Verification Form Instructions Independent Students

Transcription

1 Verification Form Instructions Independent Students For those families requiring additional clarification on what is needed to complete the Verification process, please refer first to the FAFSA filing instructions. The Verification process is used to confirm information reported on the FAFSA. Therefore, all questions asked are based on the information that was to be reported on the FAFSA and all definitions that apply to the FAFSA apply also to the Verification forms. Complete only the Verification form required based on the code on your SAR. Your financial aid advisor can assist you in determining which form applies to you. Do not any documents with personally identifiable information unless the is encrypted. Documents may be completed/uploaded through the Student Portal. If you have any questions, please contact the Financial Aid Office: US Office: Israel office: Phone: Ext 102 Phone: Ext 300 or Ext 300 Fax: Fax: If faxing, ensure your name and MJI ID are on all pages. If ing, do not include any personally identifiable information without encryption. You may also upload and/or complete documents through the Student Portal. Note: The institution may require additional information if we have reason to believe any information reported on the FAFSA or the Verification forms is not accurate or if additional clarification is required. Verification of 2013 Income Information for Earned Income These instructions apply to Section 1 on V1, V5 and V6 forms Important Note: The instructions below apply to the student and spouse, if the student is married. Notify the financial aid office if the student or spouse filed separate IRS income tax returns for 2013 or had a change in marital status after the end of the 2013 tax year on December 31, If your spouse is not a US citizen or US resident and you did not file a joint US tax return, he/she may be asked to provide a statement declaring that he/she is not a US citizen/resident. Instructions: Question 1: All students selected for V1, V5 or V6 categories must reply to the questions in Section 1, #1. If the student (or spouse) filed or will file a 2013 IRS income tax return(s), some data from your tax return must be verified. If the student (or spouse) had earned income but were not required to file a U.S. tax return, the earned income must be confirmed. If the student or spouse did not file, question 3 must also be completed. If it appears that a return should have been filed by the student or spouse, that person will be required to submit a Verification of Nonfiling from the IRS to validate that a return was not filed. This IRS statement does not confirm whether or not a return is required; it confirms only that one was not filed. For non filers, the IRS Verification of Nonfiling form cannot be accepted if signed prior to June 15, 2014.

2 Question 2: The best way to verify income for tax filers is by using the IRS Data Retrieval Tool (IRS DRT) that is part of FAFSA on the Web at FAFSA.ED.GOV. In most cases, no further documentation is needed to verify 2013 income information that was transferred into the student s FAFSA using the IRS DRT if that information was not changed. If you did not utilize the IRS Data Retrieval Tool when the ISIR was filed, you may do a FAFSA correction to utilize it. In most cases, for electronic tax return filers, 2013 IRS income tax return information for the IRS DRT is available within 2 3 weeks after the 2013 electronic IRS income tax return has been accepted by the IRS. Generally, for filers of 2013 paper IRS income tax returns, the 2013 IRS income tax return information is available for the IRS DRT within 8 11 weeks after the 2013 paper IRS income tax return has been received by the IRS. To obtain a 2013 IRS Tax Return Transcript, go to and click on the Get Transcript ONLINE link. Be sure to request the IRS Tax Return Transcript and not the IRS Tax Account Transcript. Use the Social Security Number (or the IRS individual taxpayer identification number) and the date of birth of the first person listed on the 2013 IRS income tax return, and the address on file with the IRS (normally this will be the address used on the 2013 IRS income tax return). If the student and spouse filed separate 2013 IRS income tax returns, 2013 IRS Tax Return Transcripts must be provided for both. Contact the financial aid office if more information is needed about using the IRS DRT. See also Use of DRT and Tax Return Transcript Requests for additional information about requesting a tax transcript. Because of the new 'Get Transcript Online' tool, the IRS will no longer handle requests for transcripts at its Taxpayers Assistance Centers or by phone, except for the IRS automated phone tool at Tax filers who are unable to use the 'Get Transcript Online' tool will still be able to submit a transcript request online by using the online 'Get Transcript by Mail' option, or by using the IRS2GO mobile app, the automated phone tool at , or by submitting a paper Form 4506 or 4506-T. From outside of the US call However, all of these request methods will result in the IRS mailing a paper transcript to the tax filer. And, only in the case of requests made using paper can the tax filer identify a third party to receive the transcript. Question 3: If the student (or spouse) did not file a tax return, complete Section 1, #3. If income was earned, fill in the information in the spaces provided. Provide the W2 or other documentation from the employer. If a tax return should have been filed but was not filed, a return must be filed before Title IV aid can be disbursed (unless an extension has been requested). People who are self employed are generally required to file taxes if earnings are at least $400. Refer to for a complete explanation of filing requirements. If no income was earned, enter NA in all boxes in Section 1, #3. Note: We are not U.S tax experts. If you have specific questions regarding your obligation to file tax returns, your filing status etc., please consult with a U.S. tax professional. If you do not file a return, you may be asked to provide proof that you did not and were not required to file a U.S. tax return. The table below is provided on the IRS website as general reference, as noted, it does not cover all tax filing requirements:

