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10.6 Interaction Between Income Support and Compensation

Compensation Delegates must refer certain cases to Income Support, as the compensation recovery provisions under Part IIIC of the VEA may effect the following DVA income support payments, known as Compensation Affected Pensions (CAP's);

  • Invalidity service pension
  • Partner service pension
  • Income support supplement
  • Age pension paid under social security law


Commencing from 1 January 1995 compensation paid wholly or partly in respect of loss of earnings or lost capacity to earn can either reduce the above compensation affected pensions dollar for dollar or the above payments are not payable during a preclusion period.



The Department of Veterans' Affairs.