If a category B welfare payment is payable to a person who is subject to the enhanced income management regime under section 123SE, the Secretary must pay the balance of the qualified portion of the payment to the credit of a BasicsCard bank account maintained by the person.
123SR Recipient’s use of funds from category B welfare payments
A person who receives a category B welfare payment:
(a) may use the balance of the qualified portion of the payment, as paid under section 123SQ, to obtain goods or services, other than:
(i) excluded goods or excluded services; or
(ii) a cash‑like product that could be used to obtain excluded goods or excluded services; and
(b) may use the unqualified portion of the payment, as paid to the person, at the person’s discretion.
Division 4—Information
123SS Disclosure of information to the Secretary—financial institution
(1) Despite any law (whether written or unwritten) in force in a State or Territory, an officer or employee of a financial institution may give the Secretary information about a person if:
(a) the person is subject to the enhanced income management regime; and
(b) the disclosed information is relevant to the operation of this Part.
Note: Subsection 202(8A) allows a person to disclose information about a BasicsCard bank account to a financial institution.
(2) If information about a person is disclosed as mentioned in subsection (1), the Secretary may disclose information about the person to an officer or employee of the financial institution for the purposes of the performance of the duties, or the exercise of the powers, of the officer or employee.
123ST Disclosure of information—Queensland Commission
(1) Despite any law (whether written or unwritten) in force in Queensland, the Queensland Commission may give the Secretary information about a person if:
(a) either:
(i) the person is subject to the enhanced income management regime under section 123SC; or
(ii) the Queensland Commission is considering whether to give a notice of the kind referred to in paragraph 123SC(1)(b) in relation to the person; and
(b) the disclosed information is relevant to the operation of this Part.
(2) If information about a person is disclosed by the Queensland Commission as mentioned in subsection (1), the Secretary may disclose information about the person to the Queensland Commission for the purposes of the performance of the functions, or the exercise of the powers, of the Queensland Commission.
(3) If:
(a) a person ceases to be subject to the enhanced income management regime under section 123SC because of the cancellation of a category A welfare payment of the person or the person’s partner; and
(b) immediately before the cancellation, the relevant notice referred to in paragraph 123SC(1)(b) or (3)(a) had not been withdrawn or revoked and had not expired;
then, as soon as practicable after the cancellation, the Secretary must give the Queensland Commission written notice of the cancellation.
123STA Disclosure of information—child protection
(1) Despite any law (whether written or unwritten) in force in a State or Territory, a child protection officer of a State or Territory may give the Secretary information about a person if:
(a) either:
(i) the person is subject to the enhanced income management regime under section 123SCA; or
(ii) the child protection officer is considering whether to give a notice of the kind referred to in paragraph 123SCA(1)(b) in relation to the person; and
(b) the disclosed information is relevant to the operation of this Part.
(2) If information about a person is disclosed by a child protection officer of a State or Territory as mentioned in subsection (1), the Secretary may disclose information about the person to a child protection officer of the State or Territory for the purposes of the operation of this Part.
(3) If:
(a) a person ceases to be subject to the enhanced income management regime under section 123SCA because of the cancellation of a category A welfare payment of the person or the person’s partner; and
(b) immediately before the cancellation, the notice referred to in paragraph 123SCA(1)(b), that was given to the person by a child protection officer of a State or Territory, is in force;
then, as soon as practicable after the cancellation, the Secretary must give a child protection officer of the State or Territory written notice of the cancellation.
123STB Disclosure of information—school enrolment and attendance
(1) Despite any law (whether written or unwritten) in force in a State or Territory:
(a) a State or Territory; or
(b) a non‑government school authority; or
(c) any other person who is responsible for the operation of one or more schools;
may give the Secretary information about the enrolment, or non‑enrolment, of children at school if the information is relevant to the operation of this Part.
(2) Despite any law (whether written or unwritten) in force in a State or Territory:
(a) a State or Territory; or
(b) a non‑government school authority; or
(c) any other person who is responsible for the operation of one or more schools;
may give the Secretary information about the attendance, or non‑attendance, of children at school if the information is relevant to the operation of this Part.
123STC Disclosure of information—referrals by recognised State/Territory authority
(1) Despite any law (whether written or unwritten) in force in a State or Territory, an officer or employee of a recognised State/Territory authority may give the Secretary information about a person if:
(a) either:
(i) the person is subject to the enhanced income management regime under section 123SCJ; or
(ii) the officer or employee is considering whether to give a notice of the kind referred to in paragraph 123SCJ(1)(b) in relation to the person; and
(b) the disclosed information is relevant to the operation of this Part.
(2) If information about a person is disclosed by an officer or employee of a recognised State/Territory authority as mentioned in subsection (1), the Secretary may disclose information about the person to an officer or employee of the recognised State/Territory authority for the purposes of the operation of this Part.
