{"identifier":"/us/usc/t20/s1087ss","title":20,"num":"\u00a7\u202f1087ss.","heading":"Eligible applicants exempt from asset reporting","text":"\u00a7\u202f1087ss.\nEligible applicants exempt from asset reporting\n(a)\nIn general\nNotwithstanding any other provision of law, this section shall be effective for each individual seeking to apply for Federal financial aid under this subchapter, as part of the simplified application for Federal student financial aid under\nsection 1090 of this title\nJuly 1, 2024\n(b)\nApplicants exempt from asset reporting\n(1)\nIn general\nExcept as provided in paragraph (3), in carrying out\nsection 1090 of this title\n(2)\nEligible applicants\nIn this subsection, the term \u201celigible applicant\u201d means an applicant who meets at least one of the following criteria:\n(A) Is an applicant who qualifies for an automatic zero student aid index or negative student aid index under subsection (b) or (c) of\nsection 1087mm of this title\n(B) Is an applicant who is a dependent student and the student\u2019s parents have a total adjusted gross income (excluding any income of the dependent student) that is less than $60,000 and do not file a Schedule A, B, D, E, F, or H (or equivalent successor schedules) with the Federal income tax return for the second preceding tax year, and\u2014\n(i) do not file a Schedule C (or the equivalent successor schedule) with the Federal income tax return for the second preceding tax year; or\n(ii) file a Schedule C (or the equivalent successor schedule) with net business income of not more than a $10,000 loss or gain with the Federal income tax return for the second preceding tax year.\n(C) Is an applicant who is an independent student and the student (including the student\u2019s spouse, if any) has a total adjusted gross income that is less than $60,000 and does not file a Schedule A, B, D, E, F, or H (or equivalent successor schedules), with the Federal income tax return for the second preceding tax year, and\u2014\n(i) does not file a Schedule C (or the equivalent successor schedule) with the Federal income tax return for the second preceding tax year; or\n(ii) files a Schedule C (or the equivalent successor schedule) with net business income of not more than a $10,000 loss or gain with the Federal income tax return for the second preceding tax year.\n(D) Is an applicant who, at any time during the previous 24-month period, received a benefit under a means-tested Federal benefit program (or whose parent or spouse received such a benefit, as applicable).\n(3)\nSpecial rule\nAn eligible applicant shall not be exempt from asset reporting under this section if the applicant is a dependent student and the students\u2019 parents do not\u2014\n(A) reside in the United States or a United States territory; or\n(B) file taxes in the United States or a United States territory, except if such nonfiling is due to not being required to file a Federal tax return for the applicable tax year due to a low income.\n(4)\nDefinitions\nIn this section:\n(A)\nSchedule A\nThe term \u201cSchedule A\u201d means a form or information by a taxpayer to report itemized deductions.\n(B)\nSchedule B\nThe term \u201cSchedule B\u201d means a form or information filed by a taxpayer to report interest and ordinary dividend income.\n(C)\nSchedule C\nThe term \u201cSchedule C\u201d means a form or information filed by a taxpayer to report income or loss from a business operated or a profession practiced as a sole proprietor.\n(D)\nSchedule D\nThe term \u201cSchedule D\u201d means a form or information filed by a taxpayer to report sales, exchanges or some involuntary conversions of capital assets, certain capital gain distributions, and nonbusiness bad debts.\n(E)\nSchedule E\nThe term \u201cSchedule E\u201d means a form or information filed by a taxpayer to report income from rental properties, royalties, partnerships, S corporations, estates, trusts, and residual interests in real estate mortgage investment conduits.\n(F)\nSchedule F\nThe term \u201cSchedule F\u201d means a form or information filed by a taxpayer to report farm income and expenses.