If you have outstanding tax debt at the moment, you may be wondering if you can you get a passport if you owe taxes. This actually depends on the severity of your debt. The IRS says you will be unable to renew or apply for a passport if you are measured to owe “seriously delinquent” back taxes in the sum of $53,000 or more. Based on these factors, the State Department has the right to withdraw your current passport. If this applies to you, it’s advisable to map out a plan to repay your tax debt before you prepare to leave the country. You can you get a passport if you owe back taxes if your tax debt is not measured as seriously delinquent. We’ll look at how to figure out whether you’re disqualified from getting a passport due to your back taxes, and also look at how to renew or apply for a new passport while you still indebted to the IRS. The Basics of Passports & Back Taxes One of the ways the government ensures they receive taxes that are owed to them is by restricting passport privileges. The liaison between U.S. passports and taxes is that it offers the IRS a measure of control to encourage people to repay in order to be able to travel outside the country. Once the IRS confirms that you are considered seriously delinquent on back taxes, the agency will inform the State Department, which in turn will be able to deny your application for a passport or passport renewal. The State Department also then has the right to withdraw your passport, making you unable to travel outside the U.S. until you settle your tax debt. That said, not every tax debt will result in passport restrictions. As of January 2020, the average tax debt was about $16,849, which is well below the amount the IRS measure as seriously delinquent. This means that you can actually get a passport if you owe taxes. However, if you are one of the individuals who finds themselves in serious tax debt, your ability to use your passport may be restricted. If you do find yourself in the position where you can’t use your passport because you owe back taxes do not carry out the whole process on your own. Ensure you seek the assistance of a tax expert. In order to ascertain which position you are in, it’s important to understand the conditions around when passports are denied or withdrawn because of tax debt. Can I be Denied Passport if I Owe Back Taxes? You can be denied a passport if you owe back taxes. This doesn’t only affect your application for a new passport, but also your passport renewal. However, there is some scope on how these actions are deployed. Instead of an automatic denial, your application will be held for 90 days. This offers you time to determine whether the certification as severely delinquent is incorrect or to make payment arrangements with the IRS. What Disqualifies You from Getting a Passport? Owing back taxes can actually disqualify you from getting a passport. Although, there are also many other factors that may be limiting your travel plans. In addition to being denied a passport if you owe taxes, you may also be disqualified if:
  • There is an outstanding state or federal warrant for your arrest
  • One of the conditions of your parole or probation is that you remain in the U.S.
  • You have a warrant for a felony in a foreign country
  • You have unpaid federal loans
  • You are currently imprisoned
Now that you have a better understanding of all the factors that could be put into consideration in denying or revoking your passport, it should be clear at this point that you can actually get a passport even if you owe back taxes. Can the IRS Put a Hold on Your Passport? The answer is yes. The IRS has the right to revoke or put your current passport on hold. This action will be revoked when you make plans for repayment with the IRS, whether that be paying in full or setting up a payment plan. Traveling When You Owe Back Taxes There is a likely or probable chance that you can travel if you owe taxes. The State Department has the right to restrict travel for individuals who owe back taxes. However, these actions typically affect only to those who fall into the severe delinquent category of tax debt. If you have an urgent issue that needs you to travel outside the U.S. and you have seriously delinquent back taxes, you should make preparations to pay all or a portion of your taxes as soon as possible. There are a number of tax relief programs you may be eligible for. Applying for a New Passport If You Owe Back Taxes You might be wondering if you can get a new passport if you owe taxes. Well, it depends on the amount you owe. It is possible to get a new passport, even if you owe a huge amount in back taxes. If you want to apply for a new passport but are considered seriously delinquent, you will need to find a means to pay your taxes. You have the options of arranging a payment plan, Offer in Compromise, or paying a lump sum through a tax amnesty program. Once you fall below the seriously delinquent status, the IRS will revoke their certification. This is usually completed within 30 days of payment. However, in some cases, the IRS may be able to speed up this process if circumstances are urgent. Once your passport privileges are activated again, you are now free to apply for a new passport. If your passport application was submitted and put on hold because of your tax debt status and you are within the 90-day timeline, the application process will resume where you stopped initially. If you are yet applied for your passport because of a seriously delinquent notice you received, you will need to follow the standard new passport application procedure. Renewing a Passport If You Owe Back Taxes There are several necessary steps to take if you are trying to renew your passport but owe back taxes:
  1. Be sure that you are not seriously delinquent; otherwise, your application for renewal will be denied or put on hold.
  2. If you are seriously delinquent, you need to seek the aid of a tax professional and start the process of negotiating tax resolution with the IRS.
  3. Tender the necessary information and documents for passport renewal, Form DS-82, current passport, photo, etc.
  4. Mail your renewal application to the IRS.
If your passport renewal is denied because you are considered seriously delinquent, you will need to start repaying your tax debt to the IRS before you can proceed with any step.