Social Security Legislation Amendment Act

(No. 2) 1991

No. 115 of 1991

TABLE OF PROVISIONS

PART 1—PRELIMINARY

SCHEDULE 1

ADDITIONAL AMENDMENTS OF THE SOCIAL SECURITY ACT 1991 MADE BY PART 3

SCHEDULE 2

NEW SCHEDULE 8

SCHEDULE 3

CONSEQUENTIAL AMENDMENTS OF THE SOCIAL SECURITY ACT 1991 AND THE DATA-MATCHING PROGRAM (ASSISTANCE AND TAX) ACT 1990 RELATING TO JOB SEARCH AND NEWSTART ALLOWANCE

SCHEDULE 4

MINOR AMENDMENTS OF THE SOCIAL SECURITY ACT 1991

No. 115 of 1991

[Assented to 27 June 1991]

The Parliament of Australia enacts:

PART 1—PRELIMINARY

Short title

1. This Act may be cited as the Social Security Legislation Amendment Act (No. 2) 1991.

Commencement

2. (1) Sections 1 and 2 commence on the day on which this Act receives the Royal Assent.

(2)     Part 2 is taken to have commenced on 15 April 1991.

(3)     Part 3 commences immediately after the commencement of the Social Security (Rewrite) Amendment Act 19911.

(4)     Part 4 commences immediately after the commencement of Part 3.

(5) Parts 5 and 6 are taken to have commenced on 1 March 1991.

PART 2—AMENDMENT OF THE SOCIAL SECURITY ACT 1947

Principal Act

3. In this Part, “Principal Act” means the Social Security Act 19472.

Special benefit

4. Section 129 of the Principal Act is amended by inserting after subparagraph (3) (a) (iv) the following subparagraph:

“(iva) a person who:

(b)     applied for the permit on or after 15 April 1991; or”.

PART 3—AMENDMENTS OF THE SOCIAL SECURITY ACT 1991 TO HELP MAKE IT CORRESPOND TO THE SOCIAL SECURITY ACT 1947 AS IN FORCE ON 30 JUNE 1991

Principal Act

5. In this Part, “Principal Act” means the Social Security Act 19913.

Income test definitions

6. Section 8 of the Principal Act is amended:

(a) by inserting in subsection (1) the following definition:

“ ‘approved scholarship’ means a scholarship in relation to which a determination under section 24a is in force;”;

(b) by inserting after paragraph (8) (m) the following paragraph:

“(ma) money from an exempt funeral investment;

Note: for ‘exempt funeral investment’ see subsection 23 (1).”;

(c) by adding at the end of subsection (8) the following paragraph:

Note: for ‘approved scholarship’ see subsection 8 (1).”.

Definitions

7. Section 9 of the Principal Act is amended by omitting from subsection (1) the definition of “superannuation pension” and substituting the following definition:

“ ‘superannuation pension’ means a pension payable from a superannuation fund.”.

General definitions

8. Section 23 of the Principal Act is amended by inserting in subsection (1) the following definitions:

“ ‘exempt funeral investment’ means:

(i) to which another type A funeral investment relates; or

(ii) to which a type B funeral investment relates; or

(iii) expenses for which have been paid in advance; or

(i) to which another type B funeral investment relates; or

(ii) to which a type A funeral investment relates; or

(iii) expenses for which have been paid in advance;

‘type A funeral investment’ means an investment:

(a) that:

(i) matures on the death of the investor; or

(ii) matures on the death of the investor’s partner; and

(b)     that cannot be realised before maturity; and

(c)     the return on which is not payable before maturity; and

‘type B funeral investment’ means an investment:

(a) made by:

(i) a person who is a member of a couple; or

(ii) both members of a couple; and

(b) that matures on the death of:

(i) whichever member of the couple dies first; or

(ii) whichever member of the couple dies last; and

(c)     that cannot be realised before maturity; and

(d)     the return on which is not payable before maturity; and

9. After section 24 of the Principal Act the following section is inserted:

Approved scholarship

“24a. The Minister may determine in writing that a scholarship, or a class of scholarships:

(a) awarded outside Australia; and

is an approved scholarship, or a class of approved scholarships, as the case may be, for the purposes of this Act.”.

