Date amended:

In calculating the offset for veterans in receipt of EDA, the question to pose is - Would the veteran be entitled to EDA if the incapacity from the compensable condition was not included in the assessment.  In answering this question consider the veteran is suffering from the incapacity, but it is a non-accepted condition.

Section 22(4)(a) - If on completing the notional assessment, it is found the veteran/member would not be assessed as having a degree of incapacity to be 100%, the answer to the above question would be NO.  The notional assessment would be the EDA rate less the General Rate Disability Compensation Payment assessed excluding the compensable condition. For example – EDA rate less 90% rate.

Section 22(4) (c) - This test must also be applied if the veteran continues to be entitled to 100% DCP.  That is, excluding the compensable condition, the impairment rating must be at least 70 points and lifestyle rating be at least 6 points, each determined in accordance with GARP.

If it is concluded that the EDA would still be payable on the exclusion of the impairment from the compensable condition from the pension assessment, the notional assessment is NIL.  That is, the Disability Compensation Payment paid in respect of the incapacity for the compensable condition is negligible.

The following steps demonstrate the method of establishing the notional assessment for a case where pension is assessed at the EDA rate.



Step 1 - Calculate the combined medical impairment rating to be awarded excluding the points for the compensable condition under Chapter 18 of GARP.

Step 1 - Impairment points awarded - 44, 27, 15, 10, 5, 5, 2. Exclude the 10, awarded for the compensable condition. Combined impairment =  70.

Step 2 - If degree of incapacity is assessed as at least 70 points, assess lifestyle rating excluding the compensable condition on the evidence before the original Delegate.

Step 2 - Evidence before the original Delegate, excluding the compensable condition, indicates an average lifestyle rating of 5.

Step 3 - Convert the impairment points and the lifestyle rating above to a degree of incapacity according to GARP.

Step 3 - 70 and 5 converts to a degree of incapacity of 100%.

Step 4 - Subtract the pension rate established at step 3 from the EDA dollar amount.  This is maximum amount available for offsetting.

Step 4 – Maximum amount available for offsetting is EDA rate less 100% DCP rate.