Unpaid taxes and unresolved back taxes with the IRS can lead to a serious consequence: the revocation of your passport. This IRS passport revocation limits your ability to travel internationally and adds a significant complication to your financial status. If you find yourself facing this issue, knowing the available resolutions is very important.
In this guide, we will explore the process of IRS passport revocation, its implications, and the practical steps you can take to resolve the issue and restore your international travel rights.
What is IRS Passport Revocation?
Passport revocation occurs when the IRS notifies the U.S. State Department that an individual has “seriously delinquent tax debt.” Typically, this means owing more than $62,000 in unpaid taxes, penalties, and interest. Read our detailed blog about what is considered seriously delinquent tax debt.
Once this certification is made, the State Department can deny new passport applications, refuse renewals, or revoke existing passports. This effectively prevents you from traveling internationally until the issue is resolved.
Why Does the IRS Revoke Passports?
The IRS employs passport revocation as a means to enforce tax compliance among individuals with significant unpaid tax liabilities. By restricting international travel, the IRS pressures taxpayers to promptly address their outstanding debts. This measure is part of the IRS’s broader efforts to collect overdue taxes and ensure adherence to federal tax laws.
Impact of passport Revocation on Your Life
Having your passport revoked can severely disrupt both personal and professional aspects of your life. It can hinder business opportunities that require international travel, prevent you from visiting family abroad, and even affect your reputation. Additionally, the uncertainty and limitations imposed by passport revocation can cause considerable emotional stress.
Are You Eligible for Resolution of IRS Passport Revocation?
The good news is that revocation of a passport due to tax debt is not a permanent situation. Several pathways exist to resolve this issue and restore your travel rights. Eligibility for resolution depends on your specific circumstances and your willingness to address the underlying tax debt through IRS-approved methods.
Eligibility Criteria for Resolving Revocation of Passport
Full Payment of Tax Debt
Paying off your entire tax debt is the most direct method to resolve passport revocation. Once the IRS acknowledges full payment, they will notify the State Department to remove the certification, effectively reinstating your passport. This approach is straightforward but may not be feasible for everyone due to the substantial financial commitment required.
At J. David Tax Law, we assist in ensuring that once your debt is paid, the IRS releases the passport revocation promptly. We handle all communications with the IRS to expedite the process, allowing you to regain your travel rights as soon as possible.
Installment Agreement
If full payment isn’t feasible, setting up an Installment Agreement with the IRS is a viable alternative. This arrangement demonstrates your commitment to resolving your tax debt over time.By setting up a payment plan with the IRS, you can potentially lift the IRS passport revocation, thereby restoring your international travel capabilities.
Our tax attorneys at J. David Tax Law negotiates with the IRS on your behalf to set up an Installment Agreement that suits your financial situation. Our goal is to ensure the IRS is satisfied with the payment plan, facilitating the swift removal of your passport revocation.
Offer in Compromise (OIC)
An Offer in Compromise allows you to settle your tax debt for less than the full amount owed. This option is particularly beneficial if paying the full debt would cause financial hardship. Eligibility for an OIC requires demonstrating that you cannot pay the full amount and that settling for less is in the IRS’s best interest.
Our tax attorneys specialize in crafting Offers in Compromise that the IRS is more likely to accept. We carefully prepare your application to highlight your financial hardship and negotiate aggressively to secure a favorable settlement, thereby reversing the passport revoked status. Check here if you’re eligible for an IRS Offer in compromise.
Currently Not Collectible (CNC) Status
If you’re experiencing severe financial hardship, you may qualify for Currently Not Collectible status. This status temporarily halts IRS collection activities, such as wage garnishments, tax levies, and the passport revocation process. While interest and penalties continue to accrue, CNC status provides relief until your financial situation improves.
At J. David Tax Law, we help you gather and submit the necessary financial records to demonstrate your hardship. Our tax debt attorneys ensure that your case is presented compellingly to increase the likelihood of approval for Currently Not Collectible status, thereby lifting the passport revocation.
Appealing the Certification
If you believe that your passport revocation was wrongful or that there were errors in your tax assessment, you have the right to appeal the IRS’s certification. This process involves filing a formal appeal and providing evidence to support your claim.
A tax attorney can help you file legal claims or appeals to correct the IRS’s decision. Addressing this promptly can expedite the resolution process. Seek immediate assistance by giving our tax debt attorneys at J. David Tax Law a call to resolve the tax debt and remove the passport revocation.
