Are you looking for what IRS code 424 Examination Request means on the 2023 tax transcript? If that is the case, then you are in the right place.
This article focuses on what code 424 means on the IRS tax transcript.
Most people become worried when they see code 424 on their tax transcript and when they go to the WMR dashboard.
That should not be the case any longer.
The main objective of this guide is to explain in detail what the IRS tax transcript code 424 means.
Please note that this post is purely for educational purposes and does not claim to have any tax expertise. Neither do we have any authorization or association with the IRS.
That being said, you should not rely solely on this guide concerning your taxes since each state has different laws.
Meaning Of IRS Code 424 According To The Pocket Guide
According to the Internal Revenue Service Pocket Guide, code 424 means Examination Request Indicator.
That is the broad meaning of the 2022/2023 tax transaction code 424.
Though this is self-explanatory, let us take a closer look at what it means in detail.
What Does Code 424 Mean According To The IRS Master File Codes?
Below is the detailed meaning of the IRS tax transaction code 424:
Return referred to Examination or Appeals Division. Generates Examination opening inventory information. Deletes record, if present, from DIF file. This transaction can also be generated for IMF when an IRP Underreported Case is referred to Exam. Generated as a result of input through PCS.
That is the explanation given to the tax code 424 according to the Master File codes of the Internal Revenue Service.
In simple terms, code 424 means your return is being set aside for examination.
Please note that tax transaction code 424 does not necessarily mean an audit is being conducted.
An audit will only be conducted if, after careful examination, the IRS believes that is necessary.
If there is anything questionable on the return, you may want to have it checked by an expert and amend it if needed.
However, if nothing is out of the ordinary, just wait for the process to complete.
Keep in mind there is a possible letter or mail coming asking for information to clarify something.
It happens but not always.
What To Do If I Have An Examination Request On My 2022/2023 Tax Transcript?
Most people get frustrated when they see code 424 on their tax transcripts. But that should not be the case.
Here is what you need to do if you are affected by the Examination Request code.
For further clarifications, please contact the IRS on phone 800-829-1040 (Individuals) and 800-829-4933 (Businesses) from 7 am to 7 pm local time.
Please kindly contact the Internal Revenue Service representative for further details in your particular circumstance.
That is all you need to know about the IRS code 424 Examination Request on the 2022/2023 tax transcript.
Here is the list of other IRS codes and their ultimate guides:
Those are some of the IRS codes you may need further details about. Check them later.