Refund & Hold Transaction Codes

Refund and hold codes explain why a refund has not been sent, when money was released, or when a check or direct deposit was issued.

Core Refund Trio

text

TC 570  ──> Hold / Freeze Placed
TC 571  ──> Hold Released
TC 846  ──> Refund Issued

570 = STOP
571 = RELEASE
846 = MONEY WENT OUT

Meaning: Freezes the refund or credit balance from being automatically disbursed.
Why it posts:
- Wage verification issues (W-2 amounts don't match IRS records).
- Suspected identity theft or fraud filters.
- Prior year unfiled returns or unresolved liabilities on another MFT.
- Dependent eligibility questions.
Typical Amount: $0.00.

Research Next Step

When you see TC 570, look for an accompanying TC 971 with an Action Code (e.g., notice sent to taxpayer requesting proof of income or identity).

Meaning: Resolves the condition that caused the TC 570 hold.
Why it posts:
- The taxpayer responded to the notice with valid documents.
- IRS tax examiner verified the records.
- Automated system cleared the criteria.
What to expect next: Once TC 571 posts and no other freezes exist, TC 846 (Refund Issued) normally follows in the subsequent processing cycle.

Meaning: The refund has been authorized and transmitted to the Bureau of the Fiscal Service (BFS) for check printing or direct deposit.
Amount: The exact net refund amount.
Date: Shows the scheduled refund issue date.
Caller Question: "Where is my refund?"
If TC 846 is on the module, inform the taxpayer of the refund issue date and give standard delivery timeframes (direct deposit usually 1-5 business days; paper check 4-6 weeks for mailing).

Meaning: Posts federal income tax withholding from Forms W-2, 1099, etc.
Significance: Reconciles against the tax liability established by TC 150. If TC 806 is greater than TC 150, an overpayment exists.