1. Internal Revenue Service
Session 36
Internal Revenue Service
Tracey Martin, IRS, and Kerri Moseley-Hobbs | Dec U.S. Department of Education 2015 FSA Training Conference for Financial Aid Professionals

2. Topics of Discussion Getting Your Tax Return Information
IRS Data Retrieval Tool (IRS DRT)
IRS Transcripts
Automated Tools
Form 4506-T
IRS Service Delivery
Calling the IRS
Taxpayer Assistance Centers

3. IRS Data Retrieval Tool
Embedded link within FAFSA on the Web
Applicants must successfully authenticate using information from the filed tax return
Tax return data is available only after the return has posted to the IRS system
Retrieves specific tax return data from an originally filed tax return and displays data on applicants’ browser
Upon request, transfers the displayed data directly into specific questions on the FAFSA
IRS Transcript usually not required if data is successfully transferred and not modified by applicant 3

4. IRS Transcripts Tax Return transcripts Tax Account transcripts
Anyone who filed a tax return, including first time filers
Tax Account transcripts
Anyone who filed a tax return/amended return, including first time filers
Record of Account
Anyone who filed a tax return/amended tax return, including first time filers
Verification of Non-filing
Non-filer; letter not a transcript
Information Returns Transcripts (W-2, 1099, 1098, 5498)
Anyone who has income that was reported to the IRS
Tax Return Database View (TRDBV)
Taxpayer who filed an original tax return and can not get a normal transcript through other methods because of identify theft or duplicate tax return posting 4

5. IRS Transcripts: Availability
Electronically filed Tax Returns
$0 balance/refund returns: Generally available 2-3 weeks after the return has been accepted by IRS
Balance due/partial pay returns: Generally available by end of June or 3-4 weeks after the IRS receives the full/final payment
Paper Tax Returns
$0 balance/refund returns: Generally available 6-8 weeks after the IRS receives the return
Balance due/partial pay returns: Generally available by end of June/July
Amended Returns
Must be filed as a paper return
Generally available 12 weeks after the IRS receives the amended return
ID Theft Cases
Generally available 8-11 weeks after the IRS receives the duplicate return 5

6. IRS Transcripts: Availability
When a tax return filer...
If tax return filed electronically...
If tax return is filed manually...
Has no amount owed to the IRS or has an expected refund at the time their tax return was submitted to the IRS
Generally tax returns are accepted by the IRS within a day or two of the return having been electronically filed with the IRS.
In most cases, IRS DRT is available and an IRS Tax Return Transcript may be requested within 2-3 weeks after the return has been accepted by the IRS.
Generally tax returns are accepted by the IRS when the tax return is received by the IRS.
In most cases, IRS DRT is available and an IRS Tax Return Transcript may be requested within weeks after the tax return has been accepted by the IRS.
Has an amount owed to the IRS and makes a full payment on that amount at the time their tax return was submitted to the IRS
IRS will process the tax return in June.
In most cases, IRS DRT is available and an IRS Tax Return Transcript may be requested within 2-3 weeks after the tax return has been processed by the IRS. 6

7. IRS Transcripts: Availability
When a tax return filer...
If tax return filed electronically...
If tax return is file manually...
Has an amount owed and subsequent to submitting their tax return to the IRS, pays the full amount due
Generally tax returns are accepted by the IRS within a day or two of the return having been electronically filed with the IRS.
In most cases, IRS DRT is available and an IRS Tax Return Transcript may be requested within 2-3 weeks after the return has been accepted by the IRS.
IRS will process the tax return in June.
In most cases, IRS DRT is available and an IRS Tax Return Transcript may be requested within 2-3 weeks after the tax return has been processed by the IRS.
At the time their tax return was submitted to the IRS, has an amount owed and has not paid in full.
Generally tax returns are accepted by the IRS within a day or two of the return having been electronically filed with the IRS. However, IRS will not process the return until May.
In most cases, IRS DRT is available and an IRS Tax Return Transcript may be requested within 2-3 weeks after the return has been processed in May. 7

8. IRS Transcripts: Common Scenarios
A student/parent/spouse says that they cannot receive an IRS tax transcript from a regional office
A parent/student/spouse says they filed their taxes, but their information is not available for a transcript
A parent/student says that they cannot get a copy of their tax information, and the IRS says they can’t give them anything in writing either
A student/parent/spouse says that he or she cannot get a copy of their tax information, and the IRS says it is because they owe money on the current year’s return
A student/parent/spouse claims to be a victim of IRS identity theft says that he or she cannot get a copy of the Tax Return Data Base View (TRDBV) 8

9. IRS Transcripts: Ordering
Form 4506-T
Manual process; up to 10 business days to process request and send transcript to the specified address
Third party address identified on Line 5 must be very specific
Transcript Toll free telephone line
Self service; 5-10 calendar day delivery to the address on file
Get Transcript
Self service; web app; at this time ONLY delivery by mail 9

10. IRS Transcripts – Get Transcript
Get Transcript By Mail is an IRS online tool that:
Is accessible after taxpayers authenticate
Additional language added to assist users with Authentication requirements
Delivers only the Tax Return or Tax Account Transcripts
Does not provide copy of TRDBV
Delivers transcript by mail in 5-10 calendar days
Get Transcript By Mail is IRS’s preferred Transcript delivery channel 10

11. Web First Service Approach
Encourages individual taxpayers to request transcripts by mail on IRS.gov
Transcripts can also be requested by phone or by completing Form 4506-T
In rare circumstances, IRS will provide transcripts via live assistance
Offering IRS automated self service tools to the taxpayer will allow IRS employees to focus on more complex taxpayer account issues 11

12. IRS Resources Resource page for Students Resource page for Parents
Provides information and links
Resource page for Parents
Resource page for Identity Theft Victims 12

13. Education Tax Benefits Overview
Education tax benefits are a major source of federal financial aid
Knowing about these credits benefits your students, their families and your school
Calculating eligible expenses for each provision varies by student and credit
Help all those who qualify receive the federal tax benefits they deserve and need to help pay for higher education
Claiming education credits can be complex, and some families leave money on the table

14. Education Tax Credits American Opportunity Tax Credit
Lifetime Learning Credit

15. Tuition Statement Form 1098-T

16. Form 1098-T is…
Filed annually by nearly all post-secondary education institutions for most students
Used by IRS to verify education spending for education related tax benefits
Form 1098-T may not list all the information a student/parents need for claiming an education credit

17. Form 1098-T and Claiming a Credit
Use Form 1098-T as a guide
Student/parents make the choice which dollar of expense is used for which benefit
For tax purposes schools do not determine the best way to allocate expenses across benefits – this is for the student to do

18. There are tools to help
IRS.gov – Tax Benefits for Education: Information Center
IRS.gov - Education Credits – AOTC and LLC
Publication 970, Tax Benefits for Education
Form 8863, Education Credit Instructions
Publication 929, Tax Rules for Children and Dependents
IRS videos can be found at
Department of Education website at:
Pub. 5081, Education Credit Online Resource Tool
To help determine if students are eligible for education credits, use the IRS’ Interactive Tax Assistant tool available on IRS.gov

19. QUESTIONS?