SSAct section 1061ZZGG states that if the assuree receives a social security payment (as specified in the Social Security (Assurance of Support) Determination 2008) during the assurance period, the assurer/s have to pay the amount of the social security payment. If the assurance was given by more than one person, all of the persons who gave it are jointly and severally liable to pay the Commonwealth the amount of the social security payment. The usual write off and waiver requirements apply to AoS debts but the following extra rules also apply.
When considering whether waiver under special circumstances (SSAct section 1237AAD) applies, waiver must be justified on grounds other than one or more of the assurers being unaware of section 1061ZZGG, or of regulations made under the Migration Act 1958.
If an assurer has given a security that meets the requirements of subsection 1061ZZGD(3) in connection with the assurance, part or all of the debt may be waived under the following SSAct sections:
The debt amount that may be waived is equal to or less than the difference (if any) between the debt and the amount that can be obtained by enforcing the security in order to reduce the debt.
Money obtained by enforcing the security can only reduce one AoS debt. This means that if money is obtained by enforcing the security and then used to reduce an AoS debt connected with the AoS, it cannot be used to reduce another debt.
If 2 or more assurers are jointly and severally liable for the debt, part or all of the debt may be waived under section 1237AAD (special circumstances). The debt amount that can be waived is equal to or less than the amount that cannot be recovered from another assurer.
Section 1237AAD (special circumstances) may be applied to waive a debt amount of equal to or less than the difference between the debt and any amounts that can be obtained by enforcing the security and can be applied to reduce the debt AND the amount equal to or less than an amount that cannot be recovered from any of the assurers (where 2 or more assurers are jointly and severally liable) where BOTH of these circumstances apply.
Act reference: SSAct section 1237AAE Extra rules for waiver of assurance of support debts, section 1061ZZGG Liability to pay for social security payments
Last reviewed: 6 September 2010