26Reduction in rate of pension in certain cases

#### 26 Reduction in rate of pension in certain cases (1) Where: (a) a veteran is entitled to receive, or is in receipt of, a pension in respect of incapacity from war‑caused injury or war‑caused disease, or both; and (b) the veteran is also entitled to receive, or is also in receipt of, periodical payments, or a lump‑sum payment: (i) under the law of a foreign country; or (ii) under the law of a State; in respect of incapacity resulting from his or her employment in connection with war‑like operations in which the Crown was engaged, being incapacity only from injury or disease or both referred to in paragraph (a); the rate of the pension referred to in paragraph (a) shall be assessed at the rate per year at which it would, but for this subsection, be assessed, reduced by the rate per year of the periodical payments referred to in paragraph (b) or an amount per year determined by the Commission to be the periodical payment equivalent of that lump‑sum payment, as the case may be. (2) Where: (a) a veteran is entitled to receive, or is in receipt of, a pension in respect of incapacity from war‑caused injury or war‑caused disease, or both; and (b) the veteran is also entitled to receive, or is also in receipt of, periodical payments, or a lump‑sum payment: (i) under the law of a foreign country; or (ii) under the law of a State; in respect of incapacity resulting from his or her employment in connection with war‑like operations in which the Crown was engaged, not being incapacity only from the injury or disease, or both, referred to in paragraph (a); the rate of those periodical payments, or the amount of that lump‑sum payment, as the case may be, shall be taken into account in assessing the rate of the pension referred to in paragraph (a) so that the total of the payments by way of that pension and of the payments or payment referred to in paragraph (b) do not exceed the total of the payments that the veteran would be entitled to receive by way of pension under this Part in respect of the incapacity referred to in paragraphs (a) and (b), assuming, for the purposes only of this subsection, that the incapacity referred to in paragraph (b) was wholly incapacity from war‑caused injury for the purposes of this Part. (3) Where: (a) the rate per year by which the rate of a veteran’s pension is required by subsection (1) to be reduced exceeds the rate that, but for that subsection, would be the rate per year of that pension; or (b) the rate of the periodical payments or amount of the lump sum payment that is required by subsection (2) to be taken into account in assessing the rate of a veteran’s pension is such as to require the assessment of the rate of that pension at a rate that does not exceed nought per centum; the veteran is not entitled to be paid pension.