TN 10 (03-04)
GN 01701.150 Alien Nonpayment Exemptions Under Totalization Agreements
1. Exemptions from Alien Nonpayment Provisions of the Social Security Act (the Act)
Section 202(t)(1) of the Act generally provides that benefits for certain alien beneficiaries will be suspended once they are outside the United States for 6 months. The Act exempts certain beneficiaries from suspension for periods when they reside in an agreement country. The individual agreement subchapters explain what categories of alien beneficiaries are exempt under each agreement. The exemption:
applies to such beneficiaries entitled to U.S. Totalization or non-Totalization benefits,
is effective beginning with the month after the month such beneficiary becomes a resident of an agreement country (but not earlier than the effective date of the agreement),
terminates the month after the month such beneficiary abandons residence in an agreement country (continued payment is then based on the regular alien nonpayment provisions), and
applies to the lump-sum death payment provided:
the number holder (NH) resided in an agreement country at the time of death,
the NH’s death occurred in the month following the month the agreement in the NH’s country of residence became effective or later, and
the deceased NH was eligible for monthly benefits for the month prior to the month of death.
2. Exemptions from section 202(t)(11) of the Social Security Act (the Act)
Under section 202(t)(11) of the Act, dependents or survivors benefits generally may not be paid to aliens outside the United States who first become eligible for the benefits after 1984, unless they satisfy certain U.S. residency requirements. However, citizens or residents of an agreement country are exempt from these requirements unless an agreement includes a limitation on the exemption. The individual agreement subchapters explain whether any limitation applies.
When the beneficiary is not a citizen of an agreement country but resides in an agreement country, the exemption:
is effective beginning with the month after the month the beneficiary becomes a resident of the agreement country, but no earlier than the effective date of the agreement, and
terminates the month after the month in which the beneficiary abandons residence in the agreement country (continued payment is then based on the regular alien nonpayment provisions).
Section 202(t)(1) alien nonpayment provisions, RS 02610.001
Section 202(t)(11) alien nonpayment provisions, RS 02610.025