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SOCIAL SECURITY ACT 1991 - SECT 1147

Entry contribution

             (1)  A special resident's entry contribution is:

                     (a)  if the resident is not a member of a couple--the resident's individual residence contribution; or

                     (b)  if the resident is a member of a couple, shares the resident's principal home with the resident's partner and is not a member of an illness separated couple--an amount equal to 50% of the resident's individual residence contribution and of the partner's individual residence contribution; or

                     (c)  if the resident is a member of an illness separated couple--the resident's individual residence contribution; or

                     (d)  if:

                              (i)  the resident is a member of an ordinary couple with different principal homes; and

                             (ii)  the principal home of the resident's partner is not a special residence;

                            the resident's individual residence contribution; or

                     (e)  if:

                              (i)  the resident is a member of an ordinary couple with different principal homes; and

                             (ii)  the principal home of the resident's partner is also a special residence;

                            an amount equal to 50% of the resident's individual residence contribution and of the partner's individual residence contribution.

          (1A)  A special resident's entry contribution is the resident's individual residence contribution plus the amount paid, or agreed to be paid, for the resident's current right (if any) to share the resident's principal home with a partner if:

                     (a)  the resident was a member of a couple at the time when the resident took up residence in the retirement village or granny flat; and

                     (b)  the resident has ceased to be a member of a couple.

          (1B)  A special resident's entry contribution is the resident's individual residence contribution if:

                     (a)  the resident was a member of a couple at the time when the sale leaseback agreement was entered into; and

                     (b)  the resident has ceased to be a member of a couple.

          (1C)  For the purposes of this Division, the individual residence contribution is:

                     (a)  for a retirement village resident--the total amount paid, or agreed to be paid, for the resident's current right to live in the retirement village; and

                     (b)  for a granny flat resident--the total amount paid, or agreed to be paid, for the resident's current right to live in the granny flat; and

                     (c)  for a sale leaseback resident--the deferred payment amount.

Note:          For deferred payment amount see section 12B.

          (1D)  For the purposes of paragraph (1C)(b):

                     (a)  the total amount paid to obtain for a person his or her current right to live in a granny flat is the amount equal to the value of the person's granny flat interest; and

                     (b)  the value of a person's granny flat interest is:

                              (i)  unless subparagraph (ii) applies--the amount paid, or agreed to be paid, for the interest; or

                             (ii)  if the Secretary considers that, for any special reason in any particular case, that value should be another amount--that other amount.

             (2)  An amount that is rent for the purposes of this Act is to be disregarded in applying subsections (1), (1A) and (1B).



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