irs data retrieval tool for fafsa

The IRS Data Retrieval tool is a process that helps streamline the Free Application for Federal Student Aid (FAFSA) by allowing online FAFSA filers to pull specific tax return data directly from the Internal Revenue Service (IRS). The retrieval tool will save you time and increase the accuracy of your FAFSA information.

Availability
For the 2012-2013 academic year, the IRS data retrieval process is tentatively scheduled to be available February 1, 2012.

• Electronically filed tax return information will be available online from the IRS site in 1-2 weeks after the return has been filed.
• Data from paper tax returns will be available in 6-8 weeks.

Estimating Taxes and FAFSA Corrections
Since you can complete the FAFSA beginning January 1st (of the year for which you need aid) and because financial aid is awarded on a first-come, first-served basis, you still have the option of estimating taxes for the FAFSA and manually entering your data. Starting around April 1, 2012, Federal Student Aid will send notifications to remind you that once you have filed your income tax return, you should use the FAFSA corrections process to update your FAFSA using the FAFSA IRS Data Retrieval process.

If you choose not to use the FAFSA IRS Data Retrieval process or retrieve IRS data but subsequently change it, you will need to explain to your institutions why information you provided is more accurate than the information that would have been obtained directly from the IRS. If you elect to not use the retrieval process, you will be subject to being selected for verification. If selected for verification, you will be required to support your reported FAFSA data with information obtained directly from the IRS.
 
Eligibilty
For 2012-2013, applicants filing an initial or renewal application or making a correction are eligible to use the IRS Data Retrieval tool if he or she meets all of the following criteria:

• Must have valid SSN
• Must have filed a 2011 federal tax return
• Must have unchanged marital status since December 31, 2011

• Parents with all zeroes for SSN 
• Any student or parent with a marital status date of January 1, 2012 or later
• Any student or parent who indicates they have not already filed a tax return or will not file a tax return
• A married independent applicant and spouse who filed separate tax returns
• Parents of a dependent student who filed separate tax returns 
• The applicant, parent, or spouse, as applicable, who have filed an amended tax return