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re: Feds take single mom's $3,000 tax refund to cover her student loans

Posted on 4/24/19 at 11:05 am to
Posted by Harry Caray
Denial
Member since Aug 2009
20350 posts
Posted on 4/24/19 at 11:05 am to
quote:

The single mother would not receive her $3,063 tax refund, including her child tax credit
How on earth??? Mine was like forty bucks this time around, how badly do you frick up filing to get a $3k refund?
This post was edited on 4/24/19 at 11:07 am
Posted by SlowFlowPro
With populists, expect populism
Member since Jan 2004
467749 posts
Posted on 4/24/19 at 11:05 am to
quote:

The fact that these people don't understand that refunds are the government handing you back your own money says a lot

this lady isn't even in that scenario. she's getting a legit hand out via the EITC and child care credits

yeah the tax/refund system is terrible (and this story and that quote do explain one major reason why), but this ain't the "gave the government an interest free loan" scenario. not with the negative taxation going on for people like her
Posted by TheCaterpillar
Member since Jan 2004
76774 posts
Posted on 4/24/19 at 11:06 am to
Sidenote: I had no idea they would do this for student loan debt.

I thought that debt had entirely different rules.
Posted by 777Tiger
Member since Mar 2011
89172 posts
Posted on 4/24/19 at 11:06 am to
quote:

delinquent debt that you owe


quote:

Why is this a story?


bingo! but I'm sure that her being oppressed by the man overrides the fact that she ran up a tab that she couldn't afford and has tried to bolt on it
Posted by Brummy
Central, LA
Member since Oct 2009
4663 posts
Posted on 4/24/19 at 11:06 am to
quote:

I bet all of that refund was from the earned income tax credit too.
Posted by SlowFlowPro
With populists, expect populism
Member since Jan 2004
467749 posts
Posted on 4/24/19 at 11:07 am to
quote:

So she racked up education bills, apparently failed to get a job with the bills she racked up, refused to pay said bills, and is now upset that someone made her pay? All while living in Portlandia?

the only thing missing, and i'd wager a pretty penny it exists, is a private university education

the only reason i'm skeptical is b/c of the low loan amount
Posted by brass2mouth
NOLA
Member since Jul 2007
20448 posts
Posted on 4/24/19 at 11:08 am to
quote:

Why is she surprised this happens? That's how it works and its not like its something the IRS isn't open about. I know a lot of people who get no refunds because they fell behind on their loans.


Yeah it’s definitely clearly stated in your loan application that the IRS can seize refunds and the like.
Posted by SlowFlowPro
With populists, expect populism
Member since Jan 2004
467749 posts
Posted on 4/24/19 at 11:08 am to
quote:

Sidenote: I had no idea they would do this for student loan debt.

the federal default stuff is serious. they'll withhold SS, maybe medicare (i forgot)
Posted by TheCaterpillar
Member since Jan 2004
76774 posts
Posted on 4/24/19 at 11:08 am to
quote:

How on earth??? Mine was like forty bucks this time around, how badly do you frick up filing to get a $3k refund?


She probably got all of her taxes back because she's destitute and has a child.

Posted by Harry Caray
Denial
Member since Aug 2009
20350 posts
Posted on 4/24/19 at 11:08 am to
quote:

this lady isn't even in that scenario. she's getting a legit hand out via the EITC and child care credits

yeah the tax/refund system is terrible (and this story and that quote do explain one major reason why), but this ain't the "gave the government an interest free loan" scenario. not with the negative taxation going on for people like her
Thanks for that explanation. I now pity her even less
Posted by TheCaterpillar
Member since Jan 2004
76774 posts
Posted on 4/24/19 at 11:09 am to
quote:

the federal default stuff is serious. they'll withhold SS, maybe medicare (i forgot)



How long do you have to be in default to have the government garnish your wages and tax returns?

ETA:

I have ~20k student loans for my MBA and I've often thought about what would happen if I just stopped paying them
This post was edited on 4/24/19 at 11:11 am
Posted by Tulane_STEM_ALUM
Member since Apr 2019
153 posts
Posted on 4/24/19 at 11:10 am to
A single guy wouldn't get such coverage if same thing happened.
Why do ppl treat single moms, teachers, etc as if they are special?
Posted by BlackAdam
Member since Jan 2016
7054 posts
Posted on 4/24/19 at 11:10 am to
Sounds like she should adjust her w-4, so she can pay her bills throughout the year.
Posted by eScott
Member since Oct 2008
11376 posts
Posted on 4/24/19 at 11:12 am to
quote:

It's almost like it is made complicated and convoluted intentionally so we can employ hundreds of thousands of people to be "experts" on it. 


I've never found doing my own taxes complicated, even before turbo tax existed.
Posted by 777Tiger
Member since Mar 2011
89172 posts
Posted on 4/24/19 at 11:12 am to
quote:

How long do you have to be in default to have the government garnish your wages and tax returns?


IRS has gotten pretty aggressive over the last few years since they were told to cool their jets over some very questionable acts a while back, I think they need to be reeled back in a bit, except in this case
Posted by TheCaterpillar
Member since Jan 2004
76774 posts
Posted on 4/24/19 at 11:12 am to
quote:

Sounds like she should adjust her w-4, so she can pay her bills throughout the year.



I'm confused what income she has considering she's homeless.

Portland is flooded with homeless folks, but I don't think very many of them are employed.
Posted by Monday
Prairieville
Member since Mar 2013
5141 posts
Posted on 4/24/19 at 11:13 am to
I know a girl who just had her second kid and got $6000 “back”. She still lives at home worth her mother and does not pay rent. The money is already gone. But her and the new baby daddy have new tattoos and other bullshite instead of paying bills or having 6 months of rent paid upfront.
Posted by Nado Jenkins83
Land of the Free
Member since Nov 2012
65281 posts
Posted on 4/24/19 at 11:14 am to
stupid woman. Move to a smaller city with lower cost of living and get a fricking job.
Posted by cable
Member since Oct 2018
9735 posts
Posted on 4/24/19 at 11:14 am to
She's also most likely receiving 100% of her medical insurance covered through the ACA plus getting welfare of some sort. Meanwhile, her daughter has pink hair.
Posted by fr33manator
Baton Rouge
Member since Oct 2010
133650 posts
Posted on 4/24/19 at 11:14 am to
I love a happy ending.

I’m sure she found money for tattoos and heroin and obviously hair dye
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