\n(G)\nSchedule H\nThe term \u201cSchedule H\u201d means a form or information filed by a taxpayer to report household employment taxes.\n(H)\nMeans-tested Federal benefit program\nThe term \u201cmeans-tested Federal benefit program\u201d means any of the following:\n(i) The supplemental security income program under title XVI of the Social Security Act (\n42 U.S.C. 1381\n(ii) The supplemental nutrition assistance program under the Food and Nutrition Act of 2008 (\n7 U.S.C. 2011\n7 U.S.C. 2028\nsection 1841(c) of title 48\n(iii) The program of block grants for States for temporary assistance for needy families established under part A of title IV of the Social Security Act (\n42 U.S.C. 601\n(iv) The special supplemental nutrition program for women, infants, and children established by\nsection 1786 of title 42\n(v) The Medicaid program under title XIX of the Social Security Act (\n42 U.S.C. 1396\n(vi) Federal housing assistance programs, including tenant-based assistance under section 1437f(\no\nsection 1437a(b)(1) of title 42\n(vii) Other means-tested programs determined by the Secretary to be approximately consistent with the income eligibility requirements of the means-tested programs under clauses (i) through (vi).","url":"https://projectusc.org/usc/t20/s1087ss.html","content":[{"t":"sec","id":"/us/usc/t20/s1087ss","children":[{"t":"num","text":"\u00a7\u202f1087ss."},{"t":"heading","text":"Eligible applicants exempt from asset reporting"},{"t":"subsec","id":"/us/usc/t20/s1087ss/a","children":[{"t":"num","text":"(a)"},{"t":"heading","text":"In general"},{"t":"content","children":[{"t":"p","text":"Notwithstanding any other provision of law, this section shall be effective for each individual seeking to apply for Federal financial aid under this subchapter, as part of the simplified application for Federal student financial aid under ","children":[{"t":"ref","text":"section 1090 of this title","href":"/us/usc/t20/s1090","tail":", on or after "},{"t":"text","text":"July 1, 2024","tail":"."}],"tail":"\n"}],"tail":"\n"}],"tail":"\n"},{"t":"subsec","id":"/us/usc/t20/s1087ss/b","children":[{"t":"num","text":"(b)"},{"t":"heading","text":"Applicants exempt from asset reporting"},{"t":"para","id":"/us/usc/t20/s1087ss/b/1","children":[{"t":"num","text":"(1)"},{"t":"heading","text":"In general"},{"t":"content","children":[{"t":"p","text":"Except as provided in paragraph (3), in carrying out ","children":[{"t":"ref","text":"section 1090 of this title","href":"/us/usc/t20/s1090","tail":", the Secretary shall not use asset information from an eligible applicant or, as applicable, the parent or spouse of an eligible applicant."}],"tail":"\n"}],"tail":"\n"}],"tail":"\n"},{"t":"para","id":"/us/usc/t20/s1087ss/b/2","children":[{"t":"num","text":"(2)"},{"t":"heading","text":"Eligible applicants"},{"t":"chapeau","text":"In this subsection, the term \u201celigible applicant\u201d means an applicant who meets at least one of the following criteria:"},{"t":"subpara","id":"/us/usc/t20/s1087ss/b/2/A","children":[{"t":"num","text":"(A)"},{"t":"content","text":" Is an applicant who qualifies for an automatic zero student aid index or negative student aid index under subsection (b) or (c) of ","children":[{"t":"ref","text":"section 1087mm of this title","href":"/us/usc/t20/s1087mm","tail":"."}],"tail":"\n"}],"tail":"\n"},{"t":"subpara","id":"/us/usc/t20/s1087ss/b/2/B","children":[{"t":"num","text":"(B)"},{"t":"chapeau","text":" Is an applicant who is a dependent student and the student\u2019s parents have a total adjusted gross income (excluding any income of the dependent student) that is less than $60,000 and do not file a Schedule A, B, D, E, F, or H (or equivalent successor schedules) with the Federal income tax return for the second preceding tax year, and\u2014"},{"t":"clause","id":"/us/usc/t20/s1087ss/b/2/B/i","children":[{"t":"num","text":"(i)"},{"t":"content","text":" do not file a Schedule C (or the equivalent successor schedule) with the Federal income tax return for the second preceding tax year; or","tail":"\n"}],"tail":"\n"},{"t":"clause","id":"/us/usc/t20/s1087ss/b/2/B/ii","children":[{"t":"num","text":"(ii)"},{"t":"content","text":" file