Starting this month, the IRS will start implementing new procedures required under a 2015 law to crack down on individuals with "seriously delinquent tax debts."

The IRS issued Notice 2018-1 on January 16, 2018, which provides guidance for implementation of the new IRC 7345, added by Section 32101 of the FAST Act. Upon receipt of section 7345 certification, the State Department is generally required to deny a passport application for individuals with seriously delinquent tax debts and may also revoke or limit passports previously issued to those individuals. The notice also describes some exceptions to certification and taxpayer remedies.

This comes in the face of the January 10, 2018 Report of The National Taxpayer Advocate advising the Internal Revenue Service (IRS) to stop abusing its new power to revoke the passports of US citizens who owe it more than USD50,000.

According to Notice 2018-1 starting January 2018, the IRS will start implementing new procedures required under a 2015 law to crack down on individuals with "seriously delinquent tax debts." The Fixing America's Surface Transportation (FAST) Act, which was signed into law in December 2015, requires the IRS to notify the State Department of taxpayers the IRS has certified as owing a seriously delinquent tax debt. "Seriously delinquent tax debt" is an individual’s unpaid, legally enforceable federal tax debt totaling more than $51,000 (including interest and penalties) for which a notice of federal tax lien has been filed and all administrative remedies under IRC § 6320 have lapsed or been exhausted or a levy has been issued.

If you face this problem, you should consult with Experienced Tax Attorneys, as there are several ways taxpayers can avoid having the IRS request that the State Department revoke your passport.

Contributed by: Mr. Ronald Marini of Marini & Associates, E: rmarini@taxaid.com , W: www.taxaid.com