46Recovery by set‑off

46 Recovery by set‑off

(1) If an entity is liable to pay a scheme debt, the Commonwealth may recover the scheme debt from the entity by deducting the amount of the scheme debt from either or both of the following: (a) one or more amounts that are payable to the entity by way of an advance or advances on account of a grant or grants that may become payable to the entity; (b) one or more grants that are payable to the entity under a TCF scheme. (2) If the scheme debt is deducted as mentioned in subsection (1), the amount covered by paragraph (1)(a) and the grant covered by paragraph (1)(b) are taken to have been paid in full to the entity.

Note: Example: An entity has a scheme debt of $1,000 in relation to a grant paid under the TCF Post‑2005 (SIP) scheme. An advance of $11,000 under the Clothing and Household Textile (BIC) scheme is payable to the entity. The $1,000 scheme debt may be deducted from the advance, so that the entity only actually receives $10,000. However, the entity is taken to have been paid an advance of $11,000.