The fact that reopening is limited by the 1- and 2-year rules does not mean that revision
is likewise limited once a determination is reopened. This is particularly true when
some time has passed between the effective filing date of an application and the initial
determination on the application. If the affirmative action in writing falls within
the 1- or 2-year period, and revision is appropriate, you should revise all months
that are incorrect, back to the effective date of the application.
EXAMPLE: An individual files an application with an effective date of March 15, 2000, and
the initial determination (i.e., notice) is issued on September 30, 2000, and it is
an initial determination for March 15, 2000 through October 2000. On September 16,
2002, we receive new and material evidence that the individual had income in larger
amounts than he made us aware of from the application date through September 15th.
Because the September 30, 2000 initial determination is within 2 years of the September
16, 2002 affirmative action in writing date, we are permitted to revise the initial
determination of September 30, 2000 and correct the income amounts back to the effective
date of the application, March 15, 2000, even though that date occurred more than
two years before the affirmative action in writing date. We can then make an overpayment
determination for the same period.