3 Table Filing Requirements Chart for Most Taxpayers (see IRS publication 17, page 5) Note: We are not U.S tax experts. If you have specific questions regarding your obligation to file tax returns, your filing status etc., please consult with a U.S. tax professional. If you do not file a return, you may be asked to provide proof that you did not and were not required to file a U.S. tax return. The table below is provided on the IRS website (Publication 17, page 5) as a general reference, as noted, it does not cover all tax filing requirements: IF your filing status is. AND at the end of 2013 you were... THEN file a return if your gross income was at least... single under 65 $10, or older $11,500 married filing jointly under 65 (both spouses) $20, or older (one spouse) $21, or older (both spouses) $22,400 married filing separately any age $ 3,900 head of household under 65 $12, or older $14,350 qualifying widow(er) with dependent child under 65 $16, or older $17,300 * If you were born on January 1, 1949, you are considered to be age 65 at the end of ** Gross income means all income you received in the form of money, goods, property, and services that is not exempt from tax, including any income from sources outside the United States or from the sale of your main home (even if you can exclude part or all of it). Do not include any social security benefits unless (a) you are married filing a separate return and you lived with your spouse at any time during 2013 or (b) one-half of your social security benefits plus your other gross income and any tax-exempt interest is more than $25,000 ($32,000 if married filing jointly). If (a) or (b) applies, see the Instructions for Form 1040 or 1040A or Publication 915 to figure the taxable part of social security benefits you must include in gross income. Gross income includes gains, but not losses, reported on Form 8949 or Schedule D. Gross income from a business means, for example, the amount on Schedule C, line 7, or Schedule F, line 9. But, in figuring gross income, do not reduce your income by any losses, including any loss on Schedule C, line 7, or Schedule F, line 9. *** If you did not live with your spouse at the end of 2013 (or on the date your spouse died) and your gross income was at least $3,900, you must file a return regardless of your age. U.S. Citizens or Resident Aliens Living Abroad To determine whether you must file a return, include in your gross income any income you earned or received abroad, including any income you can exclude under the foreign earned income exclusion. For more information on special tax rules that may apply to you, see Publication 54, Tax Guide for U.S. Citizens and Resident Aliens Abroad. Not certain if you should file? Please refer to the following links to the IRS website: o Do You Need to File a Federal Income Tax Return? o U.S. Citizens and Resident Aliens Abroad - Filing Requirements o U.S.-Citizens-and-Resident-Aliens-Abroad

4 Verification Form Instructions Independent Students (cont.) Number of Household Members and Number in College These instructions apply to Section 2 on V1, V5 and V6 forms Number of Household Members: Include the people in the student s household. Include: The student. The student s spouse, if the student is married. The student s or spouse s children if the student or spouse will provide more than half of the children s support from July 1, 2014, through June 30, 2015, even if the children do not live with the student. Other people if they now live with the student and the student or spouse provides more than half of the other people s support and will continue to provide more than half of their support through June 30, Do not include: People who live with you for whom you do not provide more than half of their support. This includes roommates and guests. Children who do not live with you for whom you will be reporting child support paid in Section 3. Children for whom you do not provide more than half of their support. Number in College: Include information about any household member who will be enrolled at least half time in a degree, diploma, or certificate program at a Title IV eligible postsecondary educational institution any time between July 1, 2014, and June 30, 2015, include the name of the college. Include only Title IV eligible postsecondary institutions. Note: We may require additional documentation if we have reason to believe that the information regarding the household members enrolled in eligible postsecondary educational institutions is inaccurate or if we believe the institution listed is not an eligible institution. Do not include the school name if: It is not a Title IV post secondary institution. (Generally, no one under the age of 17 attends a postsecondary institution). The family member is not attending at least half time in a degree, diploma or certificate program.

