The Department of Education (ED) announced changes to verification and professional judgements (PJ) processes in the Application and Verification Guide, a part of the 2020-2021 FSA Handbook.
When processing PJ requests for students selected for verification, institutions can complete both actions in the same transaction. Offices must first complete verification to ensure accurate information, however, the PJ adjustment can be made on the same submission. Information that will be removed entirely by the PJ is not required to be verified. In addition, if the student is not selected for verification, verification is not required in order to complete the PJ request. Schools can submit corrections and updates through FAA Access to CPS Online or EDE, even if the original application was not submitted with that method.
Additionally, the Application and Verification Guide explains acceptable alternatives to the VNF letter and how much time must pass before institutions can accept the alternative. Students and families who cannot get a VNF letter from the IRS may submit a signed statement, as long as the student or parent makes an effort to receive the letter. Institutions must wait a minimum of 10 business days after a student submits the VNF request. The statement must state that the student or parent attempted but was unable to get the VNF. In addition, it must confirm that they are not required to file a tax return, or have an extension to file, for the relevant year and list the sources and amounts of income earned from work. Additional documentation may still be required in addition to this statement to complete verification.
Additional changes for 2020-2021 are available on page AVG-1 of the Application and Verification Guide 2020–2021.