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IRS Transcript Codes

971 Tax Code Meaning: What IRS Code 971 (and 570) on Your Transcript Mean and What Comes Next

By Angeline Balsitis, EA · Reviewed by Melissa Ly, Chief Tax Officer · Published · Updated · Editorial Standards

971 tax code meaning: IRS code 971 is the "Miscellaneous Transaction" code (IRS Document 6209), and on a personal return it almost always means a notice or letter was issued. Code 570 is "Additional Liability Pending and/or Credit Hold," a refund freeze. The reason is coming by mail. Clarity Tax Relief tells clients to wait for that letter before acting, because the transcript does not show the action code.

This guide walks through the 971 tax code meaning and the 570 hold beside it, how to read the two dates beside them, how long a 570 hold usually lasts, which codes tend to post next, and what to do if the review ends in a balance due.

You refreshed your transcript on update morning expecting a refund date. Instead two new rows appeared: 570 "additional account action pending" and 971 "notice issued." If you are self-employed and that refund was earmarked for your next quarterly payment, the wait stings twice. The pairing is one of the most common patterns on any transcript, and one of the most survivable. The dates beside each code tell you most of what the IRS will not.

The image below shows what a 570/971 pairing looks like on a real account transcript and where the two dates sit. Orient yourself there, then use the tables on this page to decode your own.

⏱ The clock to watch: code 570 prints no deadline for you. The hold runs on the IRS's schedule. The deadline that can hurt you is the response date printed on the notice that code 971 represents. If that letter asks for documents and you miss its date, the IRS can adjust your return using only its own records.

971 tax code meaning: what is IRS code 971 on a transcript?

In the IRS's own code book (Document 6209, Section 8A), transaction code 971 is titled "Miscellaneous Transaction," and the entry says it "performs different actions based on the Action Code which are listed separately." So 971 by itself is a container. The three-digit action code that travels with it, which your transcript usually does not print, is what says what the IRS did. On most personal accounts that action is a notice or letter going out, which is why the transcript line reads "Notice issued."

A few of the action codes behind a 971 that show up next to a 570 hold, from Section 8C of the same document:

The practical takeaway: a 971 is the IRS logging that it did something, most often mailing you a letter. The letter names the issue. The code does not. (If transcript rows in general are unfamiliar, start with how to read an IRS account transcript or the full IRS transcript codes guide, then come back; this page covers only this combination.)

What does code 570 mean?

Clarity Tax Relief explains 570 as a pause on the refund, with no decision made yet. Document 6209 titles code 570 "Additional Liability Pending and/or Credit Hold" and describes it this way: it "indicates additional liability pending" and "freezes (--R freeze) module from refunding or offsetting credit out." In plain terms, the IRS believes something on your return may change, so it will not send your refund or move your credit anywhere until it finishes looking. The code posts with a $0.00 amount because nothing has been assessed yet.

Behind a 570 hold, the most common triggers are:

Each code also has its own deeper guide: code 570 on IRS transcript and code 971, notice issued. The pairing behaves differently than either code alone, because the dates interact. That is next.

Infographic: key facts and deadlines about 570 and 971 Codes on Transcript.
Key facts and deadlines, at a glance.

“You can access your personal tax records online or by mail, including transcripts of past tax returns, tax account information, wage and income statements, and verification of non-filing letters.”

, Get your tax records and transcripts (IRS.gov)

What does it mean when 570 and 971 have the same date, or different dates?

Short answer: a 971 that carries the same date as the 570 is usually the system noting a notice tied to the hold itself, and it often needs nothing from you. A 971 dated about a week after the 570 usually means a separate letter was generated and is on its way. A 971 dated before the 570 means a notice or event (identity verification, an amended return) caused the hold.

Transcripts post on a weekly cycle (here is what day IRS transcripts update). The dates you see are system posting dates, often set slightly in the future. They are not deadlines for you. Do not confuse them with the "as of" date on your transcript, which is an interest-computation marker.

