Student financial aid that you received from loans, grants, and scholarships should not be reported on the FAFSA, unless the funds were taxed by the Internal Revenue Service. If you reported financial aid money to the IRS on line 7 of the 1040 or 1040A or line 1 of the 1040EZ,then the amount reported must be added to your adjusted gross income (AGI) and must be reported in the appropriate location on Worksheet C.

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