Why the question re form 1040EZ on the FAFSA?

Question

Why does the FAFSA ask if the student was eligible to file Form 1040A or 1040EZ?
Does answering no affect eligiblilty for assistance?
Can I amend my return to use the standard deduction, and then answer yes?

Answer 1

This question is asked on the FAFSA b/c there are several different formulas your information can be run through to determine aid. If both you and your parent(s) are eligible to file a short form (doesn't mean you had to, just that you could) and meet a few other qualifications then you fall into a formula where all assets are ignored. When filling out the form online, b/c of skip logic built into the program, you may be asked if you want to skip the asset reporting questions.

Answer 2

Filing the FAFSA and dealing with financial aid can be a really intimidating experience. The first thing to do is relax.

In addition to determining your financial aid eligibility, the FAFSA also collects data about students in general for various reasons. The questions regarding your parents' educational levels help to determine eligibility for TRiO programs. Answering "no" to the question about being eligible to file a 1040A or 1040EZ does NOT automatically make you ineligible for financial aid. You do not need to amend your tax return.

The FAFSA generates an SAR (Student Aid Report) which includes a number known as an EFC (Estimated Family Contribution). This is the amount you and your family are expected to contribute toward your education. Regardless of which tax form you filed, if your family is low-income and has many people in the household attending college, your EFC will be low.

Also, some agencies that give scholarships require the FAFSA, eventhough their scholarships may not be income contingent.

Many people in poor communities have their taxes done by professional services who use a 1040, eventhough the person may not be itemizing any deductions. So, the question about the being eligible to file a 1040A or 1040EZ is primarily about deductions.

On the online version of the FAFSA, there is an explanation on the left sidebar about who would have been eligible to use a 1040A or 1040EZ. Answer these questions:

Was your income more than $100,000 per year?
Did you itemize deductions?
Were you self-employed?
Did you receive alimony?

If you answered yes to any of those questions, then you were correct in filing a 1040. If you answered no to all thse questions, you could have filed a 1040A or 1040EZ.

Always answer the questions on the FAFSA (and any other form) honestly and to the best of your knowledge. About one in ten students who attend college each year are required to submit actual copies of the documents used in preparation of the FAFSA.

Answer 3

If you make enough money and have enough deductions to file a 1040A, you probably only qualify for loans.

Answer 4

1040 A and EZ are for ppl whom didn't itemize their deductions and most ppl using these forms are able to recieve Pell grants and up to sub and unsubsidized loans. These forms are for the lower to average median families, non-business owners.

Answer 5

No it doesn't directly influence eligibility. That look at the questions to determine need

Answer 6

they need to know how much you made and how many dependents you have if any.

http://www.fafsa.ed.gov/ -->Federal Financial Aid Website<---

http://www.iefa.org -------> International Students on the web <----

http://www.about.com --->Great search engine and information site for everything <---

http://www.ed.gov/index.jhtml --> Dept. of Education for any questions<--

http://www.fastweb.com

http://www.gocollege.com

http://www.collegeboard.com

http://www.scholarships.com