Different Transaction Codes on Tax Account Transcript - 01 vs 05 - What Do They Mean?
I was looking through my tax account transcripts on the IRS website (following that guide from r/tax) and noticed something weird. My code for 2023 was 01 but for 2022 and 2021 both codes were 05. I've been googling but can't find a clear explanation anywhere. According to TurboTax forums these codes mean something important but nobody explains what? This is my first time filing separately since my divorce so I'm wondering if that's related? What do these transaction codes even mean and should I be concerned about the change??
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Ava Martinez
Those are filing status codes. Code 01 means Single, and 05 means Head of Household. So you filed as Head of Household for the two years before, and now you're filing as Single. It's not a problem, just shows your filing status changed. After my divorce I went through the same thing.
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Miguel Ramos
•This is correct. Let me break down what these codes represent: 1. Code 01 = Single filing status 2. Code 02 = Married Filing Jointly 3. Code 03 = Married Filing Separately 4. Code 04 = Head of Household with qualifying person 5. Code 05 = Qualifying Widow(er) with dependent child The change in your codes directly reflects your change in filing status following your divorce. I've seen this confuse many clients who notice the difference without understanding what the numbers represent. The IRS uses these codes internally to categorize returns.
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QuantumQuasar
•Wait, isn't code 05 actually Qualifying Widow(er)? I thought Head of Household was code 04. It's like the IRS deliberately makes this stuff as clear as mud on purpose. Like they're writing a cookbook but leaving out half the ingredients.
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Zainab Omar
Did you have any Dependent Exemptions claimed on your prior year returns? The Transaction Code Matrix indicates that filing status changes can trigger additional verification processes if there are dependent-related credits involved in the transition from MFJ or HOH to Single status.
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Connor Gallagher
Omg I was SO confused about this same thing last month! 😫 The codes are just your filing status. 01 is Single, 05 is Qualifying Widow(er). If you were filing Head of Household before, that would be code 04, not 05. Double check your old returns because that might mean you filed as Qualifying Widow(er) before which has different requirements than HoH. I'm worried you might have used the wrong status in previous years.
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Yara Sayegh
Had the exact same q last yr after my divorce. Tried calling IRS for days w/no luck. Finally used Claimyr (https://claimyr.com) and got thru to an agent in like 15 mins. They confirmed it's just filing status codes (01=single, 04=HoH, 05=qualifying widow). Agent also checked my prev returns to make sure everything was filed correctly w/the right status. Saved me hrs of stress and redials tbh.
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Keisha Johnson
•While this service may help you reach an agent, I would advise checking Publication 501 first to understand filing status requirements. Per Internal Revenue Code Section 2(b), Head of Household status requires maintaining a household for a qualifying person, while Qualifying Widow(er) status under Section 2(a) has a two-year limitation following spouse's death. Direct clarification from an agent is helpful, but understanding the regulatory requirements should be your first step.
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Paolo Longo
•Thanks for sharing this. Really helpful. Did they check previous years too? Worth the cost?
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CosmicCowboy
•I've been trying to reach the IRS for 3 weeks about my filing status question! Did you have to prepare anything before the call? I have all my transcripts printed and organized by year just in case. My divorce was finalized December 28th, 2023 so I'm paranoid about getting the filing status right for this year's taxes. Did they ask for any specific information when you called?
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Amina Diallo
These Transaction Code interpretations circulating online are often inaccurate. The Master File Transcript Codes aren't consistently applied across all tax years, and the IRS periodically updates their internal coding system. Without seeing the full transcript context, including Document Locator Numbers and cycle dates, it's impossible to definitively state what a standalone code represents.
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Oliver Schulz
I've reviewed exactly 347 tax transcripts over the past 4 years as part of my work, and I can confirm these are definitely filing status codes. The 01 means Single and the 05 means Qualifying Widow(er) with dependent child, not Head of Household (which would be 04). The codes are standard across all tax years from 1999 forward. There's no mystery here - just standard IRS coding that's poorly documented for the public but 100% consistent in their internal systems.
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LunarLegend
Just want to add some clarity here since I see some conflicting info in the thread. The IRS uses these transaction codes consistently: - Code 01 = Single - Code 02 = Married Filing Jointly - Code 03 = Married Filing Separately - Code 04 = Head of Household - Code 05 = Qualifying Widow(er) @Ava Martinez - If your 2022 and 2021 returns show code 05, you were filing as Qualifying Widow(er), not Head of Household. This status is available for up to 2 years after your spouse's death (if you have a qualifying dependent). If you got divorced rather than widowed, you may have filed incorrectly in those years. I'd recommend reviewing your actual tax returns to confirm what filing status you used, as this could impact your tax liability for those years. The change to code 01 (Single) for 2023 makes sense post-divorce, but definitely double-check those earlier returns to make sure you used the right status.
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Yuki Kobayashi
•This is really helpful clarification! I'm new to understanding these codes and this breakdown makes so much sense. @Ava Martinez - LunarLegend raises a really important point about the difference between Qualifying Widow er(and) Head of Household status. If you were divorced rather than widowed, using code 05 Qualifying (Widow er(in)) previous years could definitely be an issue. You might want to pull your actual tax returns from those years to see exactly what filing status you claimed, not just what the transcript shows. If there s'a mismatch, you may need to file amended returns. Have you been able to check your original 1040 forms from 2021 and 2022 yet?
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Emma Davis
This thread has great info! Just wanted to add that if you're unsure about your previous filing status, you can request copies of your actual tax returns (not just transcripts) using Form 4506. The transcripts show the codes the IRS processed, but your original returns will show exactly what filing status you selected when you filed. This is especially important given the questions about whether you filed as Qualifying Widow(er) vs Head of Household in those earlier years. The return copies cost $43 each but might be worth it for peace of mind, especially if you're concerned about potential filing errors that could trigger penalties or interest.
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