The legislation is part of a highway-funding bill that is expected to pass in early December. Similar rules have passed by both the House and Senate.
The changes will still allow for the State Department to issue a passport for “humanitarian reasons” or in the case of an emergency.
“Americans abroad need their passports for many routine activities of daily life, such as banking, registering in a hotel, or registering a child for school, and mistakes could be disastrous,” said Charles Bruce, an American lawyer with Bonnard Lawson in Lausanne, Switzerland, told the Wall Street Journal.
“IRS data systems aren’t designed to accommodate the different styles of international addresses, which can cause notices to be undeliverable,” a report issued in September by the Treasury Inspector General for Tax Administration noted.