News: U.S. Court Permits Revocation of Debtor Passports for Significant Debts

In the United States, a precedent has occurred with the deprivation of a tax debtor’s passport. A Colorado state court confirmed that the United States Internal Revenue Service (IRS) did not exceed authority with such claims. United States law allows the removal of a passport for tax debts, but the Colorado debtor case was the first of this kind.

The story began back in 2010 when the IRS sent the debtor the first notice of the need to pay off debts. At that time, the debt exceeded $ 250,000. The U.S. Internal Revenue Service has the right to demand the seizure of a passport if the debt exceeds $ 50,000. However, the request to submit the document was sent only in 2018.

After depriving the passport, the taxpayer appealed to the court with a request to return the document. He motivated the request by the fact that such measures by the IRS deprive him of the right to travel. The plaintiff argued that this right is fundamental and constitutional for all US residents. However, the Colorado court sided with the tax offices. The judges determined that international travel is not a fundamental right. The court stated that the measures taken by the IRS are completely legal.

Law&Trust offers services for clients who do business in the United States. If you encounter problems with the IRS, our lawyers will represent your interests in the tax authorities, and if necessary, appeal the actions in court.