[Federal Register Volume 87, Number 130 (Friday, July 8, 2022)]
[Notices]
[Pages 40826-40830]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 2022-14511]


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DEPARTMENT OF EDUCATION


Free Application for Federal Student Aid (FAFSA[supreg]) 
Information to be Verified for the 2023-2024 Award Year

AGENCY: Office of Postsecondary Education, Department of Education.

ACTION: Notice.

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SUMMARY: For each award year, the Secretary publishes in the Federal 
Register a notice announcing the FAFSA information that an institution 
and an applicant may be required to verify, as well as the acceptable 
documentation for verifying FAFSA information. This is the notice for 
the 2023-2024 award year, Assistance Listing Numbers 84.007, 84.033, 
84.063, and 84.268.

FOR FURTHER INFORMATION CONTACT: Vanessa Gomez, U.S. Department of 
Education, 400 Maryland Avenue SW, Room 2C179, Washington, DC 20202. 
Telephone: (202) 453-6708. Email: [email protected].
    If you are deaf, hard of hearing, or have a speech disability and 
wish to access telecommunications relay services, please dial 7-1-1.

SUPPLEMENTARY INFORMATION: If the Secretary selects an applicant for 
verification, the applicant's Institutional Student Information Record 
(ISIR) includes flags that indicate (1) that the applicant has been 
selected by the Secretary for verification and (2) the Verification 
Tracking Group (VTG) in which the applicant has been placed. The VTG 
indicates which FAFSA information needs to be verified for the 
applicant and, if appropriate, for the applicant's parent(s) or spouse. 
The Student Aid Report (SAR) provided to the applicant will indicate 
that the applicant's FAFSA information has been selected for 
verification and direct the applicant to contact the institution for 
further instructions for completing the verification process.
    To help institutions and applicants deal with the challenges 
resulting from the novel coronavirus disease (COVID-19) pandemic, the 
Secretary has provided flexibilities to the verification regulations 
through the end of the first payment period that begins after the date 
that the COVID-19 national emergency is rescinded.
    The following chart lists, for the 2023-2024 award year, the FAFSA 
information that an institution and an applicant and, if appropriate, 
the applicant's parent(s) or spouse may be required to verify under 34 
CFR 668.56. The chart also lists the acceptable documentation that 
must, under Sec.  668.57, be provided to an institution for that 
information to be verified.

------------------------------------------------------------------------
           FAFSA information                 Acceptable documentation
------------------------------------------------------------------------
Income information for tax filers:       (1) 2021 tax account
a. Adjusted Gross Income (AGI)            information of the tax filer
b. U.S. Income Tax Paid                   that the Secretary has
c. Untaxed Portions of IRA                identified as having been
 Distributions and Pensions               obtained from the Internal
d. IRA Deductions and Payments            Revenue Service (IRS) through
e. Tax Exempt Interest Income             the IRS Data Retrieval Tool
f. Education Credits                      and that has not been changed
                                          after the information was
                                          obtained from the IRS;
                                         (2) A transcript \1\ obtained
                                          at no cost from the IRS or
                                          other relevant tax authority
                                          of a U.S. territory (Guam,
                                          American Samoa, the U.S.
                                          Virgin Islands) or
                                          commonwealth (Puerto Rico and
                                          the Northern Mariana Islands),
                                          or a foreign government, that
                                          lists 2021 tax account
                                          information of the tax filer;
                                          or
                                         (3) A copy of the income tax
                                          return \1\ and the applicable
                                          schedules \1\ that were filed
                                          with the IRS or other relevant
                                          tax authority of a U.S.
                                          territory, or a foreign
                                          government that lists 2021 tax
                                          account information of the tax
                                          filer.
Income information for tax filers with   (1) For a student, or the
 special circumstances:                   parent(s) of a dependent
a. Adjusted Gross Income (AGI)            student, who filed a 2021
b. U.S. Income Tax Paid                   joint income tax return and
c. Untaxed Portions of IRA                whose income is used in the
 Distributions and Pensions               calculation of the applicant's
d. IRA Deductions and Payments            expected family contribution
e. Tax Exempt Interest Income             and who at the time the FAFSA
f. Education Credits                      was completed was separated,
                                          divorced, widowed, or married
                                          to someone other than the
                                          individual included on the
                                          2021 joint income tax return--
                                         (a) A transcript obtained from
                                          the IRS or other relevant tax
                                          authority that lists 2021 tax
                                          account information of the tax
                                          filer(s); or
                                         (b) A copy of the income tax
                                          return and the applicable
                                          schedules that were filed with
                                          the IRS or other relevant tax
                                          authority that lists 2021 tax
                                          account information of the tax
                                          filer(s); and
                                         (c) A copy of IRS Form W-2 \2\
                                          for each source of 2021
                                          employment income received or
                                          an equivalent document.\2\

