24AARate of exceptional circumstances relief payment—how worked out for small business operators

#### 24AA Rate of exceptional circumstances relief payment—how worked out for small business operators (1) The fortnightly rate at which exceptional circumstances relief payment is payable to a person who qualifies for the payment under subsection 8A(5) or (7) is the sum of the following rates: (a) the fortnightly rate at which: (i) if the person is of youth allowance age—youth allowance would be payable to the person if he or she were entitled to receive youth allowance; or (ii) if the person is not of youth allowance age—newstart allowance would be payable to the person if he or she were entitled to receive newstart allowance; (b) if the person is a member of a couple and the partner allowance rate in relation to the person’s partner exceeds the income support payment rate in relation to the person’s partner—the fortnightly rate that is the difference between those rates. (2) For the purposes of subsection (1): > income support payment rate, in relation to a person’s partner, means the fortnightly rate at which that partner is receiving one (if any) of the following payments: (a) social security pension; (b) a social security benefit (except newstart allowance or youth allowance); (c) a pension under Part II, III or IV of the Veterans’ Entitlements Act 1986. > partner allowance rate, in relation to a person’s partner, means the fortnightly rate at which: (a) that partner is receiving partner allowance; or (b) partner allowance would be payable to that partner if that partner were entitled to receive partner allowance. (3) For the purposes of calculating a rate referred to in this section, the value of assets that are exempt assets for the purposes of this Act because the person carries on a small business is to be disregarded. (4) If, but for subsubparagraph 8A(1)(b)(i)(C), the person would also qualify for exceptional circumstances relief payment under subsection 8A(1), then, for the purposes of calculating a rate referred to in this section, the value of assets that are exempt assets for the purposes of this Act because the person is a farmer is also to be disregarded. $20,000 in salary and wages from other sources disregarded—whole financial years (5) For the purposes of calculating a rate referred to in subsection (1) for a person, for a fortnight all or part of which falls during: (b) the 2007‑08 financial year; or (ba) the 2008‑09 financial year; or (c) if 30 June in a later year is prescribed as the closing day for the purposes of this section, a later financial year that ends at the end of that closing day; disregard the salary and wages of the person from other sources or, if the person is a member of a couple, the salary and wages of the person and the person’s partner from other sources, in the amount worked out under subsection (6). (6) Disregard the lesser of: (a) the total amount of salary and wages of the person from other sources or, if the person is a member of a couple, of the person and the person’s partner from other sources for the fortnight; and (b) the amount worked out using the following formula:  where: amount previously disregarded in that financial year means the total amount of salary and wages of the person from other sources or, if the person is a member of a couple, of the person and the person’s partner from other sources already disregarded in calculating a rate referred to in subsection (1) for the person for fortnights that fall in whole or in part in that financial year, because of a previous application, or previous applications, of this subsection and subsection (5). number of days remaining in that financial year means the number of days in the period beginning at the start of the fortnight, and ending at the end of 30 June in that financial year. $20,000 in salary and wages from other sources disregarded—part financial years (7) If a closing day is prescribed for the purposes of this section that is not 30 June, then, for the purposes of calculating a rate referred to in subsection (1) for a person, for a fortnight all or part of which falls during the period: (a) beginning at the start of the immediately preceding 1 July; and (b) ending at the end of the closing day; disregard the salary and wages of the person from other sources or, if the person is a member of a couple, the salary and wages of the person and the person’s partner from other sources, in the amount worked out under subsection (8). (8) Disregard the lesser of: (a) the total amount of salary and wages of the person from other sources or, if the person is a member of a couple, of the person and the person’s partner from other sources for the fortnight; and (b) the amount worked out using the following formula:  where: amount previously disregarded in the period means the total amount of salary and wages of the person from other sources or, if the person is a member of a couple, of the person and the person’s partner from other sources already disregarded in calculating a rate referred to in subsection (1) for the person for fortnights that fall in whole or in part in the period, because of a previous application, or previous applications, of this subsection and subsection (7). number of days remaining in the period means the number of days in the period beginning at the start of the fortnight, and ending at the end of the closing day. (9) A person’s salary and wages from other sources are salary and wages that are not earned from work that is in any way related to the small business carried on by the person or, where the person is a member of a couple, the person’s partner. Farmers hardship bonus disregarded (10) To avoid doubt, in calculating a rate referred to in subsection (1), any farmers hardship bonus under the Social Security Act 1991 is to be disregarded. Income support bonus disregarded (10A) To avoid doubt, in calculating a rate referred to in subsection (1), any income support bonus under the Social Security Act 1991 is to be disregarded. Certain superannuation contributions disregarded (11) For the purposes of calculating a rate referred to in subsection (1) for a person who has not reached pension age (within the meaning of section 23 of the Social Security Act 1991), disregard contributions that are disregarded under subsection 24A(9).