✦ Plain-English Summary

Veterans' Affairs Legislation Amendment Bill 2021

What it does

This law makes disability payments for veterans no longer count as "income" when calculating whether they qualify for other government support payments like rent assistance. It also removes the Defence Force Income Support Allowance and increases rent assistance payments for eligible veterans, while adjusting some pension rates to keep pace with inflation.

Why it matters

Veterans receiving disability payments won't have those payments used against them to deny or reduce other welfare support they're entitled to—meaning they keep more money overall. It recognises that disability compensation shouldn't penalise veterans seeking additional help with living costs like rent.

Key details

• Main change: Disability pensions are excluded from income tests for social security payments, effective 1 January 2022
• Rent assistance boost: Veterans get increased rent assistance under the Veterans' Entitlements Act
• Pension indexation: From 1 July 2022, above-general rates get indexed (adjusted for inflation) to maintain purchasing power
• The Defence Force Income Support Allowance is being removed entirely

Official Description

Amends: nine Acts to: exempt certain payments, known as the adjusted disability pension, from the social security income test; and remove the Defence Force Income Support Allowance; the Veterans' Entitlement Act 1986 to: remove the disability income rent test; replace references to 'disability pension' with references that clarify the nature of the payment as a compensation payment; and adjust the mechanism for indexation of certain payments; and the Military Rehabilitation and Compensation Act 2004 to establish a non-liability rehabilitation pilot to provide veterans with access to rehabilitation support without the requirement to have lodged a compensation claim.

Committee Referrals

Senate Standing Committee for the Scrutiny of Bills

No formal division recorded

This bill passed by voice vote — parliament agreed without calling a formal count. A division is only recorded when a member explicitly requests one.

No votes yet.

No votes were recorded for this bill.