Tax Return Transcript

Report
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2011-12 and prior years, students selected
for verification could submit copies of
applicable 1040s and W-2s.
For 2012-13 regulatory changes made were
related to program integrity issues as
published in the Oct 29, 2010 Federal
Register (75 FR 66832) and in the July 13,
2011 Federal Register (76 FR 41231).
Acceptable verification documents changed
to include Tax Transcripts.
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There are a few options for students/parents to
request IRS Tax Transcripts.
• Online at:
http://www.irs.gov/individuals/article/0,,id=232168,00.html?portlet=105
• By Phone: 1-800-908-9946
• By Request Form: 4506-T or 4506T-EZ
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Online requests: This is the preferred method. However,
online requests can’t be processed if the transcript needs to
be mailed to another address other than the one on file at
IRS. Student/Parent will need to use the 4506-T or 4506T-EZ.
4506-T: Other information that can be requested with the
4506-T form include Verification of Non-filing and Forms
W-2, Form 1099 series, Form 1098 series, Form 5498 series.
VS.
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Which one do we need?
◦ Tax Return Transcript
◦ Tax Account Transcript
◦ Record of Account
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Includes most of the line items of a filed tax
return.
Does not reflect changes made to the account
after the return is processed.
Available only for following returns. Form
1040 series, forms 1065, 1120, 1120A,
1120H, 1120L and 1120S.
Most requests processed within 10 days of
the request date.
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These contain information about the financial
status of the account, such as payments,
penalties and adjustments made after taxes
are filed.
Has limited information and is available for
most filers.
Most requests are processed within 30
calendar days from the request date.
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Provides the most detailed information since
it is a combination of the Return Transcript
and the Account Transcript.
Available for current year and 3 prior tax
years.
Most requests will be processed within 30
calendar days from request date.
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The Department of Education issued the FAFSA
Verification-IRS Tax Return Transcript Matrix on
February 24 and a revision on March 16, 2012.
The matrix cross references line items from the
FAFSA, ISIR, Tax Return Transcript and 1040 forms.
First identify which 1040 form (ex: 1040, 1040A,
1040EZ) used by the student/parent filed. Find the
“Form Number” line item on the Tax Return
Transcript. Review “Filing status” and “Exemptions”.
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Look at 2011Tax Return Transcript that is the
result of a filed 1040. If there is a dollar value
on any of the following lines, they are not
eligible to file a 1040A or 1040EZ.
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REFUNDS OF STATE/LOCAL TAXES
ALIMONY RECEIVED
BUSINESS INCOME OR LOSS: SCH C PER COMPUTER
CAPITAL GAINS OR LOSS: SCH D PER COMPUTER
OTHER GAINS OR LOSSES: (Form 4797)
RENT/ROYALTY/PARTNERSHIP/ESTATE (Schedule E) PER COMPUTER
RENT/ROTALTY INCOME/LOSS PER COMPUTER:
ESTATE/TRUST INCOME/LOSS PER COMPUTER
PARTNERSHIP/S-CORP INOCME/LOSS PER COMPUTER
FARM INCOME OR LOSS (Schedule F) PER COMPUTER
OTHER INCOME
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RESERVIST AND OTHER BUSINESS EXPENSE
HEALTH SAVINGS ACCT DEDUCTION PER COMPUTER
MOVING EXPENSES: F3903
SELF EMPLOYMENT TAX DEDUCTION PER COMPUTER
KEOGH/SEP CONTRIBUTION DEDUCTION
SELF-EMP HEALTH INS DEDUCTION
EARLY WITHDRAWAL OF SAVINGS PENALTY
ALIMONY PAID
DOMESTIC PRODUCTION ACTIVITIES DEDUCTION
ADDITIONAL STANDARD DEDUCTION PER COMPUTER
STANDARD DEDUCTION PER COMPUTER
FOREIGN TAX CREDIT
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FOREIGN TAX CREDIT PER COMPUTER
RESIDENTIAL ENERGY CREDIT PER COMPUTER
F3800, F8801 AND OTHER CREDIT AMOUNT
SE TAX
SE TAX PER COMPUTER
SOCIAL SECURITY AND MEDICARE TAX ON UNREPORTED TIPS PER COMPUTER
TAX ON QUALIFIED PLANS F5329 PER COMPUTER
HOUSEHOLD EMPLOYMENT TAXES PER COMPUTER
RECAPTURE TAXES
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EXCESS SOCIAL SECURITY & RRTA TAX WITHHELD
FIRST TIME HOME BUYER CREDIT PER COMPUTER
FIRST TIME HOME BUYER CREDIT VERIFIED
AMOUNT PAID WITH FORM 4868 (Filing Extension)
FORM 4136 CREDIT FOR FEDERAL TAX ON FUELS
FORM 4136 CREDIT FOR FEDERAL TAX ON FUELS PER COMPUTER
HEALTH COVERAGE TX CR: F8885
FORM 2439, 8801, and OTHER CREDIT TOTAL AMT
‘Per Computer’ is the value
calculated by the IRS and must be
used for verification even if it is
different than what was reported
by the tax filer to the IRS.
