Centrelink will put in place a regular review cycle to value properties, other than the principal place of residence, held by Age Pension customers. This will reduce the likelihood of Age Pension customers receiving incorrect payments due to inaccurate valuations of real estate assets.
The Social Security Law will be amended to provide Centrelink access to land titles information held by state and territory governments. This will identify Age Pension customers who have failed to declare real estate assets in addition to their principal place of residence.
An education campaign will be undertaken to inform customers of the measure and to encourage them to tell Centrelink about any changes in their real estate circumstances.
Property values have risen substantially in recent times. Age Pension customers who own real estate, in addition to their principal place of residence, may not be aware that the current value of their properties could affect their pension. The measure will introduce more regular valuations of these properties, which will reduce the likelihood of Age Pension customers being incorrectly paid.
1 July 2006.
Total Financial Impact on FaCSIA
Net saving of $119.1 million over four years.