Update: Internal Revenue
Service (IRS) and Federal Student Aid (FSA) Statement on IRS Data Retrieval
Tool (DRT)
Privacy Concerns
Force Tool to Remain Offline; Students, Parents and Borrowers Should Use Other
Options to Provide Financial Data on Applications
To
protect sensitive taxpayer data, the IRS and FSA announced today the Data
Retrieval Tool on fafsa.gov and StudentLoans.gov will be unavailable
until extra security protections can be added. While we are working to resolve
these issues as quickly as possible, students and families should plan for the
tool to be offline until the start of the next FAFSA season.
Since
the tool was disabled in early March due to security concerns, the IRS has been
working closely with FSA to safely return the tool to service. “We know this
tool is an easy way for students and families working on applications to access
their financial data,” said IRS Commissioner John Koskinen. “While this tool
provides an important convenience for applicants, we cannot risk the safety of
taxpayer data. Protecting taxpayer data has to be the highest priority, and we
will continue working with FSA to bring this tool back in a safe and secure
manner.”
“We
have heard from students, parents, and the financial aid community that
applying for aid is harder without the DRT,” said James W. Runcie, Federal
Student Aid chief operating officer. “We will do all we can to help students
and families successfully submit applications while the tool is unavailable and
remain committed to protecting applicants’ personal information.”
Options
Remain Available for Students, Parents and Borrowers
While
the Data Retrieval Tool is unavailable, FSA and the IRS remind applicants that
online applications are still available and are operable.
The
income information needed to complete the FAFSA and apply for an income-driven
repayment (IDR) plan can be found on a previously filed tax return.
Students
and parents completing a 2016–17 and 2017–18 FAFSA should manually enter 2015
tax information (not 2016). Borrowers applying for an IDR plan should submit
alternative documentation of income to their federal loan servicers after they
complete and submit the online IDR application. The process for submitting the
alternative documentation of income is explained to borrowers as part of the
online IDR application. While the Data Retrieval Tool is unavailable, a
borrower may submit a paper copy of his or her tax return, copies of pay stubs
or other acceptable forms of documentation explained online during the
application process
If
a copy of the tax return is not readily available, the applicant may be able to
access the tax software used to prepare the return or contact their tax
preparer to obtain a copy.
If
necessary, a summary of a previously filed tax return, called a tax transcript,
may be viewed and downloaded from www.irs.gov/transcript
at Get Transcript Online, with the proper identity verification. Additionally, Get Transcript by Mail
can be accessed online, or the taxpayer can call 1-800-908-9946, and a
transcript will be delivered to the address of record within five to 10 days.
IRS
Takes Additional Steps to Protect Taxpayers
The
IRS is working to identify the number of taxpayers affected by questionable use
of the Data Retrieval Tool. Identity thieves may have used personal information
obtained outside the tax system to access the FAFSA form in an attempt to
secure tax information through the DRT. The IRS continues to review the extent
to which this contributed to fraudulently filed tax returns. The IRS has
identified instances where our strengthened fraud reviews stopped questionable
tax returns by filers who also accessed the DRT.
As
the IRS identifies taxpayers with personal information at risk through misuse
of the data tool, it is marking and locking down those taxpayer accounts to
provide additional protection against an identity thief filing a fraudulent tax
return. As an internal review continues, the IRS also is finalizing plans to
notify affected taxpayers by mail about possible identity theft concerns. The
scope of affected taxpayers is still being determined.
Additional
information for applicants:
The
online FAFSA and IDR application remain operational. You can continue filing
the FAFSA or applying for an IDR plan as you normally would.
For
more information on or for help with:
Information from the IRS, visit IRS
Offers Help to Students, Families to Get Tax Information for Student Financial
Aid Applications
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