What Does Code 898 Mean On Irs Transcript (2024)

FAQs

What Does Code 898 Mean On Irs Transcript? ›

A TOP offset appears on the module as: TC 898 or TC 971 AC 598 (manual input of TOP offset record) with an Offset Trace Number (OTN), an offset amount, and a debtor-TIN field, if the offset is for a secondary spouse. OTN - Starting with 1 indicates primary taxpayer debt.

§898, Taxable Year of Certain Foreign Corporations

For purposes of this title, the taxable year of any specified foreign corporation shall be the required year determined under subsection (c). With respect to which the ownership requirements of paragraph (2) are met.

Not all debts are subject to a tax refund offset. To determine whether an offset will occur on a debt owed (other than federal tax), contact BFS's TOP call center at 800-304-3107 (800-877-8339 for TTY/TDD help).

If the IRS is reviewing your return, the review process could take anywhere from 45 to 180 days, depending on the number and types of issues the IRS is reviewing.

Transaction code 846 signals a refund, plus any interest, has been approved by the IRS.

IRC § 898 requires certain controlled foreign corporations (CFCs) to adopt the same tax year as their majority U.S. shareholder. This provision was enacted to reduce the opportunity for income deferral.

If a portion of your tax refund was applied to non-IRS debt, you will see IRS code 899 listed on your transcript.

What Is a Refund Offset? Under Internal Revenue Code IRC 6402(a), the IRS may apply a taxpayer's overpayment to an outstanding federal tax debt.

You generally cannot stop a tax refund offset. The IRS service center processing the return will likely not honor the request. However, the documentation submitted with the tax return can help with other interactions with the IRS. This first option presupposes that the taxpayer knows of their Federal or other debt.

Use the IRS Where's My Refund tool or the IRS2Go mobile app to check your refund online. This is the fastest and easiest way to track your refund. The systems are updated once every 24 hours. You can contact the IRS to check on the status of your refund.

What happens when your refund is under review? ›

The IRS will attempt to verify whatever information triggered the review. In the meantime, you won't be issued a refund if you're expecting one. If you owe taxes, you will still need to pay by the tax filing deadline to avoid a penalty.

The intimation also includes a detailed tax computation of the tax as per the taxpayers and the income tax department. The whole process generally takes 20-45 days from the day of e-verification or the receipt of ITR-V by the CPC.

If we're still reviewing your return, it may display instructions or an explanation of what we're doing. The refund tracker may not appear until we've completed our review of your tax return.

Tax code 977 on your online transcript typically indicates that your tax return is being reviewed or examined by the IRS. It suggests that there may be some discrepancies, inconsistencies, or areas of concern identified by the IRS that require further examination before your tax return can be processed fully.

The cycle code on your tax transcript signifies that the IRS has received your return and is currently reviewing it. It consists of six digits, with the first four indicating the year of processing and the fifth and sixth representing the week.

The 'as of' date on tax transcript 2022 represents the date on which your tax balance is calculated by the IRS, including your interest and penalties. This date does not represent the date your tax balance is due, nor does it represent the date on which you will receive your tax refund.

Prevent an offset

Pay the full amount listed on the Intent to Offset Federal Payments (FTB 1102). Use the payment coupon included in the letter when you send your check or money order. To make a payment online, visit Payment options .

Your tax return may show you're due a refund from the IRS. However, if you owe a federal tax debt from a prior tax year, or a debt to another federal agency, or certain debts under state law, the IRS may keep (offset) some or all your tax refund to pay your debt.

Frozen Refund - Situation where a taxpayer has claimed a refund on an original income tax return, but the amount has not yet been credited or refunded to the taxpayer.

That being said, the IRS has a 10-year statute of limitations on debt collection. During that 10-year period, the IRS can freely pursue bank account levies against the same person multiple times. However, once the statute of limitations on the debt expires, no new levies can be issued.