Passport certification for seriously delinquent tax debt (IRC 7345)

What certification does

IRC 7345(a) requires the Treasury to transmit an IRS certification of seriously delinquent tax debt to the Secretary of State “for action with respect to denial, revocation, or limitation of a passport.” IRM 5.16.1.2.9 summarizes the effect: “The State Department generally will not issue or renew a passport to an individual after receiving the certification from the IRS.”

The IRS certifies; the State Department decides. IRM 5.19.25.2: “The DOS has the sole authority for denying, revoking, or limiting a U.S. passport of a certified individual.” The State Department may revoke without further notice, and the IRS page notes it may issue a limited-validity passport so a certified taxpayer abroad can return directly to the United States. Certifications go to the State Department weekly (IRM 5.19.25.9).

What counts as seriously delinquent tax debt

Under IRC 7345(b)(1) and IRM 5.19.25.3, a seriously delinquent tax debt is an unpaid, legally enforceable federal tax liability of an individual that:

• has been assessed;
• exceeds the inflation-adjusted threshold: $66,000 for calendar year 2026 (Rev. Proc. 2025-32, section 4.60). IRC 7345(f) indexes the $50,000 base amount for calendar years after 2016 and provides: “If any amount as adjusted under the preceding sentence is not a multiple of $1,000, such amount shall be rounded to the nearest multiple of $1,000.” The IRM itself does not carry the current figure; IRM 5.19.25.3 says “The current threshold amount can be found on IRS.gov passport page.”; and
• either has a Notice of Federal Tax Lien filed with IRC 6320 rights exhausted or lapsed, or has had a levy made under IRC 6331.

The threshold is measured on the aggregate unpaid balance of assessment: tax plus assessed interest and penalties, not accruals (IRM 5.19.25.3). It can include individual income tax, trust fund recovery penalties, business taxes for which the individual is liable and other civil penalties, and the IRS can combine IMF and BMF liabilities under different TINs. The IRS page lists prior thresholds:

A pending CDP lien hearing means 6320 rights are not yet exhausted, but an equivalent hearing does not prevent certification (IRM 5.19.25.3). Levy identification is coded with TC 971 AC 640, delayed eight weeks when post-levy CDP rights are given (IRM 5.19.25.6). Non-tax debts are excluded: Affordable Care Act shared responsibility payments, criminal restitution assessments, child support and FBAR penalties.

Debts that are not certified

Two traps. First, a short-term payment plan is not an installment agreement for this purpose: IRM 5.19.25.4 says “Although some short term payment plans (TC 971 AC 899) and continuous wage levies (TC 971 AC 898) are monitored in status 60 on IDRS, they are not IAs and do not meet the criteria for this exclusion.” Second, an equivalent hearing on a levy does not meet the CDP exclusion. The discretionary list is applied uniformly: “The IRS made a policy decision that discretionary exclusions apply to all taxpayers who meet the exclusion criteria.”

Certification notices and timing

When the IRS certifies, it mails Notice CP508C to the taxpayer's last known address by regular mail. The IRS page adds: “The IRS will not send a copy of the CP508C notice to a taxpayer’s power of attorney.” A practitioner may first learn of certification from the client, or from the CP508C or CP90 discussion of passports. A new CP508C is issued if a later module pushes a certified taxpayer's aggregate balance over the threshold again (IRM 5.19.25.8.1).

When a certified taxpayer applies for or renews a passport, the State Department sends a letter and holds the application open for 90 days so the taxpayer can pay in full, enter a satisfactory payment arrangement, or resolve an erroneous certification. After 90 days the application is denied and closed and a new application is needed.

Reversal of certification

Under IRC 7345(c) and IRM 5.19.25.10, the IRS reverses a certification and notifies the State Department within 30 days when the debt is fully satisfied, becomes legally unenforceable, or ceases to be seriously delinquent because an exclusion now applies (for example, an installment agreement is entered into or the account goes CNC for hardship). The taxpayer receives CP508R. An erroneous certification is reversed “as soon as practicable”.

Paying down is not enough: “Certifications will not be reversed because the taxpayer pays the debt to below the threshold amount indexed for inflation effective at the time of certification.” All certified modules must be paid, become unenforceable, or meet an exclusion. The exception is an adjustment that reduces the original certified amount below the threshold, such as penalty abatement or audit reconsideration, which IRM 5.19.25.10 lists as a discretionary reversal. A CDP or innocent spouse request on a non-certified period does not reverse a certification.

