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View Full Version : Tax Garnishment


Syl71
Jan 26, 2013, 03:40 PM
My student loan defaulted but they are garnishing my wages will they still garnish my tax return also?

tickle
Jan 26, 2013, 04:16 PM
They can garnish anything they can get their hands on if you defaulted. It wasn't exactly free money. Did you think the money was being handed to you rent free?

Syl71
Jan 26, 2013, 05:10 PM
They can garnish anything they can get their hands on if you defaulted. It wasnt exactly free money. Did you think the money was being handed to you rent free?
I'm asking since they are getting money repaid by garnishing my wages! And no I know it wasn't rent free but you exactly don't know all the issues that have occurred that caused the default!

ScottGem
Jan 26, 2013, 06:08 PM
They could seize your tax return. There is no way to tell whether they will or not. The way you can look at it is it will mean the garnishment ends sooner. For the future you can reduce your withholding to get less of a refund.

Fr_Chuck
Jan 26, 2013, 07:16 PM
They can, and they normally do, since they want all the money possible paid back.

So unless you have a payment agreement worked out with them, I would expect that they will take it anyway.

AtlantaTaxExpert
Jan 26, 2013, 09:33 PM
Oh, yes, they CAN and they WILL confiscate your federal (and probably your state) tax refunds to pay the student loans.