(3) If:
(a) a person ceases to be subject to the enhanced income management regime under section 123SCJ because of the cancellation of a category A welfare payment of the person or the person’s partner; and
(b) immediately before the cancellation, the notice referred to in paragraph 123SCJ(1)(b), that was given to the person by an officer or employee of a recognised State/Territory authority, is in force;
then, as soon as practicable after the cancellation, the Secretary must give an officer or employee of the recognised State/Territory authority written notice of the cancellation.
Division 5—Other matters
123SU BasicsCard bank accounts
(1) For the purposes of this Part, the Secretary may, by legislative instrument, determine a kind of bank account to be maintained by a person who is subject to the enhanced income management regime for the receipt of payments under this Part.
(2) A legislative instrument determining a kind of bank account may also prescribe terms and conditions relating to the establishment, ongoing maintenance and closure of the bank account so determined.
123SV Exceptions to Part IV of the Competition and Consumer Act 2010
(1) For the purposes of subsection 51(1) of the Competition and Consumer Act 2010, the declining of a transaction by a financial institution is specified and specifically authorised if the transaction would involve:
(a) money in a BasicsCard bank account; and
(b) a business of a kind specified in a legislative instrument made under subsection (2).
(2) The Secretary may, by legislative instrument, declare a kind of business, whether by reference to merchant category codes, terminal identification codes, card accepted identification codes or otherwise, in relation to which transactions involving money in a BasicsCard bank account may be declined by a financial institution.
(3) For the purposes of subsection 51(1) of the Competition and Consumer Act 2010, the declining of a transaction by a supplier of goods or services is specified and specifically authorised if the transaction would involve:
(a) money in a BasicsCard bank account; and
(b) the obtaining of:
(i) excluded goods or excluded services; or
(ii) a cash‑like product that could be used to obtain excluded goods or excluded services.
(4) To avoid doubt, for the purposes of this section, it does not matter whether money in a BasicsCard bank account represents the qualified portion or unqualified portion of a payment.
123SVA Periodic estimates of cost of enhanced income management regime
(1) As soon as practicable after the end of each reporting period, the Minister must prepare a written estimate of the full cost to the Commonwealth (as at the end of the period) of the operation of the enhanced income management regime established by this Part.
(2) The Minister must cause the estimate for a reporting period to be:
(a) published on the Department’s website as soon as practicable after it is prepared; and
(b) tabled in each House of the Parliament within 7 sitting days of that House after the estimate is published under paragraph (a).
(3) In this section:
reporting period means the following:
(a) the period of 6 months beginning on the day this section commences;
(b) the period of 12 months beginning on the day after the end of the period mentioned in paragraph (a);
(c) each subsequent 12‑month period.
123SW This Part has effect despite other provisions etc.
This Part has effect despite anything in:
(a) any other provision of this Act; or
(b) the 1991 Act; or
(c) the Family Assistance Act; or
(d) the Family Assistance Administration Act.
Part 3B—Income management regime
Division 1—Introduction
123TA Simplified outline
The following is a simplified outline of this Part:
• This Part sets up an income management regime for recipients of certain welfare payments.
• A person may become subject to the income management regime because:
(a) a child protection officer of a State or Territory requires the person to be subject to the income management regime; or
(b) the Secretary has determined that the person is a vulnerable welfare payment recipient; or
(c) the person meets the criteria relating to disengaged youth; or
(d) the person meets the criteria relating to long‑term welfare payment recipients; or
(e) the person, or the person’s partner, has a child who does not meet school enrolment requirements; or
(f) the person, or the person’s partner, has a child who has unsatisfactory school attendance; or
(g) the Queensland Commission requires the person to be subject to the income management regime; or
(ga) an officer or employee of a recognised State/Territory authority requires the person to be subject to the income management regime; or
(h) the person voluntarily agrees to be subject to the income management regime.
• A person who is subject to the income management regime will have an income management account.
• Amounts will be deducted from the person’s welfare payments and credited to the person’s income management account.
• Amounts will be debited from the person’s income management account for the purposes of enabling the Secretary to take action directed towards meeting the priority needs of:
(a) the person; and
(b) the person’s children (if any); and
(c) the person’s partner (if any); and
(d) any other dependants of the person.
123TB Objects
The objects of this Part are as follows:
(a) to reduce immediate hardship and deprivation by ensuring that the whole or part of certain welfare payments is directed to meeting the priority needs of:
(i) the recipient of the welfare payment; and
(ii) the recipient’s children (if any); and
(iii) the recipient’s partner (if any); and
(iv) any other dependants of the recipient;
(b) to ensure that recipients of certain welfare payments are given support in budgeting to meet priority needs;
(c) to reduce the amount of certain welfare payments available to be spent on alcoholic beverages, gambling, tobacco products and pornographic material;
(d) to reduce the likelihood that recipients of welfare payments will be subject to harassment and abuse in relation to their welfare payments;
(e) to encourage socially responsible behaviour, including in relation to the care and education of children;
(f) to improve the level of protection afforded to welfare recipients and their families.
