Agent Orange Benefits Act of 1996

Agent Orange Benefits Act of 1996 - Directs the Secretary of Veterans Affairs to provide needed health care to a child of a Vietnam veteran who is suffering from spina bifida, for any associated disability. Authorizes the Secretary to provide such health care directly or by contract or other arrangement with a health care provider. Includes within such care home, hospital, nursing home, outpatient, preventive, and rehabilitative care, case management, respite care, the training of family members in the provision of necessary home care, and necessary pharmaceuticals, supplies, and equipment.

Authorizes the Secretary to provide vocational training to such a child if the Secretary determines that the achievement of a vocational goal by such child is reasonably feasible. Limits such training to 24 months, unless the Secretary determines that an extension is necessary (up to 24 months). Requires a child eligible for more than one assistance program through the Department of Veterans Affairs to elect one program for participation.

Directs the Secretary to pay a monetary allowance to any such child for any disability resulting from spina bifida based on the degree of disability. Requires an increase in such disability benefit whenever there is an increase in benefits payable under title II (Old Age, Survivors and Disability Insurance) of the Social Security Act.

Provides veterans' disability compensation and dependency and indemnity compensation for the additional disability or death of a veteran which was: (1) not the result of the veteran's own willful misconduct; (2) incurred by care, treatment, or examination furnished to the veteran through the Department; and (3) incurred as a proximate result of such care, treatment, or examination.