2.1.2.1 — In effect, an overpayment is a retrospective reassessment (reduction) of pension. The overpayment is the difference between the amount of pension, benefit or allowance actually received by the person, and the amount that the person would have received, had the pension been correctly assessed throughout the period in question. The retrospective reassessment may also include periods of an increased rate, if warranted. Any resultant arrears may directly reduce the overall debt. For example, a veteran receiving age pension from Centrelink is retrospectively granted disability pension. Age pension is retrospectively overpaid, and the arrears of DP is used to offset the overpayment.

2.1.2.1 — An overpayment occurs when an amount of pension, benefit or allowance is paid that is greater than the person's legal entitlement. This can be the result of:

• a pension payment being precluded by legislation, e.g. dual payment of disability pension and 3rd party compensation for the same condition, Part IIIC compensation recovery, dual payment of war widow's/widower's pension and partner service pension; or
• a breach of obligations to notify. For example, a change in circumstances for an income support payment has not been advised within the notification period. This may include a commencement of earnings or the pensioner ceases to pay rent for accommodation; or
• application of the Payment Processing Legislation Amendment (Social Security and Veterans' Entitlements) Act 1998 (date of effect rules) and enhanced debt recovery for income support payments: this results in CRASS or system generated debts, which for lower amounts are recovered by direct limitation to ongoing DVA payments; or
• a retrospective assessment of disability pension entitlement. This may occur at a primary level, as a result of a section 31 [5] VEA review, a decision of the VRB or AAT or by a decision of a body with higher jurisdiction.
• a person does not meet, or has ceased to meet, the specific eligibility requirements for a certain allowance or benefit which has been paid, e.g. attendant allowance, VCES payment.
• overpayments identified as part of DVA/Centrelink clearance procedures i.e. the agency with the ongoing payment recovers the debt by limitation to the pension or benefit.

Note:That where an overpayment is compounded by the effect of administrative delay, the component of the overpayment caused by the delay may be waived. However, the original debt should be recovered. Refer to this manual's Section 7.18 Waiver.

2.1.2.2 — All overpayments arise as a result of retrospective reassessments authorised by Delegates of the Repatriation Commission, or a higher legal authority, e.g. the Administrative Appeals Tribunal, or court ruling.

2.1.2.3 — Overpayments occur as a result of:

• loss of basic eligibility; or
• change in payability (ie the rate payable).

Note:It should be noted that both occurrences of overpayment may include deceit or fraud, and this therefore not considered a separate category of overpayment.

2.2.1.1 — A loss of eligibility is defined as “a person's failure to satisfy, or continue to satisfy, the basic criteria on which the eligibility for pension is based”. Such overpayments occur when eligibility for pension under the provisions of the legislation ceases upon the occurrence of a particular event or change in circumstances.

2.2.1.2 — For example, a partner of a veteran service pensioner would lose basic eligibility for the partner service pension following divorce from the veteran. If they failed to notify the Department of the divorce within the prescribed period, a delegate of the Repatriation Commission would determine a retrospective cancellation of the pension from the appropriate date (i.e. date of event). The resulting overpayment would be the difference between the amount the person actually received and the amount to which they were entitled.

2.2.2.1 — Other examples of situations where there is a loss of basic eligibility for pension include:

• a veteran paid SP on the grounds of permanent incapacity for work ceases to be permanently incapacitated for work
• a widow/widower receiving PSP remarries a non-veteran
• a person who is a de facto of a veteran, ceases to be a member of a couple with that veteran
• a partner service pensioner is granted war widow's/widower's pension
• the pensioner dies.

2.2.2.2 — Note that only a failure to meet the eligibility criteria contained in section 36 [5] VEA, section 37 [5] VEA, section 38 [5] VEA and section 45A [5] VEA and section 45TC [5] VEA (pension bonus) would constitute a loss of basic eligibility for VEA income support payments. Loss of eligibility may also occur for a person receiving a disability pension or allowance such as section 24 [5] VEA (Special Rate pensioner working more than 8 hours per week), or section 98 [5] VEA (where a veteran in receipt of attendant allowance is cared for in a hospital at public expense).