[[Page 40827]]

 
                                         (2) For an individual who is
                                          required to file a 2021 IRS
                                          income tax return and has been
                                          granted a filing extension by
                                          the IRS beyond the automatic
                                          six-month extension for tax
                                          year 2021--
                                         (a) A copy of the IRS's
                                          approval of an extension
                                          beyond the automatic six-month
                                          extension for tax year 2021;
                                          \3\
                                         (b) Verification of non-filing
                                          \4\ from the IRS dated on or
                                          after October 1, 2022;
                                         (c) A copy of IRS Form W-2 \2\
                                          for each source of 2021
                                          employment income received or
                                          an equivalent document; \2\
                                          and
                                         (d) If self-employed, a signed
                                          statement certifying the
                                          amount of AGI and U.S. income
                                          tax paid for tax year 2021.
                                         Note: An institution may
                                          require that, after the income
                                          tax return is filed, an
                                          individual granted a filing
                                          extension beyond the automatic
                                          6-month extension submit tax
                                          information using the IRS Data
                                          Retrieval Tool, by obtaining a
                                          transcript from the IRS, or by
                                          submitting a copy of the
                                          income tax return and the
                                          applicable schedules that were
                                          filed with the IRS that lists
                                          2021 tax account information.
                                          When an institution receives
                                          such information, it must be
                                          used to reverify the income
                                          and tax information reported
                                          on the FAFSA.
                                         (3) For an individual who was
                                          the victim of IRS tax-related
                                          identity theft--
                                         (a) A Tax Return DataBase View
                                          (TRDBV) transcript \1\
                                          obtained from the IRS; and
                                         (b) A statement signed and
                                          dated by the tax filer
                                          indicating that he or she was
                                          a victim of IRS tax-related
                                          identity theft and that the
                                          IRS has been made aware of the
                                          tax-related identity theft.
                                         Note: Tax filers may inform the
                                          IRS of the tax-related
                                          identity theft and obtain a
                                          TRDBV transcript by calling
                                          the IRS's Identity Protection
                                          Specialized Unit (IPSU) at 1-
                                          800-908-4490. Unless the
                                          institution has reason to
                                          suspect the authenticity of
                                          the TRDBV transcript provided
                                          by the IRS, a signature or
                                          stamp or any other validation
                                          from the IRS is not needed.
                                         (4) For an individual who filed
                                          an amended income tax return
                                          with the IRS, a signed copy of
                                          the IRS Form 1040X that was
                                          filed with the IRS for tax
                                          year 2021 or documentation
                                          from the IRS that include the
                                          change(s) made to the tax
                                          filer's 2021 tax information,
                                          in addition to one of the
                                          following--
                                         (a) IRS Data Retrieval Tool
                                          information on an ISIR record
                                          with all tax information from
                                          the original 2021 income tax
                                          return;
                                         (b) A transcript obtained from
                                          the IRS that lists 2021 tax
                                          account information of the tax
                                          filer(s); or
                                         (c) A signed copy of the 2021
                                          IRS Form 1040 and the
                                          applicable schedules that were
                                          filed with the IRS.
Income information for non-tax filers:   For an individual who has not
Income earned from work                   filed and, under IRS or other
                                          relevant tax authority rules
                                          (e.g., the Republic of the
                                          Marshall Islands, the Republic
                                          of Palau, the Federated States
                                          of Micronesia, a U.S.
                                          territory or commonwealth or a
                                          foreign government), is not
                                          required to file a 2021 income
                                          tax return--
                                         (1) A signed statement
                                          certifying--
                                         (a) That the individual has not
                                          filed and is not required to
                                          file a 2021 income tax return;
                                          and
                                         (b) The sources of 2021 income
                                          earned from work and the
                                          amount of income from each
                                          source;
                                         (2) A copy of IRS Form W-2 \2\
                                          for each source of 2021
                                          employment income received or
                                          an equivalent document \2\;
                                          and
                                         (3) Except for dependent
                                          students, verification of non-
                                          filing \4\ from the IRS or
                                          other relevant tax authority
                                          dated on or after October 1,
                                          2022.
Number of Household Members............  A statement signed by the
                                          applicant and, if the
                                          applicant is a dependent
                                          student, by one of the
                                          applicant's parents, that
                                          lists the name and age of each
                                          household member for the 2023-
                                          2024 award year and the
                                          relationship of that household
                                          member to the applicant.
                                         Note: Verification of number of
                                          household members is not
                                          required if--
                                          For a dependent
                                          student, the household size
                                          indicated on the ISIR is two
                                          and the parent is single,
                                          separated, divorced, or
                                          widowed, or the household size
                                          indicated on the ISIR is three
                                          if the parents are married or
                                          unmarried and living together;
                                          or
                                          For an independent
                                          student, the household size
                                          indicated on the ISIR is one
                                          and the applicant is single,
                                          separated, divorced, or
                                          widowed, or the household size
                                          indicated on the ISIR is two
                                          if the applicant is married.

