Here are the basics about the passport restrictions for delinquent taxpayers
- June 15, 2017
- David Greene
- Comments Off on Here are the basics about the passport restrictions for delinquent taxpayers
In general, anyone who owes more than $50,000 in delinquent taxes, plus has a lien filed and a levy issued against him with no relief having been attempted or granted may have their passport restricted so that he cannot travel out of the country. This new program is contained in IRC §7345. There are several exceptions to this rule. One’s passport will not be restricted if he (1) is in an Installment Agreement, (2) has completed an Offer in Compromise, (3) is appealing a levy through a Collection Due Process appeal, or (4) has requested Innocent Spouse Relief. If you owe more than $50,000, by now you should have received Letter 508C notifying you that you have been certified as a seriously delinquent taxpayer. This letter is also sent to the State Department for action. Next week I will discuss how to have the restrictions lifted.