Energy Supplement for Family Tax Benefit (FTB) recipients 101-03090060

Item

Scenario

1

Eligibility between 19 September 2016 and 20 March 2017 (Transition period) - not grandfathered

A claimant who lodged an FTB claim on 12 January 2017 that was backdated to 15 December 2016 would receive Energy Supplement from 15 December up to and including 19 March 2017. They would not receive Energy Supplement from 20 March 2017. This claimant will not be grandfathered because they were not eligible for FTB on 19 September 2016.

2

Eligibility between 19 September 2016 and 20 March 2017 (Transition period - grandfathered

A claimant has an FTB instalment claim granted on 13 October 2016 and payment commenced the next day. The claim was later backdated to 1 July 2016 and they were found to be continuously eligible for FTB from 1 July 2016 (including 19 September 2016). This claimant would be grandfathered and would continue to receive Energy Supplement after 20 March 2017.

3

Energy Supplement Grandfathering and Portability Extensions

An Energy Supplement grandfathered recipient is granted a 1 week portability extension for FTB Part A after travelling overseas for 6 weeks. They had to delay their return to Australia by 1 week due to a medical emergency. The recipient will continue to receive FTB throughout the 7 week period, however they are not entitled to be paid Energy Supplement for that 1 week. Upon their return they will be paid Energy Supplement from the date they returned to Australia provided there was no gap in their FTB entitlement, and will therefore continue to be grandfathered for Energy Supplement.

4

Existing Family Tax Benefit recipient notifies of an additional child entering care

Debbie has been receiving Family Tax Benefit (FTB) Part A and Part B continuously for her daughter Katie since 2011. In May 2017, Debbie lodges a FTB claim for her 12 year old son Max who was returned to her care on 1 May 2017. Debbie is a grandfathered Energy Supplement recipient for both FTB Part A and Part B as she has been receiving payments continuously since 2011 and would have been receiving payments on 19 September 2016 (grandfathering test date). Max will be included in the rate calculation for Energy Supplement for both FTB Part A and FTB Part B components when he came into Debbie’s care. Grandfathering applies to the recipient not the child.

5

Family Tax Benefit recipient is cancelled then reapplies after 20 March 2017

Rachelle was receiving Family Tax Benefit (FTB) Part A and Part B continuously until November 2016 when her payments were cancelled as she no longer had any care of her children. In May 2017 Rachelle regained care of her children and re-applied for FTB.

Rachelle is not a grandfathered Energy Supplement recipient as she has not been receiving FTB payments continuously from 19 September 2016 (grandfathering test date). Rachelle will not receive Energy Supplement in May 2017 when she is granted FTB Part A and Part B.

6

Claimant requesting Family Tax Benefit paid as a lump sum

Raju has requested to be paid Family Tax Benefit as a lump sum at the end of the financial year (2016/17), as per his payment choice.

Raju’s FTB lump sum claim was assessed and he is entitled to receive FTB for the full 2016/2017 financial year.

As Raju was eligible to FTB at a legislative rate greater than $0 in respect to the Energy Supplement grandfathering test date 19 September 2016, and remained continuously eligible until 30 June 2017, Raju is entitled to receive Energy Supplement for the full 2016/17 financial year.

Raju is therefore considered to be grandfathered for Energy Supplement for the 2016/17 financial year, and will continue to be considered grandfathered for Energy Supplement as long he remains continuously eligible for FTB at a legislative rate greater than $0.