I have a student loan debt offset. Can the IRS take this debt out of my refund money, including the amount I receive for the Earned Income Credit (EIC)?
Yes. If you have student loan debt, the IRS can use all or part of your tax refund money to offset unpaid tax liabilities. This can include the Earned Income Credit (EIC).You will receive a notice, however, to let you know that your refund will be offset. The notice will show your original refund amount, your offset amount, the agency that the offset was paid to, and its address and telephone number. If you receive this notice and have questions, contact that agency directly.
Are you a K-12 educator? Are your classroom supplies paid out of pocket? This year, get schooled on important teacher tax deductions that may help you save cash when filing taxes.
Will your employer’s tuition assistance programs affect your taxes? Learn about employer-provided educational assistance and get tax answers from H&R Block.
Is income from a scholarship or fellowship tax free? Learn more from the tax experts at H&R Block.
Lucky for you there are a number of education tax credits (and deductions). Learn about the American Opportunity Credit and Lifetime Learning Credit here.