Document ID: chunk:federal_register_of_legislation:C2004C00927:clause:1_3:p2
Version: federal_register_of_legislation:C2004C00927
Segment Type: clause
Provision Reference: sch 1 cl 3 (pt 2/11)
Character Range: 340888–343904

B of Division 9 of Part 2.5     paragraph 237(1)(e)
  4                       Subdivision B of Division 9 of Part 2.6     paragraph 303(1)(e)
  5                       Subdivision A of Division 10 of Part 2.9    paragraph 469(1)(e)
  6                       Subdivision AA of Division 9 of Part 2.12   paragraph 660LA(1)(f)
  7                       Subdivision A of Division 11 of Part 2.12A  paragraph 660XKA(1)(e)
  8                       Subdivision C of Division 11 of Part 2.12B  paragraph 660YKC(1)(e)
  9                       Subdivision AA of Division 9 of Part 2.14   paragraph 728PA(1)(f)
  10                      Subdivision AA of Division 9 of Part 2.15   paragraph 768A(1)(f)
  11                      Subdivision A of Division 10 of Part 2.16   paragraph 822(1)(e)

52-25  Tax-free amount of certain bereavement lump sum payments

 (1) This section applies if a lump sum of any of these categories of social security payments becomes due to you because of your partner's death.

Category of social security payment
Age pension
Carer pension
Disability support pension
Disability wage supplement
Mature age allowance (paid under Part 2.12A)
Mature age partner allowance
Sole parent pension
Special needs age pension
Special needs disability support pension
Special needs wife pension
Wife pension

 (2) The total of the following are exempt up to the *tax-free amount:
 (a) the lump sum payment;
 (b) all other payments that become due to you under the Social Security Act 1991 on pension paydays that occur during the bereavement lump sum period.

 (3) This is how to work out the tax‑free amount:

      Method statement
           Step 1.  Work out the payments under the Social Security Act 1991 that would have become due to you on each of the pension paydays during the bereavement lump sum period if:

                (a) your partner had not died; and
                (b) your partner had been under pension age; and
                (c) immediately before your partner died, you and your partner had been neither an illness separated couple nor a respite care couple.

           Step 2. Work out how much of those payments would have been exempt in those circumstances.
           Step 3. Work out the payments under the Social Security Act 1991 or Part III of the Veterans' Entitlements Act 1986 that would have become due to your partner on each of the pension paydays during the bereavement lump sum period if:

                (a) your partner had not died; and
                (b) immediately before your partner died, you and your partner were neither an illness separated couple nor a respite care couple;

            even if the payments would not have been exempt.
           Step 4. Total the payments worked out at Steps 2 and 3: the result is the tax‑free amount.
Example: You are receiving a disability support pension of $300 a fortnight and a pharmaceutical allowance of $5 a fortnight. You are over pension age. Your partner is receiving a partner allowance of $250 a