Proposed law may give IRS ability to stop international travel in some cases

The Internal Revenue Service may gain the right to prevent seriously delinquent taxpayers from leaving the country beginning in 2013.The Senate recently passed legislation including a provision that would let the agency deny, revoke or limit the passports of Americans who owe $50,000 or more in back taxes to the federal government, according to TIME. Some members of the House of Representatives object to the proposed law, saying that it violates the right to due process because no judicial proceedings of any kind are required.Action could be taken against people regardless of whether they have been accused or convicted of tax evasion, fraud or a similar offense. The IRS would have to file a lien or assess a levy for outstanding balance. For any taxpayer who has been the subject of such a filing, however, the agency could then contact the passport office and have their right to travel suspended.There would be some exceptions, applying to those who need to leave the country for humanitarian reasons or an emergency situation. People who have set up a payment plan or are disputing the debt may also be exempt.Day traders and other taxpayers who travel abroad or wish to may want to keep an eye on the law. In the long-term, its passage could be followed at some point by changes to the amount that must be owed in order to qualify, although many Americans are unlikely to be affected given the level of tax debt required for eligibility as the provision is currently written. Proponents say people who owe that much are a serious flight risk.