Veterans' Affairs Legislation Amendment (Military Compensation Review and Other Measures) Act 2013 (99 of 2013)

Schedule 3   Expanded lump sum options for wholly dependent partners

Part 1   Main amendments

Military Rehabilitation and Compensation Act 2004

13   Subsections 236(4) and (5)

Repeal the subsections, substitute:

(4) The Commission may, either before or after the end of that period, extend the period within which the choice must be made if it considers there are special circumstances for doing so.

Amount of lump sum

(5) The amount of the lump sum is worked out using the following formula:

((Partner's age-based number in respect of the lump sum x Appropriate percentage of the weekly amount under paragraph 234(1)(b) at the date of the member's death) - Appropriate percentage of the weekly amounts already paid to the partner)

where:

appropriate percentage means the percentage chosen by the partner under subsection (1).

partner's age-based number , in respect of a lump sum, means the number that is advised by the Australian Government Actuary by reference to the partner's age at the date of the member's death.

No lump sum for legal personal representative of a deceased partner

(6) The legal personal representative of a deceased partner is not entitled to choose to convert any percentage of the weekly amount that was payable to the deceased partner to a lump sum.

Effect on weekly payment of choosing a lump sum

(7) If a partner who receives a notice under section 235 chooses to convert 100% of the weekly amount to a lump sum, then, as soon as practicable after the choice is made, the weekly amount ceases to be payable to the partner.

(8) If a partner who receives a notice under section 235 chooses to convert 25%, 50% or 75% of the weekly amount to a lump sum, then, as soon as practicable after the choice is made, the weekly amount must be reduced accordingly.