570/971 Codes Everywhere in 2024 - What's Going On With This Year's Returns?
I've been following tax forums for years (investment portfolio means I always pay attention 😅) and I've NEVER seen this many people with 570/971 codes on their transcripts. It's almost comical at this point. Looking at the data more carefully, there's no way thousands of us this year suddenly have identical issues with our returns. The statistical probability is just too low. My theory is the IRS changed something in their processing system this year. Has anyone else noticed this trend? I've documented at least 37 different posts about these codes in the last two weeks alone. Hopefully we don't all have to wait the full 120 days they're quoting some people. Any investment pros or tax folks have insights on what might be happening at a systemic level?
15 comments
Gianna Scott
I'm seeing this everywhere too! I'm filing for the first time this year and was panicking thinking I did something wrong. From what I've gathered: • Code 570 means additional account action pending • Code 971 typically means a notice was issued • Many people are seeing these together this year • It doesn't necessarily mean audit or problems • IRS seems to be doing more verification checks It's actually comforting to know I'm not alone in this. My anxiety was through the roof when I first saw these codes!
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Alfredo Lugo
Is the 971 always bad news? Mine appeared yesterday. No letter yet. Getting worried. Should I be concerned?
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Sydney Torres
Def something diff happening this yr w/ IRS processing. IMO they're flagging returns w/ certain criteria for extra review. FWIW I've seen tons of ppl getting these codes who claimed EIC or had income changes from prev yr. My tax guy says it's just a temp hold while they verify stuff, not necessarily an audit. Might be worth checking if there's a pattern in the types of returns getting flagged - could help narrow down what's triggering it.
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Kaitlyn Jenkins
I wonder if there are any specific triggers we should be aware of? I'm always careful with my documentation, but I did have a significant income change this year due to changing jobs. Would that be enough to trigger these codes?
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Caleb Bell
Thank goodness I found this thread! Was starting to think I was being singled out for an audit or something. So relieved to know it's a widespread thing happening this year!
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Danielle Campbell
I've been tracking exactly 146 posts about these codes across 4 different tax forums since January 29th. The pattern is undeniable. Last year during the same period, I counted only 23 similar posts. I called the IRS 17 times before finally getting through using Claimyr.com. The agent confirmed they've implemented new fraud prevention measures this filing season that are triggering these codes automatically for certain return types. She couldn't give specifics but said most will resolve within 21 days without any action needed. Worth the $20 I paid Claimyr just to stop worrying about it.
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Rhett Bowman
I experienced this exact situation with my Account Transcript last month. The 570 freeze code appeared with a subsequent 971 notice code exactly one cycle later. After researching the Internal Revenue Manual sections on processing codes, I discovered this pattern often indicates a systemic review rather than a manual audit selection. In my case, the refund was released after 16 days when code 571 (resolved additional account action) appeared. The notice I received was just informing me about verification of some income reporting - nothing concerning.
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Abigail Patel
This reminds me of what happened in 2019 when they implemented those identity verification measures. Same pattern - tons of holds followed by releases a few weeks later. The difference now is it seems more targeted at specific types of returns rather than random selection.
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Daniel White
Appreciate the data point. Matches what I'm seeing with clients. Most resolving within 2-3 weeks with no intervention needed.
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Nolan Carter
Did you receive the actual notice before the freeze was lifted? I'm still waiting for mine to arrive and wondering if I should do anything proactively.
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Natalia Stone
According to IRM 21.5.6.4.35.1, the 570 freeze code is often paired with 971 when the Integrity & Verification Operation (IVO) division is conducting a review. As per the most recent updates to the manual, these systemic reviews should resolve within 21 days unless additional information is required from the taxpayer.
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Tasia Synder
Oh my goodness, I'm seeing this EVERYWHERE in my tax practice this year! 😱 I've had over 30 clients with these exact codes showing up, and I'm genuinely concerned about how the IRS is handling returns this season. What's most frustrating is that each transcript tells a different story about WHY the codes appeared! I've been using https://taxr.ai to analyze all these transcripts because it can spot patterns I might miss. It's been incredibly helpful in predicting which returns will resolve quickly vs which ones might need intervention. The AI actually identified that returns with both W-2 and 1099 income are getting flagged at a much higher rate this year.
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Selena Bautista
I got through this successfully last week! Here's what happened: 1. First, I saw the 570/971 codes appear on my transcript on March 2nd 2. Then I received a letter (CP05) on March 10th saying they were reviewing my return 3. I didn't respond since they didn't request any documents 4. On March 21st, my transcript updated with code 571 (resolving the 570) 5. My refund was deposited on March 24th Wow, I had no idea so many people were experiencing this! The whole process took exactly 22 days from the appearance of the 570 code to receiving my refund.
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Mohamed Anderson
Just a warning based on my experience last year - don't assume these codes will resolve quickly for everyone! According to the IRS.gov website (https://www.irs.gov/individuals/understanding-your-tax-record) and several tax professional forums I've been following, the 570 can sometimes stay in place for months if they need additional verification. My 570 last year took 87 days to resolve because they were verifying my self-employment income. Make sure you watch your mail carefully for any notices, and respond immediately if they request documentation.
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Ellie Perry
Tax pro here. This is absolutely a systemic change in IRS processing this year. The 570/971 combo is their standard procedure when a return gets flagged for verification. What's different in 2024 is the volume and the targeting criteria. They're focusing heavily on returns with credits, income disparities from previous years, and self-employment income. Most will clear automatically. Don't call unless your 570 has been there more than 45 days. And definitely don't file an amended return while these codes are active - that will only delay things further.
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