{"id":"F2025L00641","name":"Veterans’ Entitlements (Special Disability Trust—Limit on Expenditure for Other Purposes) Determination 2025","slug":"f2025l00641","collection":"legislative_instrument","jurisdiction":"commonwealth","status":"in_force","isInForce":true,"actNumber":null,"makingDate":null,"administeringDepartment":null,"currentVersion":{"id":345258,"registerId":"commonwealth-F2025L00641-current","compilationNumber":null,"startDate":"2026-04-08","status":"InForce","reasons":null,"registeredAt":null},"sections":[{"sectionNumber":"1","sectionType":"section","heading":"Name","content":"#### 1 Name\n\n  This instrument is the Veterans’ Entitlements (Special Disability Trust—Limit on Expenditure for Other Purposes) Determination 2025.","sortOrder":0},{"sectionNumber":"2","sectionType":"section","heading":"Commencement","content":"#### 2 Commencement\n\n  This instrument commences on 1 July 2025.","sortOrder":1},{"sectionNumber":"3","sectionType":"section","heading":"Authority","content":"#### 3 Authority\n\n  This instrument is made under subsection 52ZZZWEA(3) of the Act.","sortOrder":2},{"sectionNumber":"4","sectionType":"section","heading":"Definitions","content":"#### 4 Definitions\n\n> Note: A number of expressions used in this instrument are defined in the Act, including the following:\n\n    (a) special disability trust (see section 52ZZZW);\n    (b) tax year (see subsection 5Q(1)).\n  In this instrument:\n\n> Act means the Veterans’ Entitlements Act 1986.","sortOrder":3},{"sectionNumber":"5","sectionType":"section","heading":"Repeal of former instrument","content":"#### 5 Repeal of former instrument\n\n  The Veterans’ Entitlements (Special Disability Trust—Limit on Expenditure for Other Purposes) Determination 2024 is repealed.","sortOrder":4},{"sectionNumber":"6","sectionType":"section","heading":"Limit on expenditure for purposes other than primary purpose","content":"#### 6 Limit on expenditure for purposes other than primary purpose\n\n  For subsection 52ZZZWEA(3) of the Act, the total value of income and assets of a special disability trust that may be applied in the tax year beginning on 1 July 2025 is $14,750.","sortOrder":5}],"analysis":{"kimi_summary":{"content_quality":"ok","complexity_score":2,"scope_assessment":{"changed":false,"description":"This is a routine annual update instrument that performs exactly the function intended by its enabling provision (subsection 52ZZZWEA(3) of the Veterans' Entitlements Act 1986). It replaces the previous year's determination with an updated dollar figure for the new tax year. The scope remains tightly constrained to setting the expenditure limit for non-primary purposes."},"complexity_factors":["Extremely short: only 6 operative sections across 2 pages","Minimal defined terms: only 2 explicit definitions ('Act', plus 2 terms referenced from parent Act)","No cross-references beyond single parent Act subsection (52ZZZWEA(3))","Single operative provision with straightforward numerical threshold ($14,750)","No conditional logic, exceptions, or nested provisions","Annual update instrument — standardised template structure"],"plain_english_summary":"**What this legislation does**\n\nThis instrument sets a dollar limit on how much money a **special disability trust** can spend on things *other than* its main purpose in the 2025-26 financial year.\n\nA **special disability trust** is a legal arrangement that lets families set aside money and assets to pay for the care and accommodation needs of a person with severe disability, without that money counting against the person's (or their family's) pension or benefits. The \"primary purpose\" of these trusts is to cover the beneficiary's care, accommodation, medical, and certain other disability-related costs.\n\nHowever, these trusts are allowed to spend some money on other things too — like small gifts, holidays, or other discretionary expenses for the beneficiary. This determination caps that \"other\" spending at **$14,750** for the tax year starting 1 July 2025.\n\n**Who it affects**\n\n- Families who have established (or are considering) a special disability trust for a veteran or their dependant with severe disability\n- The trustees managing these trusts\n- Department of Veterans' Affairs staff who assess pension and benefit entitlements\n\n**Why it matters**\n\nIf a trust spends more than this $14,750 cap on non-primary purposes, the excess amount may be counted as income or assets of the beneficiary. This could reduce their pension payments or affect their eligibility for benefits. The limit gets updated annually (this instrument replaces the 2024 version), so trustees need to track the current cap to avoid accidentally disadvantaging the person they're caring for."},"flash_summary":{"complexity_score":2,"scope_assessment":{"changed":false,"description":"The instrument does not change the underlying scope of the power in subsection 52ZZZWEA(3); it implements that power by specifying the dollar cap for the tax year beginning 1 July 2025 and repeals the 2024 determination. In other words, it continues an existing annual practice of setting a monetary limit on non‑primary‑purpose expenditure for special disability trusts rather than expanding or narrowing the statutory authority (sections 3, 5 and 6)."},"complexity_factors":["Single substantive change: sets one numeric cap for a single tax year (section 6).","Relies on external statutory definitions (special disability trust, tax year, primary purpose) in the Act, requiring cross‑reference (section 4).","Annual administrative nature and repeal of prior year instrument implies routine updates rather than complex policy mechanics (sections 5 and 6).","Practical compliance depends on trustee accounting and interpretation of how amounts are \"applied\", which is determined by the Act rather than the instrument itself (sections 4 and 6).","Low volume of provisions and clear commencement date reduce interpretive ambiguity (sections 2, 3, 5, 6)."],"plain_english_summary":"This instrument sets a $14,750 cap for the 2025–26 tax year on the total income and assets of special disability trusts that can be used for purposes other than the trust’s primary purpose, repealing the 2024 determination and commencing 1 July 2025.  \n\nIt affects trustees (who must track and limit non‑primary‑purpose spending), beneficiaries (through constrained resource use), and advisers; it is made under subsection 52ZZZWEA(3) of the Veterans’ Entitlements Act 1986."}},"importantCases":[],"_links":{"self":"/api/acts/f2025l00641","history":"/api/acts/f2025l00641/history","analysis":"/api/acts/f2025l00641/analysis","conflicts":"/api/acts/f2025l00641/conflicts","importantCases":"/api/acts/f2025l00641/important-cases","documents":"/api/acts/f2025l00641/documents"}}