Ok here's the story. My husband retired at 70% disability..back in 1996. He was awarded compensation based upon that. He had two hip replacements and got medically retired.
Ok, now 18 months ago, the VA decided two things...first, that he didn't have dependents at all (there are 6 of us) and two, that because he didn't have any dependents, they overpaid him.
The flaw in this, besides the dependents is that the money he was receiving was not concurrent pay. In other words, they took 70% of his retainer and gave it to him tax free. If the VA hadn't been involved, then he would have just had to pay taxes on the whole amount.
So, now the VA has been withholding his pay. What SHOULD have happened is that they should have filed paperwork and the DOD should have picked it up and it become taxable income.
We have filed a claim...8 months or so ago and have heard nothing yet ...
So, what next. Any information would be really appreciated.