Document ID: chunk:federal_register_of_legislation:C2024C00458:section:123xpab
Version: federal_register_of_legislation:C2024C00458
Segment Type: section
Provision Reference: s 123XPAB
Character Range: 637762–639305

123XPAB  Deductions from category I welfare payments—lump sums

Scope
 (1) This section applies if:
 (a) a person is subject to the income management regime under section 123UFAA; and
 (b) a category I welfare payment is payable to the person otherwise than by instalments.

Deductions from category I welfare payments—lump sums
 (2) The following provisions have effect:
 (a) the Secretary must deduct from the category I welfare payment the deductible portion of the payment;
 (b) an amount equal to the deductible portion of the payment is credited to the Income Management Record;
 (c) an amount equal to the deductible portion of the payment is credited to the person's income management account.

Deductible portion
 (3) For the purposes of subsection (2), the deductible portion of a category I welfare payment is:
 (a) 100%; or
 (b) if a lower percentage is specified in a legislative instrument made by the Minister for the purposes of this paragraph—the lower percentage;
of the net amount of the payment (rounded down to the nearest cent).
 (4) An instrument under paragraph (3)(b) may specify different percentages depending on one or more of the following:
 (a) the category I welfare payments payable to persons subject to the income management regime under section 123UFAA;
 (b) the usual place of residence of those persons;
 (c) the recognised State/Territory authorities whose officers or employees may give a notice of the kind referred to in paragraph 123UFAA(1)(b).

Subdivision DA—Voluntary income management agreements