Compulsory Rent Deduction Scheme – establishment

The Compulsory Rent Deduction Scheme (CRDS) allows state, territory and community housing providers to automatically deduct housing costs from income support payments and Family Tax Benefit payments.

Information update: this Budget measure is subject to the passage of legislation.

Description of the measure

The Compulsory Rent Deduction Scheme (CRDS) allows state, territory and community housing providers to automatically deduct housing costs from income support payments and Family Tax Benefit payments.

Customers will not be able to cancel the deductions without the agreement of their housing provider.

Housing costs will include:

  • tenancy charges such as rent, water and bond as authorised by the customer
  • costs ordered by a tenancy tribunal, and
  • other housing costs if separately authorised by the customer, such as arrears, occupant damage and debt from a former tenancy

Questions and answers

Who is eligible for this measure

Income support and Family Tax Benefit customers living in public and community housing covered by a current lease.

The date this measure will start and finish

The measure will start on 1 July 2017 and is ongoing.

Page last updated: 12 September 2016

This information was printed Thursday 29 September 2016 from humanservices.gov.au/corporate/budget/budget-2016-17/other-payments-and-services/compulsory-rent-deduction-scheme-establishment It may not include all of the relevant information on this topic. Please consider any relevant site notices at humanservices.gov.au/siteinformation when using this material.