<prompt> Human: I went to college for 2 years and racked up about 10,000 worth of student loan debt. I paid as much out of pocket as I could and quickly realized that college was just a huge debt that I did not need and I could succeed in life without it. Anyway, my student loans are now in default. I am looking at different rehab programs for my loans as I have used up all my forbearance and deferment time allowed. I have a 2 month old at home, and from what I have seen there are some pretty hefty tax credits for having children on your tax returns. My question is, can they take 100 of my federal and state tax returns and apply them to my student loan debt, including the credits for having children? Are there any options besides loan rehab that could still get me a tax return next year without forking over 250month to my loan creditors in hopes that I could even get them out of default in time? I was told it takes 9-12 months for loan rehab but not guaranteed. Thanks!  <response>: Can the Federal Govt Take 100 of my Tax Return for Defaulted Student Loans?Yes, they can. Source 