Code 570 and 971 with the same date vs. different dates: what each pattern usually means
Date pattern What it usually signals Letter coming? Your move
Same date on 570 and 971 A notice generated at the moment the hold posted, often a system notice about the hold or an amended-return acknowledgment. Sometimes. Many of these produce no letter that needs a response. Recheck the transcript weekly. If a letter arrives, read it; if not, wait for 571 or 572.
971 dated about one week after the 570 A mailed notice is coming, commonly a CP05, 4464C, CP05A, or a payment-mismatch letter such as a CP23. The 971 date approximates the mailing date. Yes, almost always. Watch the mail. Confirm the IRS has your current address.
971 dated two or more weeks after the 570 The review moved to a second stage, or a first notice was followed by a request for documents. Yes. Gather proof of income, withholding and payments now so you can answer by the printed date.
971 dated before the 570 A notice or event triggered the hold. Identity verification and amended-return processing commonly post this way. Already sent. Act on the earlier letter if you have not. The hold usually waits on you.
570 alone, no 971 yet Hold placed, no notice generated. Many of these release with code 571 and no letter at all. Not yet. Nothing. A 971 in a later update means a letter is coming.

One more distinction that matters: a 570 hold is not an 810 freeze. A code 810 refund freeze is a harder stop, often tied to identity or frivolous-claim review, and it has its own release code (811). If you see 810 instead of, or alongside, 570, read that guide, because the advice differs.

How long does a 570 code last?

Clarity Tax Relief watches for one of three codes to end a 570. There is no fixed period. A 570 stays on the account until a 571 or 572 releases it or an adjustment (code 290 or a credit change) closes the review. The IRS does not publish a hold length, so any specific number you read in a forum is one person's experience. What the IRS does publish is how long to wait before calling about the letters that usually sit behind the 971.

If the 60 days pass with no refund and no further letter, that is the point to call, and to consider the Taxpayer Advocate Service if the frozen refund is causing a hardship. Before you dial, read our IRS hold times study so you pick a day and hour when you can actually get through.

Steps to take for 570 and 971 Codes on Transcript.
The practical steps, in order.

Why do the refund tracker and the transcript disagree?

Clarity Tax Relief goes by the transcript when the two disagree. The refund tool and your tax transcript are updated on different schedules, so a mismatch between them is normal rather than a sign of a problem. The transcript is the earlier and more detailed of the two.

Contacting the IRS before a letter arrives rarely produces additional information, because the representative is reading the same account you are. The 971 is the account telling you a letter was generated. Waiting for it is usually faster than asking what it says.

What happens if you do nothing?

A 570 hold never expires on its own. It ends in either a release (code 571 or 572) or an adjustment (code 290), and which one you get can depend on whether you respond. The sequence runs in stages:

  1. The hold posts (570). Your refund is frozen. Nothing has been mailed yet, and nothing is being taken from you.
  2. The notice issues (971). The letter tells you whether this is a no-action review (like a CP05) or a request for documents. This is the fork in the road.
  3. If the letter asks for proof and you stay silent, the IRS eventually decides using only its own records, which means claimed withholding, credits, or payments it cannot verify get disallowed.
  4. The adjustment posts. You will see it as code 290, additional tax assessed, or as reduced credits. Your refund shrinks, disappears, or flips into a balance due.
  5. A balance due starts collections. A CP14 bill arrives, the automated notice sequence begins, and interest (7% per year for the quarter beginning October 1, 2026) plus the 0.5%-per-month failure-to-pay penalty accrue on whatever the adjustment created.

The 2026 wrinkle: the IRS workforce shrank roughly 27% in 2025, so human review inventories move slower. But the holds, notices, and adjustments are all generated by automated systems that never slowed down. Silence does not stall the machine. All it does is remove your side of the story.

Infographic: timelines, costs and options for 570 and 971 Codes on Transcript.
Timeline, costs and options mapped out.

Two codes on your transcript and no letter yet?

A transcript review takes minutes for someone who reads them every day. Send us yours and an experienced tax professional will tell you, free, what triggered the 570 hold, which notice the 971 likely represents, and whether you are about to collect a refund or owe a balance that is already accruing interest.

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What code comes after 971?

After a 971, the next code you want is 571 or 572, which releases the 570 hold, followed by 846, which is your refund with a deposit date. The codes you do not want are 290 (additional tax assessed, the review changed your return), 810 (a refund freeze, harder than a 570) and 420 (an examination opened). A second 971 can also post, which just means another letter went out. This table lays out the sequence in the order it usually appears.

“After a 971, the codes you hope to see are 571 or 572, then an 846 with a deposit date. A 290 with a dollar amount means the review turned into a bill,” says Angeline Balsitis, EA, an IRS Enrolled Agent at Clarity Tax Relief.

