Lodgement of the Notice of Assessment (NOA) and other evidence of income for Commonwealth Seniors Health Card (CSHC) 065-06030030

For Commonwealth Seniors Health Card (CSHC) verification of income, copies are acceptable and original documents do not need to be supplied.

When customers provide documents in person for a review or to support their claim, accept and scan documents. For further information, see Sighting, recording and returning original documents.

Where the customer has a partner, income details must be provided for the same reference tax year. This process must be applied to both the customer and partner, as their taxation lodgement and evidence of income requirements may differ.

• For new claims, go to Step 2
• Changes of circumstance (e.g. income, becoming partnered, reviews) see Table 2

Has the customer (or partner) declared for the reference tax year, they are not required to lodge an income tax return?

• Yes, go to Step 7
• No, go to Step 3

Has the customer (or partner) provided a Notice of Assessment (NOA) for the most recent verifiable financial year? For either the:

• tax year immediately prior to the current tax year, or
• the tax year immediately preceding the previous tax year
• Yes, go to Step 5
• No, go to Step 4

Note:

• Where a claim is started before 1 July, but lodged on or after 1 July, the reference tax year selected may no longer be valid, if not within 2 years at time of claim processing. Request the correct reference year documentation
• Where a prior claim for CSHC was rejected due to income, the customer cannot lodge a second claim and use the previous reference year, as the most recent verifiable year has already been provided

Has the customer (or partner) provided evidence from the Australian Taxation Office (ATO) of an extension to lodge, or suspension of enforcement action on outstanding income tax returns?

• Yes, go to Step 10
• No, go to Step 5

Has the customer advised their income will be lower in the current financial year and have provided an estimate of income?

• Yes, go to Step 6
• No, go to Step 7

Has the customer (or partner) declared due to an acceptable condition, they are providing an estimate of income for the current financial year?

Note: where a previous claim for CSHC is rejected due to an estimate, the customer must provide a new estimate and reasons why their estimate has been changed. The revised estimate should only be accepted if details provided and the new estimate is reasonable in comparison with the previous estimate.

• Yes, go to Step 10
• No,
• where the customer estimate is not for an acceptable reason, reject the claim for CSHC using ESR – Reason for change in circumstances not accepted – Estimate not accepted
• Procedure ends here

Has the customer (or partner) declared they are not required to lodge an income tax return for the reference tax year, yet is it evident they would be required to lodge?

For example, the customer has taxable income above the tax lodgement threshold or there is evidence that tax was withheld in the financial year.

• Yes, make a request for information as a taxation Notice of Assessment (NOA) will be required, go to Step 10
• No, go to Step 8

Has the customer (or partner) declared they have income, but are not required to lodge a tax return for the reference tax year?

A taxation Notice of Assessment (NOA) for the reference year is not required, however other relevant documents for verification of income declared for the financial year must be provided.

• Yes, go to Step 10
• No, go to Step 9

Note: where there is evidence of income on the customer record above the declared amounts, no request for information is required unless the delegate determines the information would change the claim outcome.

These customers may be eligible for Age Pension and should be encouraged to test eligibility. The customer may not be eligible for Age Pension if they are excluded due to the assets test or residential qualifications.

Does the customer (or partner) meet all other CSHC qualification criteria and they have declared zero income for the reference tax year?

• Yes,
• No documentation for the verification of income is required. Return to Assessing Commonwealth Seniors Health Card (CSHC) claims
• Procedure ends here
• No, go to Step 10

Note: where there is evidence of income on the customer record, no request for information is required unless the delegate determines the information would change the claim outcome.

These customers may be eligible for Age Pension and should be encouraged to test eligibility. The customer may not be eligible for Age Pension if they are excluded due to the assets test or residential qualifications.

Based on the customer’s (and partner’s) circumstances, have they provided the required verification of income?

