If you have unpaid taxes, you may wonder how this will impact your United States citizenship application. This is a common concern applicants have since it isn’t unusual for individuals to have unpaid IRS taxes or an active IRS payment plan. USCIS will ask about your taxes when you apply for U.S. citizenship, so you need to understand how your tax status could affect your application. Keep reading to find out how unpaid taxes affect citizenship applications and the different factors USCIS will consider.
Why USCIS Asks About Taxes
When you apply for citizenship, you will need to answer tax questions on form N-400. Because of this, if you owe the IRS money, USCIS will know about this.
USCIS asks tax-related questions for a variety of reasons as a way of vetting applicants to ensure they are eligible for naturalization. Here are some examples of why USCIS will examine your tax status when evaluating your citizenship application:
- Good moral character: USCIS has a good moral character requirement, which helps to establish community involvement and rehabilitation for any past issues. Failing to file your tax returns or pay tax debt goes against the good moral character requirement, which could put your application at risk.
- United States laws: The United States government only wants to grant citizenship to immigrants who will uphold and respect its laws, including its tax laws. That is why USCIS wants to see whether or not you have filed your tax returns and paid your tax debt during the five-year statutory period.
- Application accuracy: USCIS may also use tax-related questions as a way of evaluating how accurate and honest your answers are. Even though you’re required to answer tax questions in your application, USCIS also cross-checks your IRS records to ensure you have provided the correct information.
Can You Still Apply While Owing the IRS?
Even if you have unpaid taxes, you could still file a citizenship application in the hopes of being granted U.S. citizenship. However, you should only take this step if you have actually taken steps towards resolving your tax debt.
It’s not at all uncommon for applicants to be denied simply due to having outstanding tax debt that they haven’t addressed. So, you should have already started the process of paying off your tax debt before filing your application so that you have a better chance of approval.
If you aren’t sure whether you should apply for citizenship now or wait until you have addressed your tax debt, you should consult with a naturalization attorney. An attorney will have a better understanding of what USCIS will look for, helping you file a strong application with the best chance of getting a favorable outcome.
How an IRS Payment Plan May Affect the Case
The best way to address unpaid taxes when you want to apply for U.S. citizenship is by first applying for an IRS payment plan. The IRS provides payment plans, allowing you to make progress on your tax debt with reasonable monthly payments. So, if you have unpaid taxes but you can’t afford to pay them all at once, an IRS payment plan is an alternative option.
Having an active IRS payment plan can show USCIS that you’re serious about addressing your tax debt and aren’t just leaving it unresolved. However, it’s essential that you stay current with your installment payments, and you may even want to provide an explanation to USCIS regarding why you accumulated unpaid taxes in the first place.
Just keep in mind that having an installment agreement doesn’t necessarily guarantee that USCIS won’t still deny your application for tax-related reasons.
Documents That Can Help Your Case
As you can see, having tax debt doesn’t necessarily make immigration impossible. But it can make your case a bit more complex and your chances of denial higher. That is why you should provide additional documents to help establish that you still meet the naturalization tax requirements and are taking the necessary steps to address your unpaid taxes.
Here are some tax-related documents you should include with your citizenship application:
- Tax transcripts
- Installment agreement documents
- Proof of installment agreement payments
- Correspondence from the IRS
- Correspondence with local tax authorities
- Filed tax returns
For more complex cases, you may also want to provide a written statement explaining why you have tax debt and how you plan to resolve it.
When Tax Issues Become a Problem For Citizenship
USCIS evaluates each citizenship application individually, so there is no one-size-fits-all answer for applicants who have tax debt. In many cases, if you’re taking steps to maintain your tax obligations, your application still has a good chance of approval. But there are some situations where tax issues can become a problem, increasing the risk of having your application denied, such as:
- You have multiple years of unfiled tax returns.
- You provided false or inaccurate information when filling out the tax questions on your citizenship application.
- You have failed to comply with an existing IRS payment plan.
- Your IRS payment plan wasn’t current when you filed your U.S. citizenship application.
Hire an Immigration Attorney Today
Are you worried that your IRS payment plan will negatively affect your chances of obtaining U.S. citizenship? Contact us today at U.S. Immigration Law Counsel at 800-666-4996 or reach out through our online contact form to speak with an immigration attorney about your situation. We will deal with the government, so you don’t have to!
FAQ Section
Can I become a citizen if I owe the IRS money?
In most cases, yes. However, you must be honest about unpaid taxes and be able to show that you’re working towards resolving your tax debt. Also, keep in mind that USCIS evaluates this on a case-by-case basis, so approval varies depending on the situation.
Does an IRS installment agreement help?
Yes. Having an active and up-to-date IRS installment agreement shows USCIS that you’re serious about paying back your unpaid taxes.
Should I bring tax records to my naturalization interview?
It’s a good idea to bring any relevant documents to your naturalization interview, especially if you’re on an IRS payment plan and need to show that your payments are current.
