Notice to Revoke Passport

Can the IRS Really Revoke My Passport?

Yes. Under the Fixing America's Surface Transportation (FAST) Act, the IRS has the authority to certify seriously delinquent tax debt to the U.S. State Department. Once certified, the State Department can deny your passport application, revoke your current passport, or limit your passport to return travel to the United States only.

This is not an empty threat. The IRS actively certifies taxpayers with seriously delinquent tax debt, and the State Department acts on those certifications. If you owe the IRS a significant amount of money and have not made arrangements to resolve the debt, your ability to travel internationally is at risk.

What Is "Seriously Delinquent Tax Debt"?

Seriously delinquent tax debt is defined as an individual tax debt (including penalties and interest) that totals more than $59,000. This threshold is adjusted annually for inflation, so it may change from year to year.

For the debt to be considered seriously delinquent, two conditions must be met:

1. The IRS has filed a Notice of Federal Tax Lien and your right to a Collection Due Process hearing has expired or been exhausted, or
2. The IRS has issued a levy

In other words, the IRS must have already taken formal collection action before they can certify your debt to the State Department. This is not something that happens with a brand-new tax balance — it typically occurs after the IRS has been trying to collect for some time and you have not resolved the debt.

Exceptions to Passport Certification

Not all taxpayers who owe more than $59,000 will have their debt certified. The IRS will not certify your debt if any of the following apply:

• Installment agreement: You are currently in an approved IRS payment plan and are in compliance with the terms
• Offer in Compromise: You have a pending or accepted Offer in Compromise with the IRS
• Collection Due Process hearing: You have a timely filed request for a Collection Due Process hearing
• Innocent spouse claim: You have a pending innocent spouse election or claim
• Combat zone: You are serving in a designated combat zone
• Bankruptcy: You have filed for bankruptcy and the automatic stay is in effect
• Disaster relief: You are affected by a federally declared disaster
• Identity theft: The debt is the result of identity theft

These exceptions are important because they give you a clear path to preventing passport certification or getting a certification reversed. If you can get into an installment agreement, submit an Offer in Compromise, or otherwise enter a recognized resolution with the IRS, they should not certify your debt — or should reverse a certification that has already been made.

What Is the CP508C Notice?

If the IRS certifies your seriously delinquent tax debt to the State Department, they will send you a Notice CP508C. This notice informs you that your tax debt has been certified and that the State Department may deny your passport application, revoke your passport, or limit your passport for return travel only.

If you receive a CP508C notice, you need to act immediately. Do not wait until you are at the airport or applying for a passport to discover that your travel is restricted. The sooner you take action to resolve the underlying tax debt, the sooner the certification can be reversed.

What Should I Do If I Receive a CP508C?

If you have received a CP508C notice — or if you owe the IRS more than $59,000 and are concerned about passport certification — here are the steps you should take:

1. Do not panic, but act quickly. There are clear paths to resolving this issue, but delays can result in your passport being revoked.
2. Review the notice carefully. Verify that the tax debt is accurate and that the amount is correct. If the debt is the result of identity theft or an IRS error, you may be able to challenge the certification directly.
3. Enter into a resolution with the IRS. The fastest way to get the certification reversed is to enter into an approved resolution. This can include:
   • An installment agreement (payment plan)
   • An Offer in Compromise (settle for less than you owe)
   • Paying the debt in full
   • Demonstrating that the debt is not legally enforceable
4. Contact a tax professional. Navigating this process while protecting your passport requires experience. A misstep can delay the reversal and leave you unable to travel.

How to Get Your Passport Restored

Once you have resolved your tax debt or entered into an approved payment arrangement with the IRS, the IRS is required to reverse the certification within 30 days. The IRS will notify the State Department that the certification has been reversed, and the State Department will then restore your passport privileges.

Specifically, the IRS will reverse the certification if you:

• Pay the debt in full
• Enter into an approved installment agreement and are current on payments
• Have an accepted Offer in Compromise and are in compliance
• Successfully challenge the underlying tax debt
• Demonstrate that the certification was made in error

If you need to travel urgently for humanitarian or emergency reasons, the State Department may issue a limited passport for return travel while the certification is being resolved. However, this is not guaranteed, and you should not rely on emergency exceptions as a long-term strategy.

How Colonial Tax Can Help

At Colonial Tax Consultants, we have helped many clients protect their passports by resolving their IRS tax debt before certification occurs — or by getting certifications reversed quickly when they have already been made.

Our approach is straightforward:

• We review your tax debt to verify the amount and determine whether the $59,000 threshold is actually met
• We identify the best resolution strategy — whether that is a payment plan, Offer in Compromise, or another option
• We negotiate with the IRS on your behalf to enter into an approved resolution as quickly as possible
• We ensure the IRS reverses the certification and notifies the State Department once the resolution is in place

If you are concerned about your passport or have already received a CP508C notice, call us at (866) 573-3755 for a free consultation. We will evaluate your situation and help you protect your ability to travel while resolving your tax debt.