IRS Refund Interception

[tillmae]

What is the name of your state (only U.S. law)?
Virginia

My son's girlfriend has had her refund intercepted due to defaulted student loan. She is a single Mom (1 child), works as a daycare teacher, with limited income. My son has been unemployed for approximately 5 months, so they are barely getting by. She was totally counting on this refund for rent, food, etc. She filed bankruptcy in 2008, and understood that the student loan could not be included. Is there anything she can do.What is the name of your state (only U.S. law)?

 

[VeronicaLodge]

nope. why hasn't your son worked in 5 months? not that that matters, just curious.

also, she may need to get a different job, day care jobs don't pay much.

 

[Antigone*]

I concur with Veronica.

In addition, this will continue to happen until her student loan comes out of default or gets paid off.

She can rehabilitate the loan and make payments. The interest is deductible and then her future refunds from the IRS won't be subject to interception.

 

[thedoctorisin]

She can decrease her withholding so that she doesn't get a tax refund next year.

 

[VeronicaLodge]

yeah i was thinking that too.