Issue
Does a taxpayer, who has received a disqualifying payment from Centrelink during the period commencing 1 April 2000 and ending 30 June 2000, qualify under subsection 41(2) of the A New Tax System (Bonuses for Older Australians) Act 1999 (BOA Act), for the 'self-funded retirees supplementary bonus component' of the Savings Bonus for Older Australians (SBOA)?
Decision
No, a taxpayer who received a disqualifying payment from Centrelink during the period commencing 1 April 2000 and ending 30 June 2000 does not qualify under subsection 41(2) of the BOA Act for the 'self-funded retirees supplementary bonus component' of the SBOA.
Facts
The taxpayer received an age pension from Centrelink during the period commencing 1 April 2000 and ending 30 June 2000. The taxpayer is of age pension age. History note: The sentence "The taxpayer is of age pension age." has been added to the above paragraph
Reasons for Decision
To qualify for the 'self-funded retirees supplementary bonus component' of the SBOA the taxpayer must satisfy certain age, residency and income conditions set out in subsection 41(2) of the BOA Act.
Under paragraph (d) of this subsection, a taxpayer will qualify for the bonus component if they were not qualified for, and did not receive, a disqualifying payment during or in respect of the period commencing 1 April 2000 and ending 30 June 2000.
A disqualifying payment is defined in section 34 of the BOA Act and includes social security pensions and benefits, service pensions and income support supplements. The taxpayer's age pension is a disqualifying payment.
As the taxpayer received a disqualifying payment during the period commencing 1 April 2000 and ending 30 June 2000 they do not qualify for the 'self-funded retirees supplementary bonus component' of the SBOA.