Qualification for special benefit

10. Section 729 of the Principal Act is amended:

“(vii) a person who:

Rate of job search allowance and sickness benefit (under 18)

11. Section 1067 of the Principal Act is amended:

(b)    by omitting from Note 4 to that table “item l to 4”;

(c)     by omitting from Note 5 to that table “other rates” and substituting

“rates in column 3a”;

Rate of job search allowance and sickness benefit (18 or over) and newstart allowance

12. Section 1068 of the Principal Act is amended:

“column 3b against:

in Table B of point 1068-B1 of this Benefit Rate Calculator.”;

(d) by inserting after paragraph 1068-F1 (a) the following paragraph:

Certain capital amounts not covered by other Subdivisions taken to be received over 12 months

13. Section 1074 of the Principal Act is amended by omitting from paragraph (1) (d) “made on or after 9 September 1988”.

Certain assets to be disregarded in calculating the value of a person’s assets

14. Section 1118 of the Principal Act is amended by inserting after paragraph (1) (m) the following paragraph:

Secretary may send recovery notice to compensation payer

15. Section 1174 of the Principal Act is amended by adding at the end the following subsection:

“(8) This section applies to an amount payable by way of compensation in spite of any law of a State or Territory (however expressed) under which the compensation is inalienable.”.

Offence to make compensation payment after receiving preliminary notice or recovery payment

16. Section 1176 of the Principal Act is amended by adding at the end the following subsection:

“(4) This section applies in relation to a payment by way of compensation in spite of any law of a State or Territory (however expressed) under which the compensation is inalienable.”.

CPI Indexation Table

17. Section 1191 of the Principal Act is amended by omitting from column 3 of the CPI Indexation Table in subsection (1) “13 June” (wherever occurring) and substituting “1 July”.

Debt from failure to comply with garnishee notice

18. Section 1230 of the Principal Act is amended by inserting after subsection (3) the following subsection:

“(3a) This section applies to an amount in spite of any law of a State or Territory (however expressed) under which the amount is inalienable.”.

Garnishee notice

19. Section 1233 of the Principal Act is amended by inserting after subsection (7e) the following subsection:

“(7f) This section applies to money in spite of any law of a State or Territory (however expressed) under which the amount is inalienable.”.

Secretary may waive overpayment or debt

20. Section 1237 of the Principal Act is amended by omitting subsection (4) and substituting the following subsection:

“(4) A determination made under subsection (3) giving, revoking or varying directions is a disallowable instrument for the purposes of section 46a of the Acts Interpretation Act 1901.”.

Non-reviewable decisions

21. Section 1250 of the Principal Act is amended by adding at the end of subsection (1) the following word and paragraph:

Further amendments

22. The Principal Act is amended as set out in Schedule 1.

PART 4—AMENDMENTS OF THE SOCIAL SECURITY ACT 1991 TO PROVIDE FOR NEW POLICIES

Principal Act

23. In this Part, “Principal Act” means the Social Security Act 19913.

Qualification for wife pension

24. Section 147 of the Principal Act is amended by omitting paragraph (2) (a) and substituting the following paragraph:

“(a) sections 1215 to 1216b (limits on portability); and”.

Qualification for widow B pension

25. Section 362 of the Principal Act is amended by omitting paragraph (3) (a) and substituting the following paragraph:

“(a) sections 1215 to 1216b (limits on portability); and”.

Need for a claim

26. Section 551 of the Principal Act is amended by adding at the end the following subsection:

“(3) Subsection (2) does not apply if:

Note: for liquid assets test waiting period see section 519.”.

JSA recipient may ask Secretary to change appropriate tax year

27. Section 561 of the Principal Act is amended by inserting in paragraph (1) (c) “75% or” after “made is”.

Need for a claim

28. Section 635 of the Principal Act is amended by adding at the end the following subsection:

“(4) Subsection (2) does not apply if:

Note: for liquid assets test waiting period see section 519.”.

Qualification for special needs wife pension

29. Section 774 of the Principal Act is amended by adding at the end the following word and paragraph:

Qualification for special needs widow B pension

30. Section 778 of the Principal Act is amended by adding at the end the following word and paragraph:

Indexed and adjusted amounts

31. Section 1190 of the Principal Act is amended:

(f) by inserting after item 23 in the table the following items:

(g) by adding at the end of the table the following items:

CPI Indexation Table

32. Section 1191 of the Principal Act is amended:

(a) by inserting after item 17 in the table the following items:

(c) by adding at the end of the table the following items:

Rounding off indexed amounts

33. Section 1194 of the Principal Act is amended:

(c)     by adding at the end the following subsection:

“(6) If a provisional indexed amount for a pharmaceutical allowance rate or pharmaceutical payment limit is not a multiple of 10 cents, the indexed amount is the provisional indexed amount rounded down to the nearest multiple of 10 cents.”.

34. After section 1206 of the Principal Act the following sections are inserted in Division 4 of Part 3.16 of Chapter 3:

Adjustment of certain pharmaceutical allowance rates

“1206a. This Act has effect as if, on 20 September each year, there were substituted for the:

(a)     PA ‘single’ rate; and

(b)     PA ‘partnered’ (item 2) rate; and

(c) PA ‘illness separated or respite care’ rate;

the amount worked out using the following formula:

where:

PA ‘partnered’ (item 3) rate is the current figure, as at 20 September, for PA ‘partnered’ (item 3) rate.

