CP71

A CP71 is an annual reminder that a balance still exists on a tax account. It arrives on accounts the IRS is not actively pursuing that year — but it carries a serious rider: an explanation of how seriously delinquent debt can affect a U.S. passport.

“This balance is still here, and interest is still accruing. Pay it, set up a plan, or talk to us about hardship options. Future refunds may be applied to it, and if the debt is certified as seriously delinquent, the State Department can deny or revoke a passport.”

Nothing new happens because this letter arrived. What it changes is knowledge: the balance, the interest, and the passport exposure are all restated in one place, which makes it a natural moment to finally resolve the account on your schedule rather than the IRS's.

• The notice, with the current balance and interest figures
• Your history of payments on the account
• A realistic picture of what you could pay monthly
• Any hardship documentation if paying isn't possible

• Auditing the balance — years of accrued interest and penalties sometimes include amounts that qualify for abatement
• Choosing among plan, offer in compromise, and currently-not-collectible status with actual numbers
• Heading off passport certification on larger debts
• Stopping refund offsets by resolving the account