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Penalties for Failure to Meet Obligations

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Last Amended: 10 August 2004

Failure to notify within the notification period - service pension and ISS

VEA ?

Section 56A VEA - Automatic termination VEA - recipient not complying with Section 54 notification obligations

Section 56B VEA - Automatic rate reduction VEA - recipient not complying with Section 54 notification obligations

VEA ? (go back)

If a service pensioner or ISS recipient does not meet their obligation to notify of a change in circumstances within 14 days (28 days if living overseas or receiving remote area allowance), a reduction, suspension or cancellation of pension takes effect from the day of the event that led to the reduction, suspension or cancellation. The pensioner will receive an overpayment for excess pension paid from the date of event.    

Refusal or failure to comply – service pension and ISS

In the case of refusal or failure to comply as far as the person is capable, the penalty is $1,000 or imprisonment for 6 months, or both.    VEA?

In the case of a person knowingly giving information that is false or misleading, the penalty is $2,000 or imprisonment for 12 months, or both.    VEA?

Failure to take action to obtain comparable foreign pension

VEA?

If a person fails to meet their obligation to take reasonable action to obtain a foreign pension, their service pension or ISS may be cancelled or suspended.    

More ?

Obligation to obtain a foreign pension

Chapter 3.7/ Section 3

More ? (go back)


A service pension is an income support payment broadly equivalent to the social security age and disability support pensions. It may be paid once a veteran or partner has reached the nominated age or is incapacitated for work.

ISS is an income support payment that may be paid to eligible war widows and widowers under the VEA and persons receiving wholly dependent partners' compensation under the MRCA, and who satisfy the means tests. It is an indexed rate, increased twice-yearly in March and September in line with changes to the cost of living and/or average wages. Income Support Supplement (ISS) legislation commenced on 20 March 1995. It is a payment created to replace the ceiling rate income support age, carer, wife and disability support pensions, paid to war widows/widowers by Centrelink.