Social Security Regulations 2018

Subpart 8—Debts

206 Debts due to the Crown

The following sums are debts due to the Crown:

(a)

a penalty payable under the Act:

Examples

A penalty payable under section 354 of the Act (recovery of penalty from beneficiary who obtains by fraud amount in excess of entitlement).

A penalty payable under regulation 226 (payer penalty for late deductions).

(b)

a benefit paid conditionally or provisionally under the Act that a person has (by direction of MSD or otherwise) become liable to repay:

Examples

An amount directed to be repayable under section 228(2) of the Act (MSD’s options in case of misconduct).

An amount the person granted a benefit is liable to repay under section 64 of the Act (emergency benefit: grant during epidemic in New Zealand) and to which this paragraph applies in accordance with section 64(3) of the Act.

An amount recoverable under section 186 of the Act (benefit may be subject to repayment of insurance payment).

An amount recoverable under regulation 184 (delayed redundancy and retirement payments).

An amount recoverable under regulation 185 (seasonal workers made redundant after benefit commences).

An amount the person participating in approved activities is liable to repay under section 324 of the Act (effect of participation in certain activities on non-entitlement period).

An amount repayable under clause 8 of Part 4 or 5 of Schedule 4 of the Act (holiday allowance paid before 25 December to a person not entitled to it on 25 December).

An amount repayable under clause 13 of Part 4 or 5 of Schedule 4 of the Act (birthday allowance paid before the entitlement date to a person not entitled to it on that date).

(c)

an advance payment of all or part of 1 or more instalments of a benefit made to a person under section 347 of the Act:

(d)

any money paid to or for the credit of a person as a grant of special assistance under a programme approved under section 101 of the Act that is—

(i)

paid as a recoverable grant of assistance; or

(ii)

otherwise recoverable from that person under the terms and conditions of the programme:

(e)

any amount described by the Act or these regulations as a debt due to the Crown from the person:

Examples

An amount recoverable under section 186 of the Act (benefit may be subject to repayment of insurance payment).

An amount recoverable under section 197(4)(b) and (c) of the Act (effect of compensation or damages on application for benefit).

An amount recoverable under section 358 of the Act (recovery from spouse or partner who misleads MSD of excess amount beneficiary obtained).

(f)

a sum that is an overpayment, because the sum is paid or advanced under the Act, Part 6 of the Veterans’ Support Act 2014, Part 1 of the New Zealand Superannuation and Retirement Income Act 2001, or the Residential Care and Disability Support Services Act 2018, to or for the credit of a person, and the sum is one—

(i)

that is in excess of the amount to which the person is entitled; or

(ii)

to which the person has no entitlement:

Examples

An amount recoverable under regulation 222 (deductions are held in trust).

An amount recoverable under regulation 226 (payer penalty for late deductions).

(g)

a debt that, under section 260(2), 266(2), or 384(2) of the Act, section 128(a) of the Public and Community Housing Management Act 1992, or any other enactment,—

(i)

may be recovered by MSD under regulations made under section 444 of the Act as if it were a debt due to the Crown; or

(ii)

is a debt due to the Crown for the purposes of, or must be treated as if it were a debt due to the Crown under, such regulations.

Compare: 1964 No 136 ss 85A, 85B

Regulation 206(b) example: amended, on 1 July 2021, by section 11 of the Social Security (Financial Assistance for Caregivers) Amendment Act 2021 (2021 No 25).

Regulation 206(g): amended, on 1 October 2019, by section 33 of the Kāinga Ora–Homes and Communities Act 2019 (2019 No 50).