6.3 Temporary Incapacity Allowance

"All allowances are constantly under review. The information contained in the Consolidated Library of Information and Knowledge (CLIK) does not replace legislation and any relevant decisions that have been determined by the courts.

No person should rely on the contents of CLIK without first obtaining advice from a qualified professional person."

Cessation of Temporary Incapacity Allowance

Temporary Incapacity Allowance (TIA) was removed from the Veterans' Entitlements Act 1986 from 20 September 2011.  From this date, TIA is only payable for periods of incapacity prior to 20 September 2011.

Eligible veterans, Member of the Forces, or a Member of a Peacekeeping Force may benefit from the Loss of Earnings Allowance if they have suffered an actual loss in earnings.    

Purpose of Temporary Incapacity Allowance

The purpose of TIA is to provide compensation to an employed veteran, Member of the Forces, or Member of a Peacekeeping Force who has undergone hospital or other institutional treatment for a war-caused or defence-caused disability and has as a consequence been temporarily unable to continue working.

Eligibility criteria for Temporary Incapacity Allowance

Eligibility for TIA is dependent on the following:

• admission to hospital or another institution for treatment of a war-caused or defence-caused injury or disease,    
  VEA →

   

  Section 107(2) (a) VEA

   

  VEA → (go back)
• treatment must continue for more than 28 consecutive days, and     
  VEA →

   

  Section 107(2) (b) VEA

   

  VEA → (go back)
• the person is unable to continue remunerative work during the treatment period because of that treatment.     
  VEA →

   

  Section 107(2) (c) VEA

   

  VEA → (go back)

Admission to hospital

Admission to the hospital or other institution must be for a war-caused or defence-caused injury or disease. Hospital or other institution includes a:

• home,
• hostel, and
• rehabilitation or training establishment.

Treatment for more than 28 consecutive days

The treatment must continue for more than 28 consecutive days. The initial treatment must be as an in-patient, but subsequent treatment may be as a combination of in-patient, out-patient, or rest and recuperation. The rest and recuperation must be on the advice of a medical practitioner. The 28 days commences from the date of admission to the hospital or other institution and may include post discharge rest and recuperation that is directed by a medical practitioner.

Person unable to work during treatment period

The treatment, rather than the disabling effect of the injury or disease, must prevent the person from continuing to undertake remunerative work for all or part of the treatment period. A person who is not employed in remunerative work at the time of admission is not eligible. The person does not need to demonstrate loss of income to be eligible for TIA; it is sufficient that he or she is prevented from continuing to work. TIA will be paid for the portion of the treatment period that the person was not able to work more than 8 hours per week in the remunerative work that they would otherwise have continued to undertake. Because of this "8 hours per week" requirement, TIA is paid in minimum "blocks" of one week and can only be paid for the number of whole week that the person was prevented from working (e.g. for 5 weeks, not for 5.5 weeks)

Calculation of Temporary Incapacity Allowance

The rate of TIA payable is calculated as the [glossary:Special Rate:Def Special Rate (T&PI)] minus:

• any disability pension payable to the veterans (or that would be payable, but for offsetting provisions), and/or
• any Loss of Earnings Allowance payable.

Assessment of Temporary Incapacity Allowance payments

Payment of TIA under the VEA is excluded income for income support purposes.

Transitional provisions for Temporary Incapacity Allowance payments

The Veterans' Entitlements Amendment Act 2011 contains transitional provisions for periods of treatment 28 days or greater that cover a period both before and after 20 September 2011.    

The transitional provision enables the payment of TIA for periods of less than 28 days before 20 September 2011 if:

• the period of treatment commenced less than 28 days prior to 20 September 2011;
• treatment continued for more than 28 consecutive days; and
• the person was unable to continue remunerative work during the treatment period because of that treatment.

The period for which TIA is payable is the period starting on the day the person became unable to continue remunerative work because of that treatment and ends on 19 September 2011.

See Also