Does the SAI Calculation Use FTI Or Manually Entered Tax Information If Both Are Displayed On the ISIR?

Award Year: 2024-25 KA-36981 Helpfulness Rating 1,868 page views

This guidance is specific to the 2024-25 award year and later.

NASFAA has confirmed with the U.S. Department of Education (ED) that, if both federal tax information (FTI) from the IRS and manually entered tax information are displayed for a contributor on an Institutional Student Information Record (ISIR), the FAFSA Processing System (FPS) uses the manually entered tax information in the student aid index (SAI) calculation. 

Keep in mind that there are several situations when an applicant (or contributor) is required to manually enter their tax information even if FTI was successfully transferred via the FUTURE Act Direct Data Exchange (FA-DDX). If manual entry of tax information is required, it is used in the SAI calculation even if FTI is also on the ISIR. See AskRegs Knowledgebase Q&A, What Are the Reasons a Contributor Might Be Asked To Manually Enter Financial Information On the FAFSA?, and Appendix H, Determining Income Source Information, of the FAFSA Pell Eligibility and SAI Guide.

Note About Conflicting Information: NASFAA has learned that ED will be publishing additional guidance on conflicting information in situations where both FTI and manually entered data are present on the ISIR. Having both FTI and manually entered data is not always conflicting information because there are several situations when it is legitimate (as noted in the above-mentioned AskRegs Q&A). However, there are instances when other reported information causes conflicts. Stay tuned to AskRegs and Today's News for more information as soon as it becomes available.

AskRegs Q&As represent NASFAA's understanding of regulatory and compliance issues. They are FOR INTERNAL USE ONLY. While NASFAA believes AskRegs Q&As are accurate and factual, they have not been reviewed or approved by the U.S. Department of Education (ED). If you should need written confirmation of AskRegs information for audit or program review purposes, please contact your ED School Participation Division. NASFAA shall not be liable for technical or editorial errors or omissions contained herein; nor for incidental or consequential damages resulting from the furnishing, performance, or use of this material.