[Federal Register Volume 76, Number 134 (Wednesday, July 13, 2011)]
[Notices]
[Pages 41231-41233]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 2011-17655]


=======================================================================
-----------------------------------------------------------------------

DEPARTMENT OF EDUCATION

[CFDA Nos. 84.007, 84.033, 84.038, 84.063, and 84.268]


Free Application for Federal Student Aid (FAFSA); Information To 
Be Verified for the 2012-2013 Award Year

AGENCY: Office of Postsecondary Education, Department of Education.

ACTION: Notice.

-----------------------------------------------------------------------

SUMMARY: On October 29, 2010, the Secretary published in the Federal 
Register (75 FR 66832) final regulations related to program integrity 
issues in the programs authorized under title IV of the Higher 
Education Act of 1965, as amended (HEA). Included in these regulations 
were changes to subpart E of part 668 of title 34 of the Code of 
Federal Regulations, which includes the Department's regulations for 
the verification of information submitted on a FAFSA by an applicant 
for financial assistance from the Federal student assistance programs 
authorized under title IV of the HEA. New Sec.  668.56(a) provides that 
for each award year the Secretary will publish in the Federal Register 
a notice announcing the FAFSA information that an institution and an 
applicant may be required to verify. New Sec.  668.57(d) further 
provides that if an applicant is selected to verify FAFSA information 
specified in the Federal Register notice, the applicant must provide 
the documentation that the Secretary has specified for that information 
in the Federal Register notice. Accordingly, through this notice, the 
Secretary announces the FAFSA information that an institution and an 
applicant may be required to verify and the acceptable documentation 
that an applicant must provide to an institution to verify such FAFSA 
information for the 2012-2013 award year, which is the first award year 
following the effective date of the regulations.

FOR FURTHER INFORMATION CONTACT: Jacquelyn C. Butler, U.S. Department 
of Education, Office of Postsecondary Education, 1990 K Street, NW., 
room 8053, Washington, DC 20006. Telephone: (202) 502-7890.
    If you use a telecommunications device for the deaf (TDD), call the 
Federal Relay Service (FRS), toll free, at 1-800-877-8339.
    Individuals with disabilities can obtain this document in an 
accessible format (e.g., braille, large print, audiotape, or computer 
diskette) on request to the program contact person listed under FOR 
FURTHER INFORMATION CONTACT.

SUPPLEMENTARY INFORMATION: The following chart lists the FAFSA 
information that an institution and an applicant and, if appropriate 
his or her parent(s) or spouse, may be required to verify and the 
acceptable documentation that an applicant must provide to an 
institution for that selected item for the 2012-2013 award year.

------------------------------------------------------------------------
  FAFSA information selected       Acceptable documentation for FAFSA
       for verification          information selected for verification
------------------------------------------------------------------------
All applicants...............  A statement signed by both the applicant
 Number of household    and one of the parents of a dependent
 members.                       student, or only the applicant if the
                                applicant is an independent student,
                                that lists--
                                  (a) The name and age of each household
                                   member; and
                                  (b) The relationship of that household
                                   member to the applicant.
                               Note that verification of number of
                                household members is not required if:
                                  (a) For a dependent student, the
                                   household size reported on the FAFSA
                                   is two and the parent is single,
                                   separated, divorced, or widowed; or
                                   three if the parents are married; or
                                  (b) For an independent student, the
                                   household size reported on the FAFSA
                                   is one and the applicant is single,
                                   separated, divorced, or widowed; or
                                   two if the applicant is married.
                                   (Sec.   668.57(b))
 Number of household   (1) A statement signed by both the
 members enrolled at least      applicant and one of the parents of a
 half-time in eligible          dependent student, or only the applicant
 postsecondary institutions.    if the applicant is an independent
                                student, listing--
                               (a) The name and age of each household
                                member who is or will be attending an
                                eligible postsecondary educational
                                institution as at least a half-time
                                student in the 2012-2013 award year; and
                                  (b) The name of the eligible
                                   institution(s) that each household
                                   member is or will be attending during
                                   the 2012-2013 award year. (Sec.
                                   668.57(c))
                               (2) If an institution has reason to
                                believe that an applicant's FAFSA
                                information or the statement provided by
                                the applicant regarding the number of
                                household members enrolled in eligible
                                postsecondary institutions is
                                inaccurate, the institution must obtain
                                a statement from each institution named
                                by the applicant that the household
                                member in question is or will be
                                attending that institution on at least a
                                half-time basis unless--

[[Page 41232]]