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On the FAFSA, questions 35 and 83
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On the ISIR, fields 42 and 106
On the 2011 Tax Return Transcript
“Adjusted Gross Income Per Computer”
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On the 2011 IRS 1040, line 37
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On the 2011 IRS 1040A, line 21
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On the 2011 IRS 1040EZ, line 4
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On the FAFSA, questions 36 and 84
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On the ISIR, fields 43 and 107
On the 2011 IRS Tax Return Transcript
For 1040 transcripts “Income Tax After Credits
Per Computer”
For 1040A transcripts “Total Tax Liability TP
Figures Per Computer”
For 1040EZ transcripts “Total Tax Liability TP
Figures Per Computer”
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On the 2011 IRS 1040, line 55
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On the 2011 IRS 1040A, line 35
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On the 2011 IRS 1040EZ, line 10
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On the FAFSA, questions 43a and 91a
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On the ISIR, fields 50 and 114
On the 2011 IRS Tax Return Transcript
“Education Credit Per Computer”
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On the 2011 IRS 1040, line 49
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On the 2011 IRS 1040A, line 31
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On the 2011 IRS 1040EZ, NA
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On the FAFSA, questions 44b and 92b
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On the ISIR, fields 57 and 121
On the 2011 Tax Return Transcript
“KEOGH/SEP Contribution Deduction + IRA Deduction
Per Computer”
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On the 2011 1040, lines 28 + 32
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On the 2011 1040A, line 17
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On the 2011 1040EZ, NA
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On the FAFSA, questions 44d and 92d
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On the ISIR, questions 59 and 123
On the 2011 Tax Return Transcript
“Tax-Exempt Interest”
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On the 2011 1040, line 8b
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On the 2011 1040A, line 8b
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On the 2011 1040EZ, NA
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On the FAFSA, questions 44e and 92e
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On the ISIR, fields 60 and 124
On the 2011 Tax Return Transcript
“Total IRA Distributions minus Taxable IRA
Distributions”
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On the 2011 1040, lines 15a minus 15b
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On the 2011 1040A, lines 11a minus 11b
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On the 2011 1040EZ, NA
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On the FAFSA, questions 44f and 92f
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On the ISIR, lines 61 and 125
On the 2011 Tax Return Transcript
“Total Pensions and Annuities minus Taxable IRA
Distributions”
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On the 2011 1040, lines 16a minus 16b
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On the 2011 1040A, lines 12a minus 12b
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On the 2011 1040EZ, NA
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When students and parents ask why we need
their IRS Tax Transcript for 2012-13.
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Tax Transcripts are
Great reason to visit irs.gov
No calories and high in fiber
?????
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Options to request Tax Transcripts (online,
phone, 4506-T or 4506T-EZ.
There are different types of Tax Transcripts.
Review Filing Status, Form Number,
Exemptions on Tax Return Transcript.
Use the ‘Matrix’ offered by Department of
Education to verify amounts reported on
FAFSA.
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Resources:
Ifap.ed.gov
Irs.gov
2012–2013 FAFSA Verification-IRS Tax Return Transcript Matrix
USA Funds
Great Lakes
Contact:
Regina S. Carver
[email protected]
801.626.6732
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