The 570 code is definitely stressful but try not to panic! I went through this exact situation last tax season. Mine showed up around the same time frame (late January filing, 570 appeared in February) and it ended up being resolved in about 4-5 weeks. In my case, they were just doing routine income verification - apparently my employer filed their quarterly reports a bit late, so the IRS needed extra time to match everything up. I never had to send in any documents or take any action on my part. The key thing is to keep monitoring both your transcript AND your mailbox religiously. If they need something from you, they'll send a letter with specific instructions. But honestly, a lot of these 570 holds resolve automatically once their internal review is complete. Your refund amount ($3,400) isn't unusually high, and since you have a simple W-2 return, there's a good chance this is just a routine verification that will clear up soon. I know the waiting sucks when you have bills due, but hang in there! 💪

I'm going through the exact same thing right now! Filed on January 30th, got accepted same day, and now I'm seeing that dreaded 570 code on my transcript too. Mine also shows a February 2025 date which had me confused at first, but reading through these comments is making me feel a bit better. Like you, I have a super simple return - just W-2 income, standard deduction, no weird credits or anything. Was expecting about $2,800 back. It's so frustrating when you're counting on that money for bills and life expenses. I've been obsessively checking my transcript every day and watching the mailbox, but nothing yet. The waiting is absolutely killing me! At least now I know from the other comments that 2-8 weeks seems to be the normal timeframe and that a lot of these resolve on their own without needing to send in documents. Definitely going to keep monitoring everything closely. Hopefully we both get some movement soon! 🤞

Just a heads up, if your kiddo is 13, you might qualify for the Additional Child Tax Credit too which is refundable (meaning you can get money back even if you don't owe taxes). Make sure whoever does your taxes checks for this!!!

I'm really glad you found this community to ask for help! As someone who's also navigated single parenthood and tax issues, I wanted to add a few practical tips that might help you get organized: Since you're dealing with cash income, start keeping a simple daily log RIGHT NOW - even if it's just a notebook where you write the date, client name, amount earned, and any expenses like gas or supplies. This will make next year's taxes so much easier. For this year's filing, try to gather whatever documentation you can - text messages confirming jobs, any Venmo/CashApp records if clients ever paid that way, even old calendar entries showing when you worked. The IRS understands that cash-based workers don't always have perfect records, but showing you made a good faith effort to document your income goes a long way. Also, don't forget about potential deductions beyond what others mentioned - work clothes that get ruined from cleaning chemicals, any equipment you bought (vacuum, cleaning caddy, etc.), and even a portion of your cell phone bill if you use it to coordinate with clients. Every legitimate deduction reduces your self-employment tax burden. You've got this! Single parents are incredibly resourceful, and getting your taxes sorted properly is going to make such a difference for your financial stability.

Something no one has mentioned yet - if your children receive SSI disability benefits, you should contact your local Social Security office about being appointed as their representative payee if you're not already. This officially designates you as the person managing their benefits, which is another strong piece of documentation showing you're their caregiver. Also, look into whether you might qualify for any benefits yourself, like SNAP or TANF, while you're not working. These programs can provide additional support, and participation in them creates more official documentation of your children living with you.

I just want to add that you should also keep records of any medical appointments, school meetings, or other activities you attend for your children. As someone who went through a similar dispute, the IRS really values documentation that shows day-to-day caregiving responsibilities, not just where the kids sleep at night. Things like being listed as the emergency contact at school, taking them to doctor appointments, attending parent-teacher conferences - all of this helps establish that you're the primary caregiver. I kept a simple calendar noting every appointment, school event, and even grocery shopping trips for their needs. When the IRS reviewed my case, having that detailed record of daily care made a big difference in proving I was the one actually supporting them, even though I didn't have traditional employment income at the time.

Just want to add something important - if you're claiming the Child Tax Credit with no income, make sure your child has lived with you for more than half the year (183 days). The IRS is really strict about this requirement, and it's one of the things they check carefully since this credit is frequently claimed incorrectly. Also, your child needs to be under 17 at the end of the tax year to qualify. If they turned 17 during 2023, unfortunately you can't claim the Child Tax Credit for them for that year.

I did this exact thing last year! Filed with zero income as a disabled parent and still got $1,500 for my daughter through the Additional Child Tax Credit. Used the free version of TaxAct to file. Just make sure to complete Schedule 8812 along with your 1040 - that's where you calculate the refundable portion. One thing nobody mentioned yet - your qualifying child must also not provide more than half of their own support. Shouldn't be an issue for young kids, but something to keep in mind if you have an older teen who might have had some income of their own.

The real issue is that our tax system hasn't kept pace with how people actually earn money today. It was designed in an era when most people either owned a business or worked for someone else - there wasn't much in between. Today, lots of us are in hybrid situations - employees who also do gig work, investors who also earn wages, etc. The tax code is still catching up to these realities. I think eventually we'll need to move to a system that treats all income more equally and doesn't create these weird incentives and disincentives based on how you earn your money. Until then, the best approach is to understand the rules and structure your affairs accordingly.

This is such a fascinating discussion! As someone who works in tax preparation, I see this frustration from clients all the time. The fundamental issue you're raising touches on something economists call the "double taxation of labor" - though it's not exactly double taxation in the traditional sense. What's particularly interesting is that some countries do actually have systems that partially address this. For example, several European nations have "imputed deduction" systems where workers can deduct a standard amount for work-related costs even without receipts, essentially acknowledging that earning income has inherent costs. The closest thing we have in the US is the standard deduction, which you could argue serves a similar function - it's a recognition that everyone has basic costs associated with earning income, even if we can't itemize them specifically. Your comparison to investment income is spot-on though. The preferential treatment of capital gains (especially long-term) does create this weird situation where passive income gets better tax treatment than active labor. Some policy experts have proposed flipping this - making earned income tax-free up to a certain threshold while taxing investment returns at ordinary income rates. The political reality is that any major overhaul like this faces huge resistance from various interest groups, but the underlying logic of your argument is sound. Labor shouldn't be treated as "pure profit" when there are real opportunity costs and often out-of-pocket expenses involved.