Dynamics of Verification 2013-2014
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Transcript Dynamics of Verification 2013-2014
DYNAMICS OF
VERIFICATION
2013-2014
A graduate level verification course
ISFAA Spring Conference April 16, 2013
TODAY’S
INSTRUCTORS
Sue Allmon, WGU Indiana
Lori Love, UIndy
Validating tax information
Tracking groups
V1 – V5
Updated guidance – Program Integrity
Q&A
Discussion board for 2013-2014
implementation
Verification Resources for 2013-2014
via FSA
VERIFICATION COURSE 2013
SYLLABUS
Guiding
Principles
Federal Register
Dear Colleague
Letters
Electronic
Announcements
Program Integrity
Questions &
Answers
NASFAA News
Validating Tax Information
(taxfiler)
IRS Data Retrieval Tool (DRT) is available to be
utilized by family
2-3 weeks after filing electronically
8-11 weeks if paper return
If taxes owed, may impact ability to use
Data elements for taxfiler transferred by IRS Data
Retrieval Tool (DRT)
IRS Request Flag = 02
No additional tax information needed
Data elements for taxfiler where DRT not used or
information changed
Must obtain tax return transcript
Obtain Tax Return Transcript
Student
Institution
Certified by IRS to request & collect tax
transcripts
Third party
Vendor requests & collects transcripts
PROOF OF INCOME
Online (www.irs.gov)
Telephone (1.800.908.9946)
Form 4506T-EZ or 4605T
fax or mail form
Local tax center
REMINDER: NONFILER
Validating Tax Information
Nonfilers
•
Signed
statement
certifying not
filed and not
required to
file for tax
year
•
Sources and
amounts of
income
earned
•
Copy of W2
for each
source
Acceptable circumstances for paper
return
Identity theft
Form 14039 filed with IRS
Signed copy of paper return
Copy of police report or signed statement
that filer was victim
Amended tax return
Signed copy of original paper return or tax
return transcript
Signed copy of Form 1040X
Foreign tax returns
Converted into US dollars
FOR VERIFYING TAX INFO REPORTED
Expiration of 2012-2013 special
situations
SOURCE
Validating Tax Information
GEN-12-07 and
11/2/12
Electronic
Announcement
expires after
2012-2013
GEN-11-13
governs 20132014
ED Reaffirms
that Paper
Copies of Tax
Returns
Generally Not
Acceptable for
2013-14
Verification
Step towards customization
Five verification tracking groups
V1 – Standard
V2 – SNAP
V3 – Child support paid
V4 – Custom
V5 – Aggregate
DE asks that we not do ‘one size fits
all’ verification worksheet
AID VERIFICATION
UNSUBSIDIZED
Tracking Groups
Students only
eligible for
unsubsidized
Title IV
funding are
not required to
complete the
verification
process.
Location of Tracking Flag on ISIR
Tracking Group V1
Standard
Same items as for 2012-2013
For all
Taxfilers
Household size
Number in college
Child support paid if reported on FAFSA
SNAP if reported on FAFSA
AGI
US tax paid
Untaxed IRA distributions
Untaxed pensions
Education credits
IRA deductions
Tax-exempt interest
Nonfilers
Income earned from work
Tracking Group V2
SNAP
Signed statement from student (or parent if
dependent) certifying that they or a member of
household received SNAP in calendar years 2012
and/or 2013
Only have to verify if SNAP is noted on FAFSA
Student will only be selected for this group, if SNAP
noted on FAFSA
Child Support Paid
Signed statement from student (or
parent if dependent). Statement to
contain:
Name of person who paid child support
Name of person to whom child support was
paid
Name(s) of children for whom child support
was paid
Amount of child support paid during the
calendar year
Only have to verify child support paid,
nothing else, unless you notice other
conflicting information
FOOD FOR THOUGHT
Tracking Group V3
Would you
consider
collecting
household
information to
match up
against child
support paid
to make sure
child isn’t in
the household
and counted
twice?
See FAFSA
question 91B
See AVG page
18
Custom
Child support paid
SNAP
High school completion status
Copy of diploma
Copy of H.S. transcript with graduation date
GED certificate
Home schooled credential
Academic transcript with 2 years completed
& fully transferrable to your institution
Identity and statement of educational
purpose
Next slide……..
MAINTAINS DOCUMENTATION
WHO
Tracking Group V4
Question:
How do you
plan to collect
high school
completion
status?
DE states that
documentation
may be
maintained by
another office
on campus as
long as there
is a clear audit
trail.
Identity and statement of
educational purpose
Government issued photo ID
Educational purpose statement provided by
DE and cannot be altered
Assigned school official to collect
Date received
Name and title of school official
Not in-person
Notarized copy of government issued
photo ID
Notarized copy of statement of
educational purpose
Paper must be sent to school. School
must maintain paper copy, cannot accept
fax/email of items
SAYS
In-person
Answer: If
identity is
verified,
applicant may
not be
selected to
verify identity.
ED
Question:
Can we roll
over identity
and statement
of educational
purpose?
OF
DEPARTMENT
Tracking Group V4 continued
Aggregate
All data elements in V1 through V4
Only have to verify SNAP if indicated on
FAFSA
Only have to verify child support paid if
amount is shown on FAFSA
TO COLLECT
HOW
Tracking Group V5
Aggregate
form or
multiple forms
for V5 group?
UPDATED GUIDANCE
REVIEW PROGRAM INTEGRITY – Q & A
HTTP://WWW2.ED.GOV/POLICY/HIGHERED/REG/HEARULEMAKING/2009/INTEGRITY-QA.HTML
VERIFICATION RESOURCES VIA FSA
10/29/10 Final Rule (Pages 66902-66913 and 6695466958)
iLibrary – Electronic Announcements
http://ifap.ed.gov/ifap/byAnnouncementType.jsp?type=7&
year=2012
Dear Colleague Letter - GEN-12-11
http://www.ifap.ed.gov/fregisters/FR102910Final.html
http://www.ifap.ed.gov/dpcletters/GEN1211.html
Federal Notice on 2013-2014 Verification Changes
http://ifap.ed.gov/fregisters/attachments/FRO71212FAFS
A.pdf
VERIFICATION RESOURCES VIA FSA
Q&A on Program Integrity website:
2013-2014 Verification – Suggested Text
http://ifap.ed.gov/eannouncements/011813VerificationSuggest
ed Text1314.html
2013-2014 Application and Verification Guide
http://www2.ed.gov/policy/highered/reg/hearulemaking/2009/v
erification.html
http://ifap.ed.gov/fsahandbook/1314FSAHandbookAVG.html
Acceptable IRS Documentation for 2013-2014
Verification
http://ifap.ed.gov/eannouncements/011813VerificationSuggest
ed Text1314.html
VERIFICATION RESOURCES VIA FSA
2013-2014 Electronic Data Exchange (EDE) Technical
Reference
2013-2014 ISIR Guide
http://ifap.ed.gov/edetechref/attachments/1314EDETechRef121
2Update.pdf
http://ifap.ed.gov/isirguide/attachments/20132014ISIRGuide.pdf
Electronic Announcement on Limited Circumstances
When a Signed Copy of Tax Return or Other
Documentation is Acceptable for Completing Verification
http://www.ifap.ed.gov/eannouncements/082112LimitedCircums
tancesWhenSignedCopyofTaxReturnisAcceptable.html
DISCUSSION BOARD
•
2013-2014 implementation