Today and the 2013-14 Horizon

Verification

Overview of 2012-13 Changes in 2012-13 (I.E. the

Learning Curve) Transition to Customized

Verification (VI-V5) Reference Information

Scope of the Presentation

{The Only

= !

Verification 2012-13

Constant Is Change !

Elimination of the 30% Rule

30%

Elimination of the $400 Tolerance

$400

Dependent Status Changes

SNAP (Food Stamp) Verification

Verification Before Professional Judgment

Acceptable Documentation

FAFSA Data Retrieval

Acceptable DocumentationIRS Tax Transcript

Changes and the Implementation Learning

Curve

Timeline Delays in DRT Availability

Delays for Balances Owed

DRT and Transcript Requests

Originally a Tax Transcript and Tax Account Transcript

ORA Record of Account Required

Amended Returns

New Guidance Enables Verification with Signed Original

Tax Return (or unsigned tax transcript) and Signed Amended

Return (1040X)

Amended Returns“…when an institution is aware that an amended tax return was filed, the institution will need to use information from both documents selected below to complete and satisfy the verification requirements–• a signed copy of the original tax return

that was filed with the IRS, an IRS Tax Return Transcript (which does not have to be signed), or the documentation specified under DOC-Q10/DOC-A10, and

• a signed copy of the IRS Form 1040X that was filed with the IRS.”--Ed.gov Negotiated

Rulemakinghttp://www2.ed.gov/policy/highered/reg/hearulemaking/2009/verification.html

Verification and the 2013-14 Horizon

Builds on 2013-14 Data Elements

The 2013-14 Award Year

Adds Two New Items• High School Completion• Identity and Statement of

Educational Purpose

Introduces the V1-V5 Verification Groups

High School Diploma Copy of Final HS Transcript

Showing Graduation Date Alternative Documentation

GED, State Exam, Transcript of 2-year Program with Credit toward Bachelor’s Degree, OR…

New Documentation: High School Completion

“For a person who is seeking enrollment in an educational program that leads to

at least an associate degree or its equivalent and has not completed high school but has excelled academically in

high school, documentation from the high school that the student excelled academically when in high school and

documentation from the postsecondary institution that the student has met the

formalized, written policies of the postsecondary institution for admitting

such students”

Students without a HS Diploma

• Transcript or the equivalent, signed by the parent or guardian, that lists the secondary school courses completed by the applicant and documents the successful completion of a secondary school education; or

• A secondary school completion credential for home school (other than a high school diploma or its recognized equivalent) provided for under State law

Homeschooled Students

• Appear in person and present to an institutionally authorized individual--• A valid government-issued

photo identification (driver’s license, non-driver’s license, military identification, or passport); and

• A signed statement of educational purpose

Statement of Identity/Purpose

Purpose

Must maintain an annotated copy of the identification submitted by the applicant that includes—

• The date documentation was received; and • The name of the institutionally-authorized

individual that obtained the documentation

Additional Requirements

If unable to appear in person, a student must provide the institution—

• A copy of a valid government-issued photo identification (driver’s license, non-driver’s license, military identification, or passport); and

• An original notarized statement of educational purpose signed by the applicant

What if you can’t appear in person?

Other than documentation for the two new categories, documentation currently acceptable for the 2012-13 aid year remains the same for 2013-14

Acceptable Documentation

V1: Standard V2: SNAP Only V3: Child Support Paid Only V4: Custom (Child Support, SNAP, High

School Completion, and Statement of Purpose/Identity)

V5: Aggregate (All Data Items)

Verification Tracking Groups

V1: Standard data elements Documentation may include VWS, Tax

Transcript or DRT (or signed amended return if applicable), etc.

V1: Standard Verification

V2: SNAP (Food Stamps) Verification of Benefit

Documentation (if reported on FAFSA) may include:

verification worksheet (or signed certification of receipt),

or institution may request documentation from agency issuing benefit

V2: SNAP Benefits

V3: Child Support Paid Documentation (if reported on FAFSA) may

include: Verification worksheet (or signed certification

of payment), indicating—• Amount of child support paid• Name of the person to whom it was paid, and• Name of the children for whom it was paid

V3: Child Support Paid

V4: High School Completion and Statement of Identity/Purpose

May also include Child Support Paid and SNAP (if indicated on the FAFSA)

Documentation (if reported on FAFSA) may include: Verification worksheet (or appropriate SNAP/Child

support paid documentation) Proof of high school completion or alternative

documentation Proof of identity and statement of educational purpose

V4: Custom

V5: Verification of all items required Documentation (if reported on FAFSA) may include:

Verification worksheet (or appropriate SNAP/Child support paid documentation), household size, and # in college

Proof of high school completion or alternative documentation

Proof of identity and statement of educational purpose Income and tax data

V5: Aggregate

Items Tracking Group

V1 V2 V3 V4 V5

Household Size

# In College

Child Support Paid

SNAP

HS Completion

Identity/Purpose

Income/Tax

Verification Items

E-CFR 668.53: An institution's procedures must provide that it

will furnish, in a timely manner, to each applicant whose FAFSA information is selected for verification a clear explanation of—

(1) The documentation needed to satisfy the verification requirements; and

(2) The applicant's responsibilities with respect to the verification of FAFSA information, including the deadlines for completing any actions required under this subpart and the consequences of failing to complete any required action.

Update to Policies and Procedures

Reference Information

Reference Information

FAFSA-IRS Tax Return Transcript Matrix• http://www.ifap.ed.gov/eannouncements/03

1612FAFSA1213VerificationIRSTaxReturnMatrix.html

2012-13 Application and Verification Guide• http://www.ifap.ed.gov/fsahandbook/attach

ments/1213AVG.pdfGEN-12-07—Acceptable Documentation for Income and Taxes• http://www.ifap.ed.gov/dpcletters/attachme

nts/GEN1207.pdf

Questions?