Note 1: for ‘PA “partnered” (item 3 rate)’ see table in subsection 1061d (2).

Note 2: for ‘current figure’ see subsection 20 (1).

Adjustment of certain pharmaceutical payment limits

“1206b. This Act has effect as if, on 20 September each year, there were substituted for the:

(a)     ‘single’ PPL; and

(b)     ‘partnered’ (item 2) PPL; and

(c)     ‘illness separated or respite care’ PPL;

the amount worked out using the following formula:

where:

‘partnered’ (item 3) PPL is the current figure, as at 20 September, for ‘partnered’ (item 3) PPL in column 3 or column 4, as the case requires, of the Pharmaceutical Payment Limit Table in subsection 1061d (2).

Note: for ‘current figure’ see subsection 20 (1).”.

35. Sections 1215 and 1216 of the Principal Act are repealed and the following sections are substituted:

Certain pensions of non-Australian residents generally not portable

“1215. (1) Subject to subsection (2), a woman who has never been an Australian resident is not qualified for a:

(a)     wife pension; or

(b)     widow B pension; or

(c)     special needs wife pension; or

(d)     special needs widow B pension.

“(2) Subject to subsection (3), if a woman:

(a)     has never been an Australian resident; and

(b)     was in receipt of:

(i) a wife pension; or

(ii) a widow B pension; or

(iii) a special needs wife pension; or

(iv) a special needs widow B pension;

under the Social Security Act 1947 before 1 July 1990; and

(c) is in a specified foreign country on 1 July 1991;

she is not disqualified for that pension from 1 July 1991.

“(3) If a woman to whom subsection (2) applies:

(a) enters a country that is not a specified foreign country; or

(b) is in a country when it ceases to be a specified foreign country;

she is disqualified for that pension as from the time:

(c)     she enters the country; or

(d)     the country ceases to be a specified foreign country;

as the case may be.

“(4) Subsection (3) does not apply if the woman enters, or is in, a country as a transit passenger on an unbroken journey between 2 specified foreign countries.

Note 1: for ‘Australian resident’ see subsection 7 (2).

Note 2: for ‘specified foreign country’ see subsections 23 (1) and 38 (1).

Certain pensions generally portable for 12 months only

“1216. Subject to section 1216b, if:

(a)     a woman has been an Australian resident; and

she is disqualified for:

(d)     wife pension; and

(e)     widow B pension; and

(f)      special needs wife pension; and

(g)    special needs widow B pension;

as from that day.

Note 6: for ‘Australian resident’ see subsection 7 (2).

Note 7: for ‘specified foreign country’ see subsections 23 (1) and 38 (1).

Note 8: for effects of a person returning to Australia see section 1217.

Certain pensions may be portable after 12 months if recipient in specified foreign country

“1216a. (1) If:

(a)     a woman has been an Australian resident; and

she is not disqualified for:

(d)     wife pension; or

(e)     widow B pension; or

(f) special needs wife pension; or

(g) special needs widow B pension;

after the 12 month period ends.

“(2) Subject to section 1216b, if, after the 12 month period ends, the woman:

(a)     enters a country that is not a specified foreign country; or

(b)     is in a country when it ceases to be a specified foreign country; she is disqualified for that pension as from the time:

(c)     she enters the country; or

(d)     the country ceases to be a specified foreign country;

as the case may be.

“(3) Subsection (2) does not apply if the woman enters, or is in, a country as a transit passenger on an unbroken journey between 2 specified foreign countries.

Note 5: for ‘specified foreign country’ see subsections 23 (1) and 38 (1).

Note 6: for effects of a person returning to Australia see section 1217.

Some women not affected by sections 1216 and 1216a

“1216b. (1) A woman’s qualification for a:

(a)     wife pension; or

(b)     widow B pension; or

(c)     special needs wife pension; or

(d)     special needs widow B pension;

is not affected by her being outside Australia while an entitled person.

“(2) In this section:

‘allegation authority’ means:

(a)     the Greek Australian Workers’ Welfare Association (NSW); or

‘entitled person’ means:

Note: for ‘Australian resident’ see subsection 7 (2).”.

Effect of disqualified person returning to Australia

36. Section 1217 of the Principal Act is amended by omitting subsection (1) and substituting the following subsection:

“(1) If a person is disqualified under section 1216 or subsection 1216a (2) for a pension the person remains disqualified until returning to Australia.”.

