4.2.2.30 Specific Requirements for Bereavement Claim

Introduction

A bereavement claim (1.1.B.20) for FTB can be made:

  • in substitution for a deceased person who was eligible for FTB, or
  • for a deceased FTB or regular care child.

Note: FTB is not payable for a deceased regular care child. However, the applicant may be entitled to receive other government benefits including RA.

A claim in substitution for a deceased person may also include a bereavement claim for a child if the deceased person was entitled to a bereavement payment for their FTB child that was not paid.

Example: Jocelyn and her child Phillip were involved in a car accident. Phillip died immediately and Jocelyn died 2 weeks later. Jocelyn never claimed FTB as she had intended to make a past period claim. Jocelyn's husband is able to make a claim for FTB in substitution for his wife's entitlement prior to Phillip's death, and also for the bereavement payment for Phillip.

Act reference: FAAct section 31 Continued eligibility for FTB if an FTB or regular care child dies, section 32 Eligibility for a single amount of FTB if an FTB or regular care child dies, section 33 Eligibility for FTB if an eligible individual dies

Policy reference: FA Guide 2.1.1.110 Death of an FTB or Regular Care Child, 2.2.2 Death of an Individual Eligible for FTB

Claim in substitution for deceased person who was eligible for FTB

If a claim is made in substitution for a person who died, the information required to assess eligibility for FTB is based on the circumstances of the person who died, not the applicant. Information required about the person who died includes:

  • income and maintenance details,
  • Australian residence,
  • FTB or regular care child in their care, and
  • tax file number.

If the person who died had a partner (1.1.P.30) during the period of the claim, information on the partner is also required.

Information collected as part of the claim that relates to the applicant includes their personal details and bank details.

Act reference: FAAct section 33 Eligibility for FTB if an eligible individual dies

Policy reference: FA Guide 4.2.2 Requirements for an Effective Claim, 4.1.1.20 Exemption from TFN Requirements for FTB

Income requirements for claim in substitution

For a claim in substitution for a deceased person who was eligible for FTB, income details are required as shown in the following table.

If the claim is… Then…

made in the same income year as the past period (1.1.P.60) being claimed and an assessment by the ATO has not been made of the deceased person's taxable income for that year,

the applicant must provide an estimate of the deceased person's income and the income of the deceased person's partner for the current year.

made in the same income year as the past period being claimed and an assessment by the ATO has been made of the deceased person's taxable income for that year,

Explanation: A tax return can be lodged early where a person dies during the income year.

the ATO assessed income is used in the determination.

The income of the deceased person's partner may be estimated if their taxable income has not been assessed.

made in the year following the year in which the past period being claimed occurs,

the taxable income of the deceased person must have been assessed by the ATO if they were required to lodge a tax return, otherwise the claim cannot be determined.

The income of the deceased person's partner may be estimated if their taxable income has not been assessed.

Act reference: FA(Admin)Act section 14 Restriction on determining claim where income tax assessment not made, section 20 Determination of rate may be based on estimate, indexed estimate or indexed actual income

Policy reference: FA Guide 3.2.8.10 Initial Estimate When Making a Claim, 4.2.3.10 Restrictions on Determining FTB Claims, 4.2.2.20 Specific Requirements for Past Period Claim

Specific restrictions for FTB bereavement claims

A bereavement claim is not effective (1.1.E.10) if any of the conditions set out in the following table apply. If the condition is met the action outlined in column 2 must be taken.

Specific claim condition If condition is met see…

The applicant is an ACO.

Explanation: An ACO cannot make a bereavement claim as they are not an individual as described in FA(Admin)Act section 7(1).

Act reference: FA(Admin)Act section 7(1) How to claim

4.2.4.140 Claim Action 14 - ACO Cannot Make Bereavement Claim

A bereavement claim has already been made, whether or not the claim has been determined.

Explanation: A determination must be made on the claim that has already been made. If the applicant disagrees with a decision, the decision must be reviewed.

4.2.4.40 Claim Action 4 - Second Claim Lodged

The bereavement claim relates to the death of a person eligible for FTB, and has been made after the end of the income year following the income year that the person died.

Explanation: The claim can only be made until the end of the income year following the income year in which the person died.

4.2.4.70 Claim Action 7 - Claim Made Too Late

Act reference: FA(Admin)Act section 11(1) Entitlement must not already have been determined, or be awaiting determination, on a previous claim, section 11(2) Single payment/substitution claims must relate to current or previous income year

Policy reference: FA Guide 2.1.1.110 Death of an FTB or Regular Care Child, 2.2.2 Death of Individual Eligible for FTB, 4.2.1 Summary of the FTB Claim Process

Bereavement claim is effective

If the bereavement claim is effective it can be determined.

Act reference: FA(Admin)Act section 18 Determination of bereavement entitlement claim

Policy reference: FA Guide 4.2.3 Determination of FTB Claim

Last reviewed: 15 August 2016