32APayments by way of compensation or damages

32A Payments by way of compensation or damages

(1) Where: (a) a member of the Forces or a member of a Peacekeeping Force is in receipt of a pension under Part IV of the Veterans’ Entitlements Act; (b) a pension continues to be payable to a dependant of the member in accordance with the repealed Acts in pursuance of subsection 4(6) or (8B) of this Act; and (c) the rate of a pension that so continues to be payable is required to be reduced (including reduced to nil) by virtue of section 107R of the Repatriation Act in relation to compensation that is payable in respect of injury to the member; section 74 of the Veterans’ Entitlements Act applies to and in relation to the pension payable to the member as if the rate, or sum of the rates, per fortnight at which compensation is payable in respect of the injury for the purposes of that section were the amount per fortnight ascertained in accordance with the formula: A – B, where:

A is the amount that is, or the sum of the amounts that are, paid per fortnight, for the purposes of section 107R of the Repatriation Act, by way of compensation in respect of the injury; and

B is:

(d) the amount per fortnight by which the rate per fortnight of the pension payable to a dependant of the member has been reduced in pursuance of section 107R of the Repatriation Act; or
(e) if pensions payable to 2 or more dependants of the member have been so reduced - the sum of the amounts per fortnight by which the rates of those pensions have been so reduced.

(2) Where: (a) a dependant of a member of the Forces or of a member of a Peacekeeping Force, being a dependant in receipt of a pension in accordance with the repealed Acts in pursuance of subsection 4(6) of this Act, elects to commute payments of that pension in accordance with section 6 of this Act; (b) immediately before the pension that is to be commuted is cancelled by force of paragraph 6(4)(a), that pension was payable at a rate that had been reduced by virtue of section 107R of the Repatriation Act in relation to compensation that was paid or is payable in respect of injury to that member; and (c) upon the cancellation of that pension, a pension continues to be payable under Part IV of the Veterans’ Entitlements Act to that member or a pension continues to be payable to another dependant of that member in pursuance of subsection 4(6) or (8B); the rate of a pension referred to in paragraph (c) shall be assessed, in relation to the compensation that was paid or is payable in respect of that injury to that member, as if instalments of the pension referred to in paragraph (b) continued to be paid to the dependant on each of the 78 pension pay-days next following the cancellation of that pension.