2.2.2.3 — Other situations where loss of entitlement has occurred, (e.g. loss of entitlement to rent assistance) constitute a change in payability.

2.3.1.1 — Overpayments may also occur as a result of changes in payability – i.e. the rate of pension to which the person is entitled varies.

2.3.2.1Schedule 6 [5] VEA lists the steps involved in calculating the amount of income support payment to which a person is entitled. The pension rate may be increased by rent assistance, pharmaceutical allowance or remote area allowance.

2.3.2.2 — Other provisions which may affect a client's rate of payment include the operation of:

• Part IIIC [5] VEA – Compensation Recovery rules
• Part IIIB, Subdivision D VEA – Financial Hardship rules
• Part IIIB, Subdivision E VEA – Pension Loans Scheme
• Part IVA [5] VEA – Advance payments of pension and ISS

or the participation in:

• The New Enterprise Incentive Scheme (NEIS)
• Veterans' Vocational Rehabilitation Scheme (VVRS).

2.3.2.3 — Because allowances constitute a component of the income support payment, loss or change of entitlement to these payments does not constitute loss of basic eligibility, but rather a change to payability.

2.3.2.4 — For example, if a veteran in receipt of service pension with rent assistance ceased to pay rent, or paid rent at a lower rate than previously advised, a change to the rate of pension payable could occur and an overpayment would exist if a retrospective reduction is required.

2.3.3.1 — Other examples where changes to payability may occur are:

• change to income such as an increase in earnings
• acquisition of new assets
• child ceases to be a dependent child; or
• person ceases to reside in a remote area.

Note:This list is not exhaustive.

2.3.3.2 — In all of the examples above, an overpayment occurs as a result of a retrospective reduction in pension, and not due to a loss of basic eligibility.

2.3.3.3 — Most overpayments constitute a loss of payability.

2.3.3.4 — It is important to realise that basic eligibility may be retained while the rate at which pension is payable may be reduced to NIL (e.g. where income or assets are in excess of the allowable limits). For service pension or income support supplement to be cancelled in these circumstances, a determination must be made by the Commission under section 56EC [5] VEA.

2.4.1.1 — Fraud is defined in the Commonwealth Fraud Control Guidelines as: “dishonestly obtaining a benefit by deception or other means”. The outcome is that the person knowingly receives monies to which he/she has no legal entitlement. The Commonwealth Fraud Control Guidelines can be obtained from the Australian Government Attorney-General's Department website.    

2.4.2.1 — Where a person has been overpaid a pension or benefit, and there is evidence (or some likelihood) that the overpayment arose through fraud, the examiner should continue to process the case as a standard overpayment recovery. An overpayment advice letter is sent to the client and the case is immediately referred to the prosecutions officer for further action. At no stage should the examiner inform the client that they are being examined for fraudulent activity.

2.4.2.2 — Where fraud is suspected the key questions outlined in this manual's Section 11.1.2.2 and the Commission approved Selection Criteria for Referral of Overpayment Cases for Investigation Leading to Possible Prosecution Action should be considered.  A summary of the selection criteria titled Summary of reasons to consider when submitting a case for possible prosecution can be found at:

http://sharepoint/servingourcustomers/incomesupport/Pages/DebtManagement.aspx#prosecution [19]

The Business Compliance Section in Corporate Division can be contacted for advice. Diane Di Lallo is a key contact and can be reached on extension 36443.

Section 56 [5] VEA and section 56B [5] VEA provide for the automatic rate reduction of income support payment where a loss of payability has occurred.

2.5.1.1 — Where a person has been served with a notice under section 54 [5] VEA and a notifiable event has occurred which renders amounts of pension or allowance not payable, and the person complies with their section 54 [5] VEA notification obligations, section 56 [5] VEA provides that the pension to be reduced from the day after the end of the notification period.