Rate of pensions paid outside Australia

37. Section 1221 of the Principal Act is amended:

(a) by inserting after subsection (2) the following subsection:

“(2a) In spite of subsections (3) or (4), this section applies to a person:

(a)     receiving a wife pension or a widow B pension; and

New Schedule 8—social security agreement with The Netherlands

38. The Principal Act is amended by adding at the end the Schedule set out in Schedule 2 to this Act.

Consequential amendments

39. The Acts specified in Schedule 3 are amended as set out in that Schedule.

Minor amendments

40. The Principal Act is further amended as set out in Schedule 4.

Principal Act

41. In this Part, “Principal Act” means the National Health Act 19534.

Interpretation

42. Section 84 of the Principal Act is amended by inserting the following paragraphs after paragraph (a) of the definition of “concessional beneficiary” in subsection (1):

“(aaa) a person:

“(aab) a person:

(within the meaning of the Principal Act) in anticipation of, or because of, that section or Division 1a of Part 3.10 of the Social Security Act 1991”.

PART 6—AMENDMENT OF THE SOCIAL SECURITY LEGISLATION AMENDMENT ACT 1990

Principal Act

43. In this Part, “Principal Act” means the Social Security Legislation Amendment Act 19905.

Income from certain money

44. Section 9 of the Principal Act is amended by inserting after subsection (2) the following subsection:

“(3) Where a person:

(i) an account with a financial institution; or

(iii) an accruing return investment; or

(iv) a market-linked investment; or

(v) an immediate annuity; or

(vi) shares;

(within the meaning of the Principal Act) in anticipation of, or because of, the amendments made by subsection (1);

then for the purposes of this Act and other laws of the Commonwealth, the person does not become a prescribed person until he or she would have become so if the amendments had not been made.”.

SCHEDULE 1 Section 22

Part A—Amendments relating to termination of payments

After paragraphs 72 (e), 125 (e), 176 (e), 226 (e), 288 (e), 393 (e), 812 (e) and 1027 (e):

Insert:

After paragraphs 345 (e), 439 (e), 491 (e), 660b (e), 877 (e) and 982 (e):

Insert:

After paragraph 579 (e):

Insert:

Section 579:

Omit “day before the event or change in circumstances occurs”, substitute “end of the notification period”.

After paragraph 717 (e):

Insert:

After paragraph 934 (e):

Insert:

Part B—Amendments relating to computer changes

After section 78a:

Insert:

Changes to payments by computer

“78b. If:

SCHEDULE 1—continued

the change is taken to have been made because of a determination by the Secretary for that reason.”.

After section 131a:

Insert:

Changes to payments by computer

“131b. If:

the change is taken to have been made because of a determination by the Secretary for that reason.”.

After section 182a:

Insert:

Changes to payments by computer

“182b. If:

the change is taken to have been made because of a determination by the Secretary for that reason.”.

SCHEDULE 1—continued

After section 231a:

Insert:

Changes to payments by computer

“231b. If:

the change is taken to have been made because of a determination by the Secretary for that reason.”.

After section 295a:

Insert:

Changes to payments by computer

“295b. If:

the change is taken to have been made because of a determination by the Secretary for that reason.”.

After section 352a:

Insert:

Changes to payments by computer

“352b. If:

the change is taken to have been made because of a determination by the Secretary for that reason.”.

SCHEDULE 1—continued

After section 400a:

Insert:

Changes to payments by computer

“400b. If:

the change is taken to have been made because of a determination by the Secretary for that reason.”.

After section 445a:

Insert:

Changes to payments by computer

“445b. If:

the change is taken to have been made because of a determination by the Secretary for that reason.”.

After section 497a:

Insert:

Changes to payments by computer

“497b. If:

the change is taken to have been made because of a determination by the Secretary for that reason.”.

SCHEDULE 1—continued

After section 586a:

Insert:

Changes to payments by computer

“586b. If:

the change is taken to have been made because of a determination by the Secretary for that reason.”.

After section 660ia:

Insert:

Changes to payments by computer

“660ib. If:

the change is taken to have been made because of a determination by the Secretary for that reason.”.

After section 722a:

Insert:

Changes to payments by computer

“722b. If:

the change is taken to have been made because of a determination by the Secretary for that reason.”.

SCHEDULE 1—continued

After section 818a:

Insert:

Changes to payments by computer

“818b. If:

the change is taken to have been made because of a determination by the Secretary for that reason.”.

After section 882a:

Insert:

Changes to payments by computer

“882b. If:

the change is taken to have been made because of a determination by the Secretary for that reason.”.

After section 939a:

Insert:

Changes to payments by computer

“939b. If:

the change is taken to have been made because of a determination by the Secretary for that reason.”.

SCHEDULE 1—continued

After section 987a:

Insert:

Changes to payments by computer

“987b. If:

the change is taken to have been made because of a determination by the Secretary for that reason.”.

