139TDetermination of higher income threshold in cases of hardship

139T  Determination of higher income threshold in cases of hardship  (a) the trustee has made an assessment of a contribution that a bankrupt is liable to pay to the trustee for a contribution assessment period; and  (b) the bankrupt considers that, if required to pay that contribution, he or she will suffer hardship for a reason or reasons set out in subsection (2); the bankrupt may apply in writing to the trustee for the making of a determination under this section for that period.  (2) The reasons are as follows:  (a) the bankrupt or a dependant of the bankrupt suffers from an illness or disability that requires on‑going medical attention and the supply of medicines, and the bankrupt is required to meet a substantial proportion of the costs of that medical attention or those medicines from his or her income;  (b) the bankrupt is required to make payments from his or her income to meet the cost of child day‑care to enable the bankrupt to continue in employment or other work;  (c) the bankrupt is living in rented accommodation that is not provided by:  (i) the Commonwealth, a State or a Territory; or  (ii) an authority of the Commonwealth, a State or a Territory; or  (iii) a local government authority;   and the bankrupt is required to pay the cost of that accommodation wholly or mainly from his or her income;  (d) the bankrupt incurs substantial expense in travelling to and from the bankrupt’s place of employment or other work, whether by public transport or otherwise;  (e) the spouse of the bankrupt, or another person residing with the bankrupt, who ordinarily contributes to the costs of maintaining the bankrupt’s household has become unable to contribute to those costs because of unemployment, illness or injury;  (f) any other reason prescribed by the regulations.  (3) The trustee must not make a determination under this section unless the bankrupt provides satisfactory evidence of the bankrupt’s income and expenses, and any other matters on which the bankrupt relies to establish the reasons for the application.  (4) The trustee must decide the application as soon as practicable, and in any event not later than 30 days, after the day on which the application is received.  (5) If the trustee does not make a decision on the application within that period of 30 days, the trustee is taken to have made a decision at the end of that period refusing the application.  (6) If the trustee is satisfied that the bankrupt will suffer hardship if required to pay the contribution, the trustee may determine that, for the purposes of the application of section 139S in relation to the bankrupt in respect of the contribution assessment period, the actual income threshold amount that was applicable in relation to the bankrupt when the assessment was made is taken to have been increased to such amount as the trustee determines.  (7) If the trustee is not satisfied that the bankrupt will suffer hardship if required to pay the contribution, the trustee must refuse the application.  (8) If the trustee makes a determination under subsection (6), the trustee must make such assessment under section 139W as is necessary to give effect to the determination.  (9) The trustee must give written notice to the bankrupt:  (a) setting out the trustee’s decision on the application; and  (b) referring to the evidence or other material on which the decision was based; and  (c) giving the reasons for the decision.  (10) The notice must include a statement to the effect that the bankrupt may request the Inspector‑General to review the decision.  (11) A contravention of subsection (10) in relation to a decision does not affect the validity of the decision.  (12) The trustee’s decision under this section is reviewable under Subdivision G in the same way as an assessment made by the trustee. Subdivision E—Provision of information to trustee 139U  Bankrupt to provide evidence of income  (1) A bankrupt must, as soon as practicable, and in any event not later than 21 days, after the end of a contribution assessment period, give to the trustee:  (a) a statement:  (i) setting out particulars of all the income that was derived by the bankrupt during that contribution assessment period; and  (ia) setting out particulars of all the income that was derived by each dependant of the bankrupt during that contribution assessment period; and  (ii) indicating what income (if any) the bankrupt expects to derive during the next contribution assessment period; and  (iii) indicating what income (if any) the bankrupt expects each dependant of the bankrupt to derive during the next contribution assessment period; and  (b) such books evidencing the derivation of the income referred to in subparagraph (a)(i) as are in the possession of the bankrupt or the bankrupt can readily obtain.  (2) The particulars that a bankrupt is required to include in a statement given to the trustee under subparagraphs (1)(a)(i) and (ia) are all the particulars that are known to the bankrupt and any particulars that the bankrupt can readily obtain.  (3) Without limiting the generality of paragraph (1)(b), the books that a bankrupt is required to give to the trustee under that paragraph in respect of a contribution assessment period include:  (a) if the bankrupt received from his or her employer one or more pay slips or other documents evidencing salary or wages paid to him or her by that employer during that period—that document or each of those documents; and  (b) any copy of a group certificate or payment summary (within the meaning of section 16‑170 in Schedule 1 to the Taxation Administration Act 1953) in the possession of the bankrupt that relates in whole or in part to that period; and  (c) any statement provided to the bankrupt by an ADI or other financial institution that shows periodic payments made during that period to an account kept by the bankrupt (either alone or jointly with any other person) with that institution; and  (d) any notice of assessment issued to the bankrupt under the Income Tax Assessment Act 1936 in respect of a year of income in which that period is included; and  (e) if the bankrupt is in receipt of a pension, allowance or other benefit under a law of the Commonwealth, of a State or of a Territory—any letter or other document sent or given to the bankrupt by the Department or authority that administers the legislation or scheme under which the benefit is provided. 139V  Power of trustee to require bankrupt to provide additional evidence   If the trustee has reasonable grounds to suspect that:  (a) any particulars set out in the statement given by the bankrupt under subsection 139U(1) are false or misleading in a material respect; or then, for the purpose of enabling the trustee to decide whether the particulars set out in the statement are correct, the trustee, by written notice given to the bankrupt, may require the bankrupt to give to the trustee within a specified period of not less than 14 days such information or books as are specified in the notice. Subdivision F—Assessments of income and contribution 139W  Assessment of bankrupt’s income and contribution  (1) As soon as practicable after the start of each contribution assessment period in relation to a bankrupt, the trustee is to make an assessment of the income that is likely to be derived, or was derived, by the bankrupt during that period, of the actual income threshold amount that is applicable in relation to the bankrupt when the assessment is made and of the contribution (if any) that the bankrupt is liable to pay in respect of that period under section 139S.  (2) If at any time, whether during or after a contribution assessment period, any one or more of the following paragraphs applies or apply:  (a) the trustee is satisfied that the income that is likely to be derived, or was derived, by the bankrupt during that period is or was greater or less than the amount of that income as assessed by the last preceding assessment in respect of that period;  (b) the base income threshold amount increased or decreased after the making of the last preceding assessment in respect of that period and before the end of that period;  (c) the trustee is satisfied that the number of the bankrupt’s dependants increased or decreased after the making of the last preceding assessment and before the end of that period; the trustee is to make a fresh assessment of the income that is likely to be derived, or was derived, by the bankrupt during that period, of the actual income threshold amount that is applicable in relation to the bankrupt when the assessment is made and of the contribution (if any) that the bankrupt is liable to pay in respect of that period.  (3) The powers of the trustee under subsection (2) may be exercised on the trustee’s own initiative or at the bankrupt’s request, but the trustee is not required to consider whether to exercise those powers at the bankrupt’s request unless the bankrupt satisfies the trustee that there are reasonable grounds for the trustee to do so.  (4) As soon as practicable after the making of an assessment the trustee must give to the bankrupt written notice setting out particulars of the assessment and informing the bankrupt about the possibility of a variation under section 139T. 139WA  No time limit on making assessment  (1) An assessment under section 139W (including a fresh assessment referred to in subsection 139W(2)) for a contribution assessment period may be made at any time, including:  (a) a time after the end of the contribution assessment period; or  (b) a time after the bankrupt is discharged.  (2) For the purpose of applying subsection (1), a reference in this Division to a bankrupt includes a reference to a former bankrupt.