Delinquent Tax Debt Can Lead to Passport Revocation

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Written by Aaron Giles | Posted in Delinquent Tax Debt • Tax Delinquency

Delinquent Tax Debt Can lead to Passport Revocation. The fixing America’s Service Transportation (FAST) Act of 2015 which was signed into law on December 2015 requires the Internal Revenue Service to notify the State Department of taxpayers who are certified as owing a seriously delinquent tax debt.

Seriously certified tax debt is $51,000 indexed yearly for inflation which includes interest and penalties. This tax debt remains unpaid and legally enforceable and all administrative remedies have been lapsed and exhausted.

The IRS is required to notify you at your last known address of their intent to notify the State Department.

Before denying a passport, the State Department will hold your application for 90 days to allow you time to

Resolve any erroneous certification issues
Make full payment of the tax debt
Enter a satisfactory payment arrangement with the IRS

The State Department will notify you in writing if your U.S. passport application is denied or your U.S. passport is revoked.

If you need your U.S. passport to keep your job, once your seriously delinquent tax debt is certified, you must fully pay the balance, or make an alternative payment arrangement to have your certification reversed.

Once you’ve resolved your tax problem with the IRS, the IRS will reverse the certification within 30 days of resolution of the issue and provide notification to the State Department as soon as practicable.

Have questions? Contact Bernell Ward.

Aaron Giles

Aaron C. Giles is the Founder and President of Agile Consulting Group. Aaron spent five years working within the specialty niche of Sales & Use Tax at Brown & Associates before forming his own firm in 2005. He has worked hundreds of audits in states all across the U.S. during that time and has delivered savings of over $75M in the form of refunds and credits to his clients. Today, he leads a group of talented, detail-oriented colleagues who focus exclusively on Sales & Use Tax.

Some of our firms’ greatest achievements have come in successfully arguing new and unique perspectives to existing tax law in various states enabling our clients to claim exemptions on categories of purchases previously held to be taxable. Included in these victories are: communication services taxes for religious nonprofit hospitals in FL, bulk purchases of drugs in VA, specific surgical tools and instruments for healthcare providers in TX, printing plates in GA, railroad utilities in KY, and most recently software in AL.