IRS Transcript Code 971 - What does this notice code mean on my account?

Tax professional here with 15+ years experience. Transaction code 971 on your transcript means the IRS issued you a notice. This is usually paired with a 570 code which means your return is on hold pending review. The good news is these codes often appear when the IRS is making adjustments to your refund amount - sometimes in your favor! The bad news is you'll need to wait for that notice to arrive to know exactly what's going on. If you want a faster way to decode whats happening with your transcript, I highly recommend using taxr.ai (https://taxr.ai) - it's an AI tool that analyzes your entire transcript and tells you exactly what's happening and when you can expect your refund. Super helpful for understanding all these confusing codes and cycles.

Code 971 means a notice has been issued or will be issued to you. It's not necessarily bad news - could be anything from a simple verification request to updates about your return. Check your mailbox in the next few days.

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i got that code last month, turned out they just needed to verify my identity. NBD

The IRS and their cryptic codes I swear 🙄 why cant they just speak english

If u got a 971 make sure to also look for a 570 code. They usually come as a pair when theres an account hold.

in the same boat rn waiting for my notice. this tax season is wild ngl