VA Form 21-4140

Question:

I've been IU P&T for almost 2 years. I recently received a letter with a form 21-4140. The letter that states Social Security sent the VA information that I earned wages above the poverty threshold for calendar 2017. I have not worked at all since I've been on IU. I did, however, receive a W2 for that year showing where I was paid back pay of long term disability which obviously exceeded the poverty threshold.

Does that long term disability payment I received for that year affect my eligibility for UI or do I just need to explain and prove that the amount is from a disability payment and NOT any gainful employment? Thanks for any info regarding the VA letter/form 21-4140 and the exceptional assistance this blog contributes to veterans!

Jim's Reply:

Your instincts are good! You need to timely and formally appeal and explain the circumstances. Not all taxable income is derived from gainful employment but VA hasn't gotten that memo yet. Yours is an interesting bit of information to receive. I just got word last week that VA will soon eliminate the VA 21-4140 form in favor of cross-matching with IRS. This came from a conference call made by a director to inform others of what was up. It appears they used the new system on you and blew it already. Appeal yourself (you do not need a rep) and you should be fine.