Section 46AC — Veterans' Entitlements Act 1986: Unused concession balance

Existing unused concession balances before 1 January 2024 (1) If, immediately before 1 January 2024, a person has an unused concession balance (including a balance of nil or a retained balance under subsection (3)), the person retains that unused concession balance on 1 January 2024. Initial unused concession balance after 1 January 2024 (1A) A person has an unused concession balance of $4,000 on the first day that is on or after 1 January 2024 and is a day on which section 46AA applies to the person. (1B) Subsection (1A) does not apply on a day if the person has an unused concession balance (including a balance of nil or a retained balance under subsection (3)) immediately before that day. Increase of unused concession balance in specified circumstances (1C) If: (a) a person ceases to receive service pension or income support supplement; and (b) the person retains an unused concession balance (the old balance) under subsection (3) of less than $4,000; and (c) neither this subsection nor subsection (1A) has previously applied in relation to the person within the most recent 2 year period that starts on or after 1 July 2024; then, on the first day that is on or after 1 July 2024 and is a day on which section 46AA applies to the person again, the person’s unused concession balance is increased by an amount equal to the difference between the old balance and $4,000. (1D) Subsection (1C) does not apply if section 46AA applies to the person again following the person’s service pension or income support supplement being suspended. Maximum unused concession balance (2) If, apart from this subsection, the person’s unused concession balance would exceed $11,800, that balance is instead taken to be $11,800. Example: John has an unused concession balance of $11,700. John has $100 of work bonus income in a pension period. Instead of John’s unused concession balance increasing to $11,900 under subsection 46AA(4A), John’s unused concession balance increases to $11,800. Effect of ceasing to receive service pension or income support supplement (3) If the person ceases to receive service pension or income support supplement, the person retains the person’s unused concession balance immediately before that cessation. Note: If section 46AA applies to the person again, the person’s unused concession balance will be that retained balance.