War Veterans Allowance Act (R.S.C., 1985, c. W-3)

Definition of “income”

Marginal note:Definition of income

• 7 (1) For the purposes of this Act, income, of a person for a calendar year, has the same meaning as in section 2 of the Old Age Security Act except that, for the purposes of this Act,

  • (a) [Repealed, 1992, c. 48, s. 30]

  • (a.1) there shall be included in income of the person for the year any payment made to the person or the person’s spouse or common-law partner, if any, in the year under

    • (i) the Flying Accidents Compensation Regulations,

    • (ii) the Royal Canadian Mounted Police Superannuation Act,

    • (iii) section 22 of the Corrections and Conditional Release Act, and

    • (iv) the Royal Canadian Mounted Police Pension Continuation Act, chapter R-10 of the Revised Statutes of Canada, 1970;

  • (b) there shall not be included in income of the person for the year

    • (i) casual earnings in the year being net income from employment, self-employment or rental of property the aggregate of which from those sources does not exceed, in respect of the person, the person and the person’s spouse or common-law partner or the person and the person’s spouse or common-law partner who is a veteran, as the case may be, such applicable maximum amount as is prescribed by regulations made under section 25 in respect of a person without a spouse or common-law partner, a person with a spouse or common-law partner and a person with a spouse or common-law partner who is a veteran,

    • (ii) net interest income in the year from any source the aggregate of which does not exceed, in respect of the person or the person and the person’s spouse or common-law partner, as the case may be, such applicable maximum amount as is prescribed by regulations made under section 25 in respect of a person without a spouse or common-law partner and a person with a spouse or common-law partner,

    • (iii) any amount paid under any law that provides compensation to workers injured in the course of their employment as an attendance allowance in respect of the person or the person’s spouse or common-law partner, if any, or the person’s survivor or orphan, or

    • (iv) any amount paid to the person or the person’s spouse or common-law partner, if any, or the person’s survivor or orphan by reason of a decoration for gallantry;

  • (c) business losses and capital losses shall be taken into account in the year in which those losses occurred;

  • (d) dividend income shall be taken into account on the basis of the actual amount of the dividend; and

  • (e) paragraph (d) of the definition income in section 2 of the Old Age Security Act does not apply.

• Marginal note:If change to other Acts

  (2) Despite subsection (1), if it appears to the Governor in Council that any amendment to the Income Tax Act or the regulations made under that Act, or to the Old Age Security Act, would result in a significant change in the amount of any allowance payable in respect of any class of persons under this Act, the Governor in Council may make orders to alleviate the effect of the change by deeming, for the purposes of this Act, revenue specified in the orders, or a part of that revenue, to be or not to be, as the case may require, income of a person referred to in subsection (1).

Limitations

Marginal note:Application for allowance

8 No allowance is payable under section 4 unless an application therefor has been made in accordance with this Act and the regulations and the allowance has been awarded.

Marginal note:Statement of income to be made

• 8.1 (1) Every person who makes an application for an allowance shall include in the application a statement of the income of the person and the person’s spouse or common-law partner, if any, for the base calendar year.

• (1.1) and (1.2) [Repealed, 2000, c. 34, s. 72]

• Marginal note:Option to file statement of estimated income

  (2) If there is an ongoing decrease in the income of an applicant, a recipient or, when applicable, the spouse or common-law partner of an applicant or a recipient, beginning in any month in the period between the beginning of the base calendar year and the end of the current payment period, the applicant or recipient may file with the Minister, in addition to any statement required under subsection (1) or 27(1), a statement of the estimated monthly income of the applicant or recipient and, when applicable, of the spouse or common-law partner of the applicant or recipient.

• Marginal note:Effect on amount of monthly allowance

  (3) The monthly allowance payable to the applicant or recipient referred to in subsection (2) for the month in which the decrease in income began, and for any subsequent month in the previous and current payment periods, shall be based on the estimated monthly income if

  • (a) the estimated monthly income

  is less than

  • (b) one twelfth of the income for the base calendar year applicable to that month

  by at least the amount prescribed by, or determined in accordance with, the regulations made under paragraph 25(e.1).

• Marginal note:Continuation of allowance based on estimated income

  (4) If a recipient’s monthly allowance for the last month of the previous payment period was based on estimated monthly income, the monthly allowance payable for the current payment period may be based on the same estimated monthly income if

  • (a) that estimated monthly income

  continues to be less than

  • (b) one twelfth of the income for the base calendar year applicable to the current payment period

  by at least the amount prescribed by, or determined in accordance with, the regulations made under paragraph 25(e.1).

