Supplementary Explanatory Memorandum(Circulated by authority of the Treasurer, the Hon Peter Costello, MP)
Outline and financial impact statement
There are no financial implications from these requests and amendment. Although rates are to be increased, the increases are in line with routine indexation increases and are within original costings.
Notes on requests and amendment
Items 9, 10, 16 and 19 of Schedule 4 to the Bill repeal and substitute new rate tables for certain youth allowance, austudy payment and disability support pension customers. The rates in the new tables were correct when the Bill was introduced on 11 February 1999. However, during the Parliaments consideration of the Bill, the rates have become out of date - the rates were due to have been indexed on 1 January 2000. Furthermore, a further increase is due on 1 July 2000 as part of the compensation measures for the goods and services tax.
These requests for amendments bring the rates in these tables up to date. Two alternative sets of rates are provided in each case. As provided by the amendment consequential upon the requests, one set will commence if Royal Assent is given to the Bill before 1 July 2000. In that case, the current (1 January 2000) rates will commence, and the 1 July 2000 increase (which has already been enacted) will then act upon those rates, along with other social security rates. The alternative set will commence if Royal Assent is given to the Bill on or after 1 July 2000, in which case the increased, 1 July 2000 rates will commence.