Cancellation of Age Pension 065-03080040

Not all cancellation codes can be actioned via the BA screen. There are automatic cancellation reasons where the system will read the customer's record and cancel the payment on this information, for example, overseas 26 weeks (O26).

Other cancellation reasons will automatically cancel Age Pension when new information is updated on the customer's record, for example, death (DEA).

Is the customer voluntarily requesting cancellation of payment?

• Yes, go to Step 2
• No, go to Step 3

Where a customer requests a payment to be cancelled ‘client request’ (CLR) determine if there has been a change in circumstance that has triggered the request.

Where a change in circumstances can be established, determine if ongoing entitlement can be maintained. For example, if the customer has requested cancellation of their payment due to becoming partnered, follow Change in relationship status from single to partnered.

Where there is no known notification event, that would affect entitlement to payment, the date of effect is today.

Where there is a notification event and the customer does not provide the date of the change, the date of effect is the date last paid to +1.

When payments are cancelled (CLR), ensure the customer understands they will need to submit a new claim if they wish to receive an income support payment in the future. Note: record of this discussion must be documented.

See Table 4 for manual cancellation on BA screen.

AGR - Failed agreement specific rules

CFP - Fail to claim foreign payment

CRV - No reply to compliance review letter

DEL - Delete record

DOS - Departure/Absence overseas

FAI - Fail to attend interview

FCC - Fail to claim compensation

FRC - Fail to reply to correspondence

GWN - Customer gone overseas without notifying

GWR - Rent assistance portability review

IMP - Customer in prison

ITM - One of a couple interstate transfer

NAR - Not resident in Australia (agreement)

NPB - Not permanently blind

NRQ - Not residentially qualified

NZO - Autonomous pensioner permanent in New Zealand

OTH - Other reasons

PER - Failed to return entitlement review

PPR - Proportional on zero months

PTC - Agreement pension in non-qualifying country

• Yes, see Table 4
• No, go to Step 4

Some of these codes are an automatic cancellation via the system, others will cancel Age Pension when new information is updated on customer's record.

If cancellation reason is:

• 12F and EJK - COVID EXT. CZR PERIOD END - Earnings preclude for 12 consecutive fortnights, proceed to Step 3 in the List of cancellation reasons A - K table
• 12P and EJP - COVID EXT. CZR PERIOD END - PTR INC - Partner earnings preclude for 12 consecutive fortnights, proceed to Step 3 in the List of cancellation reasons A - K table
• AGC - DSS Age Pension paid by DVA, proceed to Step 1 in the List of cancellation reasons A - K table
• AGE - Does not meet age requirements, proceed to Step 2 in the List of cancellation reasons A - K table
• ASS - Assets over limit, proceed to Step 3 in the List of cancellation reasons A - K table
• CMP - Precluded due to compensation direct deductions, proceed to Step 4 in the List of cancellation reasons A - K table
• COM - Compensation preclusion period, proceed to Step 4 in the List of cancellation reasons A - K table
• DEA - Death of customer, proceed to Step 5 in the List of cancellation reasons A - K table
• DVA - Service Pension or Income Support Supplement, proceed to Step 1 in the List of cancellation reasons A - K table
• EIS - NEIS/AEI Direct Deduction applied (no longer used from 3 December 2022)
• ESP and EPP – Extended employment suspension period or Partner extended employment suspension period, proceed to Step 3 in the List of cancellation reasons A - K table
• FLC - Fail to return family SITU certificate, go to Step 5
• FOS - Fail to return overseas review, go to Step 6
• FPD - Foreign pension direct deductions, proceed to Step 6 in the List of cancellation reasons A - K table
• FRP - Failed to report, go to Step 6
• FRT - Failed to return trust and company correspondence, go to Step 6
• FSC - Fail to return family SITU certificate, go to Step 5
• FSS - No reply to income stream review, go to Step 6
• INC - Excess income, proceed to Step 3 in the List of cancellation reasons A - K table
• INM - Customer failed to contact after auto Income Management, go to Step 6
• ITO - Interstate transfer out, proceed to Step 7 in the List of cancellation reasons A - K table
• NTB - Client and partner fail to advise of TFN, go to Step 6
• NTC - Client fail to advise TFN, go to Step 6
• NTP - Partner fail to advise TFN, go to Step 6
• NZP - NZ agreement pensioner permanent overseas, proceed to Step 1 in the List of cancellation reasons L - Z table
• OSU - Overseas review returned unclaimed, go to Step 6
• O26 - Overseas 26 weeks, go to Step 6
• PDD - No payment destination details, go to Step 6
• PEU - Entitlement review returned unclaimed, go to Step 6
• RTA - returned to Australia, go to Step 5
• SEA - Self-Employment Allowance, proceed to Step 2 in the List of cancellation reasons L - Z table
• VST - Voluntary surrender trust and company, proceed to Step 3 in the List of cancellation reasons L - Z table
• WUK - Whereabouts unknown, proceed to Step 4 in the List of cancellation reasons L - Z table

The following cancellation reasons can only be used by Centrelink International Services (CIS) in Hobart:

• FLC - Fail to return life certificate
• FSC - Fail to return family SITU certificate
• RTA - returned to Australia

Contact CIS for further advice if you wish to cancel for these reasons. For contact details refer to Centrelink International Services (CIS) - contact details for staff.

