The Guides to Social Policy Law is a collection of publications designed to assist decision makers administering social policy law. The information contained in this publication is intended only as a guide to social security payments. The information is accurate as at the date listed at the bottom of the page, but may be subject to change. To discuss individual circumstances please contact Services Australia.

1.1.D.230 Disposal preclusion period (PBS)

Definition

For the purposes of PBS, a disposal preclusion period is a period during which a person's membership becomes non-accruing.

For gifts made on or before 30 June 2002, a disposal preclusion period applies when a PBS member or their partner gifts more than $10,000 of assets in a designated year. The preclusion period is 5 years starting from the date the gift exceeds the allowable limit.

For gifts made on or after 1 July 2002, the disposal preclusion period applies when a PBS member or their partner gifts more than $10,000 in a financial year (i.e. 1 July to 30 June) or gifts more than $30,000 in a 5 year period. The preclusion period is 5 years starting from the date the gift exceeds the allowable limit.

If a decision is made that a gift has been returned under 4.1.1, the disposal preclusion period ceases from the date of return of the gift.

Act reference: SSAct section 93U Disposal preclusion period-disposals before 1 July 2002, section 93UA Disposal preclusion period-disposals on or after 1 July 2002, section 92P Non-accruing membership-preclusion periods

Policy reference: SS Guide 3.4.7.50 Non-accruing membership of PBS, 4.1.1 General Provisions of Deprivation

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