5 Verification Form Instructions Independent Students Child Support Paid and Receipt of SNAP Benefits These instructions apply to Sections 3 and 4 on V1, V5 and V6 forms Section 3 - Child Support Paid Verification: Support paid for children who are included in Section 1 are not to also be reported in this section. If you, or your spouse (if married), paid child support during 2013 for children not included in the household size on the FAFSA (Section 1 of the V1, V5 or V6 forms), complete Section 3. If you and your spouse (if married) did not pay child support during 2013 for children not included in the household size on the FAFSA (Section 1 of the V1, V5 or V6 forms), write in NA in Section 3. Section 4 - Receipt of SNAP Benefits One box must be checked. Indicate whether or not a member of the student s household received benefits from the Supplemental Nutrition Assistance Program or SNAP (formerly known as the Food Stamp Program) sometime during 2012 or SNAP may be known by another name in some states. For assistance in determining the name used in a state, please call FED-AID ( ). Note: If we have reason to believe that the information regarding the receipt of SNAP benefits is inaccurate, we may require documentation from the agency that issued the SNAP benefits in 2012 or Section 5: See FAFSA instructions and the V6 form for additional information. Students often ask for clarification on what is included in the Money Received or Paid on Behalf of Student/Spouse (Question 45j on FAFSA). List any money received or paid on the student s (or spouse s) behalf (e.g., payment of student s/spouse s bills) and not reported elsewhere on the FAFSA. Enter the total amount of cash support the student and/or spouse (if married) received in Independent students are to include support from a parent. For example, if someone is paying rent, utility bills, etc., for the student or gives cash, gift cards, etc., include the amount of that person's contributions. Amounts paid on the student s behalf also include any distributions to the student from a 529 plan owned by someone other than the student or the student s parents, such as grandparents, aunts, and uncles of the student. If a friend or relative gives you grocery money, it must be reported in this section but if they invite you to dinner, it is not included.

6 Verification Form Instructions Independent Students (cont.) Verification of 2013 Other Untaxed Income Information for Student Tax Filers These instructions apply to Sections 5 and 6 on V6 forms (See also the instructions on the V6 form) Section 6: Other Sources of Support (not included on the FAFSA) Not all categories of support available to students and their families are reported on the FAFSA. The institution may need to know about these sources to have a better understanding of the financial resources available to the family. Check the box in Section 6 if you receive extended foster care benefits, student aid, Earned Income Credit, Additional Child Tax Credit, Temporary Assistance to Needy Families (TANF), untaxed Social Security benefits, Supplemental Security Income (SSI), Workforce Investment Act educational benefits (WIA), on-base military housing or a military housing allowance, combat pay, benefits from flexible spending arrangements (e.g., cafeteria plans), foreign income exclusion or credit for federal tax on special fuels. Do not include benefits from any of these categories in Section 5. You may be asked to explain how you and your family were supported during 2013 if, in the judgment of the FA staff, the family resources reported on the FAFSA and verification documents appear insufficient for the number of family members reported. Some families may receive support that is not in the form of cash. For example, school age family members may receive free or reduced cost meals through their school. The student may be invited to eat at the homes of friends or relatives. A family may be allowed to live with others or in a home owned by someone else at little or no cost. If the lease/title is in the name of the student or spouse, and someone else is paying the lease or mortgage, that amount is to be listed in Section 5. Note: If asked by the institution and in cases where unusually low income exists, you may be asked to explain how you and/or your family were financial supported during the 2013 calendar year.