Universities Accord (Cutting Student Debt by 20 Per Cent) Act 2025 (30 of 2025)

Schedule 1   Debt reduction

Part 1   Amendments

VET Student Loans Act 2016

71   After section 23CC

Insert:

23CCA Reduction in VETSL debts incurred before 1 January 2025

(1) For the purposes of working out a person's former accumulated VETSL debt in relation to the person's accumulated VETSL debt for the financial year starting on 1 July 2024, section 23CB has effect as if the method statement in subsection (1) of that section included the following step after step 6:

Step 7. Reduce the amount worked out under step 6 by 20%.

(2) For the purposes of working out a person's accumulated VETSL debt for the financial year starting on 1 July 2024, section 23CC has effect as if the first formula in subsection (1) of that section were omitted and the following formula substituted: