C2010A00104 — Paid Parental Leave Act 2010

1 Short title This Act may be cited as the Paid Parental Leave Act 2010 . 2 Commencement This Act commences on 1 October 2010. 3 Act binds Crown (1) This Act binds the Crown in each of its capacities. (2) However, this Act does not make the Crown liable to be prosecuted for an offence. 3AA Norfolk Island This Act extends to Norfolk Island. 3A Objects of this Act (1) This Act establishes a paid parental leave scheme for the payment of parental leave pay and paid parental leave superannuation contributions. (2) The objects of the paid parental leave scheme are to: (a) signal that taking time out of the paid workforce to care for a child is part of the usual course of life and work for both parents; and (b) promote equality between men and women and balance between work and family life; and (c) provide financial support to parents caring for children, in order to: (i) allow those parents to take time off work to care for the child after the child’s birth or adoption; and (ii) enhance the health and development of birth mothers and children; and (iii) encourage women to continue to participate in the workforce; and (iv) provide those parents with flexibility to balance work and family life; and (v) increase the time that fathers and partners take off work around the time of birth or adoption; and (vi) create further opportunities for fathers and partners to bond with their child; and (vii) allow fathers and partners to take a greater share of caring responsibilities and to support mothers and partners from the beginning; and (viii) reduce the long term financial impact of taking time off work to care for the child by adding to the superannuation balances of those parents. (3) The financial support provided by this Act is intended to complement and supplement existing entitlements to paid or unpaid leave in connection with the birth or adoption of a child. 4 Guide to this Act Overview This Act provides for the payment of parental leave pay following the birth of a child or, for adoption, the placement of a child. Parental leave pay is payable to a person for a child for a flexible PPL day for the child. The number of flexible PPL days for the child for which parental leave pay can be paid is limited. Parental leave pay is paid in instalments at the daily national minimum wage amount for a day that is a flexible PPL day for the child and for which parental leave pay is payable to the person. Parental leave pay is paid by either the person’s employer (if it is for at least 40 consecutive flexible PPL days for a child that are week days) or the Secretary. Chapter 2—When parental leave pay is payable to a person Chapter 2 sets out when parental leave pay is payable to a person. The key provisions for the Chapter are found in Part 2 ‑ 1. A person can only be paid parental leave pay if the Secretary makes a determination that parental leave pay is payable to the person. Part 2 ‑ 2 has the rules about when the Secretary can make that determination. The Secretary cannot make that determination if the person is not eligible for parental leave pay. Part 2 ‑ 3 has the rules about eligibility. The Secretary also cannot make that determination if the person has not made a claim for parental leave pay. Part 2 ‑ 4 has the rules about claims. There are 2 types of claims: PPL claims and special PPL claims. These claims relate to each other, although PPL claims are the main type of claim. PPL claims will often be the only claims that are made. Chapter 3—Payment of parental leave pay Chapter 3 sets out how parental leave pay is paid to a person. Part 3 ‑ 1 is about instalments of parental leave pay. It deals with when instalments must be paid, whether the person’s employer or the Secretary must pay them and the amount of the instalments. Part 3 ‑ 2 sets out when a person’s employer must pay instalments to the person. An employer is required to pay an instalment to a person in relation to a child if: (a) an employer determination has come into force for the employer and the person; and (b) the instalment is payable in relation to a flexible PPL day for the child that falls within the person’s continuous flexible period for the child (which consists of at least 40 consecutive flexible PPL days for the child that are week days); and (c) the employer has been paid enough by the Secretary to fund the instalment. Part 3 ‑ 3 sets out when the Secretary must pay instalments directly to the person. For instance, the Secretary is required to do that if an employer determination is never made for the person (e.g. the person is a contractor and so does not have an employer). There are some other circumstances in which the Secretary is also required to pay instalments directly to the person (such as when an employer determination is being reviewed or has been revoked). Part 3 ‑ 4 has general rules about the payment of instalments (such as what happens when an instalment cannot be paid on the day specified in this Act). Part 3 ‑ 5 is about employer determinations. If an employer determination is in force for an employer and a person, the employer must pay instalments to the person. The Secretary must be satisfied that certain conditions have been met before the Secretary can make an employer determination. Chapter 3A—PPL superannuation contributions A PPL superannuation contribution is payable for a person for an income year if one or more PPL funding amounts or instalments relating to the person are paid by the Secretary in the income year. The amount of a PPL superannuation contribution is calculated on the basis of the SG charge percentage for the income year and is generally paid by the Commissioner of Taxation in the subsequent income year to a complying superannuation fund for the person. The Commissioner of Taxation has the general administration of Chapter 3A. Chapter 4—Compliance and enforcement Chapter 4 deals with compliance and enforcement. Part 4 ‑ 1 allows the Secretary to gather information for the purposes of checking compliance with this Act. It also deals with the confidentiality of personal and protected information. Part 4 ‑ 2 deals with other compliance matters. It allows the Secretary to refer matters to the Fair Work Ombudsman for investigation if the Secretary has reason to believe that an employer has not complied with certain obligations under this Act. It also deals with civil penalty provisions, compliance notices and infringement notices. Part 4 ‑ 3 provides for debts in relation to the paid parental leave scheme, and for the recovery of debts owing to the Commonwealth. Chapter 5—Administrative review of decisions Chapter 5 is about administrative review of decisions made under this Act. Part 5 ‑ 1 allows the Secretary, on the Secretary’s own initiative, to conduct an internal review of decisions made under this Act. It also allows a person whose interests are affected by certain types of decisions to seek internal review of those decisions, and an employer to seek internal review of certain types of decisions that affect employers. Part 5 ‑ 2 allows a person to apply to the Administrative Review Tribunal (ART) for review of certain decisions made under this Act. This review is called ART review. If a decision has been reviewed by the ART, in some circumstances the ART Act allows a person to apply to refer the matter to the ART as constituted by the guidance and appeals panel for further review. In other circumstances, application may be made for review (a “second review”) of the decision by the ART on ART review. Applications for second review are made under the ART Act. Part 5 ‑ 4 has miscellaneous provisions relating to reviews of decisions made under this Act. Chapter 6—Miscellaneous Chapter 6 has miscellaneous provisions. Part 6 ‑ 1 has rules that modify this Act so that it applies correctly in 3 limited kinds of cases—adoption, claims made in exceptional circumstances etc. and Commonwealth employment. Part 6 ‑ 2 is about payment nominees (who are people who can receive payments of instalments of parental leave pay on behalf of other people for the purposes of this Act) and correspondence nominees (who are people who can receive notices on behalf of other people for the purposes of this Act). Part 6 ‑ 3 deals with other miscellaneous matters, such as the PPL rules, delegations and regulations. 5 Guide to this Part This Part is about the terms that are defined in this Act. Division 2 has the Dictionary (see section 6). The Dictionary is a list of every term that is defined in this Act. A term will either be defined in the Dictionary itself, or in another provision of this Act. If another provision defines the term, the Dictionary will have a signpost to that definition. 6 The Dictionary In this Act: ABN (short for Australian Business Number) has the same meaning as in the A New Tax System (Australian Business Number) Act 1999 . acceptance notice : see section 103. ADI (short for authorised deposit ‑ taking institution) means a body corporate that is an ADI for the purposes of the Banking Act 1959 . adjusted taxable income : see section 38. AFP Minister means the Minister administering the Australian Federal Police Act 1979 . ART means the Administrative Review Tribunal. ART Act means the Administrative Review Tribunal Act 2024 . ART Principal Registrar means the Chief Executive Officer and Principal Registrar of the ART. ART review : (a) in relation to an ART reviewable claimant decision—see section 216; and (b) in relation to an ART reviewable employer decision—see section 224. ART reviewable claimant decision : see subsection 215(3). ART reviewable employer decision : see subsection 223(2). ASIO Minister means the Minister administering the Australian Security Intelligence Organisation Act 1979 . Australia , when used in a geographical sense, includes Norfolk Island, the Territory of Cocos (Keeling) Islands and the Territory of Christmas Island. Note: In Division 7A of Part 4 ‑ 3 (about departure prohibition orders), Australia has an extended meaning. Australian ‑ based employee means an employee: (a) whose primary place of work is in Australia; or (b) who is employed by an Australian government employer. Australian government employer means: (a) the Commonwealth; or (b) a State; or (c) a Territory; or (d) a body corporate established for a public purpose by or under a law of the Commonwealth, a State or a Territory; or (e) a body corporate: (i) incorporated under a law of the Commonwealth, a State or a Territory; and (ii) in which the Commonwealth, a State or a Territory, has a controlling interest. Australian residency test : see sections 45 and 46. Australian resident has the same meaning as in the Social Security Act. Australian travel document has the same meaning as in the Australian Passports Act 2005 . authorised party , in relation to the adoption of a child, means a person or agency that, under the law of the State, Territory or foreign country whose courts have jurisdiction in relation to the adoption, is authorised to conduct negotiations or arrangements for the adoption of children. authorised review officer means an officer authorised under section 271 to be an authorised review officer for the purposes of this Act. bank account includes an account held with an ADI. bank account information : see subsection 104(2). base contribution : see subsection 115C(2). base interest rate for a day has the same meaning as in section 8AAD of the Taxation Administration Act 1953 . benefit restriction notice means a notice under section 278BA or 278C. birth verification form : see subsection 18(4). born prematurely : a child is born prematurely if, at the time of the child’s delivery, the child’s period of gestation is less than 37 weeks. business includes any profession, trade, employment, vocation or calling, but does not include occupation as an employee. caring : see section 47. centrelink program has the same meaning as in the Human Services (Centrelink) Act 1997 . Chief Executive Centrelink has the same meaning as in the Human Services (Centrelink) Act 1997 . Chief Executive Medicare has the same meaning as in the Human Services (Medicare) Act 1973 . civil penalty provision has the same meaning as in the Regulatory Powers Act. claim means a PPL claim or special PPL claim for parental leave pay for a child. claimant means a person who is a PPL claimant or special PPL claimant. claimant decision : see section 206. claimant’s work cessation day : see paragraph 33(2A)(c). Commissioner means the Commissioner of Taxation. Commonwealth agency means any of the following: (a) a non ‑ corporate Commonwealth entity within the meaning of the Public Governance, Performance and Accountability Act 2013 ; (b) any other unincorporated body established for a public purpose by or under a law of the Commonwealth. compliance notice : see subsection 157(3). complying superannuation fund has the same meaning as in the Income Tax Assessment Act 1997 . conditional eligibility determination means a determination of a kind mentioned in paragraph 13(6)(b) or 14(4)(b). constitutionally protected fund has the same meaning as in the Income Tax Assessment Act 1997 . continuous flexible period : see section 71A. controls an entity: see subsection 35(4). correspondence nominee means a person who is appointed as a correspondence nominee under section 281. COVID ‑ 19 affected claimant : a person is a COVID ‑ 19 affected claimant in relation to a claim for parental leave pay for a child if: (a) either: (i) the child is or was born between 22 March 2020 and 31 March 2021; or (ii) if the claim is made before the child’s birth—the child’s expected date of birth is during that period; and (b) the person must satisfy the work test to be eligible for parental leave pay; and (c) the Secretary is satisfied that any of the following circumstances apply in relation to the person: (i) the person became unemployed as a result of the adverse effects of the coronavirus known as COVID ‑ 19; (ii) the person’s working hours were reduced (including to zero) as a result of the adverse effects of the coronavirus known as COVID ‑ 19; (iii) a business that the person, or an entity that is controlled by the person, carries on for profit and for which the person performs work was suspended, or suffered a reduction in turnover, as a result of the adverse effects of the coronavirus known as COVID ‑ 19; and (d) as a result of that circumstance applying in relation to the person, the person would not satisfy the work test if the person’s work test period were the period under section 33. COVID ‑ 19 Australian Government payment : see subsection 34(6). COVID ‑ 19 Australian Government payment period : see subsection 34(5). credit to an RSA that is a policy (within the meaning of the Life Insurance Act 1995 ) means pay as a premium in relation to the policy. daily national minimum wage amount : see subsection 65(2). debt payment arrangement : see section 190. decision has the same meaning as in the ART Act. defence force member means a member of the Australian Defence Force. departure authorisation certificate means a certificate under Subdivision D of Division 7A of Part 4 ‑ 3. departure prohibition order means an order under Subdivision A of Division 7A of Part 4 ‑ 3 (including such an order varied under Subdivision C of that Division). effective claim means a claim that is made in accordance with Part 2 ‑ 4. eligible for parental leave pay: see section 31AA. employee has its ordinary meaning and: (a) includes a reference to a person who is usually such an employee; and (b) does not include a person on a vocational placement. employer has its ordinary meaning and includes a reference to a person who is usually such an employer. employer determination : see section 101. employer determination decision : see section 207. employer funding amount decision : see section 208. employer notice means the later of any one or more of the following notices given to an employer: (a) a notice under section 102; (b) a notice under section 113; (c) a notice under section 114. engage in conduct means: (a) do an act; or (b) omit to perform an act. entity means any of the following: (a) a natural person; (b) a body corporate; (c) a body politic; (d) a partnership; (e) any other unincorporated association or body of persons; (f) a trust. exceptional circumstances : a claim is made in exceptional circumstances if it is made by a person who satisfies: (a) paragraph 54(1)(g) (which deals with PPL claims); or (b) paragraph 54(2)(b) (which deals with special PPL claims). Fair Work Act means the Fair Work Act 2009 . Family Assistance Act means the A New Tax System (Family Assistance) Act 1999 . family assistance law has the same meaning as in the A New Tax System (Family Assistance) (Administration) Act 1999 . family PPL income limit : see subsection 41(2). farm household allowance has the same meaning as in the Farm Household Support Act 2014 . Federal Court means the Federal Court of Australia. financial institution means: (a) an ADI; or (b) the Reserve Bank of Australia; or (c) a person who carries on State banking within the meaning of paragraph 51(xiii) of the Constitution. flexible PPL day : see subsection 11D(1) . Foreign Affairs Minister means the Minister administering the Australian Passports Act 2005 . garnishee , in relation to a garnishee notice: see section 184. garnishee notice : see section 184. general interest charge means the charge worked out under Part IIA of the Taxation Administration Act 1953 . guidance and appeals panel has the same meaning as in the ART Act. guidance and appeals panel application has the same meaning as in the ART Act. guidance and appeals panel proceeding has the same meaning as in the ART Act. has not previously satisfied the work and income tests : a person has not previously satisfied the work and income tests in relation to a child if both of the following apply: (a) no payability determination is in force that parental leave pay is payable to the person in relation to the child; (b) no conditional eligibility determination is in force that relates to the person and child. holder , of a visa, has the same meaning as in the Migration Act 1958 . Human Services Department means Services Australia. Human Services Secretary means the Chief Executive Officer of Services Australia. income support payment has the same meaning as in section 23 of the Social Security Act. income test : see section 37. income year has the same meaning as in the Income Tax Assessment Act 1997 . indexation day : see subsection 42(1). indexation factor : see subsection 43(1). indexed amount : see subsection 42(3). individual PPL income limit : see subsection 41(1). initial eligibility determination : see section 26A. insolvent : a person is insolvent if: (a) for a natural person—the person is an insolvent under administration; and (b) for a person that is or was a body corporate: (i) the person is a Chapter 5 body corporate (within the meaning of the Corporations Act 2001 ) or an entity with a similar status under a law of a foreign country; or (ii) a provisional liquidator has been appointed in relation to the person under section 472 of the Corporations Act 2001 ; or (iii) a person with a similar status to a provisional liquidator has been appointed in relation to the person under a law of a foreign country. instalment means an instalment of parental leave pay. instalment period for a person: see section 64. interest charge rate : see section 177. jobkeeper payment : see subsection 34(4). jobkeeper payment period : see subsection 34(3). law enforcement officer means: (a) a member of a police force or police service of the Commonwealth, a State or a Territory; or (b) a person appointed to a position for the purposes of being trained as a member of a police force or police service of the Commonwealth, a State or a Territory; or (c) a person who has the powers and duties of a member of a police force or police service of the Commonwealth, a State or a Territory; and, without limiting paragraphs (a), (b) and (c), includes a police reservist, a police recruit, a police cadet, a junior constable, a police medical officer, a special constable, an ancillary constable or a protective services officer. legal personal representative of a person who has died means an executor or administrator of the person’s estate. medicare program has the same meaning as in the Human Services (Medicare) Act 1973 . minimum amount for a PPL funding amount: see subsection 76(2). national minimum wage order has the same meaning as in the Fair Work Act. nominal interest rate amount : see subsection 115C(5). nominee means a correspondence nominee or a payment nominee. officer means a person performing duties, or exercising powers or functions, under or in relation to this Act. original debt : see section 184. original debtor : see section 184. paid enough to fund an instalment: see section 73. paid work : see section 35. parent : (a) when used in relation to a child who has been adopted—means an adoptive parent of the child; and (b) when used in relation to a child born because of the carrying out of an artificial conception procedure—means a person who is a parent of the child under section 60H of the Family Law Act 1975 ; and (c) when used in relation to a child born because of a surrogacy arrangement—includes a person who is a parent of the child under section 60HB of the Family Law Act 1975 . parental leave pay means payments of parental leave pay under this Act. partner has the same meaning as in the Social Security Act. payability determination means a determination made under section 13 or 14 that parental leave pay is, or is not, payable to a person for a child. pay cycle information : see subsection 104(3). payday for an instalment: see section 64. payment date means: (a) for a PPL superannuation contribution—the date worked out in accordance with the PPL rules made for the purposes of section 115H; or (b) for an underpaid amount of a PPL superannuation contribution—the date worked out in accordance with the PPL rules made for the purposes of section 115M. payment nominee means a person who is appointed as a payment nominee under section 280. payroll cut ‑ off for an instalment that is payable to a person means the last day on which the person’s employer can reasonably make changes to the instalment to be paid to, or in relation to, the person on the person’s payday for the instalment. permanent visa has the same meaning as in the Migration Act 1958 . permissible break : see subsection 36(1). PPL is short for paid parental leave. PPL agency means: (a) the Department; or (b) the Human Services Department. PPL agency representative means: (a) for the Department—the Secretary; or (b) for the Human Services Department—the Chief Executive Centrelink or the Chief Executive Medicare. PPL claim : see subsection 53(2). PPL claimant means a person who has made an effective PPL claim for parental leave pay for a child. PPL funding amount : see subsection 75(1). PPL requirement : see subsection 287(6). PPL rules (short for Paid Parental Leave Rules) means the rules made by the Minister under section 298. PPL superannuation contribution (short for Paid Parental Leave superannuation contribution) means a PPL superannuation contribution payable under section 115B. principal in relation to a nominee, means the person in relation to whom the nominee was appointed. protected information means: (aa) information about a person that is or was held in the records of the Department; or (ab) information about a person that is or was held in the records of the Human Services Department within the meaning of this Act as in force at any time; or (a) information about a person that was held in the records of the Commonwealth Services Delivery Agency (within the meaning of the Commonwealth Services Delivery Agency Act 1997 as in force before 1 July 2011); or (b) information about a person obtained by an officer under this Act that was held in the records of Medicare Australia (within the meaning of the Medicare Australia Act 1973 as in force before 1 July 2011); or (c) information to the effect that there is no information about a person held in the records of a PPL agency. provider of an RSA has the same meaning as in the Retirement Savings Accounts Act 1997 . provisional indexed amount : see section 42. qualifying period : see section 32. qualifying work : see section 34. reference income year : see section 39. Regulatory Powers Act means the Regulatory Powers (Standard Provisions) Act 2014 . relevant family PPL income limit : see subsection 40(2). relevant individual PPL income limit : see subsection 40(1). resides in Australia has the same meaning as in the Social Security Act. RSA has the same meaning as in the Retirement Savings Accounts Act 1997 . saved amount : see subsection 97(2). Secretary means the Secretary of the Department. senior AFP member has the same meaning as in the Criminal Code . SG charge percentage : see subsection 115C(4). Social Security Act means the Social Security Act 1991 . social security benefit has the same meaning as in the Social Security Act. social security law has the same meaning as in the Social Security Act. social security pension has the same meaning as in the Social Security Act. special category visa has the same meaning as in the Migration Act 1958 . special PPL claim : see subsection 53(3). special PPL claimant means a person who has made an effective special PPL claim for parental leave pay for a child for which another person has made a PPL claim. stillborn , in relation to a child, means a child: (a) who weighs at least 400 grams at delivery or whose period of gestation was at least 20 weeks; and (b) who has not breathed since delivery; and (c) whose heart has not beaten since delivery. subject to review : an employer determination is subject to review until: (a) any applicable time limits for applying for a review (however described) or lodging an appeal (however described) of or in relation to the determination have expired; and (b) if there is such a review or appeal of or in relation to the determination—the review or appeal (and any later reviews or appeals) have been finally disposed of. Superannuation Holding Accounts Special Account means the Superannuation Holding Accounts Special Account continued in existence by section 8 of the Small Superannuation Accounts Act 1995 . superannuation provider means: (a) the trustee of a complying superannuation fund; or (b) the provider of an RSA; or (c) the trustee of a constitutionally protected fund. taxation officer means a person who is a taxation officer within the meaning of subsection 355 ‑ 30(2) in Schedule 1 to the Taxation Administration Act 1953 . tax file number has the same meaning as in section 202A of the Income Tax Assessment Act 1936 . tax file number statement : see subsection 59(1). this Act includes the PPL rules and the regulations. transfer day : see subsections 84(3), (4) and (5). trustee of a superannuation fund, or constitutionally protected fund, means: (a) if there is a trustee (within the ordinary meaning of that expression) of the fund—the trustee; or (b) otherwise—the person who manages the fund. underpaid amount of a PPL superannuation contribution has the meaning given by subsection 115K(2). verifies a child’s birth: see section 18. veteran payment means a veteran payment made under an instrument made under section 45SB of the Veterans’ Entitlements Act 1986 . vocational placement means a placement that is: (a) undertaken with an employer for which a person is not entitled to be paid any remuneration; and (b) undertaken as a requirement of an education or training course; and (c) authorised under a law or an administrative arrangement of the Commonwealth, a State or a Territory. week day means a day that is not a Saturday or a Sunday. working day means a day that is not a Saturday, a Sunday or a public holiday. work test : see Division 3 of Part 2 ‑ 3. work test period : see sections 33 and 33A. 7 Guide to this Part This Part has the key provisions for this Chapter (which deals with when parental leave pay is payable to a person). A person can only be paid parental leave pay if the Secretary makes a determination that parental leave pay is payable to the person. Part 2 ‑ 2 has the rules about when the Secretary can make that determination. The Secretary cannot make that determination if the person has not made a claim for parental leave pay. Part 2 ‑ 4 has the rules about claims. There are 2 types of claims: PPL claims and special PPL claims. These claims relate to each other, although PPL claims are the main type of claim. PPL claims will often be the only claims that are made. If the Secretary makes a determination that parental leave pay is payable to a person for one or more flexible PPL days for a child of the person, parental leave pay is payable for the particular days specified in the determination. The number of flexible PPL days for the child for which parental leave pay can be paid is limited. The Secretary may only make a determination that parental leave pay is payable to certain PPL claimants and special PPL claimants for one or more flexible PPL days if permission has been given to claim those days. The person’s employer or the Secretary will pay instalments of parental leave pay that are payable to a person (see Chapter 3 for the rules about the payment of parental leave pay). 11A A determination must be made for parental leave pay for a flexible PPL day for a child to be payable to a person Parental leave pay is payable to a person for a flexible PPL day for a child if a determination of the Secretary that parental leave pay is payable to the person for that day is in force under section 13 or 14. Note: See Division 2 of Part 2 ‑ 2 for the rules about when the Secretary can make such a determination. 11B For a determination to be made, the person must be eligible The Secretary cannot make a determination under section 13 or 14 that parental leave pay is payable to a person for a flexible PPL day for a child unless the person was or will be eligible for parental leave pay on that day. Note: See Part 2 ‑ 3 for the rules about when a person is eligible for parental leave pay on a flexible PPL day for a child. 11C For a determination to be made, the person must claim The Secretary cannot make a determination under section 13 or 14 that parental leave pay is payable to a person for a flexible PPL day for a child unless the person has made: (a) an effective PPL claim for parental leave pay for that day (in which case the person is a PPL claimant); or (b) an effective special PPL claim for parental leave pay for that day (in which case the person is a special PPL claimant). Note: See Part 2 ‑ 4 for the rules about how to make an effective claim. 11D Flexible PPL day A day is a flexible PPL day for a child if the day occurs in the period that: (a) starts on the day the child is born; and (b) ends on the day before the child’s second birthday. 12 Guide to this Part This Part is about the Secretary making determinations about whether parental leave pay is payable to a person. These determinations are payability determinations. A person cannot be paid parental leave pay unless there is a payability determination that parental leave pay is payable to the person. Division 2 has the rules that apply to the Secretary when making a payability determination in relation to whether parental leave pay is payable to a person for a flexible PPL day for a child. Different rules apply depending on whether the claim is a PPL claim or a special PPL claim. The Secretary may only make a determination that parental leave pay is payable to certain PPL claimants and special PPL claimants for one or more flexible PPL days if permission has been given to claim those days. Division 3 has restrictions that apply in particular circumstances to prevent the Secretary from making a payability determination that parental leave pay is payable to a person (for example, where the child’s birth has not been verified or where the limit on the number of flexible PPL days for which parental leave pay is payable to more than one person has been exceeded). Division 4 has general rules that apply to payability determinations (for example, if the Secretary makes a determination, the Secretary must give a notice of it to the claimant). Division 5 deals with initial eligibility determinations. These determinations can be made by the Secretary before the Secretary makes a payability determination. The Secretary can make an initial eligibility determination if the Secretary is satisfied that the person satisfies, or will satisfy, particular eligibility criteria. If the Secretary makes a determination, the Secretary must give a notice of it to the claimant. 13 Determination on a PPL claim When a claim is to be determined under this section (1) If: (a) a PPL claimant has made an effective PPL claim for parental leave pay for a child; and (b) one or more flexible PPL days for the child (the claimed days ) have been specified in the claim; the Secretary must make a determination on the PPL claim under this section. When parental leave pay is payable to the PPL claimant for one or more claimed days (2) The Secretary must determine that parental leave pay is payable to the PPL claimant for one or more of the claimed days if, when making the determination, the Secretary is satisfied that: (a) the PPL claimant was or will be eligible for parental leave pay on those days; and (b) if: (i) the PPL claimant is a person covered by subsection (3); and (ii) the child’s birth mother has not previously satisfied the work test in relation to the child; the child’s birth mother satisfies the work test on the day the determination is made; and (c) if: (i) the PPL claimant is the partner of an adoptive parent of the child; and (ii) an adoptive parent of the child has not previously satisfied the work test in relation to the child; the person who gave the PPL claimant the permission referred to in subparagraph (e)(i) satisfies the work test on the day the determination is made; and (d) if the PPL claimant is a person covered by subsection (3) and the circumstances prescribed by the rules for the purposes of this paragraph do not apply to the PPL claimant: (i) a permission has been given to the PPL claimant under paragraph 15(1)(a) in relation to the child; and (ii) the permission has not been revoked; and (iii) if the determination were made, the number of flexible PPL days for the child for which parental leave pay would be payable to the person would not exceed the number of flexible PPL days specified in the permission; and (e) if the PPL claimant is a person covered by subsection (4) and the circumstances prescribed by the rules for the purposes of this paragraph do not apply to the PPL claimant: (i) a permission has been given to the PPL claimant under paragraph 15(1)(b) or (c) in relation to the child; and (ii) the permission has not been revoked; and (iii) if the determination were made, the number of flexible PPL days for the child for which parental leave pay would be payable to the person would not exceed the number of flexible PPL days specified in the permission. Note: The Secretary is prevented from making a determination under this subsection in certain circumstances: see Division 3. (3) The following persons are covered by this subsection: (a) a person who: (i) is a parent (other than an adoptive parent) of the child; and (ii) is not the child’s birth mother; (b) the partner of the child’s birth mother; (c) the partner of a person covered by paragraph (a). (4) The following persons are covered by this subsection: (a) an adoptive parent of the child, if a payability determination under this section that parental leave pay for the child is payable is in force in relation to another adoptive parent of the child; (b) the partner of an adoptive parent of the child. (5) The Secretary must specify in a determination made under subsection (2) the claimed days for which parental leave pay is payable to the PPL claimant. When parental leave pay is not payable to the PPL claimant for one or more claimed days (6) If the Secretary is not satisfied of the matters in subsection (2) for one or more of the claimed days, the Secretary must: (a) determine that parental leave pay is not payable to the PPL claimant for those days; and (b) if: (i) the PPL claimant has not previously satisfied the work and income tests in relation to the child; and (ii) the Secretary is satisfied that the PPL claimant satisfies the work test and income test on the day the determination is made; determine that the PPL claimant is conditionally eligible for parental leave pay for other flexible PPL days for the child. (7) The Secretary must specify in the determination made under subsection (6) the claimed days for which parental leave pay is not payable to the PPL claimant. 14 Determination on a special PPL claim When a claim is to be determined under this section (1) If: (a) a special PPL claimant has made an effective special PPL claim for parental leave pay for a child; and (b) one or more flexible PPL days for the child (the claimed days ) have been specified in the claim; the Secretary must make a determination on the special PPL claim under this section. When parental leave pay is payable to special PPL claimant for the claimed days (2) The Secretary must determine that parental leave pay is payable to the special PPL claimant for one or more of the claimed days if, when making the determination, the Secretary is satisfied that: (a) a payability determination under section 13 that parental leave pay for the child is payable to a PPL claimant is in force; and (b) the special PPL claimant was or will be eligible for parental leave pay on those days; and (c) if the special PPL claimant is the partner of a person who satisfies the circumstances prescribed by the PPL rules as being exceptional circumstances in which a PPL claim can be made—a permission has been given to the special PPL claimant under subsection 15(2) in relation to the child; and (d) the permission has not been revoked; and (e) if the determination were made, the number of flexible PPL days for the child for which parental leave pay would be payable to the person would not exceed the number of flexible PPL days specified in the permission. Note: The Secretary is prevented from making a determination under this subsection in certain circumstances: see Division 3. (3) The Secretary must specify in the determination made under subsection (2) the claimed days for which parental leave pay is payable to the special PPL claimant. When parental leave pay is not payable to the special PPL claimant for the claimed days (4) If the Secretary is not satisfied of the matters in subsection (2) for one or more of the claimed days, the Secretary must: (a) determine that parental leave pay is not payable to the special PPL claimant for those days; and (b) if: (i) the special PPL claimant is the partner of a person who satisfies the circumstances prescribed by the PPL rules as being exceptional circumstances in which a PPL claim can be made; and (ii) the special PPL claimant has not previously satisfied the work and income tests in relation to the child; and (iii) the Secretary is satisfied that the special PPL claimant satisfies the work test and income test on the day the determination is made; determine that the special PPL claimant is conditionally eligible for parental leave pay for other flexible PPL days for the child. (5) The Secretary must specify in the determination made under subsection (4) the claimed days for which parental leave pay is not payable to the special PPL claimant. 15 Permission to claim flexible PPL days for a child Certain claimants may give permission (1) Permission for PPL claimants to claim parental leave pay for one or more flexible PPL days for a child may be given by the following persons: (a) the child’s birth mother; (b) a person: (i) who is an adoptive parent of the child; and (ii) in respect of whom a payability determination under section 13 that parental leave pay for the child is payable is in force; and (iii) who is the first adoptive parent of the child in respect of whom a payability determination under section 13 that parental leave pay for the child is payable has been made; (c) an adoptive parent of the child who is nominated by the partner of an adoptive parent of the child to give permission to that partner. (2) Permission for special PPL claimants to claim parental leave pay for flexible PPL days for a child may be given by a person: (a) who satisfies the circumstances prescribed by the PPL rules as being exceptional circumstances in which a PPL claim can be made; and (b) in respect of whom a payability determination under section 13 that parental leave pay for the child is payable is in force. (3) The permission must: (a) be given to the Secretary in the form approved by the Secretary; and (b) specify the number of flexible PPL days for the child to whom the permission relates that may be claimed; and (c) specify the person to whom the permission is given. Note 1: The maximum number of flexible PPL days for a child that is payable is worked out under sections 31AB and 31ABA. Note 2: The permission does not preclude the person giving the permission from claiming parental leave pay for some or all of the specified number of flexible PPL days for the child. Variation and revocation of permission (4) If a person has given a permission under subsection (1) or (2), the person may: (a) vary the number of flexible PPL days for the child specified in the permission; or (b) revoke the permission. (5) The variation or revocation must be given to the Secretary in the form approved by the Secretary. (6) If: (a) a payability determination that parental leave pay is payable to a person for one or more flexible PPL days for a child is in force in relation to a claim; and (b) permission was given in relation to that claim under subsection (1) or (2); and (c) that permission is varied under paragraph (4)(a); then: (d) the variation of the permission does not affect the operation of the payability determination in relation to the days specified in the payability determination that, at the time the permission is varied, have already occurred; and (e) the Secretary must vary the payability determination to remove the days specified in the payability determination that, at the time the permission is varied: (i) have not yet occurred; and (ii) exceed the number of days specified in the permission, as varied; and (f) the Secretary must determine that parental leave pay is not payable to the person for the days referred to in paragraph (e). Note: Subsections 13(5) and (7) (for PPL claims) and 14(3) and (5) (for special PPL claims) provide that determinations must specify the claimed days for which parental leave pay is payable and not payable to a claimant. (7) If: (a) a payability determination is in force in relation to a claim made by a person; and (b) permission was given in relation to that claim under subsection (1) or (2); and (c) that permission is revoked in relation to the person under paragraph (4)(b); then: (d) the revocation of the permission does not affect the operation of the payability determination in relation to the days specified in the payability determination that, at the time the permission is revoked, have already occurred; and (e) the Secretary must vary the payability determination to remove the days specified in the payability determination that, at the time the permission is revoked, have not yet occurred; and (f) the Secretary must determine that parental leave pay is not payable to the person for the days referred to in paragraph (e). Note: Subsections 13(5) and (7) (for PPL claims) and 14(3) and (5) (for special PPL claims) provide that determinations must specify the claimed days for which parental leave pay is payable and not payable to a claimant. 18 The child’s birth has not been verified (1) The Secretary must not make a payability determination that parental leave pay is payable to a person for a child unless a PPL claimant has verified the child’s birth. Verifying a child’s birth (2) A person verifies a child’s birth if: (a) the person gives the Secretary a completed birth verification form for the child; and (b) if subsection (3) applies to the person, the person satisfies the requirement of that subsection. (3) If: (a) the person is the parent (other than an adoptive parent) of the child; and (b) the child is not stillborn; and (c) the person is, under a law of a State or a Territory, responsible (whether alone or jointly) for registering the birth of the child under the law; then the person must give the Secretary information showing that: (d) the child’s birth has been registered under the law; or (e) the person has applied to have the birth of the child registered under the law. (4) The Secretary may approve a form (a birth verification form ) for the purposes of verifying the birth of a child. 19B Parental leave pay not payable to COVID ‑ 19 affected claimant if child born after 31 March 2021 If a person is a COVID ‑ 19 affected claimant in relation to a claim for parental leave pay for a child of the person, the Secretary must not make a payability determination that parental leave pay is payable to the person for the child if the child is born after 31 March 2021. 20 Multiple births The Secretary must not make a payability determination that parental leave pay is payable to a person for a child if: (a) the child and another child are born during the same multiple birth; and (b) parental leave pay is or was payable to the person or another person for the other child. 21 Limit on number of flexible PPL days for which parental leave pay is payable to more than one person (1) The Secretary must not make a payability determination that parental leave pay is payable to a person for a flexible PPL day (the relevant day ) for a child if: (a) the effect of one or more payability determinations made by the Secretary under section 13 or 14 is that parental leave pay is payable to more than one person for the same flexible PPL day for the child on a total of: (i) if the child is born before 1 July 2025—10 flexible PPL days; or (ii) if the child is born on or after 1 July 2025—20 flexible PPL days; and (b) the effect of a payability determination made by the Secretary under section 13 or 14 is that parental leave pay is payable to another person for the relevant day. (2) However, the PPL rules may prescribe circumstances in which a flexible PPL day does not count towards the total number of flexible PPL days referred to in paragraph (1)(a). 22 Assumptions when making the determination In deciding whether to make a payability determination about parental leave pay, the Secretary may act on the assumption that the state of affairs known to the Secretary when making the determination will remain unchanged. 23 When the determination is in force A payability determination about parental leave pay comes into force on the day it is made and continues in force unless it is: (a) revoked under section 25 (which deals with revoking a payability determination on the claimant’s request); or (b) set aside under Chapter 5 (which deals with review of decisions). 24 Notice of the determination If the Secretary makes a payability determination about parental leave pay for a child, the Secretary must give the claimant a notice stating: (a) whether parental leave pay is payable; and (c) if parental leave pay is payable for one or more flexible PPL days for the child—those days; and (d) if parental leave pay is not payable—whether a conditional eligibility determination has been made; and (e) that the claimant may apply for review of the determination in the manner set out in Chapter 5. 25 Revoking the determination on request (1) If: (a) a payability determination is made that parental leave pay is payable to a person for a flexible PPL day for a child; and (b) the person requests the Secretary to revoke the determination; and (c) the request is made before the last day of the instalment period for the instalment that relates to the flexible PPL day for the child; and (d) the request is made in a manner approved by the Secretary; then the Secretary must revoke the determination. (2) The revocation is taken to have come into force on the day the person requested the Secretary to revoke the determination. 26A Initial eligibility determinations relating to flexible PPL days for a child The Secretary may make a determination (the initial eligibility determination ) that a person is initially eligible for parental leave pay for one or more flexible PPL days for a child if: (a) the flexible PPL days for the child are specified in an effective PPL claim or effective special PPL claim made by the person; and (b) if no other initial eligibility determination under this section is in force in relation to the person and child—the Secretary is satisfied that the person satisfies the work test and income test when making the determination; and (c) the Secretary is satisfied that the person satisfies the Australian residency test when making the determination. 27 Assumptions when making the initial eligibility determination In deciding whether to make an initial eligibility determination about parental leave pay, the Secretary may act on the assumption that the state of affairs known to the Secretary when making the determination will remain unchanged. 28 When the initial eligibility determination comes into force An initial eligibility determination about parental leave pay comes into force on the day it is made. 29 Notice of the initial eligibility determination If the Secretary makes an initial eligibility determination about parental leave pay, the Secretary must give a notice of the determination to the claimant. 30 Guide to this Part This Part sets out when a person is eligible for parental leave pay. The Secretary cannot make a payability determination that parental leave pay is payable if the person is not eligible for it. Division 2 sets out when a person is eligible for parental leave pay. Section 31AA sets out when a person is eligible for parental leave pay on a flexible PPL day for a child. Sections 31AB and 31ABA set out the maximum number of flexible PPL days for a child for which parental leave pay can be paid. This includes, subject to certain exceptions, the flexible PPL days that are reserved for other claimants where a claimant has a partner at the time of their first effective claim. Division 3 has the work test. To satisfy the work test, a person must have performed enough paid work or taken enough paid leave in a particular period. A flexible PPL day for a previous child for which parental leave pay was payable to the person may be taken into account in working out whether the person satisfies the work test for a subsequent child. Any jobkeeper payment period or COVID ‑ 19 Australian Government payment period for the person may also be taken into account. Special rules apply in the case of premature birth or complications or illness related to the pregnancy (see section 36A) or in special circumstances (see section 36AA). Division 4 has the income test. To satisfy the income test, the person’s income for a particular income year must not be more than either the individual PPL income limit (which is $150,000 until 30 June 2021 and then indexed) or the family PPL income limit (which is $350,000 until 30 June 2024 and then indexed). If the person has a partner, their partner’s income is also counted towards the family PPL income limit. Division 5 has the Australian residency test. To satisfy this test, the person must be an Australian resident or be in a special class of visa holder. Division 6 sets out when a person is caring for a child. 31AA When a person is eligible for parental leave pay on a flexible PPL day for a child (1) A person is eligible for parental leave pay on a flexible PPL day for a child if: (a) the person is eligible for parental leave pay on the day under subsection (2), (3), (4) or (5); and (b) the person is not ineligible for parental leave pay on the day under section 31AB. Main eligibility rule (2) A person is eligible for parental leave pay on a flexible PPL day for a child if: (a) the person satisfies the Australian residency test on that day; and (b) the person is caring for the child on that day; and (c) on that day the person is performing no more than one hour of paid work; and (d) if the person has not previously satisfied the work and income tests in relation to the child—the person satisfies the work test and the income test on that day; and (e) both of the following apply: (i) the person satisfies the Australian residency test on the day the child was born; (ii) if the day the child was born is in a newly arrived resident’s waiting period that the person is subject to under section 31A—subsection 31A(7) or (7A) applies to the person on the day the child was born. When child is stillborn or has died (3) A person is eligible for parental leave pay on a flexible PPL day for a child if: (a) the child is stillborn or has died before that day; and (b) on that day, the person would be eligible under subsection (2) for parental leave pay on that day, if paragraphs (2)(b) and (c) were disregarded; and (c) the person would have been caring for the child on that day had the child not been stillborn or died. When person meets prescribed conditions—persons other than special PPL claimants in exceptional circumstances (4) A person is eligible for parental leave pay on a flexible PPL day for a child if: (a) the person satisfies the Australian residency test on that day; and (b) if the person has not previously satisfied the work and income tests in relation to the child—the person satisfies the work test and the income test on that day; and (c) both of the following apply: (i) the person satisfies the Australian residency test on the day the child was born; (ii) if the day the child was born is in a newly arrived resident’s waiting period that the person is subject to under section 31A—subsection 31A(7) or (7A) applies to the person on the day the child was born; and (d) the person does not satisfy the circumstances prescribed by the PPL rules as being exceptional circumstances in which a special PPL claim can be made; and (e) on that flexible PPL day, the person satisfies the conditions prescribed by the PPL rules for the purposes of this paragraph. When person meets prescribed conditions—special PPL claimants in exceptional circumstances (5) A person is eligible for parental leave pay on a flexible PPL day for a child if: (a) the person satisfies the Australian residency test on that day; and (b) both of the following apply: (i) the person satisfies the Australian residency test on the day the child was born; (ii) if the day the child was born is in a newly arrived resident’s waiting period that the person is subject to under section 31A—subsection 31A(7) or (7A) applies to the person on the day the child was born; and (c) the person satisfies the circumstances prescribed by the PPL rules as being exceptional circumstances in which a special PPL claim can be made; and (d) on that flexible PPL day, the person satisfies the conditions prescribed by the PPL rules for the purposes of this paragraph. 31AB When a person is not eligible for parental leave pay on a flexible PPL day for a child When a person is not eligible (1) A person (the relevant claimant ) is not eligible for parental leave pay on a day that is a flexible PPL day for a child if subsection (2), (3), (4), (5), (6), (7) or (8) applies to the relevant claimant on that day. Flexible PPL days exceed maximum amounts—total limit in relation to child (2) This subsection applies to the relevant claimant on a flexible PPL day if: (a) one or more determinations under section 13 or 14 that parental leave pay is payable to a person are in force in relation to the number of flexible PPL days for the child specified in subsection 31ABA(1); and (b) neither the relevant claimant nor the relevant claimant’s partner (if any) satisfies the circumstances prescribed by the PPL rules as being exceptional circumstances in which a PPL claim can be made. When flexible PPL days exceed maximum amounts—claimant limit when partnered (reserved period) (3) This subsection applies to the relevant claimant on a flexible PPL day if: (a) the relevant claimant has a partner at the time the relevant claimant makes their first effective claim in relation to the child; and (b) one or more determinations under section 13 that parental leave pay is payable to the relevant claimant are in force in relation to the number of flexible PPL days for the child specified in subsection 31ABA(2); and (c) neither the relevant claimant nor the relevant claimant’s partner (if any) satisfies the circumstances prescribed by the PPL rules as being exceptional circumstances in which a PPL claim can be made; and (d) the relevant claimant does not satisfy the conditions prescribed by the PPL rules for the purposes of this paragraph. When flexible PPL days exceed maximum amounts—exceptional circumstances persons (other than persons that meet prescribed conditions) (4) This subsection applies to the relevant claimant on a flexible PPL day if: (a) one or more determinations under section 13 or 14 that parental leave pay is payable to the relevant claimant or the relevant claimant’s partner (if any) are in force in relation to the number of flexible PPL days for the child specified in subsection 31ABA(1); and (b) the relevant claimant or the relevant claimant’s partner (if any) satisfies the circumstances prescribed by the PPL rules as being exceptional circumstances in which a PPL claim can be made; and (c) the relevant claimant does not satisfy the conditions prescribed by the PPL rules for the purposes of paragraph (5)(c). When flexible PPL days exceed maximum amounts—exceptional circumstances persons that meet prescribed conditions (total limit) (5) This subsection applies to the relevant claimant on a flexible PPL day if: (a) one or more determinations under section 13 or 14 that parental leave pay is payable to the relevant claimant or the relevant claimant’s partner (if any) are in force in relation to the number of flexible PPL days for the child specified in subsection 31ABA(1); and (b) the relevant claimant or the relevant claimant’s partner (if any) satisfies the circumstances prescribed by the PPL rules as being exceptional circumstances in which a PPL claim can be made; and (c) the relevant claimant satisfies the conditions prescribed by the PPL rules for the purposes of this paragraph. When flexible PPL days exceed maximum amounts—exceptional circumstances persons that meet prescribed conditions (reserved period) (6) This subsection applies to the relevant claimant on a flexible PPL day if: (a) the relevant claimant has a partner at the time the relevant claimant makes their first effective claim in relation to the child; and (b) one or more determinations under section 13 or 14 that parental leave pay is payable to the relevant claimant are in force in relation to the number of flexible PPL days for the child specified in subsection 31ABA(2); and (c) the relevant claimant or the relevant claimant’s partner satisfies the circumstances prescribed by the PPL rules as being exceptional circumstances in which a PPL claim can be made; and (d) the relevant claimant satisfies the conditions prescribed by the PPL rules for the purposes of paragraph (5)(c). C