78Redirecting incentives for certain earlier transfers

78 Redirecting incentives for certain earlier transfers

(1) This section applies if: (a) the Secretary transferred an allocation to an approved participant under subregulation 21A(1) of the previous regulations as in force immediately before 9 March 2019; and (b) incentive relating to the allocation for an NRAS year was not redirected as described in subregulation 41(3) of the previous regulations because neither subparagraph 21D(1)(b)(ii) nor 22BH(2)(b)(ii) of the previous regulations could be satisfied; and (c) the Secretary has not received a written request from the original approved participant for the incentive to be given to it.

Note: Regulations 21A and 21D of the previous regulations continued to apply on and after 9 March 2019 under regulation 41 of the previous regulations.

(2) The Secretary may give the gaining approved participant written notice inviting the gaining approved participant to, within 3 months after the notice is given, lodge a statement of compliance: (a) for a rental dwelling covered by the allocation; and (b) that includes statements and details for the NRAS year beginning on 1 May 2018. Subsections 42(3) to (5) (about timeframes) do not apply to the statement of compliance. (3) If the gaining approved participant lodges a statement of compliance complying with subsection (2), the Secretary may give to the gaining approved participant the incentive referred to in paragraph (1)(b), and if the Secretary does so: (a) section 63 (about passing on incentives) applies to the gaining approved participant for the incentive and an investor; and (b) the original approved participant: (i) despite subsection 50(1), is not entitled to receive the incentive; and (ii) despite an arrangement to the contrary, is not required to pass on the incentive to the investor. (4) Sections 61 (about notice) and 62 (about interests of investors) also apply in relation to a proposed redirection under subsection (3) of this section.

Note: A decision under subsection (3) is reviewable by the Administrative Review Tribunal (see section 71).