Document ID: chunk:federal_register_of_legislation:C2023C00183:clause:3_9:p3
Version: federal_register_of_legislation:C2023C00183
Segment Type: clause
Provision Reference: sch 3 cl 9 (pt 3/4)
Character Range: 93344–95897

Tax offset after a person 65 years or over ceases to be covered by policy
 (1) If:
 (a) at any time, the amount of a *tax offset in respect of premiums payable under an insurance policy (the original policy) was 35% or 40% of the premiums payable under the policy because a person aged 65 years or over (the entitling person) was insured under the original policy; and
 (b) at that time, another person (other than a dependent child) was insured under the original policy; and
 (c) the entitling person subsequently ceases to be insured under the policy;
subsections 61‑210(1) and (2) apply in relation to a complying health insurance policy (whether or not the original policy) under which the other person is insured (other than for the purposes of working out the *incentive amount) as if:
 (d) the entitling person were also insured under that policy; and
 (e) the entitling person were the same age as the age at which he or she ceased to be insured under the original policy.
 (2) Subsection (1) ceases to apply if a person (other than a dependent child) who was not insured under the original policy at the time the entitling person ceased to be insured under it becomes insured under the complying health insurance policy.
 (3) Subsection (1) does not apply if its application would result in the amount of the *tax offset under subsection 61‑210(1) or (2) being less than it would otherwise have been.
 (4) Paragraph (1)(a) applies in relation to an amount of a *tax offset that is 35% or 40% of the premiums payable under an insurance policy whether the tax offset was available under this Subdivision or Subdivision 61‑H as in force before 1 July 2007.
 (5) In this section:
complying health insurance policy has the same meaning as in the Private Health Insurance Act 2007.
dependent child:
 (a) has the meaning given in the Private Health Insurance Act 2007; and
 (b) in paragraph (1)(b), in relation to a time before 1 July 2007, includes a dependent child within the meaning of the Private Health Insurance Incentives Act 1998.

61‑220  How to work out the incentive amount
 (1) The incentive amount for a complying private health insurance policy (within the meaning of the Private Health Insurance Act 2007) for an income year is the amount worked out under this table:

Incentive amount
Item              Number and kinds of people covered by the policy  Policy covers *hospital treatment but not *general treatment  Policy covers *general treatment but not *hospital treatment  Policy covers *hospital treatment and *general treatment