TN 16 (11-92)

A. POLICY

The reviewing office makes determinations on the applicability of deductions, termination or adjustment of benefit rates and notifies the VA of our determination.

When the VA suspends benefits, benefits are suspended for all beneficiaries on the account. The VA will not resume payments until we send an amended award showing the rates payable to the remaining beneficiaries.

If the VA is notified of death or marriage of a non-insured beneficiary, the VA will forward the information to the PC via VA Form 21-8046, or on a VA computer printout “406 Screen” —Payment Notice (Stop-Suspend-Resume). Any other event will be reported by a letter to the PC. See RS 01702.572C. for an exhibit of the VA Form 21-8046.

B. PROCEDURE

1. FO Actions

Forward a written report of any post-adjudicative action to the PC. Do not key-in any reports because these cases are handled manually and are not stored on the MBR.

Be sure to properly identify the report by claimant name, deceased veteran's name, VA claim number (if known), the SSA claim number and BIC. Identify the report as a non-insured VA payment case.

Do not discuss overpayments or overpayment procedures with the claimant because the VA will make any necessary adjustment or pursue recovery under its own procedures.

2. PC Action

1. Based on information received from the beneficiary, the PC will:

   • determine if a suspension, termination, deduction and/or benefit rate adjustment applies; and

   • notify the VA of the determination.

2. Include in the notice to the VA:

   • An amended award;

   • Form SSA-656 (Information as to Continuing Eligibility under Title 38 U.S.C. Section 412, Veterans' Benefits); prepare in duplicate and keep the copy. (See RS 01702.576 for an exhibit).

Place a copy of the notice, the amended award, and the SSA-656 actions in the folder. Do not apply our overpayment or offset procedures. The VA will apply its own overpayment procedures. Do not notify the beneficiary. The VA will send the notice.

C. EXHIBIT

VA Form 21-8046, Payment Notice (Stop-Suspend-Resume)

This form is used by the VA to advise the PC of a termination of 38 U.S.C. 412 benefits due to a death or marriage. Other suspension or termination events will be reported to SSA by a letter from VA.

NOTE: This form will be replaced eventually by the computer printed form “Stop or Suspend Screen 406” which is similar to the VA 21-8046.

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