OFFSET OF ANNUITY
AGAINST DIC BENEFITS
Held: Offsets of Survival Benefits Plan (SBP)
annuity payments against DIC payments are not covered by 38 C.F.R. § 3.658. VA’s
express reliance on the wrong regulation is not harmless error – even if there
are other potentially applicable regulations – because the claimant will not
have received proper notice of the laws VA relied on in making its decision.
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