[[Page 40828]]

 
Number in College......................  (1) A statement signed by the
                                          applicant and, if the
                                          applicant is a dependent
                                          student, by one of the
                                          applicant's parents listing
                                          the name and age of each
                                          household member, excluding
                                          the parents, who is or will be
                                          attending an eligible
                                          postsecondary educational
                                          institution as at least a half-
                                          time student in the 2023-2024
                                          award year in a program that
                                          leads to a degree or
                                          certificate and the name of
                                          that educational institution.
                                         (2) If an institution has
                                          reason to believe that the
                                          signed statement provided by
                                          the applicant regarding the
                                          number of household members
                                          enrolled in eligible
                                          postsecondary institutions is
                                          inaccurate, the institution
                                          must obtain documentation from
                                          each institution named by the
                                          applicant that the household
                                          member in question is, or will
                                          be, attending on at least a
                                          half-time basis unless--
                                         (a) The applicant's institution
                                          determines that such
                                          documentation is not available
                                          because the household member
                                          in question has not yet
                                          registered at the institution
                                          the household member plans to
                                          attend; or
                                         (b) The institution has
                                          documentation indicating that
                                          the household member in
                                          question will be attending the
                                          same institution as the
                                          applicant.
                                         Note: Verification of the
                                          number of household members in
                                          college is not required if the
                                          number in college indicated on
                                          the ISIR is ``1.''
Identity/Statement of Educational        (1) An applicant must appear in
 Purpose.                                 person and present the
                                          following documentation to an
                                          institutionally authorized
                                          individual to verify the
                                          applicant's identity:
                                         (a) An unexpired valid
                                          government-issued photo
                                          identification \5\ such as,
                                          but not limited to, a driver's
                                          license, non-driver's
                                          identification card, other
                                          State-issued identification,
                                          or U.S. passport. The
                                          institution must maintain an
                                          annotated copy of the
                                          unexpired valid government-
                                          issued photo identification
                                          that includes--
                                         i. The date the identification
                                          was presented; and
                                         ii. The name of the
                                          institutionally authorized
                                          individual who reviewed the
                                          identification; and
                                         (b) A signed statement using
                                          the exact language as follows,
                                          except that the student's
                                          identification number is
                                          optional if collected
                                          elsewhere on the same page as
                                          the statement:
                                            Statement of Educational
                                             Purpose
                                         I certify that I ______ am
                                          (Print Student's Name)
                                         the individual signing this
                                          Statement of Educational
                                          Purpose and that the Federal
                                          student financial assistance I
                                          may receive will only be used
                                          for educational purposes and
                                          to pay the cost of attending
                                          ______ for 2023-2024.
                                         (Name of Postsecondary
                                          Educational Institution)
                                         __________ ___
                                         (Student's Signature) (Date)
                                         __________
                                         (Student's ID Number)
                                         (2) If an institution
                                          determines that an applicant
                                          is unable to appear in person
                                          to present an unexpired valid
                                          government-issued photo
                                          identification and execute the
                                          Statement of Educational
                                          Purpose, the applicant must
                                          provide the institution with--
                                         (a) A copy of an unexpired
                                          valid government-issued photo
                                          identification,\5\ such as,
                                          but not limited to, a driver's
                                          license, non-driver's
                                          identification card, other
                                          State-issued identification,
                                          or U.S. passport that is
                                          acknowledged in a notary
                                          statement or that is presented
                                          to a notary; and
                                         (b) An original notarized
                                          statement signed by the
                                          applicant using the exact
                                          language as follows, except
                                          that the student's
                                          identification number is
                                          optional if collected
                                          elsewhere on the same page as
                                          the statement:
                                            Statement of Educational
                                             Purpose
                                         I certify that I ______ am
                                          (Print Student's Name)
                                         the individual signing this
                                          Statement of Educational
                                          Purpose and that the Federal
                                          student financial assistance I
                                          may receive will only be used
                                          for educational purposes and
                                          to pay the cost of attending
                                          ______ for 2023-2024.
                                         (Name of Postsecondary
                                          Educational Institution)
                                         __________ ___
                                         (Student's Signature) (Date)

