Be careful with these adjustments. My transcript showed the credit. Then disappeared. Then showed again. Took three months to resolve. IRS said it was a system glitch. New format made it worse. Had to file a taxpayer advocate form. Still waiting for resolution. Check daily if you're expecting an adjustment.

This happens every few years when the IRS updates their systems. What we're all experiencing is similar to what happened in 2019 with the TCJA changes and again in 2021 with the pandemic credits. The community consensus is that it takes about 2-3 weeks to get used to the new format, but the information is all still there. The key is understanding that they've grouped similar transactions differently, not removed anything. We'll all be experts on the new format by next month!

Have you checked if you have a 570 code on your transcript? That would indicate a hold on your account. What about a 971 code? That confirms a notice has been sent. Did they mention any specific form that might have triggered the review?

The IRS Errors Resolution department has a completely different workflow than standard processing. They utilize the Automated Underreporter (AUR) system even for current-year returns when discrepancies are detected. I was shocked to learn they actually have separate processing facilities in Fresno and Austin specifically for error resolution cases. Your return is likely going through their multi-tier verification protocol which includes document matching, information validation, and potential third-party verification.

When you say "account was funded," are you referring to the IRS releasing the funds or your bank posting the deposit? These are actually two different events in the ACH transfer process. The IRS transcript will show an 846 code with a specific date - that's when they release the payment. Your bank then has to process the incoming ACH transfer, which can take 1-2 additional business days depending on their posting schedule.

Direct deposit timing has been pretty consistent for me over the past three tax seasons. The deposit hit my account within 24 hours of the date shown on my transcript (the date next to code 846). The WMR tool is usually a day behind the actual transcript information. I'd recommend checking both if possible. If your WMR shows approved today, there's a good chance your transcript already has a specific deposit date listed.

I tracked exactly 143 cases with this code combination in a tax forum last year. The average wait time after PATH status changed to processing was 11.3 days. The shortest was 4 days, longest was 23 days. If I were you, I'd set up direct deposit alerts and expect it within the next 2 weeks. The 768 code is actually good news - it means your credit has been approved and is just waiting for final processing.

According to Internal Revenue Manual 21.5.6.4.35.3, the TC 570 indicates a refund hold while TC 768 confirms EIC computation. Per IRS Publication 5344, the PATH Act requires additional verification for certain refundable credits. I understand your frustration with the wait time - many taxpayers are experiencing similar delays this filing season. The status change is encouraging and suggests your return has completed the mandatory review period. Continue monitoring your transcript for TC 971 or TC 846, which would indicate further action or refund issuance respectively.

I experienced this EXACT situation in 2023. My ex claimed our son in 2022 with some SSN mismatch issues, then I claimed him in 2023 after getting full custody. The IRS held my refund for verification due to the "dependent TIN previously claimed" issue. They specifically needed Form 8332 (Release of Claim to Exemption) even though we had a court-ordered custody agreement. The terminology they use is so specific - they kept referring to "qualifying child determination" and "residency verification" during the review process. It took 11 weeks total, but I did eventually receive my full refund including the Child Tax Credit.

Did your client receive any specific notice or just the generic "refund is delayed" message on Where's My Refund? And has she been able to access her tax transcript online? I'm wondering if there are specific codes that might indicate whether this is a routine review or something specifically tied to the ex's unresolved issues from last year?