Expedited decertification

For a domestic taxpayer, the IRS will expedite when all three conditions in IRM 5.19.25.10.1 are met:

1. Eligibility for reversal is on IDRS. For example, the installment agreement's TC 971 AC 063 has posted.
2. Travel within 45 days, with proof. A flight itinerary, hotel reservation, cruise ticket, international car insurance or similar document showing the traveler, location and date.
3. A pending application and a State Department letter. A copy of the State Department denial or revocation letter issued within the past 90 days (not the CP508C), with the passport application number.

Taxpayers living abroad with an urgent need can qualify without proof of travel or a denial letter. The IRS employee completes Form 14794 and sends it to the passport group. IRM 5.19.25.10.1 says expedited cases generally decertify within 9 to 16 days, but cautions: “A request for an expedited decertification does not guarantee that the DOS will issue the passport.” If the IRS previously requested revocation (TC 971 AC 644), the taxpayer does not qualify for expedited handling.

Inside the IRS: how certification and reversal are processed

Certification is not a decision an individual employee makes. IRM 5.19.25.11.2: “Certification is a systemic process. You cannot request an account be certified.” Each week IDRS identifies modules that meet the IRM 5.19.25.3 test and carry no exclusion code, posts TC 971 AC 641 to each certified module, generates the CP508C, and transmits the list to the State Department; IRM 5.19.25.8 adds that Commissioner approval is required for certification and “may only be re-delegated to the Division Commissioner of an operating division or to the Chief Tax Compliance Officer.” Employees are told not to input TC 971 AC 641 or generate a CP508C by hand (IRM 5.19.25.7). The CP508C may list more than one TIN, because IMF and BMF balances are combined to reach the threshold.

Reversal runs the same way in the other direction. When a certified module is paid to status 12, becomes unenforceable or picks up an exclusion code, IDRS posts TC 972 AC 641 to that module. The taxpayer is decertified only when the last certified module reverses; that final TC 972 AC 641 shows “FINAL” in the miscellaneous field on TXMODA, the CP508R is generated, and the State Department is told on the next weekly transmission (IRM 5.19.25.7, 5.19.25.10). On a joint account each spouse has a separate TC 971 AC 641 and a separate reversal. If the codes show an exclusion but the module has not reversed, the employee is told to send an encrypted request to the SB/SE passport group with the subject “Review of Certification”; a representative gets that done by asking the assigned employee or the passport line to make the referral.

Where to call and write. IRM 5.19.25.12 centralizes passport contacts in Philadelphia: 855-519-4965 domestic and 267-941-1004 international, with correspondence routed to Philadelphia ACSS. Field Assistance and the Philadelphia ACS employees who take those contacts are told to answer general questions and resolve the account (installment agreement, offer, CNC) under normal collection procedures; the reversal then follows systemically.

What the representative sends for an expedited reversal. The IRS employee, not the taxpayer, completes Part 1 of Form 14794, secures manager approval, and emails it to the passport group with the travel date in the subject line; the passport analyst transmits it to the State Department and the employee receives a confirmation email to note in the history. The representative's job is to hand the employee a processable package: proof that the exclusion code has posted, proof of travel within 45 days, a copy of the State Department letter dated within the past 90 days, and the passport application number. IRM 5.19.25.10.1 is strict on the last item: “The passport application number will be on the DOS denial letter. This information must be entered when completing Form 14794, Expedited Passport Decertification, or it is not processable.” A separate Form 14794 is required for each spouse on a joint liability. Once transmitted, “Processable expedited decertifications generally take the IRS three business days to review and transmit to the DOS”, after which the State Department controls timing and the taxpayer must deal with it directly; the State Department may also issue a passport for emergency or humanitarian reasons under 22 U.S.C. 2714a without affecting the certification (IRM 5.19.25.9).

