Income Tax Assessment Act 1997

CHAPTER 2 - LIABILITY RULES OF GENERAL APPLICATION  

PART 2-15 - NON-ASSESSABLE INCOME  

Division 52 - Certain pensions, benefits and allowances are exempt from income tax  

Subdivision 52-E - Exempt payments under the ABSTUDY scheme  

Operative provisions

SECTION 52-131   Payments under ABSTUDY scheme  

52-131(1)    
This section tells you about the income tax treatment of a payment under the ABSTUDY scheme made in respect of a period commencing at a time when you were at least 16 years old.

Note:

The whole of a payment made under the ABSTUDY scheme in respect of a period commencing at a time when you are under 16 years old may be exempt under section 51-10 .

52-131(2)    

The following payments made to you under the ABSTUDY scheme are exempt from income tax:

(a)    a crisis payment;

(b)    a clean energy payment;

(c)    a first 2020 economic support payment;

(d)    a second 2020 economic support payment;

(e)    

a 2022 cost of living payment.

52-131(3)    
If:

(a)    an * ordinary payment becomes due to you; and

(b)    the payment is not covered by subsection (4) or (6) ;

the * supplementary amount of the ordinary payment is exempt from income tax.

Note:

To work out the supplementary amount of the ordinary payment, see section 52-132 .

52-131(4)    
If:

(a)    your partner dies; and

(b)    you do not qualify for a payment under the ABSTUDY scheme in respect of that death; and

(c)    an * ordinary payment becomes due to you during the bereavement period;

the * supplementary amount and the * tax-free amount of the ordinary payment are exempt from income tax.

Note 1:

To work out the supplementary amount of the ordinary payment, see section 52-132 .

Note 2:

To work out the tax-free amount of the ordinary payment, see section 52-133 .

52-131(5)    
If a payment becomes due to you under the ABSTUDY scheme because of a person ' s death (except a lump sum payment because of your partner ' s death), the payment is exempt from income tax.

52-131(6)    
If:

(a)    your partner dies; and

(b)    a lump sum payment under the ABSTUDY scheme becomes due to you because of your partner ' s death;

the total of the following are exempt from income tax up to the * tax free amount:

(c)    the lump sum payment; and

(d)    all other payments that become due to you under the ABSTUDY scheme during the bereavement lump sum period.

Note:

To work out the tax-free amount, see section 52-134 .

52-131(7)    
ABSTUDY scheme means the scheme known as ABSTUDY.

52-131(8)    
Ordinary payment means a payment under the ABSTUDY scheme, other than:

(a)    a crisis payment; or

(aa)    

a clean energy payment; or

(ab)    

a first 2020 economic support payment; or

(ac)    

a second 2020 economic support payment; or

(ad)    

a 2022 cost of living payment; or

(b)    a payment made because of a person ' s death.

52-131(9)    
The following expressions used in this Subdivision have the same meaning as in the ABSTUDY Policy Manual:

(a)    bereavement lump sum period;

(b)    bereavement period;

(c)    illness separated couple;

(d)    lump sum payment;

(e)    partner;

(f)    pension age;

(g)    respite care couple.

Note:

In 2009, the ABSTUDY Policy Manual was accessible through the website of the Department administered by the Student Assistance Minister.