Document ID: chunk:federal_register_of_legislation:C2007C00215:clause:10_742
Version: federal_register_of_legislation:C2007C00215
Segment Type: clause
Provision Reference: sch 10 cl 742
Character Range: 248844–251443

742  Allowance not payable because of special benefit participation failure

 (1) A special benefit is not payable to a person, for the period starting in accordance with section 743 and ending in accordance with section 744, if:
 (a) the person commits a special benefit participation failure; and
 (b) the Secretary requires the person:
 (i) to comply with the requirement, or undertake the activity, to which the special benefit participation failure relates; or
 (ii) to comply with a particular requirement, or undertake a particular activity, in place of the requirement or activity to which the failure relates;
  during the participation failure instalment period for the failure, or at a particular time during that period; and
 (c) the person fails to comply with the requirement.
However, paragraphs (b) and (c) do not apply in relation to a special benefit participation failure of a kind referred to in paragraph 740(1)(h), (i) or (j).

 (2) This section does not apply in relation to the failure if:
 (a) the Secretary is satisfied that the person had a reasonable excuse for the failure referred to paragraph (1)(c); or
 (b) the Secretary is for any other reason satisfied that subsection (1) should not apply to the failure.

 (2A) The Secretary must, by legislative instrument, determine matters that the Secretary must take into account in deciding whether, for the purposes of paragraph (2)(a), a person had a reasonable excuse for a failure of a kind referred to in paragraph (1)(c).

 (2B) To avoid doubt, a determination under subsection (2A) does not limit the matters that the Secretary may take into account in deciding whether, for the purposes of paragraph (2)(a), a person had a reasonable excuse for the failure referred to in paragraph (1)(c).

 (3) The participation failure instalment period for the special benefit participation failure is:
 (a) if the failure is a failure of a kind referred to in paragraph 740(1)(h) or (i)—the next instalment period of the person to start after the end of the period specified in the notice under subsection 741(1) to which the failure relates; or
 (b) if the failure is a failure of a kind referred to in paragraph 740(1)(j)—the next instalment period of the person to start after the end of the period referred to in subparagraph 740(1)(j)(iii); or
 (c) otherwise—the next instalment period of the person to start after the day on which the Secretary first became aware that the person committed the failure.

 (4) This section does not apply to a special benefit participation failure if section 745 applies to the failure.