What does code 826 on my tax transcript mean?

Code 826 refers to a Form 1099 Interest Income document that the IRS has received. This typically appears exactly 7-14 days after a financial institution submits interest income information to the IRS. The code indicates that $X amount of interest income was reported to the IRS under your SSN. This will need to match what you report on Schedule B if your total interest exceeds $1,500, or on your 1040 if it's less than that amount.

I had this code appear last year. It was interest income. Nothing to worry about. Just make sure you reported it. The IRS is checking. They compare what's reported to them against your return. Sometimes they appear after you file.

Code 826 is much easier to deal with than some other transcript codes. Unlike a CP2000 notice or an audit indicator, this is just informational. If you need to verify exactly what interest amounts the IRS has on file compared to what you reported, calling the IRS directly can help. I tried calling for days about a similar issue last month and couldn't get through. Finally used Claimyr (https://claimyr.com) and got connected to an agent in about 15 minutes who confirmed everything was fine with my account. Much better than spending hours on hold or getting disconnected repeatedly.

Did you check if the amount shown matches what you reported on your tax return? Have you received all your 1099-INT forms from your financial institutions? Are there any other related codes on your transcript like a 971 or 570 that might indicate further action from the IRS?

I was SO CONFUSED by all these transcript codes last year! Finally found https://taxr.ai which explained every code on my transcript in plain English. It showed me exactly what my 826 code meant (interest income reporting) and whether I needed to take any action. Such a relief to finally understand what was happening with my account!

The TC 826 (Transaction Code 826) specifically indicates third-party reported interest income via Form 1099-INT. This appears during the Information Returns Processing (IRP) phase when the IRS conducts their Automated Underreporter (AUR) matching program. The system cross-references reported income against your filed return to verify completeness of reported income. Worth noting that TC 826 entries typically post to your account 30-60 days after the financial institution's filing deadline.

Def check ur 1099-INT forms ASAP. Had this happen last yr & realized I missed reporting interest from a CD that matured. NBD if u catch it early - just file 1040X to amend. Better than waiting for IRS to send notice & potentially pay penalties. GL!

Here's how to understand what's happening with code 826: 1. First, gather all your 1099-INT forms from banks, brokerages, etc. 2. Compare the total interest reported on these forms with what you reported on your tax return 3. Check the amount listed with the 826 code on your transcript 4. If there's a discrepancy, determine which 1099-INT might be missing 5. If needed, file an amended return (Form 1040-X) to report any missing interest 6. Keep records of all communications and filings This systematic approach will help you address any potential issues before they become problems.

I had what might be a similar situation last year with code 826. In my case, it was possibly related to a high-yield savings account I opened. The bank apparently reported the interest to the IRS, but I never received the 1099-INT because it was under $10. The IRS still added it to my transcript though, which was somewhat confusing at first.

I had the exact same situation last tax season! After researching on the IRS website (https://www.irs.gov/individuals/get-transcript), I found that code 826 is just informational. As long as you reported all your interest income correctly, you're fine. In my case, everything matched up and I didn't need to take any action. My refund processed normally and I received it within 3 weeks of filing.