IRS Passport Revocations Rise Over Delinquent Tax Debt
The Internal Revenue Service is increasing enforcement actions that can restrict international travel for Americans with delinquent tax debt. Federal law allows the government to certify certain unpaid tax liabilities to the U.S. State Department, which can deny passport applications or revoke existing travel documents once the tax debt becomes seriously delinquent. The enforcement program has become a visible tool used by federal agencies to pressure delinquent taxpayers and tax debtors to resolve large outstanding balances.
Federal law allows large federal tax debts to affect a taxpayer’s ability to obtain or renew a passport. When delinquent taxpayers accumulate seriously delinquent tax debt tied to unpaid federal income tax or other tax liabilities, the Internal Revenue Service may transmit a passport certification to the Secretary of State. Once that certification occurs, passport privileges can be restricted until the taxpayer resolves the tax delinquency.
Congress created this authority through the FAST Act in 2015, which added IRC §7345 to the Internal Revenue Code. Under IRC §7345, the Internal Revenue Service must certify qualifying federal tax debts once enforced collection actions begin. These collection enforcement steps may include tax liens, tax levies, wage attachments, bank levies, or other collection actions intended to recover delinquent taxes.
Collection enforcement can also involve federal payment interception through the Federal Payment Levy Program administered by the Bureau of the Fiscal Service within the United States Department of the Treasury. In some cases, agencies such as the Department of Education may coordinate with Treasury when federal non-tax debt, such as student loan debts, overlaps with tax enforcement activity.
Passport certification applies only when the assessment amount of unpaid federal tax debts exceeds the legal threshold for seriously delinquent tax debt. For the 2025 tax year, that amount exceeds $64,000 in unpaid federal income tax liabilities, including penalties and interest related to tax delinquency.
The threshold is adjusted annually by the United States Department of the Treasury. It was $62,000 in 2024 and $59,000 in 2023. These adjustments determine when delinquent taxes rise to the level that triggers passport certification under IRC Section 7345.
The balance alone does not trigger passport suspension. Before certification occurs, the Internal Revenue Service must begin enforcing collection actions, such as filing a Notice of Federal Tax Lien or issuing a tax levy against a bank account, PayPal account, or wages through wage attachment.
Other enforcement tools may involve the Federal Payment Levy Program, which allows the Bureau of the Fiscal Service to intercept certain federal payments. State-level enforcement may also involve a state revenue agency or local sheriff in matters connected to property taxes or tax warrant activity.
Several types of tax liabilities can qualify, including federal income tax debt, Trust Fund Recovery Penalty assessments tied to payroll taxes, and other federal tax liabilities for which individuals are responsible.
When certification occurs, the government sends a Notice CP508C to the taxpayer’s last known address. The Notice of Certification, also known as Notice 508C, informs taxpayers that their account has been classified as seriously delinquent tax debt and warns that passport privileges may be restricted.
The notice outlines possible solutions. Taxpayers may enter into a payment plan, submit an offer in compromise, or request penalty abatement, depending on their financial circumstances and the statute of limitations. Financial disclosures through Form 433-A, Form 433-B, or Form 433-F may be required when negotiating a resolution.
Taxpayers often consult a tax professional or tax attorney to understand taxpayer rights and available remedies. Resources such as Publication 594, Publication 1854, Publication 5059, and the Collection Process PDF explain collection enforcement procedures and due process protections.
Once passport certification is transmitted, the State Department cannot approve passport applications or renewals. Applications submitted after certification are typically denied until the delinquent tax debt is resolved.
Officials normally keep the passport application open for about 90 days while the taxpayer works with the Internal Revenue Service to address the liability. During that time, taxpayers may make payments by credit card, debit card, or other approved methods.
If the debt remains unresolved after the hold period, the application is closed. The taxpayer must reapply after certification is reversed.
The passport certification program mainly affects delinquent taxpayers with significant unpaid federal tax liabilities who have not entered a payment plan. Self-employed individuals and small business owners are often vulnerable when delinquent taxes accumulate over several years.
However, some taxpayers are excluded from certification. Passport suspension generally protects individuals who actively resolve federal tax debts through an installment agreement or an accepted offer in compromise.
Other exceptions may apply when taxpayers request a due process hearing under Collection Due Process rules established by IRC §6330. Disputes may also reach the Tax Court if taxpayers challenge collection enforcement actions or certification decisions.
Taxpayers can restore passport eligibility by resolving the underlying tax liabilities. Federal law requires the Internal Revenue Service to reverse passport certification when the taxpayer no longer meets the definition of seriously delinquent tax debt.
Resolution usually involves paying the balance, negotiating a payment plan, or settling the liability through an offer in compromise. Taxpayers may need to verify identity using a Social Security number, a federal employer identification number, or other documentation when submitting records.
By William Mc Lee, Editor-in-Chief & Tax Expert—Get Tax Relief Now