[[Page 40829]]

 
                                         __________
                                         (Student's ID Number)
------------------------------------------------------------------------
\1\ This footnote applies, where applicable, whenever an income tax
  return, the applicable schedules, or transcript is mentioned in the
  above chart.
The copy of the 2021 income tax return must include the signature of the
  tax filer, or one of the filers of a joint income tax return, or the
  signed, stamped, typed, or printed name and address of the preparer of
  the income tax return and the preparer's Social Security number,
  Employer Identification Number, or Preparer Tax Identification Number.
For a tax filer who filed an income tax return other than an IRS form,
  such as a foreign or Puerto Rican tax form, the institution must use
  the income information (converted to U.S. dollars) from the lines of
  that form that correspond most closely to the income information
  reported on a U.S. income tax return.
An individual who did not retain a copy of his or her 2021 tax account
  information, and for whom that information cannot be located by the
  IRS or other relevant tax authority, must submit to the institution--
(a) Copies of all IRS Form W-2s for each source of 2021 employment
  income or equivalent documents; or
(b) If the individual is self-employed or filed an income tax return
  with a government of a U.S. territory or commonwealth or a foreign
  government, a signed statement certifying the amount of AGI and income
  taxes paid for tax year 2021; and
(c) Documentation from the IRS or other relevant tax authority that
  indicates the individual's 2021 tax account information cannot be
  located; and
(d) A signed statement that indicates that the individual did not retain
  a copy of his or her 2021 tax account information.
If an individual who was the victim of IRS tax-related identity theft is
  unable to obtain a TRDBV, the institution may accept an equivalent
  document provided by the IRS or a copy of the signed 2021 income tax
  return the individual filed with the IRS.
\2\ An individual who is required to submit an IRS Form W-2 or an
  equivalent document but did not maintain a copy should request a
  duplicate from the employer who issued the original or from the
  government agency that issued the equivalent document. If the
  individual is unable to obtain a duplicate W-2 or an equivalent
  document in a timely manner, the institution may permit that
  individual to provide a signed statement, in accordance with 34 CFR
  668.57(a)(6), that includes--
(a) The amount of income earned from work;
(b) The source of that income; and
(c) The reason why the IRS Form W-2, or an equivalent document, is not
  available in a timely manner.
\3\ For an individual who was called up for active duty or for
  qualifying National Guard duty during a war or other military
  operation or national emergency, an institution must accept a
  statement from the individual certifying that he or she has not filed
  an income tax return or a request for a filing extension because of
  that service.
\4\ If an individual is unable to obtain verification of non-filing from
  the IRS or other relevant tax authority and, based upon the
  institution's determination, it has no reason to question the
  student's or family's good-faith effort to obtain the required
  documentation, the institution may accept a signed statement
  certifying that the individual attempted to obtain the verification of
  non-filing from the IRS or other relevant tax authority and was unable
  to obtain the required documentation.
For IRS extension filers, the signed statement must also indicate that
  the individual has not filed a 2021 income tax return and list the
  sources of any 2021 income, and the amount of income from each source.
Since individuals without a Social Security number, an Individual
  Taxpayer Identification Number, or an Employer Identification Number
  are unable to obtain a verification of non-filing from the IRS, these
  individuals whose income is below the IRS filing threshold must submit
  to the institution a signed and dated statement--
(a) Certifying that the individual(s) does not have a Social Security
  number, an Individual Taxpayer Identification Number, or an Employer
  Identification Number; and
(b) Listing the sources and amounts of earnings, other income, and
  resources that supported the individual(s) for the 2021 tax year.
\5\ An unexpired valid government-issued photo identification is one
  issued by the U.S. government, any of the 50 States, the District of
  Columbia, the Commonwealth of Puerto Rico, a federally recognized
  American Indian and Alaska Native Tribe, American Samoa, Guam, the
  Virgin Islands, the Commonwealth of the Northern Mariana Islands, the
  Republic of the Marshall Islands, the Federated States of Micronesia,
  or the Republic of Palau.