After section 1029a:

Insert:

Changes to payments by computer

“1029b. If:

the change is taken to have been made because of a determination by the Secretary for that reason.”.

After section 1059a:

Insert:

Changes to payments by computer

“1059b. If:

the change is taken to have been made because of a determination by the Secretary for that reason.”.

Part C—Amendments relating to investments with friendly societies

Sub-subparagraphs 1075 (1) (b) (ii) (b) and 1076 (b) (ii) (b):

Before “realisation” insert “full”.

SCHEDULE 1 - continued

Part D—Amendments relating to indexation date

Sections 1203, 1204, 1205 and 1206:

Omit “13 June” (wherever occurring), substitute “1 July”.

SCHEDULE 2 Section 38

NEW SCHEDULE 8

“SCHEDULE 8 Section 1208

AGREEMENT

between

AUSTRALIA

and

The Government of Australia and the Government of The Kingdom of The Netherlands,

Wishing to strengthen the existing friendly relations between their two countries, and

Resolved to co-operate in the field of social security;

Have agreed as follows:

PART I.

GENERAL PROVISIONS

Article 1

Definitions

1. In this Agreement, unless the context otherwise requires:

“benefit” means in relation to a Party, a benefit, pension or allowance for which provision is made in the legislation of that Party, and includes any additional amount, increase or supplement for which a beneficiary is qualified;

“Competent Authority” means, in relation to Australia: the Secretary to the Department of Social Security, and, in relation to The Netherlands: the Minister for Social Affairs and Employment;

“Competent Institution” means, in relation to Australia: the Competent Authority for Australia, and in relation to The Netherlands: the Insurance Institution which is charged with the implementation of the legislation of The Netherlands specified in Article 2 and which is competent under that legislation;

“legislation” means, in relation to Australia, the laws specified in Article 2 in relation to Australia; and, in relation to The

SCHEDULE 2—continued

Netherlands, the laws, ordinances and administrative regulations relating to the systems and branches of social security specified in Article 2 in relation to The Netherlands;

“period of insurance” means a period defined as such in the legislation of The Netherlands;

“period of residence in Australia”, in relation to a person, means a period defined as such in the legislation of Australia, but does not include any period deemed pursuant to Article 9 to be a period in which that person was an Australian resident; and

“territory” means, in relation to Australia, The Commonwealth of Australia, the Territory of Cocos (Keeling) Islands and the Territory of Christmas Island, and, in relation to The Netherlands, the territory of the Kingdom in Europe.

Article 2

Legislative Scope

(i) age pensions;

(b) in relation to The Netherlands, its legislation on:

(i) general old age insurance;

and for the application of Article 6 also its legislation on:

(ii) sickness insurance;

(iii) unemployment insurance;

(iv) children’s allowances;

(v) invalidity insurance;

(vi) general survivor’s insurance.

SCHEDULE 2—continued

effect to any agreement on social security entered into by either Party.

Article 3

Personal Scope

Subject to other articles of this Agreement, it shall apply to any person who:

(a)     is or has been an Australian resident, or

(b)     is or has been subject to the legislation of The Netherlands, and, where applicable, to other persons in regard to the rights they derive from a person described above.

Article 4

Equality of Treatment

1. Subject to the domestic laws of a Party the citizens of each of the Parties shall be treated equally in the application of the social security laws of Australia and of The Netherlands.
2. Subject to this Agreement and unless otherwise provided, all persons to whom this Agreement applies shall be treated equally by a Party in regard to rights and obligations which arise by virtue of this Agreement.

Article 5

Payment of benefits abroad

1. Except where otherwise provided in this Agreement and subject to the legislation of the Parties, benefits may not be reduced, modified, suspended or withdrawn on account of the recipient residing in the territory of the other Party.
2. Where qualification for Australian wives’ pensions for women, who are the wives of persons receiving age pensions, are subject to limitations as to time, then reference to Australia in those limitations shall be read also as reference to the territory of The Netherlands.

Article 6

Secondment

SCHEDULE 2—continued

territory of The Netherlands is sent from that territory by that employer to work in the territory of Australia for a period not expected to exceed 5 years, the person may remain subject to the legislation of The Netherlands as if he were employed in the territory of The Netherlands.

PART II.

PROVISIONS RELATING TO

AUSTRALIAN BENEFITS

Article 7

Residence or Presence in The Netherlands or a Third State

SCHEDULE 2—continued

on social security that includes provision for co-operation in the assessment and determination of claims for benefits, and

(b) is in Australia or The Netherlands or that third State, that person shall be deemed, for the purposes of lodging that claim, to be an Australian resident and in Australia on that date.

