Document ID: chunk:federal_register_of_legislation:C2009A00060:clause:5_1206gu:p1
Version: federal_register_of_legislation:C2009A00060
Segment Type: clause
Provision Reference: sch 5 cl 1206GU (pt 1/2)
Character Range: 116956–119463

1206GU  Persons receiving pension PP (single) on 1 July 2012

When this section applies
 (1) This section applies to a person if, on 1 July 2012:
 (a) a pension supplement amount is used to work out the rate of the person's pension PP (single) for that day; and
 (b) that pension supplement amount is the person's PS basic rate; and
 (c) the person is residing in Australia and:
 (i) is in Australia; or
 (ii) is temporarily absent from Australia and has been so for a continuous period not exceeding 13 weeks.

Increase of 1.8% on 1 July 2012
 (2) This Act has effect as if, on 1 July 2012, the person's PS basic rate on and after that day were replaced by the amount worked out by:
 (a) adding the person's CPRS amount to what, apart from this section, would be the person's PS basic rate on that day; and
 (b) if the amount resulting from paragraph (a) is not a multiple of $2.60, rounding the amount up or down to the nearest multiple of $2.60 (rounding up if the amount is not a multiple of $2.60 but is a multiple of $1.30).

Special rules for indexation of some amounts on or after 20 March 2013
 (3) An indexation factor worked out under section 1193 for each indexation day on or after 20 March 2013 for each of the following:
 (a) the person's pension MBR;
 (b) the person's PS basic rate;
is to be reduced by the brought forward CPI indexation amount, but not below 1.
Note 1: The person's PS basic rate is that rate as increased under subsection (2).
Note 2: Once the brought forward CPI indexation amount becomes zero, there will be no further reduction of the factor.
Example: Assume that the indexation factor worked out under section 1193 on 20 March 2013 is 1.005. The brought forward CPI indexation amount in relation to 20 March 2013 is 0.008 (as there has been no previous reduction). That indexation factor is reduced to 1 on 20 March 2013.
 Further assume that on 20 September 2013 the indexation factor is 1.010. The brought forward CPI indexation amount in relation to 20 September 2013 is 0.003. That indexation factor is reduced to 1.007 on 20 September 2013.
 The brought forward CPI indexation amount in relation to later indexation days is now zero so there is no further reduction of the indexation factor.
 (4) In this section:
brought forward CPI indexation amount, in relation to a day, means 0.008 less any reduction made under subsection (1) for a previous day.
CPRS amount, for a person, means the sum of the following amounts worked out as if the person were receiving a