What is the Notice CP508?
This notice indicates that the IRS has informed the U.S. Department of State that your tax liability meets the specifications for being "seriously delinquent" under Internal Revenue Code Section 7345. Section 7345 was enacted as part of the Fixing America’s Surface Transportation (FAST) Act in 2015.
Its purpose is to provide the IRS with the authority to request the Department of State to revoke or deny passports for individuals with substantial tax delinquencies. This applies to taxpayers who have "seriously delinquent tax debts." This refers to unpaid federal taxes (including penalties and interest) exceeding a threshold set by the IRS. As of 2023, the threshold is $54,000 or more.
In general, after receiving this certification from the IRS, the U.S. Department of State will not renew your passport or issue you a new one; instead, they may revoke or set restrictions on your present passport.
Under Section 7345, the IRS can certify a taxpayer’s seriously delinquent tax debt to the Department of State. Once certified, the Department of State has the authority to revoke or deny the individual’s passport, or to limit its use for certain international travel purposes.
Quick FactThere are exceptions to passport revocation or denial, including instances where the taxpayer is in the process of resolving their tax debt with the IRS, has a pending collection due process hearing, is in bankruptcy, or falls under certain humanitarian circumstances. Additionally, the IRS may provide temporary relief in cases of emergency travel. |
How Serious Is This?
The amount of a person’s unpaid, legally enforceable federal tax liability that exceeds $55,000 (with interest and penalties) is considered to be very delinquent tax debt. This applies when:
- All administrative options under Internal Revenue Code Section 6320 have expired or been used up, and a notice of federal tax lien has been filed; or
- There is now a levy or a seize issued by the IRS.
What Can I Do About This?
Make sure that you have thoroughly read and understood the certification. The certification will only be revoked by the IRS when:
- The tax debt is completely paid off or loses its ability to be collected.
- The tax debt is not currently in default.
- This certification contains errors.
If you or someone you know needs tax relief, seek professional assistance. To schedule a FREE consultation with Priority Tax Relief, dial 888-708-2872.
Frequently Asked Questions: Notice CP508
"Seriously delinquent tax" refers to a specific threshold of unpaid federal taxes that triggers the provisions outlined in Internal Revenue Code Section 7345.