 
                                  (a) The institution the student is
                                   attending determines that such a
                                   statement is not available because
                                   the household member in question has
                                   not yet registered at the institution
                                   he or she plans to attend; or
                                  (b) The institution has information
                                   indicating that the household member
                                   in question will be attending the
                                   same institution as the applicant.
                               Note that verification is not required if
                                the reported number of household members
                                enrolled at least half-time in eligible
                                postsecondary institutions is one. (Sec.
                                  668.57(c)(2))
 Food Stamps--         Documentation from the agency that issues
 Supplemental Nutrition         the Food Stamps benefit or alternative
 Assistance Program (SNAP).     documentation as determined by the
                                institution to be sufficient to confirm
                                that the applicant received Food Stamps
                                in 2010 or 2011. (Sec.   668.57(d))
 Child Support Paid..  (1) A statement signed by the applicant,
                                spouse, or parent who paid child support
                                certifying--
                                  (a) The amount of child support paid;
                                  (b) The name of the person to whom
                                   child support was paid; and
                                  (c) The name of the children for whom
                                   child support was paid.
                               (2) If the institution believes the
                                information provided in the signed
                                statement is inaccurate, the applicant
                                must provide the institution with
                                documentation such as--
                                  (a) A copy of the separation agreement
                                   or divorce decree that shows the
                                   amount of child support to be
                                   provided;
                                  (b) A statement from the individual
                                   receiving the child support showing
                                   the amount provided; or
                                  (c) Copies of the child support checks
                                   or money order receipts. (Sec.
                                   668.57(d))
Income information for tax     (1) Information that the Secretary has
 filers \1\.                    identified as having been obtained from
 Adjusted Gross         the Internal Revenue Service (IRS)
 Income (AGI).                  (commonly referred to as the IRS Data
 U.S. income tax paid   Retrieval Process) and not having been
 Untaxed IRA            changed. (Sec.   668.57(a)(2))
 Distributions.                (2) If a tax filer is unable to provide
 Untaxed Pensions....   the income information through the IRS
 Education Credits...   Data Retrieval Process, a transcript \2\
 IRA Deductions......   obtained from the IRS that lists tax
 Tax Exempt Interest.   account information of the tax filer for
                                tax year 2011. (Sec.   668.57(a)(1)(i))
Income information for tax     For an individual that filed a joint
 filers with special            income tax return and is married to
 circumstances \1\.             someone other than the individual
                                included on a joint income tax return,
                                or is separated, divorced, or widowed:
 Adjusted Gross           (1) A transcript \2\ obtained from the
 Income (AGI)                      IRS that lists tax account
 U.S. income tax paid      information of the tax filer(s) for
                                   tax year 2011; and (Sec.
                                   668.57(a)(1)(i))
 Untaxed IRA              (2) A copy of IRS Form W-2 \3\ for
 Distributions                     each source of employment income
 Untaxed Pensions....      received for tax year 2011 by--
 Education Credits...  (a) The parent(s) of a dependent student
 IRA Deductions......   whose income is used in the calculation
 Tax Exempt Interest.   of the applicant's expected family
                                contribution (EFC) if the parent(s)
                                filed a joint income tax return and the
                                parent(s) is married to someone other
                                than the individual included on a joint
                                income tax return, or is separated,
                                divorced, or widowed. (Sec.
                                668.57(a)(1)(ii))
                               (b) An independent student who filed a
                                joint income tax return and who is
                                married to someone other than the
                                individual included on a joint income
                                tax return, or who is separated,
                                divorced, or widowed. (Sec.
                                668.57(a)(1)(iii))
                               For an individual who is required to file
                                a U.S. income tax return and has been
                                granted a filing extension by the IRS:
                                  (1) A copy of IRS Form 4868,
                                   ``Application for Automatic Extension
                                   of Time to File U.S. Individual
                                   Income Tax Return,'' that the
                                   individual filed with the IRS for tax
                                   year 2011, or a copy of the IRS's
                                   approval of an extension beyond the
                                   automatic six-month extension if the
                                   individual requested an additional
                                   extension of the filing time for tax
                                   year 2011. After the income tax
                                   return is filed, an institution may
                                   request that an individual granted a
                                   filing extension submit a transcript
                                   \2\ from the IRS that lists tax
                                   account information for tax year
                                   2011. If an institution receives the
                                   transcript\2\, it must reverify the
                                   AGI and taxes paid by the tax
                                   filer(s). (Sec.   668.57(a)(3)(ii)
                                   and (a)(4)(ii)(A))
                                  (2) A copy of IRS Form W-2 \3\ for
                                   each source of employment income
                                   received for tax year 2011 by an
                                   individual that has been granted a
                                   filing extension by the IRS for tax
                                   year 2011. (Sec.
                                   668.57(a)(4)(ii)(B))
                                  (3) A signed statement by a self-
                                   employed individual certifying the
                                   amount of the AGI and the U.S. income
                                   tax paid for tax year 2011. (Sec.
                                   668.57(a)(4)(ii)(B))
                               For an individual that has requested a
                                transcript that lists tax account
                                information for tax year 2011 and the
                                IRS, a government of a U.S. territory or
                                commonwealth or a foreign central
                                government cannot provide or locate a
                                transcript that lists tax account
                                information:
                                  (1) A copy of IRS Form W-2 \3\ for
                                   each source of employment income
                                   received for tax year 2011 (Sec.
                                   668.57(a)(3)(iii) and (a)(4)(iii)(A))
                                  (2) A signed statement by a self-
                                   employed individual or an individual
                                   that has filed an income tax return
                                   with a government of a U.S. territory
                                   or commonwealth or a foreign central
                                   government certifying the amount of
                                   AGI and taxes paid for tax year 2011.
                                   (Sec.   668.57(a)(4)(iii)(B))
Income information for nontax  For an individual that has not filed and,
 filers.                        under IRS rules or other applicable
 Income earned from     government agency rules, is not required
 work.                          to file an income tax return--
                                  (1) A copy of IRS Form W-2 \3\ for
                                   each source of employment income
                                   received for tax year 2011. (Sec.
                                   668.57(a)(3)(i) and (a)(4)(i)(B))
                                  (2) A signed statement certifying--
                                  (a) That the individual has not filed
                                   and is not required to file an income
                                   tax return for tax year 2011; and
                                   (Sec.   668.57(a)(3)(i) and
                                   (a)(4)(i))