What comes next after codes 570 and 971: the follow-up codes in order, what each means, and what to do
Code Official title (Document 6209) What it means for you What to do
150 Return Filed and Tax Liability Assessed Your return posted; the tax shown is what you reported. Nothing. This is the baseline every account starts with.
806 Credit for Withheld Taxes and Excess FICA Withholding credited from your W-2s and 1099s. Verify it matches your forms; a mismatch here often explains the 570.
570 Additional Liability Pending and/or Credit Hold Hold. Refund and credit offsets frozen. Decode the dates (table above); gather records now.
971 Miscellaneous Transaction Usually a notice issued. The letter names the actual issue. Watch the mail; respond by the letter's printed date if asked.
571 Reversal of TC 570 Hold released. The review closed with no change, or the change already posted. Nothing. A refund date usually follows within a cycle or two.
572 Correction of 570 Processed in Error The hold should not have posted and was removed. Nothing. Same effect as 571.
846 Refund of Overpayment Refund issued, with your deposit date. Done. The date beside 846 is when money moves.
290 Additional Tax Assessment The review ended in a change. Your refund shrank or became a balance due. Compare it to your return; you can dispute or arrange payment.
810 Refund Freeze A harder stop than 570, released only by 811. Expect identity or claim verification; act fast on any letter.
420 Examination Indicator An actual audit opened (424, Examination Request Indicator, sometimes posts first). Rare after 570/971. If it posts, get help before responding.

What does code 971 with a future date mean?

A future date beside code 971 is the date the notice is scheduled to be mailed or to take effect, and it is normal. IRS transactions post in weekly cycles ahead of the date they carry, so a 971 that appears on a Friday transcript can show the following Monday. The letter usually arrives within a week or two of that printed date. The future date is never your response deadline; that deadline is printed inside the letter itself.

Two cases change the reading. A 971 dated the same future day as a 570 is usually the system-generated notice that explains the hold (often a CP05). A 971 dated well after the 570 usually means a human reviewer requested a separate letter, which is the pattern that more often asks you for documents.

What does code 971 with $0.00 mean?

Code 971 almost always shows $0.00 because it records an action, not a dollar change. The amount column on a 971 line stays at zero even when the notice behind it proposes a large adjustment. The money, if any, posts on other lines: a 290 for additional tax, a 291 for a reduction, a 766 or 768 for a credit, an 846 for the refund. So a $0.00 next to 971 tells you nothing about what the letter says. Read the letter for that, and read the lines around the 971 for what the IRS has already done.

What does code 971 with code 977 mean?

A 971 paired with a 977 means the IRS received an amended return. Code 977 records the Form 1040-X posting, and the 971 beside it is the cross-reference entry that logs the amended return against the original tax period. There is usually no letter at all in that pairing. The next codes to watch are a 290 or 291 when the amendment is processed, and an 846 if it produces a refund. See code 977 on your IRS transcript for the full amended-return sequence and its current processing times.

Is code 971 good or bad?

By itself, neither. Code 971 is neutral: Document 6209 describes it as a code that "Performs different actions based on the Action Code," and the action codes cover everything from a routine balance notice to an installment agreement being set up to an amended return being logged. What tips it one way or the other is the code next to it.

IRS code 971 pairings: what the neighboring code tells you
971 appears with Most common reading Lean
570 (same date) Refund hold with a system notice explaining it, often a CP05 Wait; most release without action
570 (later date) Reviewer requested a separate letter, often a 4464C or a document request Watch the mail; answer by the printed date
977 Amended return received and logged Neutral; processing underway
846 Refund issued; the 971 is usually the refund notice Good
290 Additional tax assessed and a balance-due notice sent Act; the notice carries a payment date
420 Exam opened and an audit letter issued Act; gather records for the items named

If the pairing you see ends in an 846 refund issued date, the review is over. If it ends in a 290 or a 420, the letter behind the 971 is the one that sets your deadline.

How does a 570 hold play out? A worked example with a $31,200 payment mismatch

Say you are a sole proprietor who made four quarterly estimated payments of $7,800 each, $31,200 total, and claimed that full amount on your return, expecting a $2,900 refund. But your January payment was applied to the wrong tax year (a common EFTPS and Direct Pay mistake), so the IRS's records show only three payments: $23,400.

