CODE 896 and 570

[Worried]

My cycle date shows 20150402 but I also have a code of 896 Refund Applied to Non IRS Debt ( which I’m sure is for not having health insurance) and a code 570. What do they mean?

[cinimod]

Code 570 is a manual hold(freeze) it WILL automaticaly update…for myself the 570 code is “child support” which can take up to 14 weeks to process, others have identity issues and the irs sends them a letter by mail, be patient and don’t stress..

[@brandon]

Look in barts thread, he replied to me saying that is the projected date, but it should only take four days.

On another site someone wrote irs said likely weds. For those with this issue.

Makes you wish you could call and pay the 896 fee with your visa instead to avoid the processing delay!

[Brandon]

@Florida

Mine says 02-16-2015 too. Why do my other codes have 04-15-2015? Customary because of deadline?

I don’t understand why there’s a need for a delay. Maybe it’ll be streamlined for next year and after. Annoying, but patience is a virtue, I’m told.

[Florida]

Update…
I read that code 570 has a date beside it and that date represents when an additional action will take place on your account.

I checked, and mine says Feb 16.

Notable though is that the payment for 896 also has that date beside it.

Bart told me 896 has to be manually input, so it looks like that is the date the payment will be applied to the account and refund approved.

Check your transcript and report your dates so we can confirm this hypothesis.

[Anonymous]

I have a 570 code on my transcript. No offset or anything. The IRS credited me an additional amount because I was eligible for a bigger premium tax credit. I am thinking this could be the reason for the 570 code. I hope it will drop off when we update tonight. We shall see!

[Florida]

@elle
I just saw a post on another board where a person claims he got healthcare penalty 896 without 570 and has ddd of 1/30.

I will update when it changes, but until then I’m going to try to quit waiting. My account will text me when it arrives.

[Elle]

@Florida nope, basic codes like 105, the EIC code, etc. nothing diff from years past (except I’m missing TC846–essential for getting a refund). Just the TC896. I did have a Tax Topic 201 this am on WMR. I owed previous taxes and they applied my refund. I’m just waiting for yet another update to release the leftover $$$ and give me a DDD (per IRS rep this morning). Tax debts can delay your refund. However, the tax debt and application aren’t reflected on my scripts. I could very well wake up tomorrow to a TC570 after it updates. Tax season sucks.

[Florida]

@elle

Do you have an equivalent “freeze” code holding yours?

I read there are several codes to freeze an account.

I also read that 570 typically also generates a 971 I think it was which was notice sent to taxpayer.

In the absence of a letter being sent to notify the reason for a freeze, it sounds reasonable that it may be healthcare penalty related.

But I really have no clue

[Elle]

I have TC896 but not 570. I don’t have a DDD, but I do have a cycle on my script. Not everyone that has 896 has 570. But I still don’t have my money either. :(

[pearly-p]

@worried – As far as I have found everyone who paid the penalty for not having insurance has the same codes, so I firmly believe that’s what the hold is.

[Worried]

@pearly-p Thanks….That puts my mind to ease a little! lol

[Worried]

@s4sh Thank you….So could that offset be what is putting the refund on hold?

[pearly-p]

@worried – I am in the exact same boat, incredibly frustrating. All the comfort I can offer is that it appears that everyone who had the healthcare penalty has the same codes and no DDD. What I have gathered from reading forums is this code will change to 846 when that money is applied to our penalties. It seems as though people with other non-healthcare offsets and the same cycle code are being told their offsets have been paid as of 1/30. What my HOPE is, is that this applies to us as well. So when they next update their system it will show as that debt has been paid and our returns will be released. Then that leads to the question of when is it that they update that system? All of this info is gathered from spending HOURS reading internet forums so as far as the validity….. don’t hold me to it. I really think it will be released quickly though, hopefully by 1/30

[s4sh]

A Transaction Code 570 can mean different things in different cases so a taxpayer should not try to draw a conclusion based on the presence of a TC 570. The Transaction Code 570 will stop a refund from being issued until the impact of the action being taken on the account and the refund is determined and processed. Transaction Codes are used internally by the IRS to identify a transaction, adjust and research tax accounts and to maintain a history of actions posted to a taxpayer’s account.

Hope this helps!

[Author]

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