Where a person has not complied with their section 54 [5] VEA notification obligations, section 56B [5] VEA provides that the pension be reduced from the day of the event.

2.5.1.2 — The 'date of event' for all events occurring within the bereavement period is taken to be the day after the bereavement period ends (day 99).

For events occurring in the bereavement period, the effective date for negative PIRs notified within the notification period or during the bereavement period is the day after the end of the notification period – i.e. day 114 (day 128 if the pensioner lives overseas or receives remote area allowance).

2.5.1.3 — For events occurring in the bereavement period, the effective date for negative PIRs notified outside the notification period is the date of event (day 99).

2.5.2.1Section 56 [5] VEA and section 56A [5] VEA provide for the automatic termination of income support payment where a loss of basic eligibility or a loss of payability to nil has occurred.

2.5.2.2 — Where a person has been served with a notice under section 54 [5] VEA, and a notifiable event has occurred which renders them not eligible or not payable, and the person complies with their section 54 [5] VEA notification obligations, section 56 [5] VEA provides that the pension be cancelled or ceases to be payable from the day after the end of the notification period.

If the person has not complied with their section 54 [5] VEA notification obligations, section 56A [5] VEA provides that the pension be cancelled or ceases to be payable from the day of the event.

2.6.1.1 — An omission occurs when a pensioner who is bound by the notification provisions of section 54 [5] VEA and section 54A [5] VEA does not notify the Department of a notifiable event or change of circumstances. Failure to notify is similar to omission but implies a degree of intent (i.e. a deliberate failure to fulfil the obligation to notify). Omission is a failure to notify for reasons that are not deliberate (i.e. the obligation to notify may not have been properly understood, it may have been an oversight etc). For full details on section 54 [5] VEA and section 54A [5] VEA, please refer to this manual's Chapter 4 Obligations.

2.6.1.2 — Where, due to an omission or failure to notify, a higher amount of pension has been paid than would otherwise have been payable, a recoverable overpayment (section 205 [5] VEA refers) has occurred– (i.e. a retrospective reduction in pension will be effected) (sections 56, 56A, 56B VEA refer).

2.6.2.1 — Misrepresentation occurs when a client makes a false or misleading statement, either orally or in writing, regarding a circumstance that affects the amount of pension payable. The Prosecution Guidelines make reference to the distinction between knowing and unknowing false/misleading statements, and how these relate to fraud. See Prosecution Guidelines - Offences - Veterans' Entitlements Act Offences - False or Misleading Statements - Misrepresentations. This reference can be found on page 114 of the Department of Veterans' Affairs – Investigation Guidelines. The investigation guidelines are located in TRIM, record number 0161127E.

2.6.2.2 — In either case, where a misrepresentation has led to a higher amount of pension having been paid than would otherwise have been the case, the difference between the amount actually paid and the amount that should have been paid constitutes a recoverable overpayment (section 205 [5] VEA refers). Section 56H [5] VEA refers to the date of effect of the adverse determination in this circumstance.

2.6.3.1 — Fraud occurs where there is a deliberate act of deceit on the part of a pensioner or a third party, in order to obtain a higher rate of pension, benefit or allowance than would otherwise be payable.

2.6.3.2 — For example, a person may knowingly make a false statement, or deliberately withhold information about their income and receive payment that is more than their legal entitlement.

2.6.3.3 — Where a payment has been obtained by fraud (impersonation and/or deception), a recoverable overpayment has occurred (section 205 [5] VEA refers). Section 56H [5] VEA refers to the date of effect of the adverse determination in this circumstance.

2.6.4.1 — Overpayments may also be caused or compounded by administrative process - administrative error or delay.

2.6.4.2 — A debt is considered to be attributable to administrative error where the Australian Government is wholly responsible for causing the debt. This does not include situations where the person contributed to the cause to any extent, whether knowingly or unknowingly.

