From: "Peter Crosland" 
Newsgroups: uk.legal uk.finance uk.consultants
Subject: Re: passport renewal with unpaid tax
Date: Tue, 7 Feb 2006 22:40:14 -0000

>I left the UK about nine years ago and am now resident in the US.
> Before leaving I was self-employed and for the last year of
> self-employment filed a tax return but for complex reasons never made
> payment of this tax.

> My UK passport is about to expire and I am wondering whether applying
> to renew it (in the US) will result in either a) the renewal being
> denied because of outstanding unpaid tax, b) the Inland Revenue being
> alerted to my present location and commencing recovery proceedings for
> these monies, or c) both.

Yes and yes.

> Would it be advisable to wait until I become a naturalized US citizen
> in a couple of years and then simply apply for a US passport?  As a
> resident, I do not need a passport unless I intend to travel (which I
> do not).

The Revenue and Customs, as they are now known, can still pursue you in the 
USA. It makes no difference what nationality you are.

> The sum involved is not large (around GBP 6,000 if I recall) and dates
> back around ten years.  I have however heard that the IR are now raking
> over cases much older than the normal six year limit in order to
> reclaim large amounts of unpaid taxes.

The original sum will have grown by interest and penalties.

> Can anyone offer any advice?

Pay up before the debt gets any larger.

Peter Crosland