Article 8

Spouse-related Australian Benefits

1. For the purposes of this Agreement, a person who receives a wife’s pension under the Social Security Act 1947 as amended from time to time due to the fact that the spouse of that person receives by virtue of this Agreement an Australian benefit, shall be deemed to receive that wife’s pension by virtue of this Agreement.
2. For the purposes of this Agreement, a person in Australia who receives a carer’s pension under the Social Security Act 1947 as amended from time to time because that person is caring for someone who receives an Australian benefit by virtue of this Agreement, shall be deemed to receive that carer’s pension by virtue of this Agreement.

Article 9

Totalisation for Australia

and has accumulated a period of insurance then, for the purposes of a claim for that Australian benefit, that period of insurance shall be deemed, only for the purposes of meeting any minimum qualifying periods for that benefit set out in the legislation of Australia, to be a period in which that person was an Australian resident.

2. For the purposes of paragraph 1, where a person:

(b)    has accumulated a period of insurance in two or more separate

SCHEDULE 2—continued

periods that equals or exceeds in total the minimum period referred to in subparagraph (a),

the total of the periods of insurance shall be deemed to be one continuous period.

Article 10

Calculation of Australian Benefits

1. Subject to paragraph 2, where a person who is outside Australia is qualified for an Australian benefit only by virtue of this Agreement, the rate of that benefit shall be determined according to the legislation of Australia.
2. When assessing the income of a person for the purposes of calculating the rate of a benefit pursuant to paragraph 1 :

The calculation described in paragraph 2 (b) may be expressed as

where:

A = rate of Australian benefit payable;

SCHEDULE 2—continued

R = maximum rate of Australian benefit;

NP = Netherlands’ old age benefit excluding AOW toeslag;

F = free area under the Australian income test.

SCHEDULE 2—continued

1947 as amended from time to time whether by virtue of this Agreement or otherwise.

PART III.

PROVISIONS RELATING TO THE NETHERLANDS BENEFITS

Article 11

Benefits under the General Old Age Pensions Act

1. The Netherlands’ Competent Institution shall determine the old age pension directly and exclusively on the basis of periods of insurance completed under the Netherlands’ General Old Age Pensions Act.
2. Subject to paragraph 3, periods before January 1, 1957 during which a national of one Party resided in the territory of The Netherlands after reaching the age of fifteen or during which, while residing in another country the person was gainfully employed in The Netherlands, shall also be considered as periods of insurance if the person does not satisfy the condition of the Netherlands’ legislation permitting such periods to be treated for that person as periods of insurance.
3. The periods referred to in paragraph 2 shall be taken into consideration in the calculation of the old age pension only if the person concerned has been insured under the Netherlands’ General Old Age Pensions Act and has resided for at least six years in the territory of one or both Parties after reaching the age of fifty-nine and only while the person is residing in the territory of either Party. However, the periods before January 1, 1957 shall not be taken into consideration if they coincide with periods taken into consideration for the calculation of an old age pension under the legislation of a country other than The Netherlands.

PART IV.

COMMON PROVISIONS

Article 12

Common Provisions for the Calculation of Benefits

1. For the purposes of calculating Australian benefits under paragraph 2 of Article 10, the AOW-toeslag shall not be taken into account if the beneficiary resides in the territory of The Netherlands.
2. For the purposes of calculating the AOW-toeslag under Article 11, Australian benefits for the spouse of the beneficiary shall not be taken into account if the beneficiary resides in the territory of Australia.

SCHEDULE 2—continued

PART V.

MISCELLANEOUS AND ADMINISTRATIVE PROVISIONS

Article 13

Lodgement of Documents

1. Any claim, notice or appeal concerning the determination or payment of a benefit under the legislation of one Party which should for the purposes of that legislation, have been presented within a prescribed period to a Competent Authority, Competent Institution or Tribunal of that Party, but which is presented within the same period to a Competent Authority, Competent Institution or Tribunal of the other Party, shall be treated as if it had been presented to the Competent Authority, Competent Institution or Tribunal of the first Party. The date on which such a claim, notice or appeal was submitted to that Competent Authority, Competent Institution or Tribunal of the first Party shall be considered only for the purposes of assessing entitlement to benefit as the date of its submission to that Competent Authority, Competent Institution or Tribunal of the other Party.
2. A claim for a benefit under the legislation of one Party shall be deemed to be a claim for the corresponding benefit under the legislation of the other Party, provided that the applicant:

Article 14

Recovery of Overpayments

1. Where:

SCHEDULE 2—continued

that first-mentioned benefit shall not be paid or continue to be paid if a claim is not duly lodged for payment of the second-mentioned benefit or if that claim is not actively pursued.

