Transaction Code 570 and Delayed Tax Refunds

The current tax season is moving at a slower pace than last year.  We have noticed an uptick in complaints about refund timing and IRS Transaction Code 570. The IRS has reported an increase in tax returns filed, but they have issued almost a million less refunds compared to the same timeframe in 2017.  This might be why their website has seen a 17% increase in use.  Most taxpayers on igotmyrefund.com are reporting a delay in their tax refunds and reaching out to us regarding an issue with Transaction Code 570.  Because of the slower pace in tax season, taxpayers have been turning repeatedly to the Where’s My Refund tool on IRS.gov and repeatedly calling the IRS.  They have been left staring at at generic message “….your tax return is still being processed…” or in some cases, “…there is a delay in processing your tax return…”  This is leaving people with questions.  Phone calls to the IRS are not yielding much more than a scripted response that they are under review and to wait another 45-60 days. Oftentimes, they are being hung up on by representative answering the phones.  This leaves people frustrated.

Despite being told that WMR is the best way to check the status of their refund, taxpayers are checking their account online for other clues about delays. We have seen an increase in holds on refunds using TC570 and TC971 shown on their Account Transcripts. Our research shows that the these transaction codes are internal and can mean different things for individual taxpayers, but users are still trying to draw conclusions based on these transaction codes since they are very vague and nondescript. For instance, TC971 says a notice has been sent.  People are reporting they haven’t received anything in the mail and that they can’t seem to get an answer about what has been mailed when they call.

We have reached out to the IRS to find out if there is some sort of systemic issue concerning people seeing the TC570 on their Account Transcripts.  Our contact at the IRS is doing some checking and indicated they will get back in touch with us soon.  We will keep you updated as additional information is available.  But for now, this is what we know about TC 570, TC971 and dates on the Account Transcripts.

Transaction Code 570 and and Transaction Code 971

The Transaction Code 570 description says “Additional account action pending.” Our research shows that the 570 transaction code and others shown on account transcripts are internal and can mean different things for individual taxpayers.  Nonetheless, taxpayers are still trying to find a reason for tax refund delays based on these transaction codes since they are very vague and nondescript. For instance, TC971 says a notice has been sent, but our users are reporting they haven’t received anything in the mail; and that they can’t seem to get an answer about what has been mailed when they call. Again, oftentimes being hung up on my IRS representatives.

Dates on IRS Account Transcripts

To makes matters even more confusing, many transactions shown on account transcripts are post-dated.  We have yet to figure out a rhyme or reason why transactions would be dated 03-05-2018 or 03-12-2018 when March hasn’t even begun yet.  Also seen on Account Transcripts is the As Of Date.  We will write more about the different dates on IRS Account Transcripts in our next post.  In the meantime, join the live conversation here about tax refund delays.  Or, see what others have reported about their TC 570 here.

POST YOUR ACTUAL TAX REFUND EXPERIENCE HERE: This is a “user to user” site and the primary mode of support is peer-to-peer, meaning users helping other users. Admin and moderators are not always present or may not be right, or have answers to questions. Users become more informed when they are here often to read and comment. We call them Top Contributors. We are not a group of experts, merely individuals who have learned more than we ever wanted to know about the tax refund process.

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