How our Tax Attorneys Resolve IRS Passport Revocation
Resolving passport revocation involves a series of steps designed to address your tax debt and restore your travel rights. Here’s how we streamline the process for you:
Free Tax Consultation
We begin with a comprehensive, no-obligation consultation. During this session, we assess your situation by reviewing IRS notices, the amount of tax debt, and any prior actions taken. This step allows us to understand your unique circumstances and lay out the most effective path forward.
Eligibility Evaluation for Resolution
Our tax lawyers perform an in-depth evaluation to determine which resolution method best fits your situation. Whether it’s an Installment Agreement, Offer in Compromise, or CNC status, we ensure that the strategy aligns with your financial capabilities and goals.
Form Submission and IRS Negotiation
We handle all necessary paperwork, including forms like IRS Form 433-A or Form 433-F, and negotiate directly with the IRS. Our team is experienced in communicating with IRS agents and knows how to present your case to secure the best possible outcome.
Passport Revocation Release
After successfully resolving your tax debt or setting up an approved agreement, we request the lifting of your IRS passport revocation. The IRS will notify the State Department to reinstate your passport eligibility. We monitor this process closely to ensure there are no unnecessary delays.
Why Choose J. David Tax Law?
At J. David Tax Law, we specialize in resolving complex tax issues, including passport revocation due to serious tax debt. What sets us apart is our personalized approach and deep expertise in navigating IRS procedures. We act swiftly, crafting tailored solutions like Installment Agreements, Offers in Compromise, or CNC status to restore your travel rights quickly.
With a client-first focus, we keep you informed at every step, ensuring a seamless process while minimizing disruptions to your life. Reach out today, and let our experienced tax attorneys help you resolve your tax debt and regain your passport.
Steps to Take If Passport Revocation Isn’t Lifted After Resolution
In some cases, you may resolve your tax debt, but your passport revocation isn’t lifted promptly. Here’s what you should do:
Verify IRS Status Change
We will contact the IRS to confirm that they have updated your status to no longer “seriously delinquent.” We’ll also request confirmation that your debt has been fully cleared or that you are in an approved Installment Agreement or Offer in Compromise.
Follow Up with the State Department
Once your status is cleared, we’ll follow up with the State Department to ensure they have received the update from the IRS. Delays can occur between agencies, so this step is important to expedite the process.
Request an IRS Account Transcript
Our tax attorneys will obtain an IRS Account Transcript to verify that all payments or agreements are properly recorded, ensuring that your tax debt is no longer classified as “seriously delinquent.”
Submit a Form 911 with the Taxpayer Advocate Service (TAS)
If there are delays in lifting the passport revocation, we will submit IRS Form 911 to the TAS. This action helps address any IRS or State Department errors promptly.
Take Further Legal Action
If the passport revocation still hasn’t been lifted, our tax attorneys will escalate the case, file additional forms if necessary, and take legal action to ensure your passport is reinstated as soon as possible.
Preventing Future Passport Revocations
To avoid facing passport revocation again, it’s important to stay proactive about your tax obligations. Here are some steps you can take:
Common Misconceptions About Passport Revocation
Misconception 1: Passport Revocation Is Permanent
Reality: Passport revocation due to tax debt is not permanent. Once you address the tax debt through one of the approved methods, you can have your passport reinstated.
Misconception 2: Only High-Income Individuals Face Passport Revocation
Reality: Anyone with a seriously delinquent tax debt exceeding $62,000 can face passport revocation, regardless of income level.
Misconception 3: The IRS Will Notify Me Before Revoking My Passport
Reality: The IRS sends Notice CP508C after certifying your debt to the State Department, which may occur without prior direct communication about the impending passport revocation.
Conclusion
Facing the revocation of your U.S. passport due to tax debt can be an intimidating experience, but understanding your eligibility for resolution is the first step toward regaining your travel rights. By acting swiftly and working with experienced tax professionals, you can manage the passport revocation process effectively. Whether through full payment, Installment Agreements, Offers in Compromise, or appealing wrongful revocations, there are pathways to restore your passport and alleviate the burden of tax debt.
Get back to global travel. Call us today at (888) 342-9436 for a free, no-obligation consultation to address your IRS passport revocation effectively.
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