[Federal Register Volume 85, Number 222 (Tuesday, November 17, 2020)]
[Notices]
[Pages 73356-73357]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 2020-25333]


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DEPARTMENT OF VETERANS AFFAIRS


Privacy Act of 1974; Matching Program

AGENCY: Department of Veterans Affairs (VA).

ACTION: Notice of a new matching program.

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SUMMARY: This re-established computer matching agreement (CMA) sets 
forth the terms, conditions, and safeguards under which the Internal 
Revenue Service (IRS) will disclose return information, relating to 
unearned income, to the Department of Veterans Affairs (VA), Veterans 
Benefits Administration (VBA) for the Disclosure of Information to 
Federal, State and Local Agencies (DIFSLA). The purpose of this CMA is 
to make available to VBA certain return information needed to determine 
eligibility for, and amount of benefits for, VBA applicants and 
beneficiaries of needs-based benefits, and to adjust income-dependent 
benefit payments, as prescribed by law. Currently, the most cost 
effective and efficient way to verify annual income of applicants, and 
recipients of these benefits, is through a computer match.

DATES: Comments on this matching notice must be received no later than 
30 days after date of publication in the Federal Register. If no public 
comments are received during the period allowed for comment, the re-
established agreement will become effective January 1, 2021 provided it 
is a minimum of 30 days after the publication date. If VA receives 
public comments, VA shall review the substance of the comments to 
determine whether or not VA needs to take other actions. The CMA will 
be effective 30 days after the publication date even, if public 
comments are received. This matching program will be valid for 18 
months from the effective date of this notice.

ADDRESSES: Comments may be submitted through www.Regulations.gov or 
mailed to VA Privacy Service, 810 Vermont Avenue NW, (005R1A), 
Washington, DC 20420. Comments should indicate that they are submitted

[[Page 73357]]

in response to VBA DIFSLA Matching Agreement. Comments received will be 
available at regulations.gov for public viewing, inspection or copies.

FOR FURTHER INFORMATION CONTACT: Victor D. Hall, Program Analyst, 
Pension and Fiduciary Service (21P), Department of Veterans Affairs, 
810 Vermont Ave. NW, Washington, DC 20420, (202) 461-8394.

SUPPLEMENTARY INFORMATION: CMA between VA and IRS DIFSLA, expires 
December 31, 2020. VBA has a legal obligation to reduce the amount of 
pension and of parents' dependency and indemnity compensation by the 
amount of annual income received by the VBA beneficiary. VA will use 
this information to verify the income information submitted by 
beneficiaries in VA's needs-based benefit programs and adjust VA 
benefit payments as prescribed by law. By comparing the information 
received through the matching program between VBA and IRS, VBA will be 
able to timely and accurately adjust benefit amounts. The match 
information will help VBA minimize overpayments and deter fraud and 
abuse. The legal authority to conduct this match is 38 U.S.C. 5106, 
which requires any Federal department or agency to provide VA such 
information as VA requests for the purposes of determining eligibility 
for benefits, or verifying other information with respect to payment of 
benefits. The VA records involved in the match are in ``Compensation, 
Pension, Education, and Vocational and Rehabilitation and Employment 
Records--VA (58 VA 21/22/28),'' a system of records which was first 
published at 41 FR 9294 (March 3, 1976), amended and republished in its 
entirety at 77 FR 42593 (July 19, 2012). The IRS records consist of 
information from the system records identified as will extract return 
information with respect to unearned income of the VBA applicant or 
beneficiary and (when applicable) of such individual's spouse from the 
Information Return Master File (IRMF), Treasury/IRS 22.061, at 80 FR 
54081- 082 (September 8, 2015). In accordance with the Privacy Act, 5 
U.S.C. 552a(o)(2) and (r), copies of the agreement are being sent to 
both Houses of Congress and to the Office of Management and Budget. 
This notice is provided in accordance with the provisions of Privacy 
Act of 1974 as amended by Public Law 100-503.

PARTICIPATING AGENCIES:
    The Internal Revenue Service (IRS).

AUTHORITY FOR CONDUCTING THE MATCHING PROGRAM:
    The Privacy Act, 5 U.S.C. 552a, and 38 U.S.C. 6103 authorize VA to 
enter into this CMA with IRS.

PURPOSE(S):
    To re-establish a CMA with IRS to provide VBA with certain return 
information needed to determine eligibility for and amount of benefits 
for VBA applicants and beneficiaries of needs-based benefits and to 
adjust income-dependent benefit payments as prescribed by law.

CATEGORIES OF INDIVIDUALS:
    Veterans and beneficiaries who apply for VA income benefits.

CATEGORIES OF RECORDS:
    VBA will furnish the IRS with records in accordance with the 
current IRS Publication 3373, DIFSLA Handbook. The requests from VBA 
will include: The Social Security Number (SSN) and name Control (first 
four characters of the surname) for each individual for whom unearned 
income information is requested. IRS will provide a response record for 
each individual identified by VBA. The total number of records will be 
equal to or greater than the number of records submitted by VBA. In 
some instances, an individual may have more than one record on file. 
When there is a match of individual SSN and name control, IRS will 
disclose the following to VBA: Payee account number; payee name and 
mailing address; payee TIN; payer name and address; payer TIN; and 
income type and amount.

SYSTEM(S) OF RECORDS:
    VBA records involved in this match are in ``VA Compensation, 
Pension, Education, and Vocational Rehabilitation and Employment 
Records--VA'' (58 VA 21/22/28), a system of records that was first 
published at 41 FR 9294 (March 3, 1976), amended and republished in its 
entirety at 77 FR 42593 (July 19, 2012). IRS will extract return 
information with respect to unearned income of the VBA applicant or 
beneficiary and (when applicable) of such individual's spouse from the 
Information Return Master File (IRMF), Treasury/IRS 22.061, as 
published at 80 FR 54081-082 (September 8,2015).

Signing Authority
    The Senior Agency Official for Privacy, or designee, approved this 
document and authorized the undersigned to sign and submit the document 
to the Office of the Federal Register for publication electronically as 
an official document of the Department of Veterans Affairs. Joseph S. 
Stenaka, Executive Director for Information Security Operations and 
Chief Privacy Officer, approved this document on October 20, 2020 for 
publication.

    Dated: November 12, 2020.
Amy L. Rose,
Program Analyst, VA Privacy Service, Office of Information Security, 
Office of Information and Technology, Department of Veterans Affairs.
[FR Doc. 2020-25333 Filed 11-16-20; 8:45 am]
BILLING CODE 8320-01-P