Procedure ends here.

These cancellation reasons are automatically done by the system by assessing the information on customer's record.

If a vulnerable and at risk customer remains without income support payment for a minimum of 6 weeks due to an automatic suspension or cancellation, the customer may be eligible for manual intervention. Note: customers who are overseas permanently are not eligible for this initiative. Any MFUs generated for customers in this situation should be cancelled.

No action is required for customers not identified as vulnerable or at risk.

Check the customer's and partner's, if applicable, eligibility to Commonwealth Seniors Health Card (CSHC).

Procedure ends here.

• update income details on customer's Veterans' Affairs Pension (DVA) screen
• finalise activity on the Assessment Results (AR) screen. The system will automatically cancel the Age Pension
• record details on a DOC

See Coding income and assets for Centrelink payments and services if assistance is needed on how to code this screen.

Procedure ends here.

This would only be used if the customer's date of birth had been incorrectly recorded previously and they are not yet Age Pension age.

• go to the Customer Person Details (CPD) screen:
• update the correct date of birth by over striking the existing information
• enter the source of information in the Source: field
• enter the date of receipt of the information in the DOR: field
• enter 'C' for correct in the Action: field and press [Enter]
• finalise the activity on the Assessment Results (AR) screen. The system will automatically cancel the pension
• record details on a DOC

Procedure ends here.

For ASS and INC reasons, the system will cancel the pension if the customer's assets or income is too high to qualify for payment.

For 12F and 12P, if the customer's or their partner's increase in income results in a nil rate entitlement, and some of this income is employment income, the pension will enter an employment income nil rate period. If the customer is not eligible to enter an extended employment suspension period, their pension will cancel with the reason '12F' or '12P' after 12 full fortnights at nil rate.

For 12F and 12P, Age Pension is restorable if the customer becomes payable in the entitlement period that immediately follows the 12 fortnights at nil rate.

For ESP and EPP, if the customer entered an extended employment suspension period, their pension will automatically cancel with reason ESP or EPP once the maximum suspension period has been reached. These cancellations can only be restored if the customer requested a restoration before the cancellation date of effect.

Customer and/or partner may be entitled to the Work Bonus. Note: the Work Bonus is not used in the customer's transitional rules calculation.

The Age Pension customer is entitled to their Pensioner Concession Card during the employment income nil rate period.

• update the details on the appropriate income or assets screen/s
• finalise activity
• record details on a DOC

For coding assistance see Recording and correcting employment income details. See also: Employment income nil rate period.

Check the customer's and partner's, if applicable, eligibility for:

• Commonwealth Seniors Health Card (CSHC)
• assets hardship provisions where payments have been cancelled assets (ASS)

Procedure ends here.

• CMP cancellation
• unless the customer already has compensation income currently on their record and is advising of an increase in the rate of payment, this will need to be referred to the Compensation Section for verification
• existing compensation record: update any increase in rate
• for decreases in rate or where there is no compensation record: run the New Compensation and Damages Notification (Mod C) from information given by the customer. This will automatically forward a request for a compensation clearance to the Compensation Recovery Team (CRT)
• see Coding income and assets for Centrelink payments and services if coding help is required to update the compensation income
• finalise activity and record details on a DOC
• COM cancellation
• a compensation preclusion period needs to assessed by a Compensation section due to its complex nature
• run the New Compensation and Damages Notification (Mod C) from information given by the customer. This will automatically forward a request for a compensation clearance to the Compensation Recovery Team (CRT)
• do a compensation clearance and refer to compensation section, for their action
• if customer has a preclusion period the payment will be cancelled by the Compensation section

Check the customer's and partner's, if applicable, eligibility to Commonwealth Seniors Health Card (CSHC).

Procedure ends here.

When a customer is deceased, update the death details on their record and the pension will automatically cancel.

Run the Notification of death workflow in Process Direct or Notification of Death guided procedure in Customer First.

See Death of an income support customer or their partner, for assistance in coding.

Update customer's details on the Foreign Pensions Details (FPD) screen and the system will automatically cancel the Age Pension.

• finalise activity on the Assessment Results (AR) screen
• record details on a DOC

See Coding income and assets for Centrelink payments and services, for help with coding.

Check the customer's and partner's, if applicable, eligibility to Commonwealth Seniors Health Card (CSHC).

