At tax time, the IRS and/or FTB compares any financial help you received during the year based on the estimated information you reported on the application versus what you truly qualified for based on the information on your tax return, this is known as “reconciliation.” Not reporting changes may require that you pay back some or all the financial help you received if your situation changes. This is paid back to the IRS and/or FTB at tax time. We need to know if, for example, your household income increases/decreases, your household size changes,