2.6.4.3 — A debt is considered to be attributable to administrative delay where an overpayment is compounded because the Department failed to action advice from a pensioner in a timely manner.

2.6.4.4 — For example:

• error in the coding of a computer-entry (administrative error – coded in DMRS, waiver may be considered at the delegate's discretion under the administrative error provisions)
• failure to follow intra-departmental liaison procedures (administrative error – coded in DMRS, waiver may be considered at delegate's discretion under the administrative error provisions); or
• failure to implement a determination to reduce or cancel a pension from the date specified in the determination (administrative delay – the excess overpayment caused by the administrative delay may be waived at the delegate's discretion. However, the amount of the original overpayment should be recovered).

2.6.4.5 — If a person complied with their obligations prior to the introduction of the date of effect rules (13 July 1999), and the advice which would have resulted in an overpayment is not actioned, then the overpayment arising due to processing delays is to be waived.

2.6.5.1 — Overpayments arising from a loss of basic eligibility are fully recoverable, even if the overpayment was caused by or compounded by departmental error or failure to action. However, the overpayment may be waived in accordance with the waiver provisions contained at this manual's Section 7.18 Waiver.

2.6.5.2 — For example, a partner service pensioner advises that they are no longer married to a veteran. No action to cancel partner service pension is taken. The resulting overpayment is fully recoverable. However, as the delegate failed to action the pensioner initiated review (PIR) within 6 weeks of the end of the relevant notification period, the component of the overpayment caused by the administrative delay could be waived.

2.6.6.1 — If there is no loss of basic eligibility, but an incorrect rate of payment occurs as a result of the Department's failure to take action to vary the rate of payment when the pensioner has fulfilled their obligations, an overpayment exists.

2.6.6.2 — The rate of pension is reduced or terminated from the day after the end of the notification period. However, the portion of the overpayment caused by the delay may be waived at the delegate's discretion under this manual's Section 7.18 Waiver. This may apply if the Department failed to action the pensioner's PIR within 6 weeks from the first payment which caused the debt or within 6 weeks from the end of the relevant notification period. Prior to 13 July 1999, an overpayment did not exist and pension was adjusted from the next convenient payday.

2.6.6.3 — For example, a service pensioner notifies the Department of increased earnings, within 14 days of the event. However, action to reduce pension is delayed, and does not occur until 42 days after the end of the pensioner's 14-day notification period. Service pension is retrospectively reduced from the day after the end of the notification period. However, the delegate may apply discretion to waive the portion of the overpayment that occurred due to a delay in processing outside the 6-week period.

2.6.6.4 — It should be noted that as with other types of manual overpayments, manual overpayments caused by administrative error are usually not calculated unless it appears that the overpaid amount will be $200 or more. The cost-effectiveness of time spent in calculating the debt and effecting recovery should be considered. Amounts estimated to be less than $200 may be waived under subparagraph 206(1) (b) (ii) VEA. Where full and immediate recovery of an overpayment over $200 is not possible or appropriate, the delegate may make a decision to waive, write-off or defer the debt. Generally the first decision that should be made is whether the debt can be recovered by withholdings or instalments, or whether the overpayment should be deferred. If it is not possible to recover or defer the debt, the delegate must consider whether the debt should be written-off or waived.

Note:Debts calculated through PIPS are automatically recovered via DMRS regardless of how small the debt is because it is cost effective to do so. Only debts <$50 where the debtor is no longer in payment may be considered for waiver under s ubp aragraph 206(1)(b)(ii) VEA.

2.6.6.5 — Where a pensioner advises of a change in circumstances outside their prescribed notification period, the reduction takes effect from the date of event.

For example, a pensioner's income increases but they fail to advise the Department of the increase within the 14 day notification period. The pension rate is reduced from the date of event – that is, the date that the pensioner's income increased.