Procedure ends here.

Update customer's address details by conducting an Interstate address change. This will automatically cancel the Age Pension in the losing environment.

• record details on a DOC

See Inter-environment change of address (ICoA), for help with coding.

Procedure ends here.

Update customer's address to New Zealand and the departure on the Australian Departure and Return (ADR) screen. This will automatically cancel the pension. Use the script or manually code if script is not available.

• finalise activity on the Assessment Results (AR) screen
• record details on a DOC

Procedure ends here.

When a customer is in receipt of Self-Employment Allowance, details will be received from the Department of Employment and Workplace Relations (DEWR) and automatically updated on the Other Government Payments (OGP) screen.

The amount recorded on the OGP screen will reduce the customer’s payment as a dollar for dollar deduction. Where this deduction results in a nil rate of payment, this will automatically cancel the pension.

See Self-Employment Assistance for more details.

Procedure ends here.

Note: this information should be recorded by a Complex Assessment Officer (CAO) who is responsible for actioning the data collection form.

This code is used when customers who have an interest in a trust or company choose to voluntarily surrender their payment from 1 January 2002, when the new trusts and companies rules come in affect.

If the customer has indicated that they want to voluntarily surrender their payment then this is to be set up on the Activity Registration (AYR) screen.

While in customer's record update the following fields on the AYR screen:

• ServRsn: enter 'TRP' for Trust or Company
• Activity Type: enter 'DCL' for data collection
• Review Reason: enter 'TDV' for Trust and Companies Voluntary Surrender
• Source: enter 'AH527' which is the data collection form
• Receipt Date: enter the date data collection form was received
• Action: enter 'CAN' to cancel record
• Action Date: enter '01.01.2001'
• Finalise Activity
• Record details on a DOC

Check the customer's and partner's, if applicable, eligibility to Commonwealth Seniors Health Card (CSHC).

Procedure ends here.

• If customer was cancelled whereabouts unknown (WUK) but has not changed address, check if there is any reason to doubt that the customer is living at the address. This would include:
• mail has been returned previously from the address
• suspected member of a couple
• the customer cannot provide a satisfactory explanation of why the mail was returned
• if this is the first time that mail has been returned and the customer is able to provide a satisfactory explanation and mail is not likely to be returned again, payments may be restored. Otherwise, they must provide evidence that they still live at the recorded address. Arrange for the customer to attend the Service Centre. This must be done before the payment can be restored
  Note: where the customer is in an aged care home, check the customer's RCA Institution Summary (RIS) screen, as this may list the name of the aged care home where the customer resides. Contact the home by phone, to confirm customer is a permanent resident
• if customer was cancelled 'WUK' and has changed address, or the address was recorded in error, update address and reissue returned correspondence. If eligible for Age Pension, restore payment using the correct date of restoration

Note: as long as the customer has continued to be qualified and retained payability for their payment during the period of suspension/cancellation, their payment may be restored with full arrears. This may be the case even when the customer recontacts more than 13 weeks after the decision to suspend or cancel. The customer would not have received advice of the decision to suspend or cancel, if they were not at their known address and/or advice of the decision was returned to Services Australia. This means that the date of effect of the favourable determination (restoration) resulting from review of the decision to suspend/cancel is the date of the original decision (date of suspension/cancellation), as per Legislation. Each customer's circumstances must be looked at individually to determine if they are entitled to receive arrears upon restoration. Service Officers must be satisfied the customer did not receive advice of the decision to suspend or cancel, and they retained qualification and payability during the period.

Go to the BA screen by either keying 'BA' in Nxt: field and press [Enter], or go to the Pensions Task Selection (PTS) screen and select the options 'Benefit Action' and 'Assessment results' and press [Enter].

• On the BA screen, enter details in the following fields:
• Srv Rsn: enter customer's service reason as shown on the status line. Either 'AGE' for Age Pension or 'AGB' for Age Blind Pension
• Action: enter 'CAN' to cancel
• Reason: enter the reason code for the cancellation. See Cancellation, rejection and suspension codes for Age Pension
• Effect Date: enter the date the pension is to be cancelled from
• Source: enter details of where the information was obtained
• DOR: enter the date of receipt of the information
• Record details on a DOC
• Finalise activity on the Assessment Results (AR) screen
• Check the customer's and partner's, if applicable, eligibility to Commonwealth Seniors Health Card (CSHC)
• For statement reporters any outstanding payment/s will require the customer’s final outstanding report to be completed to issue the payment
• If applicable request and update the estimate of income for Family Tax Benefit (FTB)/Child Care Subsidy (CCS). Estimates may be given over the phone

Note: If a customer received a Crisis Payment in the period the change is applied, a manual reassessment of Crisis Payment may be required. For more information, see Reviewing and reassessing Crisis Payment (CrP).