My friends at TravelPulse.com are reporting, “The Internal Revenue Service (IRS) announced this week that taxpayers who owe too much in taxes and have not contacted the organization to develop a payment plan might not be able to receive or renew passports.
According to WSET.com, a previous set of laws requires the IRS to report “seriously delinquent tax debts” to the United States Department of State, typically those who owe over $52,000. As a result, the State Department would be able to restrict access to passports or hold pending applications.
Once the taxpayer either pays off the debt or makes the proper payment arrangements with the IRS, the government agency will have 30 days to approve the passport. Officials announced the process could be sped up for those who meet the criteria and have immediate travel plans or live abroad.”
“There are several ways taxpayers can avoid having the IRS notify the State Department of their seriously delinquent tax debt. They include the following:
Paying the tax debt in full
Paying the tax debt timely under an approved installment agreement,
Paying the tax debt timely under an accepted offer in compromise,
Paying the tax debt timely under the terms of a settlement agreement with the Department of Justice,
Having requested or have a pending collection due process appeal with a levy, or
Having collection suspended because a taxpayer has made an innocent spouse election or requested innocent spouse relief.
A passport won’t be at risk under this program for any taxpayer:
Who is in bankruptcy
Who is identified by the IRS as a victim of tax-related identity theft
Whose account the IRS has determined is currently not collectible due to hardship
Who is located within a federally declared disaster area
Who has a request pending with the IRS for an installment agreement
Who has a pending offer in compromise with the IRS
Who has an IRS accepted adjustment that will satisfy the debt in full”
Moral of the story, if you want to travel. make sure Uncle Sam is happy!
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