Here is how that plays out on your transcript. The $7,800 gap between what you claimed and what posted triggers a 570 hold. A week later, a 971 posts. The letter behind it is typically a CP23 notice, which recalculates your account using the IRS's payment records:

The fix is the record, and only then a payment plan if one is needed. Your bank statement or EFTPS confirmation proving the fourth $7,800 payment, with a request to move it to the correct year, restores the full $31,200 and your $2,900 refund. This is why reconciling your payments before the letter arrives matters: you respond in days instead of discovering the problem after code 290 posts. If a penalty does stick, you can estimate what it adds with our IRS Penalty & Interest Calculator, and note that starting summer 2026, the IRS's Automatic Exemption from Penalty (AEP) applies some first-time penalty relief automatically to eligible returns processed after it starts, while 2025 returns processed before that still need a first-time abatement request.

This example is hypothetical. But the mechanics are exactly how misapplied-payment holds work, and self-employed filers, with four manual payments a year and no employer withholding, hit them far more often than W-2 employees.

What if the review turns your refund into a balance due?

When a 570/971 review ends in an assessment instead of a release, your realistic options depend mostly on the size of the resulting balance. Dispute first if the numbers are wrong. A misapplied payment or missing withholding is a correction rather than a debt. If the balance is real, the IRS's own thresholds as of October 2026 are these:

Balance due after a 570/971 adjustment: IRS payment options by amount (verified at IRS.gov, October 2026)
Balance after adjustment Realistic options Key detail
Under $10,000 Pay in full, a short-term plan (180 days or less), or a guaranteed installment agreement Short-term plans carry a $0 setup fee. "Guaranteed installment agreement" is the official IRS program name for balances of $10,000 or less.
$10,000 to $50,000 Short-term plan, or a long-term installment agreement set up online Online long-term plans are available when you owe $50,000 or less in combined tax, penalties and interest and have filed all required returns. Setup fee: $29 by direct debit, $69 otherwise, with low-income waivers.
$50,000 to under $100,000 Short-term plan online, or a long-term plan by phone or Form 9465 with financial information The online short-term plan is open up to $100,000 in combined tax, penalties and interest. Above $50,000 the long-term plan is no longer self-service.
$100,000 or more Financial-disclosure plan, hardship (CNC) status, or an Offer in Compromise if your finances qualify An OIC is strictly means-tested; the IRS accepted roughly 1 in 5 offers in FY2024.

Interest and the failure-to-pay penalty accrue from the original due date, not from when the adjustment posts, so even on a plan, resolving a disputed number quickly is worth real money. The failure-to-pay penalty is 0.5% per month, capped at 25%, and it drops to 0.25% per month while an approved installment agreement is in place. Payment mechanics for any of these live at IRS.gov/payments. To see what a monthly plan would cost on your number, run it through our IRS payment plan calculator, and if you are weighing professional help, our tax relief cost comparison shows what the major firms charge for the same work.

How to respond to codes 570 and 971, step by step

  1. Pull a fresh account transcript. Log in at IRS.gov, open the current year, and write down the dates beside codes 570 and 971.
  2. Decode the date pattern. Use the same-date vs. different-date table above to tell whether a letter is coming and roughly what triggered the hold.
  3. Watch the mail through the 971 date. The notice names the issue and prints any response deadline; nothing on the transcript replaces it.
  4. Reconcile your numbers now. Match every estimated payment, withholding entry, and 1099 against IRS records before the letter arrives.
  5. Respond by the printed date if asked. Send the exact documents requested, in writing, and keep copies of everything.
  6. Recheck your transcript weekly. Code 571 or 572 followed by 846 means the hold released and your money is scheduled.

If you do not yet have transcript access, the IRS's official portal is Get Transcript at IRS.gov. The account transcript, not the return transcript, is the one that shows these codes.

Red flags to check on your transcript

Most 570/971 pairs end with a release. These are the signs that yours needs closer attention:

Can you handle this yourself?

Most 570/971 pairings need patience more than they need professionals. You can handle this alone when the notice turns out to be an informational CP05 notice or 4464C letter and your own numbers check out. When it is a single misapplied payment you can prove with one bank record. Or when the review releases with 571 and the only cost was waiting.

