Social Security and Other Legislation Amendment (Income Support for Students) Act 2010 (17 of 2010)

Schedule 2   Scholarship payments for students

Part 2   Related amendments

Social Security Act 1991

14   After subsection 8(8)

Insert:

(8AA) For the purposes of paragraph (8)(zjd), each of the following is an excluded payment :

(a) a payment of a scholarship referred to in paragraph (8)(zia), (zj) or (zja);

(b) a scholarship payment under Part 2.11B;

(c) a scholarship payment under the ABSTUDY Scheme;

(d) a payment known as a student start-up scholarship payment, or a relocation scholarship payment, under the scheme referred to in section 117 of the Veterans' Entitlements Act;

(e) a payment known as a student start-up scholarship payment, or a relocation scholarship payment, under the scheme referred to in section 258 of the Military Rehabilitation and Compensation Act.

(8AB) For the purposes of paragraph (8)(zjd), a person's threshold amount , for a calendar year, means $6,762 less the amount of any payment made to that person during that year that is not income for the purposes of this Act because of that paragraph.

Note: The dollar amount mentioned in this subsection is indexed annually in line with CPI increases (see sections 1190 to 1194).

Example: On 15 April 2010 a person is paid a scholarship of $3,000 to study at an educational institution. The threshold amount is $6,762 (as no other payment has been excluded under paragraph (8)(zjd) for 2010). The $3,000 is not income under that paragraph and the threshold amount is reduced to $3,762.

On 1 May 2010 the person is paid a scholarship of $5,000 to study at an educational institution. Of the $5,000, $3,762 is not income under that paragraph. The threshold amount is reduced to zero.

There can be no further payments excluded under that paragraph for that person for 2010.