Verification 2015-16
Keep the Conversation Rolling…
Jo Holland
Pulaski Technical College
AASFAA Spring Conference
• Why Verify?
• Verification Tracking Groups (Process and
Documentation)
• Resources
• Discussion
Why Do We Verify?
We verify to ensure that the application data
submitted is accurate before eligibility is
determined and Title IV funds are disbursed.
Verification 2015-16
Summary of Tracking Groups
• V1 Standard Verification Group
• V3 Child Support Paid Verification Group
• V4 Custom Verification Group
• V5 Aggregate Verification Group
• V6 Household Resources Group
V1 Standard Group (Tax Filers)
Items To Be Reviewed
Documentation
• AGI
• U.S. Income Tax Paid
• Untaxed Portions of IRA
Distributions
• Untaxed Portions of Pensions
• IRA Deductions & Payments
• Tax Exempt Interest Income
• Education Credits
• IRS DRT
• Tax Return Transcripts
• Alternate documentation where
allowed (amended returns,
foreign returns, etc.)
AVG 79-83
2015-2016 Income Information
for Individuals with Unusual
Circumstances (Filing Extension
Grant by the IRS, Amended IRS
Income Tax Return, Identity Theft,
etc.) AVG 81-83.
V1 Standard Group (Non-Tax Filers)
Item To Be Reviewed
• Income earned from work
AVG 81
Documentation (income earned
from work)
• Must receive a W-2 form for each
source of employment income.
• And,
• Must receive a signed statement
certifying
a. Individual has not filed and
not required to file tax return
for 2014;
b. Sources of income earned
from work & amounts from
each source for tax year 2014
not on a W-2.
V1 Non-Tax Filers (Cont’d)
If you question that the tax filer is not required to file, you must
require the applicant to submit a “Verification of Non-Filing
Letter”.
• Use “Get Transcript Online”
www.irs.gov/individuals/get-transcript
or,
• Form 4506-T and checking box 7
Note: “Verification of Non-Filing Letter” for 2014 tax year may
not be available until after June 15, 2015.
V1 All Applicants Remaining Items
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Number in household AVG 84
Number in college AVG 85
Food stamps (SNAP) Supplemental Nutrition Assistance Program
Child Support Paid (CSP) AVG 85-86
AVG 85
V3 Child Support Paid Verification Group
Students must verify child support paid by them or their spouse, their
parents, or both.
• Child Support Paid (If Reported on ISIR)
– Documentation
• Statement signed by applicant/parent certifying
–
–
–
–
–
Amount of CSP
Name of person who paid the child support
Name of person to whom child support was paid
Names of children for whom child support was paid
Age of children for whom child support was paid
AVG 85-86
• If you have reason to believe the information is inaccurate,
the applicant must provide the institution with supporting
documentation (divorce decrees, checks, records of
electronic child support payments made, etc.)
V4 Custom Verification Group
Students must verify high school completion status & identity/statement of
educational purpose. in addition to receipt of SNAP benefits and payment of
child support.
High School Completion AVG 86-87
Most Common Documents Submitted:

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Copy of high school diploma
Copy of a final official high school transcript with date diploma was awarded
GED certificate or transcript that indicates exam passed
Other documents listed in AVG 86
In cases where documentation is unavailable, see AVG 87, you may accept alternative
documentation to verify high school completion status.
V4 Custom (cont’d)
Identity/Statement of Educational Purpose
You must use the exact language given
Documentation (statement completed in person)
 Must be completed in presence of authorized individual of the institution
 Student must provide government-issued photo id
 Original statement & copy of photo id must be maintained the required
Title IV record retention period. Refer to IFAP
Documentation (notary signed)
 Must submit statement, certification from notary and a copy of the same
id presented to notary. Cannot be faxed or emailed.
 Original statement & copy of photo id must be maintained the required
Title IV record retention period.
V4 and V5 Reporting
Schools are required to report through FAA Access Online the
outcomes of verifying high school completion status and
identity/statement of educational purpose for applications
with tracking flags V4 and V5.
General Instructions for this process are explained on pages
AVG 77-78.
Remember, this reporting is required for verifications selected by
CPS only, not your school!
V5 – Aggregate Verification
• Students must verify high school completion status &
identity/statement of educational purpose in addition to the
Standard Verification Group (V1).
• High School Completion Status AVG 86-87
• Identity/Statement of Educational Purpose AVG 87
and,
All items for Tax Filer (V1 Standard Group) AVG 76-77
All items for Non-Tax Filer (V1 Standard Group) AVG 77
V6 Household Resources Group
Students must verify items in the Standard verification Group as well as certain other
untaxed income on FAFSA.
• (V1) All Items for Tax Filer
• (V1) all items for Non-Tax Filer
• Other untaxed income from 15-16 FAFSA– Payments to tax-deferred pension & retirement savings plans (Q 45a &
94a)
– Child support received (Q 45c & 94c)
– Housing, food & other living allowance paid to members of military,
clergy & others (Q 45g & 94g)
– Veterans non-educational benefits (Q 45h and 94h)
– Other untaxed income (Q 45i & 94i)
– Money received or paid on the applicant’s behalf (Q 45j)
V6 Household Resources (cont’d)
Documentation for Other Untaxed Income1) Signed statement including sources & amounts of
income for 2014 tax year; and
2) Copy of W-2’s for sources of employment income for
2014 tax year where applicable.
AVG-84
•
You must get a copy of the W-2(s) for all persons in the Household Resources
Group (V6), including tax filers who used the IRS DRT or acquired a tax transcript.
Get W-2s for those in the household whose financial information appears on the
FAFSA. Tax filers could have other untaxed income that was not transferred via the
DRT or that did not appear on the tax transcript, and W-2s are used to verify
whether there was such income that should have been reported on the FAFSA and
if it was reported correctly.
V6 Household Resources (cont’d)
As part of the review of information & documentation
provided, if a school determines that the amounts
provided do not appear to provide sufficient support
for the family members included on the FAFSA, the
applicant (& parent/spouse) musto Provide additional signed documentation of resources used to support
family (other than items required to be reported on the FAFSA or other
verification worksheets) Examples: Low-Income Form, Income-to-Expenses
Comparison Form, etc.
Reasonable judgment should be used when evaluating submitted
documentation. Do you have a an income guideline established for staff to
follow? Reasonable will differ from school to school.
Additional Topics
Amended Tax Returns
Heroes Act Modifications
Identity Theft
Other Untaxed Income V6
Professional Judgment
Reporting Results V4 & V5
Separating Income
Special Tax Situations
Updating Information
Verification Exclusions
Verification After Disasters
AVG 82
Federal Register Sept. 27,2012 AVG 77
AVG 82
AVG 84
AVG 82
Electronic Announcements
11/13/13 & 11/6/14 AVG 77 78
AVG 83
AVG 81
AVG 87-88
AVG 78-79
AVG 77
References and Resources
• IFAP
– Ifap.ed.gov
• Federal Register Notice – June 25, 2014
– Ifap.ed.gov
• Chapter 4 of Student Aid Handbook 2015-16
– Ifap.ed.gov
• IRS Publications Regarding Federal Income Tax
– Irs.gov
Thank you and Keep On Rolling!
Jo Holland
jholland@pulaskitech.edu
501-812-2736