2. For the purposes of the Social Security Act 1947, where:

then the amount that would not have been paid by the other Party had the benefit described in subparagraph (a) been paid on a periodical basis throughout the past period shall, for the purposes of this Article, be referred to as an “overpayment”.

SCHEDULE 2—continued

Article 15

Payments of Benefits

1. If a Party imposes legal or administrative restrictions on the transfer of its currency abroad, both Parties shall adopt measures as soon as practicable to guarantee the rights to payment of benefits derived under this Agreement or to payment of social security contributions. Those measures shall operate retrospectively to the time the restrictions were imposed.
2. A benefit payable by a Party by virtue of this Agreement shall be paid by that Party, whether the beneficiary is in the territory of the other Party or outside the respective territories of both Parties, without deduction for government administrative fees and charges for processing and paying that benefit.
3. The payment outside Australia of an Australian benefit that is payable by virtue of this Agreement shall not be restricted by those provisions of the legislation of Australia which prohibit the payment of a benefit to a former Australian resident who returns to Australia becoming again an Australian resident, and lodges a claim for an Australian benefit and leaves Australia within 12 months of the date of that return.
4. Any exemption granted in the territory of one of the Parties from stamp duty, notarial or registration fees in respect of certificates and documents required to be submitted to authorities and insurance institutions in the same territory, shall also apply to certificates and documents which, for the purposes of this Agreement, have to be submitted to authorities and insurance institutions in the territory of the other Party. Documents and certificates required to be produced for the purpose of this Agreement shall be exempt from authentication by diplomatic or consular authorities.

Article 16

Exchange of Information and Mutual Assistance

SCHEDULE 2—continued

SCHEDULE 2—continued

Article 17

Administrative Arrangement

1. The Competent Authorities of the Parties shall establish, by means of an Administrative Arrangement, the measures necessary for the implementation of this Agreement.
2. Liaison agencies shall be designated to facilitate the implementation of this Agreement.

Article 18

Review of the Agreement

Where a Party requests the other to meet to review this Agreement, the Parties shall meet for that purpose no later than 6 months after that request was made and, unless the Parties otherwise arrange, their meeting shall be held in the territory of the Party to which that request was made.

PART VI.

TRANSITIONAL AND FINAL PROVISIONS

Article 19

Commencement of Benefits

1. The commencement date for payment of a benefit under this Agreement shall be determined in accordance with the legislation of the Party concerned but in no case shall that date be a date earlier than the date on which this Agreement enters into force.
2. In determining the eligibility or entitlement of a person to a benefit by virtue of this Agreement:

(b)    any event or fact which is relevant to that entitlement,

shall, subject to this Agreement, be taken into account in so far as those periods or those events are applicable in regard to that person no matter when they were accumulated or occurred.

SCHEDULE 2—continued

Article 20

Entry Into Force and Termination

1. Both Parties shall notify each other in writing of the completion of their respective statutory and constitutional procedures required for entry into force of this Agreement. This Agreement shall enter into force on the first day of the third month following the date of the last notification.
2. Subject to paragraph 3, this Agreement shall remain in force until the expiration of 12 months from the date on which either Party receives from the other a note through the diplomatic channel notice of termination of this Agreement.
3. In the event that this Agreement is terminated in accordance with paragraph 2, the Agreement shall continue to have effect in relation to all persons who:

(a) at the date of termination, are in receipt of benefits, or

(b) prior to the expiry of the period referred to in that paragraph, have lodged claims for and would be entitled to receive benefits, by virtue of this Agreement.

IN WITNESS WHEREOF, the undersigned, being duly authorised thereto by their respective Governments, have signed this Agreement.

DONE in duplicate at The Hague this 4th day of January 1991, in the English language.

FOR THE GOVERNMENT OF AUSTRALIA

GRAHAM RICHARDSON

FOR THE GOVERNMENT OF THE KINGDOM OF THE NETHERLANDS

ELSKE TER VELD”.

SCHEDULE 3 Section 39

CONSEQUENTIAL AMENDMENTS OF THE SOCIAL SECURITY ACT 1991 AND THE DATA-MATCHING PROGRAM (ASSISTANCE AND TAX) ACT 1990 RELATING TO JOB SEARCH AND NEWSTART ALLOWANCE

Social Security Act 1991

Paragraph 1061a (1) (b):

Omit the paragraph, substitute:

“(b) if the person has not turned 18—job search allowance; or”.

Paragraph 1061a (2) (a):

Omit “unemployment benefit”, substitute “job search allowance, newstart allowance”.

Schedule 1a (subclause 1 (1)):

Omit “For”, substitute “Subject to paragraph (2) (k), for”.