a Schedule C (or the equivalent successor schedule) with net business income of not more than a $10,000 loss or gain with the Federal income tax return for the second preceding tax year.","tail":"\n"}],"tail":"\n"}],"tail":"\n"},{"t":"subpara","id":"/us/usc/t20/s1087ss/b/2/C","children":[{"t":"num","text":"(C)"},{"t":"chapeau","text":" Is an applicant who is an independent student and the student (including the student\u2019s spouse, if any) has a total adjusted gross income that is less than $60,000 and does not file a Schedule A, B, D, E, F, or H (or equivalent successor schedules), with the Federal income tax return for the second preceding tax year, and\u2014"},{"t":"clause","id":"/us/usc/t20/s1087ss/b/2/C/i","children":[{"t":"num","text":"(i)"},{"t":"content","text":" does not file a Schedule C (or the equivalent successor schedule) with the Federal income tax return for the second preceding tax year; or","tail":"\n"}],"tail":"\n"},{"t":"clause","id":"/us/usc/t20/s1087ss/b/2/C/ii","children":[{"t":"num","text":"(ii)"},{"t":"content","text":" files a Schedule C (or the equivalent successor schedule) with net business income of not more than a $10,000 loss or gain with the Federal income tax return for the second preceding tax year.","tail":"\n"}],"tail":"\n"}],"tail":"\n"},{"t":"subpara","id":"/us/usc/t20/s1087ss/b/2/D","children":[{"t":"num","text":"(D)"},{"t":"content","text":" Is an applicant who, at any time during the previous 24-month period, received a benefit under a means-tested Federal benefit program (or whose parent or spouse received such a benefit, as applicable).","tail":"\n"}],"tail":"\n"}],"tail":"\n"},{"t":"para","id":"/us/usc/t20/s1087ss/b/3","children":[{"t":"num","text":"(3)"},{"t":"heading","text":"Special rule"},{"t":"chapeau","text":"An eligible applicant shall not be exempt from asset reporting under this section if the applicant is a dependent student and the students\u2019 parents do not\u2014"},{"t":"subpara","id":"/us/usc/t20/s1087ss/b/3/A","children":[{"t":"num","text":"(A)"},{"t":"content","text":" reside in the United States or a United States territory; or","tail":"\n"}],"tail":"\n"},{"t":"subpara","id":"/us/usc/t20/s1087ss/b/3/B","children":[{"t":"num","text":"(B)"},{"t":"content","text":" file taxes in the United States or a United States territory, except if such nonfiling is due to not being required to file a Federal tax return for the applicable tax year due to a low income.","tail":"\n"}],"tail":"\n"}],"tail":"\n"},{"t":"para","id":"/us/usc/t20/s1087ss/b/4","children":[{"t":"num","text":"(4)"},{"t":"heading","text":"Definitions"},{"t":"chapeau","text":"In this section:"},{"t":"subpara","id":"/us/usc/t20/s1087ss/b/4/A","children":[{"t":"num","text":"(A)"},{"t":"heading","text":"Schedule A"},{"t":"content","children":[{"t":"p","text":"The term \u201cSchedule A\u201d means a form or information by a taxpayer to report itemized deductions.","tail":"\n"}],"tail":"\n"}],"tail":"\n"},{"t":"subpara","id":"/us/usc/t20/s1087ss/b/4/B","children":[{"t":"num","text":"(B)"},{"t":"heading","text":"Schedule B"},{"t":"content","children":[{"t":"p","text":"The term \u201cSchedule B\u201d means a form or information filed by a taxpayer to report interest and ordinary dividend income.","tail":"\n"}],"tail":"\n"}],"tail":"\n"},{"t":"subpara","id":"/us/usc/t20/s1087ss/b/4/C","children":[{"t":"num","text":"(C)"},{"t":"heading","text":"Schedule C"},{"t":"content","children":[{"t":"p","text":"The term \u201cSchedule C\u201d means a form or information filed by a taxpayer to report income or loss from a business operated or a profession practiced as a sole proprietor.","tail":"\n"}],"tail":"\n"}],"tail":"\n"},{"t":"subpara","id":"/us/usc/t20/s1087ss/b/4/D","children":[{"t":"num","text":"(D)"},{"t":"heading","text":"Schedule D"},{"t":"content","children":[{"t":"p","text":"The term \u201cSchedule D\u201d means a form or information filed by a taxpayer to report sales, exchanges or some involuntary conversions of capital assets, certain capital gain distributions, and nonbusiness bad