Verification Requirements for Individuals Who Are Eligible for an Auto-
Zero Expected Family Contribution (EFC)

    Only the following FAFSA/ISIR information must be verified:
    For dependent students--
     The parents' AGI if the parents were tax filers;
     The parents' income earned from work if the parents were 
non-tax filers; and
     The student's identity/statement of educational purpose, 
if required.
    For independent students--
     The student's and spouse's AGI if they were tax filers;
     The student's and spouse's income earned from work if they 
were non-tax filers;
     The student's identity/statement of educational purpose, 
if required; and
     The number of household members to determine if the 
independent student has one or more dependents other than a spouse.
    Note: Verification of non-filing \4\ from the IRS (or other 
relevant tax authority, if applicable) dated on or after October 1, 
2022, must be provided for (1) independent students (and spouses, if 
applicable) and parents of dependent students who did not file and are 
not required to file a 2021 income tax return, and (2) individuals who 
are required to file a 2021 IRS income tax return but have not filed 
because they have been granted a tax filing extension by the IRS beyond 
the automatic 6-month extension for the 2021 tax year.
    The individual FAFSA items that an applicant must verify are based 
upon the Verification Tracking Group to which the applicant is assigned 
as outlined in the following chart.

------------------------------------------------------------------------
                                                      FAFSA information
 Verification tracking flag       Verification         required to be
                               tracking group name        verified
------------------------------------------------------------------------
V1..........................  Standard              Tax Filers:
                               Verification Group.   Adjusted
                                                     Gross Income.
                                                     U.S. Income
                                                     Tax Paid.
                                                     Untaxed
                                                     Portions of IRA
                                                     Distributions and
                                                     Pensions.
                                                     IRA
                                                     Deductions and
                                                     Payments.
                                                     Tax Exempt
                                                     Interest Income.
                                                     Education
                                                     Tax Credits.
                                                    Non-Tax Filers:
                                                     Income
                                                     Earned from Work.

[[Page 40830]]

 
                                                    Tax Filers and Non-
                                                     Tax Filers:
                                                     Number of
                                                     Household Members.
                                                     Number in
                                                     College.
V2..........................  Reserved............  N/A.
V3..........................  Reserved............  N/A.
V4..........................  Custom Verification       Identity/
                               Group.                   Statement of
                                                        Educational
                                                        Purpose.
V5..........................  Aggregate             Tax Filers:
                               Verification Group.   Adjusted
                                                     Gross Income.
                                                     U.S. Income
                                                     Tax Paid.
                                                     Untaxed
                                                     Portions of IRA
                                                     Distributions and
                                                     Pensions.
                                                     IRA
                                                     Deductions and
                                                     Payments.
                                                     Tax Exempt
                                                     Interest Income.
                                                     Education
                                                     Tax Credits.
                                                    Non-Tax Filers:
                                                     Income
                                                     Earned from Work.
                                                    Tax Filers and Non-
                                                     Tax Filers:
                                                     Number of
                                                     Household Members.
                                                     Number in
                                                     College.
                                                     Identity/
                                                     Statement of
                                                     Educational
                                                     Purpose.
V6..........................  Reserved............  N/A.
------------------------------------------------------------------------

Other Sources for Detailed Information

    We provide a more detailed discussion on the verification process 
in the following resources that will be available on the Knowledge 
Center web page at https://fsapartners.ed.gov/knowledge-center:
     2023-2024 Application and Verification Guide.
     2023-2024 ISIR Guide.
     2023-2024 SAR Comment Codes and Text.
     2023-2024 COD Technical Reference.
     Program Integrity Information--Questions and Answers on 
Verification at www2.ed.gov/policy/highered/reg/hearulemaking/2009/verification.html.
    Accessible Format: On request to the program contact person listed 
under FOR FURTHER INFORMATION CONTACT, individuals with disabilities 
can obtain this document in an accessible format. The Department will 
provide the requestor with an accessible format that may include Rich 
Text Format (RTF) or text format (txt), a thumb drive, an MP3 file, 
braille, large print, audiotape, or compact disc or other accessible 
format.
    Electronic Access to This Document: The official version of this 
document is the document published in the Federal Register. You may 
access the official edition of the Federal Register and the Code of 
Federal Regulations at www.govinfo.gov. 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 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: 
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, 1070b-1070b-4, 1087a-1087j, and 
20 U.S.C. 1087-51-1087-58.

Annmarie Weisman,
Deputy Assistant Secretary for Policy, Planning, and Innovation, Office 
of Postsecondary Education.
[FR Doc. 2022-14511 Filed 7-7-22; 8:45 am]
BILLING CODE 4000-01-P