5 Things You Can Do to Prevent IRS Passport Block
  • July 22, 2019
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In 2015, Congress passed a bill with various restrictions on individuals with “seriously delinquent tax debt”, after two years of fine-tuning the enforcement details. The bill granted the IRS the power to refuse to renew or invoke the passports of tax defaulters, pushing thousands of people into panic, who were trying to figure out how to solve their tax issues. If you too are grappling with the same situation, the Law Offices of Nick Nemeth, PLLC, is ready to help. Continuing on the subject, we present an overview of all that you can do to prevent IRS passport block. Read on.

1. If you have a dispute with the IRS, appeal

When the IRS sends you any notice, ensure you respond adequately and on time. Be sure to file your disputes for as many continuances from collections as you can get. You can also petition the tax courts to prolong your delay. This will ensure you keep the passport for a long time while keeping the system tied up.

2. Settle your debt with an OIC

Based on your earning and expenses, you can try to service your debt with an Offer In Compromise. You can add up to two years to the collection process by processing and negotiating an Offer In Compromise. Throughout this entire process, the IRS cannot revoke your passport. Be warned, though, that an OIC comes at a cost. The IRS usually has up to 10 years to collect a debt, after which it falls away. The offer in compromise delays this statute, meaning it will extend the collection time much later by compensating the delay.

3. File a bankruptcy

Upon filing for bankruptcy, most of your income taxes get discharged. If your tax debt is older than three years, not resulting from a tax fraud and you filed your bankruptcy two years after filing the tax returns; your debt should be effectively eliminated.  Although, not all IRS debt can be discharged in a bankruptcy.

4. Look for permanent residency in a foreign country

This should be done before the IRS takes your passport. Without a permanent residency in a foreign country, the IRS can revoke your passport which will bar you from traveling abroad or even force you to move back home. The IRS won’t force you to return to the US if you are a permanent resident of another country.

5. Discuss an installment agreement with the IRS

Whatever the size of your debt, you can always negotiate an installment agreement with the IRS. The IRS has four different types of installment agreements. Find out which one you qualify for.  Small payments for big debts, say a monthly $200 installment for a $1million debt, will prevent an IRS passport block.

Wrap Up

Getting an installment agreement and executing other IRS tax appeal processes are complex matters best handled by tax attorneys.. Nick and his team are adept in all-matter-taxes and work around the clock to provide tax relief to its clients by negotiating with the IRS while also offering tips against the IRS traps. If you risk losing your passport, request a no-obligation consultation with one of our IRS tax lawyers. Fill out our contact form or simply call +1-(972) 426-2553.

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What Our Clients Have to Say

Susan WilsonSusan Wilson
03:27 25 Jan 23
I have been very pleased with the solid counsel and guidance that Nick Nemeth has provided me regarding my tax issue. I found him to be honest and straightforward which I appreciated. I was impressed with his relevant experience and knowledge . He has definitely brought me peace of mind during a difficult and stressful time.
Sarah HowardSarah Howard
03:44 14 Nov 22
I would like to thank Mr. Nick and his staff for the superb help that I received from them. My IRS problem was resolved quickly and efficiently. It took 2 visits to convince me that I was over my head. I thought that I could call the IRS, appeal my tax notices and settle on a payment plan on my own. After many phone calls to the IRS, waiting sometimes more than 4 hours with no resolution to speak of, it proved to be extremely difficult and stressful. Revisiting Mr. Nick was a huge wake up call. My account was reviewed, and a payment plan was established with the IRS within a week. I will be forever grateful to the staff who worked on my case and especially to Lorna who listened to me vent while going through this painful process.
00:33 07 Aug 22
I cannot say enough good things about Nick and his team. When I first met with Nick he was up front, honest, friendly and efficient. When I worked with one of his attorneys, Eric B, I was just as pleased. All of the staff there are nice and very helpful. I wish I hadn't waited so long to get help with my issue. Over 6yrs I tried getting through and getting anywhere with the IRS and hardly made any progress. I know this may not be the case for all, and even I thought it would take longer than it did, but 3mos and they had my situation straightened out. I still can't believe it. Thank you thank you THANK YOU for all that you did for me. This is a huge burden gone out of my life now thanks to you. If anyone needs help out there, I know you may not want to shell out more money to get their help but it may just save you in the long run.
Spoilly GirlSpoilly Girl
23:49 03 Aug 22
The Nemeth Law team is exceptional. They treat their clients like a family member who is in crisis. They want you to get the best possible outcome. I really appreciate everything that they did for me. Jake and Ashley had the greatest role in my case and it all turned out for the best for me. Thank you Nick and team for easing my fears and getting me through the long process. I'm truly grateful.
Eddie WaltEddie Walt
19:44 12 Jul 22
During a time in which competent, professional service at a fair price seems to have disappeared, Mr. Nemeth and his team are a refreshing breath of fresh air.From my first phone call to the final settlement of our case with a non-responsive IRS, they under-promised, over-delivered and were in constant courteous contact to make sure we knew exactly what was happening and where we stood.I hope to never need their services again, but, should I receive another friendly letter from the IRS...I know who to call!
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