Contents
Income Related Rent Subsidy : Contents

Subsidy claims

Housing providers must submit claims fortnightly.

GST cannot be claimed, as GST does not apply to residential tenancies.

The claim period is a fixed 2 week period with the first 2 week period commencing on the first rent charge date.

Initial claim period

On receipt of a completed claim from the housing provider, the Ministry of Social Development will pay the Income Related Rent Subsidy for the period between:

If the initial claim period is for a part week then the claim must be adjusted accordingly. To work out the part-claim period, the housing provider will divide the first weeks claim period by 7 days, and adjust the claim for the appropriate number of days.

For example the first rent charge date is a Thursday, but the start date of the tenancy is a Monday. The client pays 3 days rent as part of their rent in advance payment. The housing provider can claim for Income Related Rent Subsidy for the 3 days of broken rent.

Change to the subsidy due to changes in the rate of Income Related Rent rate

For community housing providers the earliest possible rent effective date of the new rate of Income Related Rent that falls within the claim period will be the date from which the subsidy changes.

For Kāinga Ora the date that the new rate of Income Related Rent was first charged within the claim period will be the date from which the subsidy changes.

The Income Related Rent Subsidy can be paid for the period between this date and the next rent charge date.

Ending the claim

When a client is no longer eligible to have a rate of Income Related Rent calculated, the housing provider is not eligible to be paid the Income Related Rent Subsidy.

The Income Related Rent Subsidy must end on the day after the last rent charge date or the tenancy end date whichever is appropriate.

For more information see:

Legislation

  • Reimbursement of Kāinga Ora section 85 Public and Community Housing Management Act 1992 (PCHMA)
  • Reimbursement of registered community housing providers section 98 Public and Community Housing Management Act 1992 (PCHMA)
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The tenancy end date is the date:

Generally, the tenancy end date should align with the last rent charge date, however in some cases the last rent payment may be for a partial period.

We must have confirmation from the housing provider that a tenancy has ended before the Ministry of ...

The rent paid between the start date of the tenancy and the first rent charge date (where the start date and the rent charge date are not aligned), worked out as a daily portion of the weekly rent. For example if a client moves in on a Monday, but their rent charge date is not until Friday. They would have to pay four days rent.

Normally the broken rent is paid ...

The rent effective date is the one-off date on which an increased rate of Income Related Rent is charged.

The rent effective date is aligned with the next charge date.

This is the date the housing provider charges the rent. It does not change; it is a regular day of every week or fortnight.

Note that the rent effective date of an increase in rent is aligned with the charge date.

The start date is the date of commencement of the tenancy as stated in the tenancy agreement. This is usually the same date the client moves in or takes possession of the property.

There may be situations where the client is unable to take possession of the property straight away. In this situation the housing provider is responsible for providing alternative accommodation for the client.

The rate of the Income Related Rent ...