[[Page 41233]]

 
                                  (b) The sources of income earned from
                                   work as reported on the FAFSA and
                                   amounts of income from each source
                                   for tax year 2011 that is not
                                   reported on IRS Form W-2. (Sec.
                                   668.57(a)(3)(i) and (a)(4)(i))
------------------------------------------------------------------------
\1\ A tax filer that filed an income tax return other than an IRS form,
  such as a foreign or Puerto Rican tax form, must use the income
  information (converted to U.S. dollars) from the lines of the relevant
  income tax return that corresponds most closely to the income
  information reported on a U.S. income tax return.
\2\ If an institution determines that obtaining a transcript from the
  IRS is not possible, the institution may accept a copy of the 2011
  income tax return that includes the signature of the filer of the
  income tax return or one of the filers of a joint income tax return,
  or the preparer's Social Security Number, Employer Identification
  Number or that has the Preparer Tax Identification Number and has been
  signed, stamped, typed, or printed with the name and address of the
  preparer of the income tax return. Sec.   668.57(a)(1)(i) and Sec.
  668.57(a)(7)
\3\ If an individual who is required to submit an IRS Form W-2 is unable
  to obtain one in a timely manner, the institution may permit that
  individual to provide a signed statement that includes the amount of
  income earned from work, the source of that income, and the reason
  that the IRS Form W-2 is not available in a timely manner.

Other Sources for Detailed Information

    We provide a more detailed discussion on the verification process 
in the following publications:
     Preamble to the Program Integrity Notice of Proposed 
Rulemaking (NPRM) (See 75 FR 34825-34834 (June 18, 2010)).
     Preamble and Subpart E of the Program Integrity Final 
Regulations (See 75 FR 66902-66913 and 66954-66958 (October 29, 2010)).
     Dear Colleague Letter GEN-11-03.
     2012-2013 Application and Verification Guide.
     2012-2013 ISIR Guide.
     2012-2013 SAR Comment Codes and Text.
     2012-2013 COD Technical Reference.

You may access these publications at the Information for Financial Aid 
Professionals Web site at: http://www.ifap.ed.gov.
    Electronic Access to This Document: The official version of this 
document is the document published in the Federal Register. Free 
Internet access to the official edition of the Federal Register and the 
Code of Federal Regulations is available via the Federal Digital System 
at: http://www.gpo.gov/fdsys. At this site you can view this document, 
as well as all other documents of this Department published in the 
Federal Register, in text or Adobe Portable Document Format (PDF). To 
use PDF you must have Adobe Acrobat Reader, which is available free at 
the site.
    You may also access documents of the Department published in the 
Federal Register by using the article search feature at: http://www.federalregister.gov. Specifically, through the advanced search 
feature at this site, you can limit your search to documents published 
by the Department.

    Program Authority: 20 U.S.C. 1070a, 1070a-1, 1070b-1070b-4, 
1070c-1070c-4, 1070g, 1071-1087-2, 1087a-1087j, and 1087aa-1087ii; 
42 U.S.C. 2751-2756b.

    Dated: July 8, 2011.
Eduardo M. Ochoa,
Assistant Secretary for Postsecondary Education.
[FR Doc. 2011-17655 Filed 7-12-11; 8:45 am]
BILLING CODE 4000-01-P