Notes on Verication of
Income for Individuals with
Unusual Circumstances
An individual who is required to le a 2017
IRS income tax return and has been grant-
ed a ling extension by the IRS beyond the
automatic six-month extension for tax year
2017, must provide:
• A copy of IRS Form 4868, Application for
Automatic Extension of Time to File U.S.
Individual Income Tax Return, that was
led with the IRS for tax year 2017;
• A copy of the IRS’s approval of an exten-
sion beyond the automatic six-month ex-
tension for tax year 2017;
• Verication of Non-ling Letter (conrma-
tion that the tax return has not yet been
led) from the IRS or other relevant tax
authority dated on or after October 1, 2018;
• A copy of IRS Form W–2 for each source
of employment income received or an
equivalent document for tax year 2017 and,
• If self-employed, a signed statement cer-
tifying the amount of the individual’s Ad-
justed Gross Income and the U.S. income
tax paid for tax year 2017.
An individual who led an amended
IRS income tax return for tax year 2017
must provide:
• A 2017 IRS Tax Return Transcript (that will
only include information from the original
tax return and does not have to be signed),
or any other IRS tax transcript(s) that
includes all of the income and tax informa-
tion required to be veried; and
• A signed copy of the 2017 IRS Form
1040X, “Amended U.S. Individual Income
Tax Return,” that was led with the IRS.
An individual who was the victim of IRS
tax-related identity theft must provide:
• A Tax Return DataBase View (TRDBV)
transcript obtained from the IRS, or any
other IRS tax transcript(s) that includes all
of the income and tax information required
to be veried; and
• A statement signed and dated by the tax
ler indicating that he or she was a victim
of IRS tax-related identity theft and that
the IRS is aware of the tax-related identity
theft.
Investments include:
• real estate (do not include the home in
which you live);
• rental property (includes a unit within a
family home that has its own entrance,
kitchen, and bath rented to someone
other than a family member);
• trust funds;
• UGMA and UTMA accounts;
• money market funds;
• mutual funds;
• certicates of deposit;
• stocks;
• stock options;
• bonds;
• other securities;
• installment and land sale contracts
(including mortgages held);
• commodities, etc.
Investments also include:
• qualifed educational benefts or education
savings accounts (e.g., Coverdell savings
accounts;
• 529 college savings plans and the refund
value of 529 prepaid tuition plans). For
a student who does not report parental
information, the accounts owned by the
student (and/or the student’s spouse)
are reported as student investments in
question 42. For a student who must
report parental information, the accounts
are reported as parental investments in
question 91, including all accounts owned
by the student and all accounts owned
by the parents for any member of the
household.
• Money received, or paid on your behalf,
also includes distributions to you (the
student benefciary) from a 529 plan that
is owned by someone other than you or
your parents (such as your grandparents,
aunts, uncles, and non-custodial
parents).
Investments DO NOT include:
• the home you live in, the value of life
insurance;
• retirement plans (401[k] plans;
• pension funds;
• annuities;
• non-education IRAs, Keogh plans, etc.);
• cash, savings and checking accounts
already reported in questions 41 and 90;
• UGMA and UTMA accounts for which
you are the custodian, but not the
owner. Investment value means the
current balance or market value of these
investments as of today. Investment debt
means only those debts that are related
to the investments.
Business and/or investment farm
value includes:
• the market value of land, buildings,
machinery, equipment, inventory, etc.
Business and/or investment farm debt
means only those debts for which the
business or investment farm was used as
collateral.
Business value DOES NOT include:
• the value of a small business if your
family owns and controls more than 50
percent of the business and the business
has 100 or fewer full-time or full-time
equivalent employees. For small business
value, your family includes (1) persons
directly related to you, such as a parent,
sister or cousin, or (2) persons who are
or were related to you by marriage, such
as a spouse, stepparent or sister-in-law.
Investment farm value does not include
the value of a family farm that you (your
spouse and/or your parents) live on and
operate
Net worth means the current value, as of today, of investments, businesses, and/or
investment farms, minus debts related to those same investments, businesses, and/or
investment farms. When calculating net worth, use 0 for investments or properties with
a negative value.
Notes on Current Net Worth (section C)