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Mei Liu

IRS Transcript Only Shows $7 HSA Excess Contribution Tax Instead of Expected $5000+ Refund - What Happened to My Return?

I filed my taxes on Jan 28th and got accepted Jan 29th. My refund is supposed to be over $5000 but when I look at my transcript it only shows $7.00! I'm freaking out because I was counting on that money. I received my Account Transcript from the IRS and I'm completely confused. Here's what it shows: Internal Revenue Service United States Department of the Treasury This Product Contains Sensitive Taxpayer Data Request Date: 02-18-2025 Response Date: 02-17-2025 Tracking Number: Account Transcript FORM NUMBER: 5329 TAX PERIOD: Dec. 31, 2024 ACCOUNT BALANCE: 0.00 ACCRUED INTEREST: 0.00 AS OF: Mar. 03, 2025 ACCRUED PENALTY: 0.00 AS OF: Mar. 03, 2025 ACCOUNT BALANCE PLUS ACCRUALS (this is not a payoff amount): 0.00 .. INFORMATION FROM THE RETURN OR AS ADJUSTED .. IRA TAX PER COMPUTER: 7.00 EXCESS IRA CONTRIBUTION TAX: 0.00 EXCESS ACCUMULATION TAX: 0.00 EXCESS REGULAR DISTRIBUTION TAX: 0.00 EXCESS LUMP SUM DISTRIBUTION TAX: 0.00 EXCESS MSA CONTRIBUTION TAX: 0.00 EXCESS ROTH CONTRIBUTION TAX: 0.00 EXCESS ESA CONTRIBUTION TAX: 0.00 EXCESS HSA CONTRIBUTION TAX: 7.00 RETURN DUE DATE OR RETURN RECEIVED DATE (WHICHEVER IS LATER) Apr. 15, 2025 TRANSACTIONS CODE EXPLANATION OF TRANSACTION CYCLE DATE AMOUNT 150 Tax return filed 20250701 00-00-0000 $7.00 70221-429-34618-5 This Product Contains Sensitive Taxpayer Data The transcript shows it's specifically Form 5329 for the tax period ending Dec. 31, 2024. There's an "IRA TAX PER COMPUTER" amount of $7.00 and an "EXCESS HSA CONTRIBUTION TAX" of $7.00. All other amounts like excess IRA contribution tax, excess accumulation tax, excess regular distribution tax, excess lump sum distribution tax, excess MSA contribution tax, excess Roth contribution tax, and excess ESA contribution tax are showing $0.00. The transcript shows a transaction code 150 (Tax return filed) with an amount of $7.00, cycle date 20250701. The account balance is $0.00, with $0.00 in accrued interest and penalties as of Mar. 03, 2025. This makes no sense - I was expecting a $5000+ refund but all I see is this Form 5329 transcript showing a $7.00 HSA-related charge. Is this just one part of my tax return being processed? Did they split up my refund somehow? Why would I be seeing this specific form instead of my actual tax return transcript? I did have an HSA but I'm certain I didn't over-contribute. Has anyone seen something like this before where their transcript doesn't show their expected refund but instead shows some random small tax amount on a form they didn't even know they filed? I'm worried something went terribly wrong with my return processing.

Liam O'Sullivan

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This transcript shows Form 5329 (Additional Taxes on Qualified Plans and Other Tax-Favored Accounts), not your main Form 1040 tax return transcript. That's why you're only seeing the $7.00 HSA-related penalty instead of your expected $5000+ refund. The transcript details show specifically: - A $7.00 "Excess HSA Contribution Tax" charge - Transaction code 150 confirming the $7.00 tax assessment - A tax period ending December 31, 2024 - Zero balance, penalties, and interest as of March 3, 2025 Form 5329 is used exclusively for reporting additional taxes on retirement accounts and health savings accounts (HSAs). It appears you made an excess contribution to your HSA during 2024, resulting in this small penalty. To see your full tax refund amount, you'll need to request your Form 1040 transcript instead. Go back to the transcript request page and specifically select "Return Transcript" or "Account Transcript" for Form 1040. This separate transcript will show your complete tax return information, including your expected refund.

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Mei Liu

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omg thank you! i was freakin out 😅 how do i get the right transcript?

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Liam O'Sullivan

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Log into your account and select 'Record of Account Transcript' or 'Account Transcript' for Form 1040. That'll show your actual refund amount.

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Amara Chukwu

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Hey guys, instead of trying to decode these transcripts like a detective, I've been using taxr.ai. It costs $1 but it analyzes your transcript and tells you exactly what's going on and when to expect your refund. https://taxr.ai

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Giovanni Conti

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Is it legit? Sounds too good to be true tbh 🤔

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Amara Chukwu

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100% legit! I was skeptical too but it saved me hours of googling. It even caught a delay code I missed.

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I just tried it - holy cow its amazing! Explained everything in plain english and gave me an exact timeline 💯

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NeonNova

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lol i did the exact same thing last week. These transcripts are impossible to read without a degree in accounting fr fr 🤡

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Dylan Campbell

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btw you might wanna look into that HSA excess contribution. You'll need to fix that or youll keep getting hit with penalties.

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Mei Liu

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wait what does that mean? how do i fix it?

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Dylan Campbell

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You probably contributed more than the annual limit to your HSA. Contact your HSA provider to withdraw the excess amount + any earnings on it.

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Sofia Hernandez

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These IRS systems are so ancient im suprised they even work tbh. Why do they make everything so complicated smh

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fr fr its like they're stuck in 1985 💀

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