debts.","tail":"\n"}],"tail":"\n"}],"tail":"\n"},{"t":"subpara","id":"/us/usc/t20/s1087ss/b/4/E","children":[{"t":"num","text":"(E)"},{"t":"heading","text":"Schedule E"},{"t":"content","children":[{"t":"p","text":"The term \u201cSchedule E\u201d means a form or information filed by a taxpayer to report income from rental properties, royalties, partnerships, S corporations, estates, trusts, and residual interests in real estate mortgage investment conduits.","tail":"\n"}],"tail":"\n"}],"tail":"\n"},{"t":"subpara","id":"/us/usc/t20/s1087ss/b/4/F","children":[{"t":"num","text":"(F)"},{"t":"heading","text":"Schedule F"},{"t":"content","children":[{"t":"p","text":"The term \u201cSchedule F\u201d means a form or information filed by a taxpayer to report farm income and expenses.","tail":"\n"}],"tail":"\n"}],"tail":"\n"},{"t":"subpara","id":"/us/usc/t20/s1087ss/b/4/G","children":[{"t":"num","text":"(G)"},{"t":"heading","text":"Schedule H"},{"t":"content","children":[{"t":"p","text":"The term \u201cSchedule H\u201d means a form or information filed by a taxpayer to report household employment taxes.","tail":"\n"}],"tail":"\n"}],"tail":"\n"},{"t":"subpara","id":"/us/usc/t20/s1087ss/b/4/H","children":[{"t":"num","text":"(H)"},{"t":"heading","text":"Means-tested Federal benefit program"},{"t":"chapeau","text":"The term \u201cmeans-tested Federal benefit program\u201d means any of the following:"},{"t":"clause","id":"/us/usc/t20/s1087ss/b/4/H/i","children":[{"t":"num","text":"(i)"},{"t":"content","text":" The supplemental security income program under title XVI of the Social Security Act (","children":[{"t":"ref","text":"42 U.S.C. 1381","href":"/us/usc/t42/s1381","tail":" et seq.)."}],"tail":"\n"}],"tail":"\n"},{"t":"clause","id":"/us/usc/t20/s1087ss/b/4/H/ii","children":[{"t":"num","text":"(ii)"},{"t":"content","text":" The supplemental nutrition assistance program under the Food and Nutrition Act of 2008 (","children":[{"t":"ref","text":"7 U.S.C. 2011","href":"/us/usc/t7/s2011","tail":" et seq.), a nutrition assistance program carried out under section 19 of such Act ("},{"t":"ref","text":"7 U.S.C. 2028","href":"/us/usc/t7/s2028","tail":"), and a supplemental nutrition assistance program carried out under "},{"t":"ref","text":"section 1841(c) of title 48","href":"/us/usc/t48/s1841/c","tail":"."}],"tail":"\n"}],"tail":"\n"},{"t":"clause","id":"/us/usc/t20/s1087ss/b/4/H/iii","children":[{"t":"num","text":"(iii)"},{"t":"content","text":" The program of block grants for States for temporary assistance for needy families established under part A of title IV of the Social Security Act (","children":[{"t":"ref","text":"42 U.S.C. 601","href":"/us/usc/t42/s601","tail":" et seq.)."}],"tail":"\n"}],"tail":"\n"},{"t":"clause","id":"/us/usc/t20/s1087ss/b/4/H/iv","children":[{"t":"num","text":"(iv)"},{"t":"content","text":" The special supplemental nutrition program for women, infants, and children established by ","children":[{"t":"ref","text":"section 1786 of title 42","href":"/us/usc/t42/s1786","tail":"."}],"tail":"\n"}],"tail":"\n"},{"t":"clause","id":"/us/usc/t20/s1087ss/b/4/H/v","children":[{"t":"num","text":"(v)"},{"t":"content","text":" The Medicaid program under title XIX of the Social Security Act (","children":[{"t":"ref","text":"42 U.S.C. 1396","href":"/us/usc/t42/s1396","tail":" et seq.)."}],"tail":"\n"}],"tail":"\n"},{"t":"clause","id":"/us/usc/t20/s1087ss/b/4/H/vi","children":[{"t":"num","text":"(vi)"},{"t":"content","text":" Federal housing assistance programs, including tenant-based assistance under section 1437f(","children":[{"t":"text","text":"o","tail":") of title 42, and public housing, as defined in "},{"t":"ref","text":"section 1437a(b)(1) of title 42","href":"/us/usc/t42/s1437a/b/1","tail":"."}],"tail":"\n"}],"tail":"\n"},{"t":"clause","id":"/us/usc/t20/s1087ss/b/4/H/vii","children":[{"t":"num","text":"(vii)"},{"t":"content","text":" Other means-tested programs determined by the Secretary to be approximately consistent with the income eligibility requirements of the means-tested programs under clauses (i) through (vi).","tail":"\n"}],"tail":"\n"}],"tail":"\n"}],"tail":"\n"}],"tail":"\n"},{"t":"text","text":"\n"},{"t":"text","text":"\n"}]}]}