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9.2 Effective Dates and Indexation for Offsetting Disability Compensation Payment
Lump sum compensation - Sections 30C(1) and 74(3) - The earlier of the date the lump sum is made or the date the pension becomes payable. This may be from the initial grant of a Disability Compensation Payment or from a pension increase following the acceptance of the compensable condition under the VEA. An offset used at the commencement of the process and based on the fortnightly equivalent is not indexed until the following SI run in March or September. An offset based on the notional assessment is indexed with effect from the date of commencement of Disability Compensation Payment.
Lump sum compensation - Sections [glossary:30C(2), 30C(3) , 74(3A) and 74(3B)- ie Lump sum incapacity payments made under sections 30 and 137 of DRCA. The later of the date the lump sum is made or the date the pension becomes payable. This may be from the initial grant of a Disability Compensation Payment or from a pension increase following the acceptance of the compensable condition under the VEA.
Periodic compensation payments - Sections 30D and 74(2)- The date of the Disability Compensation Payment grant for the compensable incapacity or the date of grant of the periodic payment, whichever is the latter.
Section 25A - The later of the date of effect of the payment of the AGR Disability Compensation Payment or allowance or the date of the payment of the lump sum. There is no provision in the [glossary:DRCA:523] to recover overpaid Disability Compensation Payment resulting from the application of section 25A from compensation payments made under DRCA.
EXCEPTION - Disability Compensation Payments paid for a war-caused incapacity were not subject to compensation offsetting before 21 June 1994. Lump sums received prior to 21 June 1994 are not offset against Disability Compensation Payment paid for war-caused incapacity. For conditions accepted as war-caused prior to 21 June 1994 (under Part II of VEA), the earliest date from when an offset can be applied to Disability Compensation Payment, resulting from a lump sum payment from another source is 21 June 1994.
Veterans' Entitlements Act 1986.
The portion of the Disability Compensation Payment paid in respect of the compensable condition.