Untaxable income vs 1099

Paying for College
161

If you are selected for verification, each COLLEGE that selects you for verification will tell you what they want sent…and they will be pretty specific.

If no college contacts you for verification information…then you are not being verified by that college.

BUT keep a very close eye on your student portal at each school. Sometimes verification requests are sent that way.

Did you complete your FAFSA? Wass there an asterick next to your FAFSA EFC? That asterick means that the FAFSA has been flagged for verification. But even so…do nothing until you hear what to do from each college.

And if verification happens…get the “stuff” sent in quickly once you know what to send.

Your financial aid forms are your FAFSA and the Profile.

The IRS does NOT verify financial aid applications.

162

Okay great. I did not see an asterisk anywhere, even when I submitted to new schools.

163

The 2nd paragraph of your fafsa SAR will say the following if you were selected for fafsa verification.

Copied and pasted from my daughter’s SAR.

164

Some schools may choose to verify all new freshman, so depending on the school - you may have to go through the process regardless of the FAFSA flagging your application or not.

165

I did not see that paragraph. Will I be notified later? And what schools will want me to verify for sure?

166

The school will notify you regarding what documentation is required, likely through their online portal. I don’t have a list of schools that choose to verify all new students, you could contact the schools you are interested in and ask.

167

Ok I’m not going to ask but are you saYing that I have to check manually?

168

Yes, your schools will likely have a portal where you can check on all required documents needed IF you are selected for verification.

169

Alright, I’ll keep an eye on it. So far, I havent been contacted to verify.

170

It will be too early at this point. Schools are just getting their data systems set up for 2015-2016, where they will upload FAFSAs and request documents at that point…which will be later on in the spring.

171

I’ve already received requests for info and using the DRT for my daughter.

172

annoyingdad- those schools are definitely on top of their game :slight_smile:

173

For full disclosure my daughter isn’t an entering freshman.

174

Maybe I shouldn’t have sent/uploaded tax returns so early. I did so because FAFSA was due soon and one of the college’s deadline was Feb 1st, but I found out that it was their preferred deadline…not the actual deadline.

175

I emailed my colleges and they all said that they are fine that my mom doesn’t have w2 or 1099.

176

Okay so my mom is going tomorrow morning. What are the questions that we should ask? What if we are not eligible for EITC since my mom can’t provide documentation for her workplace? Is an amended tax return still needed for verification?

177

Good luck tomorrow. Some questions I would suggest:

Can my mother file an amended tax return? Will you help us do that?
How long does it take to file an amended return?
Can we file as Married Filing Joint or HOH if my Dad is in another country and supported by my Mom?
Can we get the EITC?
Should we change the income to line 7 (instead of line 21)?
How much would the tax be with these changes?
If we are eligible for the EITC - can we file amended returns for previous years to get it?

178

Should we change the income to line 12 (Scedule C or C-EZ) from line 21 (Other Income)?

179

Thanks! I hope the people there don’t tell her to go back to her CPA, because if so, she’s not going back there (she’s looking for another CPA next year)

180

And no asterisk found on FAFSA SAR anywhere…