Can The IRS Take Your Passport? | Crucial Tax Facts

Understanding the IRS’s Authority Over Passports

The idea that the IRS can interfere with your passport might sound like something out of a spy thriller, but it’s very real. The Fixing America’s Surface Transportation (FAST) Act, passed in 2015, gave the IRS the power to notify the State Department about taxpayers who owe a significant amount of back taxes. If you owe $55,000 or more—including penalties and interest—the IRS can certify your debt as “seriously delinquent.” Once certified, the State Department may deny issuing a new passport or even revoke an existing one.

This process is not automatic but follows strict procedures. The IRS first sends a Notice CP508C to inform you that your debt will be certified if not resolved. After 90 days without payment or resolution, the certification goes through. This tool is designed to encourage compliance with tax obligations by leveraging the inconvenience of losing travel privileges.

How Does the Certification Process Work?

The process begins when your unpaid federal tax debt hits or exceeds $55,000. This threshold includes penalties and interest but excludes certain types of tax debts such as those owed by businesses without personal liability. Here’s how it unfolds:

• Notification: The IRS sends a formal notice warning you about certification.
• 90-Day Waiting Period: You have three months to resolve or dispute the debt.
• Certification: If unresolved, the IRS certifies your debt as seriously delinquent.
• State Department Action: The State Department is notified and may deny issuing or revoke your passport.

This process ensures taxpayers get multiple opportunities to address their debts before any travel restrictions take effect.

The Role of the State Department

Once notified by the IRS, the State Department has two main options:

• Denying Passport Applications: If you apply for a new passport while certified as seriously delinquent, your application will likely be rejected.
• Revoking Existing Passports: For those who already hold passports, revocation becomes possible if they owe this significant debt.

The State Department generally acts on these certifications promptly but provides some flexibility if you enter into installment agreements or resolve your tax issues.

Exceptions and Special Circumstances

Not everyone with unpaid taxes faces passport issues. Some exceptions apply:

• Innocent Spouse Relief: If you qualify for this relief and are not personally responsible for the debt, certification won’t apply.
• Installment Agreements: Entering into an approved payment plan can pause certification.
• Offer in Compromise: If accepted by the IRS, this settles your tax liability for less than owed and stops certification.
• Bona Fide Disputes: If you dispute the amount owed in good faith, certification is delayed until resolved.

These safeguards ensure that taxpayers aren’t unfairly penalized while they work through legitimate tax issues.

The Impact on International Travel Plans

Having your passport revoked or denied can cause serious disruptions—especially if you have business trips, family emergencies, or vacations planned abroad. Without a valid passport:

• You cannot board international flights from U.S. airports.
• You may face difficulties re-entering the United States after traveling abroad.
• Your ability to conduct overseas business or attend international events is compromised.

It’s crucial to address any outstanding tax liabilities well before making travel arrangements to avoid last-minute surprises.

The Financial Threshold: Why $55,000?

The $55,000 figure isn’t arbitrary—it reflects inflation adjustments since its initial establishment in 2015 when it was set at $50,000. This amount includes:

• The total unpaid balance of income tax liabilities
• Additions such as penalties and accrued interest

Here’s a quick overview of how this threshold works in practice:

Total Tax Debt Owed	Status Regarding Passport Certification	Notes
$40,000 (including penalties)	No certification	No impact on passports due to insufficient debt amount
$55,000 exactly	Certification possible after notification period	You enter into serious delinquency status triggering potential passport issues
$70,000+	Certification highly likely unless resolved promptly	The higher your debt over $55K, stronger chance of certification and passport denial/revocation

Understanding this threshold helps taxpayers gauge their risk level regarding passport actions tied to tax debts.

The Step-by-Step Path To Avoid Passport Revocation Due To Taxes

If you find yourself facing a looming certification notice from the IRS for unpaid taxes exceeding $55K, here’s what you should do immediately:

• Review Your Tax Records: Confirm whether the IRS’s figure matches your records and identify any discrepancies.
• Respond Promptly to Notices: Ignoring correspondence only worsens matters; timely responses can prevent escalation.
• Pursue Resolution Options:

• Pay Off Debt: Full payment removes delinquency status quickly.
• Create Installment Agreement: Monthly payments approved by IRS halt certification temporarily.

• If You Disagree With The Debt Amount:

• A File an Appeal or Request an Audit Reconsideration;

• If You’re Struggling Financially:

• A Submit an Offer in Compromise;

• If Passport Is Denied Or Revoked:

• A Resolve Tax Issues ASAP;

This approach maximizes chances of keeping travel privileges intact while addressing tax responsibilities responsibly.