• a taxation Notice of Assessment (NOA) for the reference year
• each declared component of Adjusted Taxable Income (ATI)
• an Account-based income stream

that

• verifies their income for the most recent verifiable financial year, or
• validates their estimate of income for the current financial year, or
• validates their estimate of income for the reference tax year, as not required to lodge or have an extension granted by the Australian Taxation Office

• Yes, evidence of income requirements have been met
• No, Where the customer has not provided the required evidence of income, to ensure the correct claim outcome, make a Request for information

Return to Assessing Commonwealth Seniors Health Card (CSHC) claims.

All customers are subject to an annual reviews and Australian Taxation Office (ATO) data matches. Where customers supply verification documents in person or via mail, scan documents to appropriate record and mark relevant tasks as submitted through Request and Manage Customer Tasks (RMCT) in Customer First.

• Key SHID in the Super Key field, select Enter
• The Seniors Health Card income summary and details screen displays.
• From the Income details table, select Add
• The Add Income details window displays
• Complete the following fields:
• Date of event:
• Use the date the NOA was issued plus 12 business days. However, if scanned to customer record prior to this date, use the date of receipt
• For customers who are not required to lodge an income tax return, the date of event is the date they advised the ATO of this
• For customers who are providing a current year estimate use the date of receipt
• Reference tax year: put in the financial year of the NOA or reference tax year for a non-lodger. Note: this cannot be greater than 2 financial years in the past from the current financial year. The most recent NOA should be used. Members of a couple must provide income details for the same reference tax year. Use the year that the financial year ended, for example, for 2018/19 code 2019
• Income type (select 1 of the following):
• TNA for a NOA and for customers who have been granted an ATO lodgement extension
• EST for an estimate, or
• NRL where a customer does not provide a NOA as their income is below the tax lodgement threshold or because of an ATO tax offset. NRL must not be coded if the customer has income over the tax lodgement threshold
• Taxable income ($) code 1 of the following:
• Enter the amount from the NOA or for customers who have been granted an ATO lodgement extension, an estimate of their taxable income. Note: if a person has accessed superannuation under the First Home Super Saver (FHSS) Scheme these withdrawals require special consideration
• The current year estimate
• Customer's income below the tax lodgement threshold. Note: customers who have provided an estimate for the current financial year that has been accepted must also have their verified income that is over the income limit from either of the last 2 financial years recorded on the SHID screen. After the estimate has been recorded, record the NOA using the date the NOA was issued
• The following fields are optional. Only complete if applicable to the customer:
• Foreign income ($): Enter the Australian dollar value from section IT4 on the income tax return or other foreign income documents if not required to lodge an Australian tax return
• Net investment loss ($): Enter net rental property or financial investment loss details from IT5/6 on the income tax return or other financial documents if not required to lodge
• Employer provided benefits ($): (also known as fringe benefits), Enter the details from section IT1 on the Tax Return or if not required to lodge, use PAYG payment summary/ATO income statement. Deduct the first $1,000, e.g. if the customer received $3,200, only record $2,200
• Reportable super contributions ($): Enter reportable employer or personal deductable superannuation contribution details from section IT2 and/or D12 on the Tax Return, PAYG payment summary/ATO income statement, or statement from superannuation provider if not required to lodge
• Select Save
• Complete the Receipt Date and Channel fields, select Save

Does the Customer have an Income Stream to be updated or added?

• Yes, go to Step 3
• No, go to Step 4

For coding instructions to update an existing account- based income stream or add a new account-based income stream, see Adding or updating an account-based income stream.

Deemed Income Amount ($) is a protected field that cannot be updated manually. If a customer or partner has account-based income streams recorded that are subject to deeming the transaction will need to be assessed to ensure the deemed income figure (if applicable) on the SHID screen is correct.

To view the updated Deemed Income Amount, Services Officers need to assess the transaction without finalising. To do this:

• Select Assess and address any errors/warnings
• Select Assess again
• The Entitlements (ELD) screen displays
• Select Back
• Key SHID in the Super Key field, select Enter
• The Seniors Health Card income summary and details screen displays.
• Review the updated Deemed income amount ($) column in the Income Summary table

To finalise the transaction, go to Step 4

• Select Assess and address any errors/warnings
• Select Assess again, then select Finish
• Record details of the update on the Finalise screen
• Select Finalise to complete the transaction.