The DFISA rate is the difference between a notional assessment and an actual assessment. The notional assessment is a calculation based on the actual social security income support primary payment assessment, with adjusted disability pension excluded from the income test, but included in the rent test.

A DFISA overpayment can arise through an error of calculation, reassessment of the primary payment or a change in the adjusted disability pension rate.

When an overpayment occurs due to an error within the calculation of DFISA, this constitutes an administrative error. This type of overpayment may be due to incorrect data relating to the primary payment or the rate of disability pension being used in the calculation. This data may originate from either Centrelink or the Department of Veterans' Affairs. An overpayment may also occur due to a fundamental error in calculation.

Reassessment of the primary payment or adjusted disability pension may have a flow on effect to the rate of DFISA. This may result in either arrears or an overpayment of DFISA.

A person may also elect not to receive DFISA. If a person elects not to receive DFISA, this will take effect on the day after election. Depending on when this is actioned within the instalment period, this may result in an overpayment.

2.7.1.1 — Loss of basic eligibility for disability pension (DP) can occur where it becomes apparent that a veteran granted DP in respect of a war-caused, or defence-caused injury or disease does not actually suffer from the particular disability.

2.7.1.2 — For example, where DP is granted at the intermediate rate (section 23 [5] VEA) or at the special rate (T&PI) (section 24 [5] VEA) on the basis of a false statement or misrepresentation made by the person. This may include where it is established that a special rate pensioner has been working for periods aggregating more than 8 hours per week.

2.7.1.3 — An overpayment of DP may also arise where a temporary payment continues to be paid beyond the appointed period - e.g. failure to reduce temporary payment at special rate to a lower percentage rate. This would normally be caused by administrative error and waiver of the overpaid amount would be considered (refer to this manual's Section 2.6.4 Administrative Overpayments).

Note:Waiver of DP overpayments should be considered under the same conditions as those for income support overpayments. Please refer to this manual's Section 7.18 Waiver for guidelines.

2.7.2.1 — An overpayment of DP can also occur due to a retrospective reduction in the rate of payment.

2.7.2.2 — A reduction in the DP rate can occur where the veteran is or becomes:

• also entitled to receive a payment from a foreign country or State; or
• in receipt of, or entitled to, payment of compensation from another source;

for the same condition.

2.7.2.3 — The Commission can also make a determination to cancel, suspend or decrease the rate payable, due to a refusal or failure of a person to comply with the Act, or failure to comply with a notice or request served on the person under the Act.

2.7.3.1 — An overpayment of DP may occur if a pensioner receives DP and compensation from another source (or is awarded damages at law) for the same disability. This is the major cause of DP overpayments. Disabilities accepted under section 70 [5] VEA as defence-related disabilities, and those accepted under section 9 VEA as being service-related, are affected.

2.7.3.2 — The legislative bar to receiving DP and compensation (often from the Department of Defence or as third party damages) for the same disability is contained in section 74 [5] VEA through to section 78 [5] VEA (Part IV [5] VEA) and Division 5A VEA (Part II [5] VEA). If waiver or write-off is to be considered, the delegate should adhere strictly to the guidelines in this manual's Sections 7.16 to 7.18.

2.7.3.3 — Compensation offsetting also applies to DVA war widows/widowers who have dual eligibility for an overseas war widow's/widower's pension in respect of their veteran partner's death. In this circumstance, the war widow's/widower's pension paid by DVA is reduced dollar for dollar by the overseas pension. Examples include composite limitation and EATS war widows.

2.7.4.1 — Disability pension may be overpaid due to fraud on the part of the pensioner – i.e. by falsely obtaining pension on the grounds of a disability that is invented or exaggerated.

2.7.4.2 — For example, a person working full-time may be granted DP at the special rate by falsely claiming that he/she is unable to undertake remunerative work for periods aggregating more than 8 hours per week.

2.7.4.3 — A person could fraudulently obtain payment where they are the unintended recipient of that payment e.g. the partner of the intended recipient or a trustee/agent. For example, a pensioner dies but the Department is not informed, and another person continues to knowingly access the pension payments which should have been cancelled following the death of the pensioner.

