If you owe taxes to the IRS, you may find that your ability to travel outside the U.S. is restricted. Once the IRS determines your tax debt to be seriously delinquent tax debt, they can certify this fact to the State Department (“Department”). After receiving certification from the IRS, the Department generally will not issue or renew a passport.
Certification of Individuals with Seriously Delinquent Tax Debt
In 2025, seriously delinquent tax debt is tax debt totaling more than $64,000 for which:
- A Notice of federal tax lien has been filed, and all administrative remedies have lapsed or been exhausted or
- A Levy has been issued in an attempt to collect the debt
Internal Revenue Code Section 7345 provides that certain tax debt is not included in determining seriously delinquent tax debt. This includes tax debt that is:
- Being timely paid under an installment agreement
- Being timely paid under an accepted offer in compromise
- The subject of a collection due process hearing in connection with a levy to collect the debt
- The subject of a request for innocent spouse relief for which collection has been suspended
The IRS in its discretion has determined it will not certify a taxpayer as owing seriously delinquent tax debt who:
- Is determined to be not collectible due to hardship
- Has a request pending for an installment agreement or offer in compromise
- Is the victim of tax-related identity theft
- Is in bankruptcy
- Is located in a federally declared disaster area
- Has an accepted IRS adjustment that fully pays their tax debt
The $64,000 threshold (adjusted for inflation annually) above is the total unpaid assessed balances, including tax, penalties, and interest. Non-assessed accrued penalties and interest are not included.
Taxpayer Notification
The IRS must send you a written notice (Notice CP 508C) when certifying seriously delinquent tax debt to the Department. This notice details the certification and the amount owed. It will also specify the actions you must take to avoid passport revocation. The notice will not mention tax debts that do not qualify as seriously delinquent.
Applying For or Renewing a Passport
The Department will not approve a passport application for taxpayers with certified tax debt. However, the department will hold the application open for 90 days to allow you to:
- Resolve any incorrect certification issues
- Fully pay the tax debt, or
- Enter into an acceptable payment alternative with the IRS
If you fail to satisfy any of the above requirements within 90 days, your application will be rejected and closed.
Reversal of Certification
The IRS will notify the Department of the reversal of the certification (Notice CP 508R) when:
- The tax debt is fully satisfied or becomes legally unenforceable.
- The tax debt is no longer seriously delinquent.
- The certification is erroneous.
The IRS will provide notice if the certification is incorrect as soon as possible. Notice will also be provided within 30 days of the date the debt is fully satisfied, becomes legally unenforceable or is no longer seriously delinquent tax debt. A previously certified debt is no longer seriously delinquent when:
- You and the IRS enter into an installment agreement.
- The IRS accepts an offer in compromise.
- The Justice Department enters into a settlement agreement.
- Collection is suspended because you request innocent spouse relief.
- You make a timely request for a collection due process hearing in connection with a levy to collect the debt.
The IRS will not reverse certification where a taxpayer requests a collection due process hearing or innocent spouse relief on a debt that is not the basis of the certification. Also, the IRS will not reverse the certification because the taxpayer pays the debt below $64,000.
Judicial Review of Certification
If the IRS certified your debt to the State Department, you can file suit in the U.S. Tax Court or a U.S. District Court to have the court determine whether the certification is incorrect, or the IRS failed to reverse the certification when it was required to do so. If the court determines the certification is erroneous or should be reversed, it can order reversal of the certification.
Payment of Taxes
If you cannot pay the total amount due, you may consider alternative payment options like an installment agreement or an offer in compromise, allowing you to retain your U.S. passport. Should you dispute the tax amount or believe the certification was incorrectly issued, contact the IRS at the phone number listed on Notice CP 508C. If you have settled the tax debt, send proof of payment to the address specified on Notice CP 508C.
If you recently filed your tax return for the current year and expect a refund, the IRS will apply the refund to the debt. If the refund is sufficient to satisfy your seriously delinquent tax debt, the account is considered fully paid.
Passport Status
If you need to verify whether your U.S. passport has been canceled or revoked, contact the State Department by calling the National Passport Information Center at 877-487-2778 or visiting their website. 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 keep your passport.
Resolving Seriously Delinquent Tax Debt
The risk of passport restrictions due to tax debt disappears only after resolving your back taxes. To maintain your ability to travel, ensure you continue to make any necessary payments and communicate with the IRS about your situation.
The tax resolution specialists at East Coast Tax Consulting Group are here to help you protect your passport and your financial future. If you received Notice CP508C and are unsure what to do, call us at 561-826-9303 or message us online. We will investigate your tax issue and advise on how to resolve it.