My child competed their FAFSA already. When doing this I realized that when I did my taxes I entered my VA disability which is untaxed income as Untaxed pensions. They are asked as separate questions on the FAFSA and on the tax forms. I don’t know how or why I made this mistake. Should I file an amendment on my taxes? Should I try to correct the error somehow or are all untaxed income treated the same? How will this affect her award amount?
Why would untaxed income be on the tax return?