The purpose of discontinued status is to identify situations in which termination of all services and benefits received under Chapter 31 is necessary. If a veteran does not initiate or continue the rehabilitation process and does not furnish an acceptable reason for his or her failure to do so following assignment to interrupted status, the veteran's case will be discontinued and assigned to discontinued status. The veteran has used 48 months of entitlement under one or more VA programs, and there is no basis for extension of entitlement.
Veteran voluntarily withdraws from the program.
VA shall establish appropriate procedures to follow up on cases which have been placed in discontinued status, except in those cases reassigned from applicant status. The veteran is employed, and criteria for assignment to rehabilitated status are met. 21.324 Reduction or termination dates of subsistence allowance.