All customers are subject to an annual reviews and Australian Taxation Office (ATO) data matches. Where customers supply verification documents in person or via mail, scan documents to appropriate record and mark relevant tasks as submitted through Request and Manage Customer Tasks (RMCT) in Customer First.

Ensure the correct system is selected before making updates.

• In the Sys: field key ‘SHC’
• Press [Enter]

While in the customer's record, go to the SHID screen, either:

• via the SHC Task Selection (SHTS) screen:
• key 'SHTS' in the NXT: field
• press [Enter]
• select the appropriate option/s for SHC Income Details and Assessment Results
• press [Enter], or
• key 'SHID' in the NXT: field
• press [Enter]

On the SHC Income Details (SHID) screen update the following fields:

• Date of event:
• Use the date the NOA was issued plus 12 business days. However, if scanned to customer record prior to this date, use the date of receipt
• For customers who are not required to lodge an income tax return, the date of event is the date they advised the ATO of this
• For customers who are providing a current year estimate use the date of receipt
• Reference tax year: put in the financial year of the NOA or reference tax year for a non-lodger. Note: this cannot be greater than 2 financial years in the past from the current financial year. The most recent NOA should be used. Members of a couple must provide income details for the same reference tax year. Use the year that the financial year ended, for example, for 2018/19 code 2019
• Income type (code 1 of the following):
• TNA for a NOA and for customers who have been granted an ATO lodgement extension
• EST for an estimate, or
• NRL where a customer does not provide a NOA as their income is below the tax lodgement threshold or because of an ATO tax offset. NRL must not be coded if the customer has income over the tax lodgement threshold
• Taxable income ($) code 1 of the following:
• Enter the amount from the NOA or for customers who have been granted an ATO lodgement extension, an estimate of their taxable income. Note: if a person has accessed superannuation under the First Home Super Saver (FHSS) Scheme these withdrawals require special consideration
• The current year estimate
• Customer's income below the tax lodgement threshold. Note: customers who have provided an estimate for the current financial year that has been accepted must also have their verified income that is over the income limit from either of the last 2 financial years recorded on the SHID screen. After the estimate has been recorded, record the NOA using the date the NOA was issued

The following fields are optional. Only complete if applicable to the customer:

• Foreign income ($): Enter the Australian dollar value from section IT4 on the income tax return or other foreign income documents if not required to lodge an Australian tax return
• Net investment loss ($): Enter net rental property or financial investment loss details from IT5/6 on the income tax return or other financial documents if not required to lodge
• Employer provided benefits ($): (also known as fringe benefits), Enter the details from section IT1 on the Tax Return or if not required to lodge, use PAYG payment summary/ATO income statement. Deduct the first $1,000, e.g. if the customer received $3,200, only record $2,200
• Reportable super contributions ($): Enter reportable employer or personal deductable superannuation contribution details from section IT2 and/or D12 on the Tax Return, PAYG payment summary/ATO income statement, or statement from superannuation provider if not required to lodge

Complete the Source, DOR and Action fields

Does the Customer have an Income Stream to be updated or added?

• Yes, go to Step 3
• No, go to Step 4

For coding instructions to update an existing account- based income stream or add a new account-based income stream, see Adding or updating an account-based income stream.

Deemed Income Amount ($) is a protected field that cannot be updated manually. If a customer or partner has account-based income streams recorded that are subject to deeming the transaction will need to be assessed to ensure the deemed income figure (if applicable) on the SHID screen is correct.

To view the updated Deemed Income Amount, Services Officers need to assess the activity without finalising. To do this:

• Go to the Assessment Results (AR) screen. Do not finalise the activity
• Return to the SHID screen to view the updated Deemed Income Amount

To finalise the Activity, go to Step 4

• Key 'AR' in Next field
• Finalise activity
• Record details on a DOC