The Importance of Professional Help

Tax laws are complex enough without adding passport restrictions into the mix. Consulting with a qualified tax professional—such as a CPA or enrolled agent—can provide tailored strategies for resolving large debts efficiently. They can also negotiate with the IRS on your behalf and help set up installment agreements or offers in compromise that meet eligibility requirements.

Legal experts specializing in tax law might also assist if disputes arise over whether debts qualify for certification.

The Broader Implications of Losing Your Passport Over Tax Debts

Losing access to international travel isn’t just inconvenient; it can affect many aspects of life:

• Career Limitations: Professionals working globally may lose critical opportunities without valid passports.
• Diplomatic Strains: Government employees with security clearances might face additional scrutiny if flagged for serious tax delinquencies.
• Civil Liberties Concerns: Critics argue that revoking passports over debts raises constitutional questions about freedom of movement.

Still, from a government perspective, this enforcement tool encourages compliance and recovers billions annually in unpaid taxes.

A Closer Look at Statistics Related to Passport Revocations Due to Taxes

Since implementation in 2016:

Year	Total Certifications Sent by IRS	Total Passports Denied/Revoked by State Dept.
2016	5,200+	Approximately 4,800+
2019 (Pre-pandemic)	7,100+	Nearing 6,500+
2023 (Most Recent Data)	Around 8,500+	Around 7,900+

These numbers show consistent use of this enforcement mechanism and growing awareness among taxpayers about its consequences.

The Legal Framework Behind Can The IRS Take Your Passport?

The statutory authority comes primarily from two laws working together:

• The FAST Act (Fixing America’s Surface Transportation Act) – Section 32101 (2015): This law mandates notification from IRS to State Dept. for seriously delinquent taxpayers exceeding $50K (inflation-adjusted now $55K).
• The Internal Revenue Code (IRC) Section 7345: This section governs how passports are denied or revoked based on certifications received from the IRS regarding unpaid taxes.

Together these laws create a legal pipeline allowing financial delinquencies to affect foreign travel privileges—a powerful enforcement tool unavailable before their enactment.

The Role Of Due Process And Appeals In This System

Taxpayers aren’t left powerless after notification. The law requires that before certification occurs:

• You receive written notices detailing amounts owed;
• You get at least 90 days to resolve disputes;
• You can appeal decisions through established channels within the IRS;
• You may request reconsideration if circumstances change after certification but before final action by State Dept.;

This procedural fairness ensures that only truly delinquent cases lead to passport restrictions—not clerical errors or unresolved disputes.

Your Rights And Responsibilities If Facing Passport Issues Due To Taxes

If you receive notice indicating potential passport denial due to unpaid taxes:

Please keep these key points front and center:

• Your right to appeal exists; don’t ignore notices thinking nothing will happen;
• Your responsibility is to act fast—delays reduce options;
• Your ability to negotiate payment plans protects against immediate loss of travel privileges;
• Your communication with both IRS and State Dept. must be clear and timely;
• Your legal counsel can improve outcomes dramatically when stakes are high;
• Your credit score isn’t directly affected by passport actions but unresolved taxes impact financial health overall;
• Your future international business opportunities depend heavily on maintaining valid passports free from restrictions;

If ignored altogether? Expect increased enforcement measures beyond passports including liens and levies on assets—far more painful consequences than losing travel privileges alone.

Frequently Asked Questions

Can the IRS take your passport if you owe back taxes?

Yes, the IRS can effectively cause your passport to be revoked or denied if you owe $55,000 or more in unpaid federal taxes. This includes penalties and interest and is part of a process authorized by the FAST Act of 2015.

How does the IRS notify you before taking action on your passport?

The IRS sends a Notice CP508C to inform you that your tax debt will be certified as seriously delinquent. You then have 90 days to resolve or dispute the debt before the certification is sent to the State Department.

What happens after the IRS certifies your tax debt as seriously delinquent?

Once certified, the State Department is notified and may deny issuing a new passport or revoke an existing one. This action is designed to encourage taxpayers to settle their debts but is not automatic without prior notice.

Can the State Department revoke an existing passport due to IRS certification?

Yes, if you already have a passport and your tax debt is certified as seriously delinquent, the State Department may revoke your passport. However, they may allow some flexibility if you enter into payment agreements with the IRS.

Are there any exceptions where the IRS cannot take your passport?

Certain exceptions exist, such as qualifying for Innocent Spouse Relief or other special circumstances. Not all unpaid taxes trigger passport actions; only those meeting specific criteria under federal law are subject to this process.