2.7.4.4 — Decisions regarding recoveries of fraudulently obtained monies should be made only after consulting the Commission approved Selection Criteria for Referral of Overpayment Cases for Investigation Leading to Possible Prosecution Action.

A summary of the selection criteria titled Summary of reasons to consider when submitting a case for possible prosecution can be found at:

[19] [19]http://sharepoint/servingourcustomers/incomesuppor... [19]

Advice can be sought from the Business Compliance Section. Diane Di Lallo is a key contact and can be reached on extension 36443.

2.7.5.1 — Incorrect action or lack of action may constitute administrative error. As with service pension, an overpayment of DP may be caused or compounded by departmental error - e.g. if a pension is to be reduced from temporary payment at special rate to a lower percentage rate from a certain date, but for some reason the reduction is not actioned from the specified date.

2.7.5.2 — Overpayments caused by administrative error which require manual processing may be waived - recovery from the pensioner is not always sought. For more information on waiver, refer to this manual's Section 7.18 Waiver.

2.7.5.3 — CRASS automatically calculates overpayments and invokes DMRS which allows for the automatic generation of advice letters and recovery action, all overpayments raised on the system are recovered except where the pensioner is no longer in payment. Where the pensioner is no longer in payment a $50 threshold has been set.

2.7.5.4 — Overpayments that are not subject to automatic recovery may be subject to the same rules that applied before the introduction of automated debt recovery systems. Therefore, ministerial waiver provisions still apply where debts require manual calculation, data entry and advice letters. An overpayment caused by administrative error, which requires manual processing, is usually not calculated unless it appears that the overpaid amount will be $200 or more. These overpayments are waived without calculation as per subparagraph 206(1) (b)(ii) [5] VEA.

2.7.6.1 — As with income support payments, if pensioners have been notified of their obligations to advise the Department of changes in circumstances and do not fulfil that obligation, an overpayment may arise. In the context of the disability pension, this usually occurs when a dependent spouse or child(ren) cease to be dependent.

2.7.6.2 — The other common situation that falls into this category is where allowances such as Attendant's Allowance (AA) and/or Recreation Transport Allowance (RTA) are in payment.

2.7.6.3 — For example, a pensioner in receipt of AA fails to advise that he/she has been admitted to hospital. A recoverable overpayment exists for the period that the pensioner was an in-patient, unless he/she is paying a partial contribution towards the care.

Note:Where a veteran who is being cared for in a hospital or other institution contributes towards that care, entitlement to AA and RTA continues - refer Departmental Instructions B10/94 and B11/94.

2.8.1.1 — An overpayment of Education Allowance (EA) from the VCES may occur when a student:

• ceases attending full time education and does not advise VCES (a student loses eligibility when not in full time education)
• incorrectly receives a dual payment from Centrelink for Youth Allowance (a student is not eligible to receive financial assistance from both the VCES and Centrelink); or
• ceases to live away from home and does not advise VCES, (the living away from home rate of allowance is higher than for living with parents, and the student may be receiving rent assistance for which they are no longer entitled to receive).

2.8.1.2 — An overpayment may result from a loss of eligibility or a change in payability.

2.8.2.1 — VCES has been excluded from the usual date of effect provisions. It is a fortnightly payment that is not calculated on daily rates. Payments are payable fortnightly in advance. When a student ceases full time education, payments are cancelled with effect from the next payday after the date the student ceased full time education.

2.8.2.2 — Overpayments are fully recoverable. If a student does not advise of any changes and an overpayment is created, this should be recovered from the next payday after cessation of study.

2.8.2.3 — If a student does advise of changes within the notification period (14 days or 28 days for remote/overseas students) and due to administration error or delay the cancellation is not processed, the overpayment is still recoverable. However, there is capacity for a waiver to be applied to the whole of the debt or the component of the debt arising from administrative delay subject to the normal waiver provisions.

