Taxpayer asks:
I had to file bankruptcy in 2005 due to medical reasons. I have student loans that need to be repaid however I cannot get a job due to my medical condition and now the irs is keeping every penny that I should get back in order to settle my student loans. Is there any way to work with the irs to cut this debt and get out from under it.
Thanks for your help.
Taxgirl says:
To be clear, your debt is not with the IRS. The IRS is simply responding to an Offset Program. The IRS has no authority to work out any kind of payment plan with you for your student loans.
I would advise you to contact the agency or bank that holds your loan and see what you can work out on that end.
Good luck!
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