Document ID: chunk:federal_register_of_legislation:C2006A00082:clause:7_52zzzwa
Version: federal_register_of_legislation:C2006A00082
Segment Type: clause
Provision Reference: sch 7 cl 52ZZZWA
Character Range: 64759–66813

52ZZZWA  Beneficiary requirements

Single beneficiary rule

 (1) The trust must have no more than one beneficiary (the principal beneficiary), not including any residuary beneficiary.

Impairment or disability conditions

 (2) If the principal beneficiary has reached 16 years of age:
 (a) the beneficiary must:
 (i) be eligible for invalidity service pension; or
 (ii) be eligible for income support supplement on the ground set out in subparagraph 45A(1)(b)(iii); or
 (iii) have an impairment that would qualify the person for disability support pension under the Social Security Act; and
 (b) the beneficiary must:
 (i) have a disability that would, if the person had a sole carer, qualify the carer for carer payment, or carer allowance, under the Social Security Act; or
 (ii) be living in an institution, hostel or group home in which care is provided for people with disabilities, and for which funding is provided (wholly or partly) under an agreement, between the Commonwealth, the States and the Territories, nominated by the Commission under subsection (3); and
 (c) the beneficiary must have a disability as a result of which he or she is not working, and has no likelihood of working, for a wage that is at or above the relevant minimum wage within the meaning of subsection 23(1) of the Social Security Act.

 (3) The Commission may, by legislative instrument, nominate an agreement for the purpose of subparagraph (2)(b)(ii).

 (4) If the principal beneficiary is under 16 years of age, he or she must be a profoundly disabled child within the meaning of section 197 of the Social Security Act.

Living beneficiary rule

 (5) A trust stops being a special disability trust when the principal beneficiary dies.

Single trust rule

 (6) A trust is not a special disability trust for a particular principal beneficiary if, at the time of its creation, there is already another trust in existence for that person that is:
 (a) a special disability trust; or
 (b) a special disability trust within the meaning of the Social Security Act.