Revocation referrals follow a separate track in Field Collection (IRM 5.19.25.11.1, 5.19.25.11.2). The revenue officer must confirm the taxpayer holds a valid passport, issue Letter 6152 with a copy of the CP508C, wait 30 days (90 days for a foreign address) and then route a memorandum through the group manager to CEASO and Collection Policy; the Director, Collection Policy must concur before anything goes to the State Department. “Letter 6152 is valid for 12 months from issuance date.” Once a referral is made, TC 971 AC 644 posts on ENMOD and disqualifies the taxpayer from any later expedited decertification, so a client who receives Letter 6152 should resolve the account inside the 30 days rather than after.

A practitioner checklist

1. Confirm certification. Ask the client for the CP508C, and look for TC 971 AC 641 on each module of the account transcript.
2. Pick the exclusion that fits. An installment agreement, an accepted offer, CNC hardship, a timely levy CDP request or an innocent spouse request each removes the debt from certification.
3. Get the code posted. Reversal is systemic once IDRS shows the qualifying transaction, such as TC 971 AC 063 for an agreement.
4. Collect travel proof early. If travel is within 45 days, gather the itinerary and the State Department letter so the IRS employee can request expedited decertification on Form 14794.
5. Watch the State Department clock. The 90-day hold runs from the State Department letter; after it, a new application is needed.

Revocation referrals and court review

The IRS may ask the State Department to revoke a certified taxpayer's passport. Before referring, the IRS sends Letter 6152 asking the taxpayer to call and resolve the account (IRS passport page). The decision to revoke remains with the State Department.

There is no administrative route. IRM 5.19.25.13: “There is no administrative appeal, claim process, or administrative hearing that can be filed with the IRS if the taxpayer believes that a certification is erroneous.” The same section notes that “passport certification is not a collection action that is subject to CAP rights”, although CAP remains available for the lien or levy that triggered the certification. Under IRC 7345(e), after notice the taxpayer may sue in the Tax Court or a U.S. district court to determine whether the certification was erroneous or the IRS failed to reverse it, and the court that first acquires jurisdiction has sole jurisdiction. The IRS page notes the court cannot release a lien or levy or award damages in that suit, and no administrative claim is required first. See Tax Court petitions.

The Tax Court has drawn the boundaries of that review tightly. In Ruesch v. Commissioner, 154 T.C. 289 (2020), aff'd in part and vacated in part, 25 F.4th 67 (2d Cir. 2022), the taxpayer challenged both her certification and the IRC 6038 penalties behind it. The court held that “section 7345(e) limits our jurisdiction to determining whether the Commissioner erred in certifying (or in failing to reverse a certification) that a taxpayer owes a ‘seriously delinquent tax debt’ as defined in section 7345(b)”, so the underlying liability cannot be litigated in a passport case, and that once the IRS reversed the certification (a timely CDP request had been miscoded) the passport claim was moot. The Second Circuit affirmed the mootness holding and directed that the liability claim also be dismissed as moot rather than for lack of jurisdiction, without reaching the jurisdictional question. The Tax Court reaffirmed its position in Adams v. Commissioner, 160 T.C. No. 1 (2023), adding that IRC 7345(b)(1)(A) “requires that the unpaid, legally enforceable tax liability underlying a seriously delinquent tax debt ‘has been assessed,’ not that it ‘has been properly assessed,’” and that it cannot review the constitutionality of what the State Department does with a certification. In Rowen v. Commissioner, 156 T.C. 101 (2021), the first merits decision under IRC 7345, the court rejected a right-to-travel challenge: “Because I.R.C. sec. 7345 merely provides for the certification of certain tax-related facts and does not restrict in any manner the right to international travel, it cannot run afoul of the Due Process Clause of the Fifth Amendment.” Rowen left the scope and standard of review for another day, finding the certification correct either de novo or for abuse of discretion.

What this means in practice: a petition under IRC 7345(e) is worth filing only to contest the elements of the certification itself (the assessed balance, whether a levy was made or an NFTL filed with 6320 rights exhausted, whether an exclusion such as a pending CDP hearing, installment agreement or innocent spouse request applied when the IRS certified or should have reversed). A dispute about whether the tax is owed belongs in a CDP hearing, an audit reconsideration, a refund claim or a deficiency case, and winning there leads to reversal under IRC 7345(c) once the adjustment posts. Because the IRS concedes and reverses erroneous certifications, the usual end of a meritorious petition is a reversal followed by dismissal as moot, which is still the result the client needs.

Questions practitioners ask