Commissioner under Division 151 of the Higher Education Support Act 2003 ; and
(b) the payment is in respect of one or more HECS-HELP debts;in working out, under section 140-25 of that Act, a person's accumulated HECS-HELP debt for the financial year, add the amount to the amount of the sum referred to in step 3 of the method statement in section 140-5 of that Act.
11A(2)
If:
(a) on or after 1 January 2005 and before 1 June 2005, a person makes a voluntary repayment to the Commissioner under Division 151 of the Higher Education Support Act 2003 ; and
(b) the payment is in respect of one or more HELP debts that are not HECS-HELP debts;in working out, under section 143-15 of that Act, a person's accumulated FEE-HELP/OS-HELP debt for the financial year, add the amount to the amount of the sum referred to in step 3 of the method statement in section 143-5 of that Act.
Taking account of HEC assessment debts assessed on or after 1 June 2005
12
If:
(a) on or after 1 June 2005, the Commissioner makes an assessment under section 106T of the Higher Education Funding Act 1988 ; and
(b) an amount is included in the notice of the assessment that is required to be paid in respect of an accumulated HEC debt under section 106Q of that Act; and
(c) the amount would, but for subsection 106N(2A) of that Act, be used in working out the person's accumulated HEC debt incurred on 1 June in a particular financial year;in working out, under section 140-25 of the Higher Education Support Act 2003 , a person's accumulated HELP debt for the financial year, add the amount to the amount of the sum referred to in step 4 of the method statement in section 140-5 of that Act.
Taking account of amendments of assessments of HEC assessment debts on or after 1 June 2005
13(1)
If:
(a) on or after 1 June 2005, the Commissioner amends an assessment made under section 106T of the Higher Education Funding Act 1988 of the amount of a person's HEC assessment debt; and
(b) the HEC assessment debt is increased by the amendment (whether as a result of an increase in the person's taxable income of an income year or otherwise);in working out, under section 140-25 of the Higher Education Support Act 2003 , a person's accumulated HELP debt for the appropriate financial year, add the amount of the increase to the amount of the sum referred to in step 5 of the method statement in section 140-5 of that Act.
13(2)
If:
(a) on or after 1 June 2005, the Commissioner amends an assessment made under section 106T of the Higher Education Funding Act 1988 of the amount of a person's HEC assessment debt; and
(b) the HEC assessment debt is reduced by the amendment (whether as a result of a reduction in the person's taxable income of an income year or otherwise);in working out, under section 140-25 of the Higher Education Support Act 2003 , a person's accumulated HELP debt for the appropriate financial year, add the amount of the reduction to the amount of the sum referred to in step 6 of the method statement in section 140-5 of that Act.
13(3)
For the purposes of this item, the appropriate financial year is:
(a) if the amendment is made before 1 June in a financial year - that financial year; or
(b) if the amendment is made on or after 1 June in a financial year - the immediately succeeding financial year.
Definitions
14
In this Part:accumulated HEC debt
has the meaning given by section 106N of the Higher Education Funding Act 1988 .HEC assessment debt
Definitions
has the meaning given by section 34 of the Higher Education Funding Act 1988 .
24
In this Schedule:new Act
means the Higher Education Support Bill 2003 .old Act
means the Higher Education Funding Act 1988 .'']
In this Chapter, unless the contrary intention appears:
accumulated HEC debt
has the meaning given by section
106N
.
BOTP study period debt
has the meaning given by section
106JB
.
(a) when used in relation to a loan under section 57 or 98G - census date within the meaning of Chapter 4 ; or
(b) when used in relation to a loan under section 98ZA - census date within the meaning of Chapter 4B ; or
(c) when used in relation to a loan under section 106D - census date within the meaning of Chapter 5 .
(a) when used in relation to a loan under section 98G - fees as defined by section 3 ; or
(b) when used in relation to a loan under section 98ZA - fees within the meaning of Chapter 4B .
HEC repayment income
of a person means:
(a) in relation to the year of income ending on 30 June 1996 or any preceding year of income - an amount equal to the taxable income of the person in respect of that year; and
(b) in relation to the year of income ending on 30 June 1997 - the sum of:
(i) the taxable income of the person in respect of that year; and
(ii) if, in respect of that year of income, a deduction has been allowed from the assessable income of the person under former section 51 of the Income Tax Assessment Act 1936 for interest on money borrowed by the person to finance rental property investments and that deduction or, if another deduction has been allowed (otherwise than for interest on money borrowed) from the assessable income of the person under that Act in respect of the rental property investments, the total of those deductions exceeds the rental income of the person - the amount of the excess; and
(c) in relation to the 1997-98 or 1998-99 year of income - the sum of:
(i) the person's taxable income for that year of income; and
(ii) if the person has deducted under section 8-1 of the Income Tax Assessment Act 1997 for that year of income an amount for interest on money the person borrowed to finance rental property investments, and the total of that amount and any other amounts the person has deducted under that Act or the Income Tax Assessment Act 1936 (otherwise than for interest on money borrowed) in respect of the rental property exceeds the rental income of the person - the amount of the excess; and
(d) in relation to the 1999-2000 year of income or any later year of income - the sum of:
(i) the person's taxable income for that year of income; and
(ii) if the person has deducted under section 8-1 of the Income Tax Assessment Act 1997 for that year of income an amount for interest on money the person borrowed to finance rental property investments, and the total of that amount and any other amounts the person has deducted under that Act or the Income Tax Assessment Act 1936 (otherwise than for interest on money borrowed) in respect of the rental property exceeds the rental income of the person - the amount of the excess; and
(iii) if the person is an employee (within the meaning of the Fringe Benefits Tax Assessment Act 1986 ) who has a reportable fringe benefits total (as defined in that Act) for the year of income - the reportable fringe benefits total for the year of income.
HEC repayment income of a person
(Repealed by Act No 17 of 1999)
HEC semester debt
has the meaning given by section
106J
.
OL study period debt
has the meaning given by section
106K
.
PELS semester debt
has the meaning given by section
106JA
.
(a) an HEC semester debt; or
(b) an OL study period debt; or
(c) a PELS semester debt; or
(d) a BOTP study period debt.
(a) when used in relation to a loan under section 98ZA - study period within the meaning of Chapter 4B ; or
(b) when used in relation to a loan under section 106D - study period within the meaning of Chapter 5 .
106H(2)
Expressions used in this Chapter that are defined in Chapter 4 , 4A , 4B or 5 have in this Chapter, unless the contrary intention appears, the same meanings as in Chapter 4 , 4A , 4B or 5 (as the case may be).
106H(3)
Expressions used in this Chapter that are defined in the Income Tax Assessment Act 1936 have in this Chapter, unless the contrary intention appears, the same meanings as in that Act.
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