123TC Definitions
In this Part:
2020 economic support payment means:
(a) a first 2020 economic support payment under Division 1 of Part 2.6B of the 1991 Act; or
(b) a second 2020 economic support payment under Division 2 of Part 2.6B of the 1991 Act; or
(c) a first 2020 economic support payment under the ABSTUDY Scheme; or
(d) a second 2020 economic support payment under the ABSTUDY Scheme; or
(e) a first 2020 economic support payment under Division 1 of Part 9 of the Family Assistance Act; or
(f) a second 2020 economic support payment under Division 2 of Part 9 of the Family Assistance Act.
2022 cost of living payment means:
(a) a 2022 cost of living payment under Division 1 of Part 2.6D of the 1991 Act; or
(b) a 2022 cost of living payment under the ABSTUDY Scheme.
account statement, in relation to an income management account, means a statement that sets out:
(a) the amounts credited to the income management account during a particular period; and
(b) the amounts debited from the income management account during that period; and
(c) the balance of the income management account as at the end of that period.
acquire has the same meaning as in the Competition and Consumer Act 2010.
additional economic support payment means:
(a) an additional economic support payment 2020 under Division 1 of Part 2.6C of the 1991 Act; or
(b) an additional economic support payment 2021 under Division 2 of Part 2.6C of the 1991 Act; or
(c) an additional economic support payment 2020 under Division 1 of Part 10 of the Family Assistance Act; or
(d) an additional economic support payment 2021 under Division 2 of Part 10 of the Family Assistance Act.
applicable school period has the meaning given by section 123UI.
category E welfare payment means:
(a) youth allowance; or
(b) jobseeker payment; or
(c) special benefit; or
(d) pension PP (single); or
(e) benefit PP (partnered).
category H welfare payment means:
(a) a social security benefit; or
(b) a social security pension; or
(c) a payment under the scheme known as the ABSTUDY scheme that includes an amount identified as living allowance; or
(d) a service pension; or
(e) income support supplement; or
(ea) a veteran payment.
category I welfare payment means:
(a) a category H welfare payment; or
(b) double orphan pension; or
(c) family tax benefit under the Family Assistance Act; or
(d) family tax benefit advance under the Family Assistance Administration Act; or
(e) stillborn baby payment under the Family Assistance Act; or
(g) carer allowance; or
(ga) child disability assistance; or
(gb) carer supplement; or
(h) mobility allowance; or
(i) pensioner education supplement; or
(j) telephone allowance under Part 2.25 of the 1991 Act; or
(k) veterans supplement under section 118B of the Veterans’ Entitlements Act; or
(l) utilities allowance under Part 2.25A of the 1991 Act; or
(n) a distance education payment under the scheme known as the Assistance for Isolated Children Scheme, where the payment relates to a child or children at a Homelands Learning Centre; or
(o) a payment under the scheme known as the ABSTUDY scheme that includes an amount identified as pensioner education supplement; or
(p) a social security bereavement payment; or
(q) a veterans’ entitlement bereavement payment; or
(s) an advance payment under Part 2.22 of the 1991 Act; or
(t) an advance pharmaceutical allowance under Part 2.23 of the 1991 Act; or
(u) a mobility allowance advance under section 1045 of the 1991 Act; or
(v) an advance payment under Part IVA of the Veterans’ Entitlements Act.
category P welfare payment means:
(a) a social security benefit; or
(b) a social security pension; or
(c) a payment under the scheme known as the ABSTUDY scheme that includes an amount identified as living allowance.
category Q welfare payment means:
(a) a category P welfare payment; or
(b) carer allowance; or
(ba) child disability assistance; or
(bb) carer supplement; or
(c) mobility allowance; or
(d) pensioner education supplement; or
(e) telephone allowance under Part 2.25 of the 1991 Act; or
(f) utilities allowance under Part 2.25A of the 1991 Act; or
(g) a distance education payment under the scheme known as the Assistance for Isolated Children Scheme, where the payment relates to a child or children at a Homelands Learning Centre; or
(h) a social security bereavement payment (other than a social security bereavement payment in relation to an age pension or a carer payment); or
(i) a payment under the scheme known as the ABSTUDY scheme that includes an amount identified as pensioner education supplement; or
(j) an advance payment under Part 2.22 of the 1991 Act (other than an advance payment of an age pension or a carer payment); or
(k) an advance pharmaceutical allowance under Part 2.23 of the 1991 Act; or
(l) a mobility allowance advance under section 1045 of the 1991 Act; or
(m) double orphan pension; or
(n) family tax benefit under the Family Assistance Act; or
(o) family tax benefit advance under the Family Assistance Administration Act; or
(p) stillborn baby payment under the Family Assistance Act.