Citation Nr: 20004833 Decision Date: 01/23/20 Archive Date: 01/21/20 DOCKET NO. 17-14 458 DATE: January 23, 2020 ORDER The overpayment of Veterans Affairs (VA) compensation benefits in the amount of $20,315.16 was properly created; to this extent only, the appeal is denied. REMANDED Entitlement to waiver of recovery of an overpayment of Department of Veterans Affairs (VA) compensation benefits in the amount of $20,315.16 is remanded. FINDINGS OF FACT 1. In June 2004, the Veteran was notified that he had been awarded additional benefits for his spouse, C.C. 2. The Veteran failed to respond to requests to confirm his continued marriage to C.C. 3. The action to remove C.C. retroactively from the Veteran’s award resulted in the creation of an overpayment in the amount of $20,315.16. . CONCLUSION OF LAW The overpayment of VA compensation benefits in the amount of $3,370.95 was properly created. 38 U.S.C. §§ 5110, 5111, 5112; 38 C.F.R. §§ 3.401, 3.501. REASONS AND BASES FOR FINDINGS AND CONCLUSION The Veteran had active service from March 1966 to July 1979. This matter comes before the Board of Veterans’ Appeals (Board) on appeal from a December 2015 letter from the Department of Veterans Affairs (VA) Regional Office (RO), notifying him that his benefits had changed due to the removal of his spouse from his award. In December 2019, the Veteran testified at a videoconference hearing before the undersigned. Whether the overpayment of Veterans Affairs (VA) compensation benefits in the amount of $20,315.16 was properly created The law provides for the rates of disability compensation, and for payment of additional compensation for dependents of veterans who are at least 30 percent disabled. 38 U.S.C. §§ 1114 (c), 1115, 1134, 1135. The Veteran was, at all times relevant to this issue and the period of time in question, rated appropriately to receive additional compensation for a spouse. In addition, when the Veteran was first awarded benefits for his spouse, C.C., in June 2004, he was informed that the failure to notify the RO in a prompt fashion of a dependency change would result in an overpayment. In March 2015, the RO notified the Veteran that it proposed to reduce his compensation benefits since he did not respond to a request to confirm his dependents. The letter noted that he last verified his spouse, C.C., in May 2004, so it proposed to remove her from his award effective June 1, 2004. In a December 2015 letter, the Veteran was informed that C.C. had been removed from his award as of May 24, 2004, the last confirmed date of their marriage, because he failed to certify her status as his dependent. For the period of June 2004 to December 2015, VA paid the Veteran additional VA compensation for C.C. in the amount of $20,315.16. This amount represents the overpayment which the Veteran was notified of in a separate December 2015 letter from the Debt Management Center. In sum, the Veteran was informed that he should promptly inform the RO of any change in the status of his dependents. Despite several requests from VA, he failed to keep them updated regarding the status of his dependent spouse. There is no evidence of sole administrative error or other error on the part of VA in the creation of this debt. 38 U.S.C. § 5112 (b)(10); 38 C.F.R. § 3.500 (b)(2). For these reasons, the overpayment is valid, and the claim is denied. REASONS FOR REMAND Entitlement to waiver of recovery of an overpayment of Department of Veterans Affairs (VA) compensation benefits in the amount of $20,315.16 is remanded. The Veteran contends a waiver is warranted on the basis that he was married for much of the time period in question, and that he recently filed for bankruptcy. The Board notes that the June 2016 decision by the Committee on Waivers and Compromises did not appear to take into consideration the Veteran’s marriages. As well, there is no information in the claims file pertaining to the Veteran’s bankruptcy. For these reasons, the Veteran should have the opportunity to submit documents confirming his bankruptcy filing and a new financial status report. The matters are REMANDED for the following action: 1. The Veteran should be provided an opportunity to submit a complete and current financial status report. He should also be provided an opportunity to submit current argument and evidence with regard to the elements of the standard of equity and good conscience, in particular documentation supporting his bankruptcy filing. 2. Readjudicate the Veteran’s claim for a waiver under the standard of equity and good conscience. DEBORAH W. SINGLETON Veterans Law Judge Board of Veterans’ Appeals Attorney for the Board A. Dean, Counsel The Board’s decision in this case is binding only with respect to the instant matter decided. This decision is not precedential, and does not establish VA policies or interpretations of general applicability. 38 C.F.R. § 20.1303.