Experienced help changes the picture in fewer cases. Maybe the adjustment proposes a five-figure balance you dispute, or the hold sits on top of unfiled prior years the IRS wants first. You might be self-employed, with the fight over reconstructing income or payments across multiple years. An 810 freeze or an identity-theft tangle can be layered onto the hold. And sometimes the frozen refund is money you cannot function without. In hardship cases the Taxpayer Advocate Service can also intervene at no cost. A hold with clean records usually resolves itself. A hold with messy records tends to resolve against you unless someone builds the paper trail.

What do the other terms on your transcript mean?

Common questions

What is the 971 tax code meaning on an IRS transcript?

Code 971 is the IRS "Miscellaneous Transaction" code. Its meaning depends on an action code the transcript does not show, but on an individual return it almost always records a notice or letter being issued. The date beside it is roughly when the letter was sent. The letter itself, not the code, tells you whether anything is required of you.

Does code 971 after code 570 mean I am being audited?

No. Code 971 only means a notice was generated. A real audit posts as code 420, the Examination Indicator, and sometimes code 424 before it. The letters behind most 570/971 pairs are review notices like the CP05 or 4464C, which verify wages, withholding, or credits without examining your whole return. If your transcript later shows 420, that is the audit indicator.

What does it mean when code 971 has a future date?

The future date is when the notice is scheduled to be mailed or take effect, and it is routine because transactions post ahead of the dates they carry. Expect the letter within a week or two of that date. It is never your response deadline; the deadline is printed inside the letter.

Why does code 971 show $0.00?

Because 971 records an action, not an amount. The dollar column stays at zero even when the notice behind it proposes a change. Any money moves on other lines: 290 for additional tax, 291 for a reduction, 766 or 768 for credits, and 846 for a refund.

How long does a 570 hold last after code 971?

There is no fixed length. CP05 and 4464C reviews ask you to allow up to 60 days, and holds that need documents from you run longer. The hold ends when a 571 or 572 posts, followed by an 846 if a refund is due. If the letter's own waiting period has passed with no refund and no further notice, that is the point to call.

Should I call the IRS about codes 570 and 971?

Wait for the notice first. Before it arrives, a phone representative usually sees the same codes you do and cannot speed up the review. Call if the letter's own waiting period has passed (60 days for a CP05 or 4464C) with no refund and no further letter, or if a response deadline is approaching and you need clarification. Expect long hold times, and have your transcript and filed return in front of you.

Can codes 570 and 971 resolve without me doing anything?

Yes, often. If the IRS can verify your income, withholding, or payments against employer and bank records, the hold releases with code 571 or 572 and code 846 schedules the refund, with no response needed. But if the notice asks for documents or proposes a change you disagree with, it will not resolve on its own. Missing the printed response date lets the IRS adjust your return using only its records.

Bottom line

A 570 with a 971 means the IRS paused your refund and logged a notice. The letter, not the transcript, tells you whether to act. Read the two dates, reconcile your payments and withholding while you wait, and answer any letter by its printed date. Then watch for 571 or 572 and an 846.

Your next 24 hours

  1. Write down the two dates. Open your account transcript and note the exact dates beside codes 570 and 971, plus your cycle code. That is everything the date table above needs.
  2. Gather your proof. Pull your filed return, every W-2 and 1099, and confirmation of every estimated payment (EFTPS receipts or bank statements). If the numbers reconcile, you are likely just waiting; if they do not, you have found the trigger.
  3. Get a free transcript review. If you cannot tell which way this is heading, refund released or balance assessed, send your transcript through the 2-minute form or call (888) 825-7779. If the review ends in an adjustment, interest runs from the original due date, so knowing early is worth money.

The code definitions quoted on this page come from IRS Document 6209, the IRS's own transaction-code reference. Your transcript itself is free through Get Transcript on IRS.gov.

This guide is general information, not tax or legal advice for your specific situation. Eligibility for IRS programs depends on individual facts and circumstances; no outcome is guaranteed.

Related guides: As Of Date on an IRS Transcript: What It Means · How to Check Your IRS Balance Online in 2026 (Every Way to See What You Owe) · Code 150 on Your IRS Transcript: What It Means · Code 290 on Your IRS Transcript: What "Additional Tax Assessed" Means · Code 291 on Your IRS Transcript: Tax Reduced, Explained

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