2.8.3.1 — The processing of overpayments and recovery in relation to VCES should be streamlined in terms of the number of files and letters sent. A standard letter should be used and it should be comprehensive. The letter should be generated by the VCES staff. It should advise how the overpayment occurred, the amount of the overpayment and the right of review. It should also clearly advise the client how and to whom they repay the money, as well as advising how long they have to respond to the letter. The letter should direct the client back to the VCES staff if they wish to dispute/discuss the decision to raise the overpayment, and should also direct them to the Overpayment Management Unit (OMU) if they wish to discuss any repayment arrangements. An e-mail copy of the letter sent to the student advising of the overpayment should be sent to the Overpayment Management Unit (OMU). The OMU will raise a debt management sub-file and match the debt to the debt raised in IPS/DMRS. This avoids 2 letters being sent to the client.

2.8.3.2 — In circumstances where the VCES payments are paid to the parent, guardian or person approved by the parent or guardian, or by the Commission, and that person is also a DVA client, the overpayment may be deducted from any of their other ongoing income support or disability pension payments.

2.8.3.3 — The person who is the liable party for the repayment of a VCES debt is the person who receives the payment.  Where a VCES payment is not made directly to the eligible child, the parent or guardian receiving the payment on behalf of the child is the debtor.

2.8.4.1 — A clearance process is used to try and avoid clients receiving dual payments from DVA and Centrelink. In relation to VCES, DVA sends routine clearances to Centrelink upon the grant or variation of education allowance to students 16 years and over, and a routine bulk clearance every 6 months. Centrelink however, do not send requests to DVA for all grants of Youth Allowance thus, overpayments can occur.

2.8.4.2 — Chapter 8 of this manual provides greater detail on the policy and procedural guidelines for the recovery of overpayments made between DVA and Centrelink.

2.9.1.1 — An overpayment of a DVA or social security pension may occur when a person:

• transfers from one department to another, where a bar against receipt of dual payments exists. Section 36C [5] VEA, section 37C [5] VEA and section 38C [5] VEA contain the multiple entitlement exclusion clauses, which prevents dual eligibility for service pension –(i.e. age, invalidity and partner) and social security pension or benefit. Section 45D [5] VEA contains the bar to dual eligibility for ISS and social security pension or benefit. Multiple exclusion clauses are also included throughout the SSA;
  
  For example, where a social security age pensioner is granted service pension (SP), the Centrelink payment ceases to be payable from the date of grant of SP. A debt is created for any amount of Centrelink payment paid since the date of grant of the SP.

Note:A person may transfer their age pension from Centrelink to age pension paid under the DVA agency arrangements.

• is granted pension that affects the benefit currently being received.
  
  For example where a Centrelink income support pensioner is retrospectively granted DP or a war widow's/widower's pension (WWP), any amount of Centrelink income support which would not have been payable during the period if the DP or WWP had been payable, is the excess payment or adjustment amount.

2.9.2.1 — The clearance process is used to prevent dual payments. It ensures that the losing (i.e. the first) department's payments are cancelled from the date on which the gaining (i.e. the second) department commences payment. It also ensures that when a retrospective grant or increase of DVA pension is made to a Centrelink income support recipient, the backdated amounts are adjusted to account for any overlapping payments. Procedural guidelines regarding the Centrelink/DVA clearance process may be obtained from P2/C3/S1 of the CLIK Procedure Library.

2.9.2.2 — Therefore, adequate clearances need to be sought from Centrelink whenever:

• service pension is granted or restored; or
• a person transfers age pension from Centrelink to DVA; or
• DP is granted or increased retrospectively, and arrears are withheld pending notification from Centrelink; or
• WWP only / WWP and ISS is granted, and arrears are withheld pending notification from Centrelink.

Chapter 8 of this manual provides greater detail of the policy and procedural guidelines for the recovery of overpayments made between DVA and Centrelink.