IRS transaction code 806: Credit for withheld taxes and excess FICA

What the IRS calls TC 806

Document 6209, Section 8A lists TC 806 as Credit for withheld taxes and excess FICA (Credit in the Document 6209 DR/CR column). The remarks column says:

“Credits the tax module for the amount of withholding taxes and excess FICA claimed on a Form 1040 or 1041 (198712 & later) return.”

Source: IRS Document 6209, Section 8A, Master File Codes (Rev. 3/2018), entry for transaction code 806.

In plain language

TC 806 is where the withholding on your return shows up as a credit. Document 6209 lists it as a credit and says it credits the tax module for the amount of withholding taxes and excess FICA claimed on a Form 1040 or 1041 return, and that it may also be generated by a line adjustment on an Examination or Tax Adjustment.

The Taxpayer Advocate Service describes the line as reflecting credit for tax withheld as shown on the return and on information statements such as Forms W-2 and 1099 attached to it. Together with the TC 150 tax, it is part of the arithmetic behind a refund; the refund itself is TC 846.

What the date next to it means

Document 6209 does not define the date on a TC 806 line. By the Taxpayer Advocate Service’s explanation, a transcript date is normally the transaction date of the line. The Taxpayer Advocate Service explains the general rule: a transaction date is the effective date of a transaction on a tax account, and the cycle date represents the date the IRS processed it. Sometimes the two coincide and sometimes they do not. See the transcript date guide and the cycle code decoder.

What the IRS publishes about what comes next

• Document 6209 lists TC 807 as reversing a TC 800 or 806 credit, in whole or in part.
• It does not state what line follows a TC 806 on a refund transcript.

This page gives no timing. The IRS documents we read state no timeline for what follows TC 806.

Related codes

• TC 150 (return filed and tax liability assessed): tax assessed on the return.
• TC 846 (refund of overpayment): refund of an overpayment.
• TC 570 (additional liability pending and/or credit hold): hold that can freeze refunding.
• TC 290 (additional tax assessment): adjustment that can generate a 806 change.

Who this is for

Filers, family members and preparers reading an IRS account transcript who want the published definition of a single line before looking at the rest.

What this page does not cover

• Why TC 806 is on your account, what it means for your situation, or what to do about it.
• When a refund will arrive. Use the IRS refund tracker or your online account.
• Anything beyond the Rev. 3/2018 Section 8A entry and the Taxpayer Advocate Service explanations cited below.
• Tax or legal advice. Use your IRS online account or contact the IRS or a qualified tax professional for your case.