• Marginal note:If ongoing increase in income occurs

  (5) Each time that a recipient whose allowance is based on estimated monthly income experiences an ongoing increase in income or, when applicable, in the income of their spouse or common-law partner,

  • (a) the recipient shall without delay notify the Minister of the increase; and

  • (b) the calculation of the recipient’s monthly allowance for the month in which the increase began, and for subsequent months in the current payment period, shall be based on that increase.

Marginal note:Enemy forces

9 No allowance shall be paid to any person who served in enemy forces during either World War II or the Korean War.

Marginal note:Survivor

• 10 (1) Subject to subsection (2), no allowance shall be paid to the survivor of a veteran unless the survivor was residing with, maintaining or being maintained by the veteran at the time of the veteran’s death.

• Marginal note:Exemption

  (2) The Minister may exempt any survivor from the operation of subsection (1) in any case where the Minister deems it just and reasonable to do so.

Marginal note:Recent marriage

11 Notwithstanding anything in this Act, no allowance under section 4 shall be paid and no allowance under section 5 shall be awarded to the surviving spouse of a veteran if the veteran dies within one year after the date of the marriage, unless, in the opinion of the Minister

• (a) the veteran was at the time of that marriage in such a condition of health as to justify the veteran in having an expectation of life of at least one year; or

• (b) the circumstances surrounding the marriage and subsequent death of the veteran are of such a special nature as to merit the payment or award of an allowance.

Marginal note:Allowance only to dependent child

• 12 (1) Except where an allowance is payable to a person other than by virtue of that person being a child, no allowance shall be paid to or in respect of a child unless the child is a dependent child.

• Marginal note:Discontinuance of child allowance

  (2) Payment of an allowance to or in respect of a dependent child shall be suspended where the child is being wholly maintained at the expense of a provincial or municipal institution or by any branch or agency of the Government of Canada, other than the Department.

• Marginal note:Commencement or discontinuance of allowance for dependent child

  (3) An allowance to or in respect of a dependent child who in any month becomes or ceases to be eligible for an allowance shall be paid as if the dependent child was eligible for the allowance for the whole month and not just a part thereof.

Marginal note:Rights under Pension Act

13 The right of any veteran to receive a pension under the Pension Act is not affected by anything in this Act or by the receipt of any allowance.

Suspension of Allowance

Marginal note:Absence from Canada

• 14 (1) Where a recipient of an allowance under section 4 absents themself from Canada, payment of the allowance shall, subject to subsection (4) of that section, be suspended immediately following the payment for the month in which the recipient so absents themself, but may be resumed when the recipient returns to Canada.

• Marginal note:On imprisonment of recipient

  (2) Where, on or after July 17, 1980, a recipient of an allowance is convicted of an offence and sentenced to a term of imprisonment, the payment of the allowance shall be suspended from the first day of the seventh month of that imprisonment until the release from imprisonment except that the payment thereof may be continued where the Minister is of the opinion that,

  • (a) where a spouse, common-law partner or child of the recipient is entitled to be supported by the recipient at the time of the recipient’s conviction, the spouse, common-law partner or child continues to be entitled to that support; or

  • (b) the continuation of the payment of the allowance would assist the recipient in his or her rehabilitation.

• Marginal note:On imprisonment of applicant

  (3) Where an applicant for an allowance who is serving a term of imprisonment is eligible for an allowance, an allowance may be awarded to the applicant and may be paid during that imprisonment where the Minister is of the opinion that

  • (a) a spouse, common-law partner or child of the applicant is entitled to be supported by the applicant at the time of the applicant’s conviction and the spouse, common-law partner or child continues to be entitled to that support; or

  • (b) the payment of the allowance would assist the applicant in his or her rehabilitation.

Payment on Behalf of Recipient

Marginal note:Payments to other persons

• 15 (1) Where the Minister is of the opinion that a recipient would be likely to apply the amount of any allowance otherwise than to the best advantage, the Minister may direct the payments to be made to and administered by such person as the Minister selects.

• Marginal note:Holding of allowance for recipient in certain cases

  (2) Where it appears to the Minister that a recipient is,

  • (a) by reason of infirmity, illness or other cause, incapable of managing their own affairs, or

  • (b) not maintaining a spouse, common-law partner or dependent child,

  the Minister may direct that the allowance payable to the recipient be held and administered by the Minister or a person or agency selected by the Minister for the benefit of the recipient and the spouse, common-law partner or dependent child, as the case may be.

• Marginal note:Minimum payment to recipient

  (3) In circumstances where paragraph (2)(a) does not apply but paragraph (2)(b) applies, the Minister or person or agency may hold and administer only that portion, if any, of the allowance of a recipient in excess of the amount of allowance that would be payable to the recipient if the recipient were a person to whom the income factor specified in column II of the schedule opposite paragraph 1(a) or, if the recipient is blind, opposite paragraph 1(d), applied.