Schedule 1a (subclause 1 (2)):

Add the following paragraphs:

Schedule 1a (after subclause 1 (2)):

Add the following subclause:

“(3) In paragraphs (2) (1) and (m):

‘old benefit’, in relation to a person, means:

(a)     an unemployment benefit under the 1947 Act; or

(b)    a job search allowance under the 1947 Act; or

SCHEDULE 3—continued

Data-matching Program (Assistance and Tax) Act 1990

Section 3 (subparagaphs (c) (x) and (ix) of the definition of “personal assistance”):

Omit the subparagraphs, substitute:

“(x) job search allowance;

(xi) newstart allowance;”.

SCHEDULE 4 Section 40

MINOR AMENDMENTS OF THE SOCIAL SECURITY ACT 1991

Part A—Amendments of Index of definitions

Section 3 (Index of definitions):

Insert in their appropriate alphabetical positions determined on a letter-by-letter basis:

Part B—Notes

Section 1061c:

Add at the end:

Subsection 1061d (2):

Add at the end:

After points 1064-F9, 1066-F8, 1067-J11 and 1068-H10:

Insert:

“Note 4: the amounts are indexed in line with CPI increases (see sections 1191 to 1194).”.

NOTES

1. No. 116, 1991.
2. No. 26, 1947, as amended. For previous amendments, see Nos. 38 and 69, 1948; No. 16, 1949; Nos. 6 and 26, 1950; No. 22, 1951; Nos. 41 and 107, 1952; No. 51, 1953; No. 30, 1954; Nos. 15 and 38, 1955; Nos. 67 and 98, 1956; No. 46, 1957; No. 44, 1958; No. 57, 1959; No. 45, 1961; Nos. 1 and 95, 1962; No. 46, 1963; Nos. 3 and 63, 1964; Nos. 57 and 152, 1965; No. 41, 1966; Nos. 10 and 61, 1967; No. 65, 1968; No. 94, 1969; Nos. 2 and 59, 1970; Nos. 16 and 67, 1971; Nos. 1, 14, 53 and 79, 1972; Nos. 1, 26, 48, 103 and 216, 1973; Nos. 2, 23 and 91, 1974; Nos. 34, 56, 101 and 110, 1975; Nos. 26, 62 and 111, 1976; No. 159, 1977; No. 128, 1978; No. 121, 1979 (as amended by Nos. 37 and 98, 1982); No. 130, 1980; Nos. 61 and 170, 1981; No. 159, 1981 (as amended by No. 98, 1982); Nos. 37, 38 and 148, 1982; Nos. 4 and 36, 1983; No. 69, 1983 (as amended by No. 78, 1984); Nos. 46, 78, 93, 120, 134 and 165, 1984; Nos. 24, 52, 95, 127 and 169, 1985; Nos. 5, 28, 33, 106, 130 and 152, 1986; Nos. 77, 88 and 130, 1987; Nos. 13, 35, 58, 75 and 85, 1988; Nos. 133 and 135, 1988 (as amended by Nos. 84 and 164, 1989); Nos. 59, 83, 84, 163 (as amended by No. 164, 1989) and 164, 1989; Nos. 56, 84 and 119, 1990; and Nos. 6 and 73, 1991.
3. No. 46, 1991.
4. No. 95, 1953, as amended. For previous amendments, see No. 68, 1955; Nos. 55 and 95, 1956; No. 92, 1957; No. 68, 1958; No. 72, 1959; No. 16, 1961; No. 82, 1962; No. 77, 1963; No. 37, 1964; Nos. 100 and 146, 1965; No. 44, 1966; Nos. 14 and 100, 1967; No. 100, 1968; No. 102, 1969; No. 41, 1970; No. 85, 1971; No. 114, 1972; Nos. 49 and 202, 1973; Nos. 1, 13 and 93, 1975; Nos. 1, 60, 91, 99, 108 and 177, 1976; Nos. 98 and 100, 1977; Nos. 36, 88, 132 and 189, 1978; Nos. 54, 91 and 122, 1979; Nos. 117 and 131, 1980; Nos. 40, 74, 92, 118, 163 and 176, 1981; Nos. 49, 80 and 112, 1982; Nos. 35, 54 and 139, 1983; Nos. 46, 63, 72, 120, 135 and 165, 1984; Nos. 24, 53, 65, 70, 95, 127 and 167, 1985; Nos. 28, 75, 94 and 115, 1986; Nos. 22, 44, 72, 118, 131 and 132, 1987; Nos. 79, 87, 99 and 155, 1988; No. 95, 1989; and Nos. 3 and 119, 1990.
5. No. 6, 1991 as amended by No. 69, 1991.

[Minister’s second reading speech made in—

House of Representatives on 31 May 1991 a.m.

Senate on 5 June 1991]