What Is a Tax Transcript, and How Do You Request It?

Have you ever needed your previous years’ tax information, only to realize you don’t have what you need in your records? Thankfully, you can quickly solve this issue with the help of tax transcripts. These IRS tax records can help you apply for loans, verify your income when applying for government programs, or provide tax information when someone requests it. You can also use them to estimate future tax liabilities by reviewing past returns, making them even more helpful.

This guide will explain everything you need to know about tax transcripts and how to get yours.

Key Takeaways

• A tax transcript is a tax document you request from the IRS that summarizes tax and personal information from a given tax year.
• Transcripts are used as proof of income for mortgage lenders or government program applications, as identity verification, or simply as a backup if you lose your copy of your tax returns.
• There are 5 kinds of tax transcripts, each displaying different information and serving a unique purpose.
• Depending on the type of transcript you get, it will display information like your name and Social Security number (SSN), adjusted gross income (AGI), filing status, taxable income, payment method, and claimed credits and deductions.
• You can request your transcript in 3 ways: Online (the fastest method), by phone, or by mail.
• Your transcript may have transaction codes that tell you about the IRS’s actions on your account.
• A transcript is different from your tax return. If you need a copy of the return, you’ll have to call the IRS, pay a fee of $30, and wait up to 75 days for your request to be processed.

Table of Contents

• What Is an IRS Tax Transcript?
• What Information Does a Tax Transcript Provide?
• Types of Tax Transcripts
• How to Get a Tax Transcript
• What Do Tax Transcript Codes on Account Transcripts Mean?
• How Do I Get a Copy of My Actual Tax Return?
• How FreshBooks Helps With Tax Preparation
• FAQs About Tax Transcripts

What Is an IRS Tax Transcript?

An IRS tax transcript is a summary of your tax return. Depending on the type of transcript, it might show your AGI, the kind of return you filed, your filing status, your income, and more. Generally, tax transcripts omit some of your personal information to protect your privacy.

IRS transcripts can help you in several situations. You might need to provide tax information you don’t have in your records. You might need to show your tax history to a lender to get a home mortgage. You may also need it to apply for financial aid through FAFSA (Free Application for Federal Student Aid) or to apply for federal programs, such as Medicaid. A transcript is often required in these situations, helping you prove your income and other tax details. Plus, these transcripts can be helpful for identity verification or even as a backup option in case you lose past tax returns. 

What Information Does a Tax Transcript Provide?

Tax transcripts show you most of the line items from the tax return you request them for. Different types of transcripts have more or less information. Generally, you can expect it to show your adjusted gross income, filing status, income, payments, and the tax deductions or credits you claimed that year. It also shows personal information, like your name and Social Security number (SSN). You can request a tax return transcript for the previous 3 tax years. 

Types of Tax Transcripts

There are 5 kinds of tax transcripts you can request from the IRS, each of which displays different information and serves a different purpose:

1. Wages and income transcript: This document shows information from several different returns, including your Form W-2, Form 1099(s), Form 1098, and Form 5498. It also includes any individual retirement arrangements (IRA) contributions you made. You can request it for up to the past 10 years. Note that this transcript is limited to about 85 income documents—if you have more than that, your transcript will not be generated through the IRS Individual Online Account.
2. Tax return transcript: The commonly requested IRS tax return transcript shows most of your tax return line items (including your AGI) from your Form 1040. It also shows any other forms and schedules you may have, but it doesn’t show any changes made after filing your original return. You can order these transcripts for the previous 3 years, and they typically meet the tax information requirements set out by lenders that offer mortgages.
3. Tax account transcript: This is a simpler transcript that shows basic information like the type of return you filed, your marital status, your taxable income, your AGI, and your payment method. You can request this document for the past 10 years when you order it online or for the current and 3 prior tax years when you order your transcript by mail or phone.
4. Record of account transcript: The record of account transcript is the most detailed option, showing you the information from both your tax return and tax account transcripts combined into a single document. You can only request it for the previous 3 years.
5. Verification of non-filing letter: The verification of non-filing letter is a document proving that the IRS didn’t receive a Form 1040 from you in a previous tax year. This transcript does not show whether you are required to file a return for the current year, however. You can request it for the past 3 years. If you need a letter for tax years prior to the 3-year range, you’ll need to fill out Form 4506-T.

How to Get a Tax Transcript

Getting a transcript is relatively straightforward. There are 3 ways to do it: Online, by phone, or by mail.

Online Request

The fastest and easiest way to get your documents is to request your transcript online. Log in to your online IRS account, click the tax records tab, and download the transcript you’re looking for.

Phone Request

If you can’t get your transcript online, call the IRS at 800-908-9946 to request your transcript. It’ll send you the documents within 5 to 10 days of you making the phone request.

Mail Request

To request a transcript by mail, go to the IRS’s “Get your tax records and transcripts” page. From here, click “Get transcript by mail” and follow a series of prompts for personal information, including your Social Security number, date of birth, and mailing address. The IRS will mail out your transcript in 5 to 10 business days. Alternatively, you can print and mail Form 4506-T to request your documents—the IRS will process the request within 10 business days. 

What Do Tax Transcript Codes on Account Transcripts Mean?

You might notice special transaction codes on your transcripts. These codes represent IRS actions on your account, making them essential to learn if you want more tax insight. The most common transaction codes are:

• Code 150: The taxpayer filed the return, and the IRS assessed their liability.
• Code 290: Either additional tax assessed (if you see a dollar amount to the right of the code) or the IRS previously froze the tax return but has released it.
• Code 420: The IRS has sent the return to the examination or appeals division.
• Code 570: Additional liability is pending, or there’s a credit hold.
• Code 766: The IRS has applied a tax credit to the return.
• Code 846: The taxpayer overpaid, and the IRS will refund the excess amount.
• Code 971: Miscellaneous—check the action code (separate from the transaction code) for more information on the action the IRS performed.

How Do I Get a Copy of My Actual Tax Return?

Sometimes, you might need a copy of a tax return, not just a transcript summarizing its information. Your return contains all the information and forms you attached to it, offering more detail than a transcript. To get a copy of past tax returns, print and complete Form 4506 and mail it to the IRS. You’ll also need to pay a fee of $30 for each tax return. Your request can take up to 75 days to be processed.

How FreshBooks Helps With Tax Preparation

Getting tax transcripts is relatively straightforward, but you might not even need to request one if you have an in-depth tax records system. Of course, keeping your records organized and accessible can be pretty tricky—unless you use an accounting and tax preparation tool to make it simpler.

FreshBooks offers a faster, more efficient way to store, organize, and manage your tax records, simplifying the entire tax preparation process. You can track your tax liability throughout the year to avoid surprises with automatically generated, tax-ready reports (such as profit-and-loss statements and expense reports). FreshBooks accounting software also integrates seamlessly with other tax prep tools, helping you file your taxes faster and more accurately and ensuring you’re always ready for tax season. 

Plus, FreshBooks makes data migration easy for new users and has a simple but effective user interface that you can master in minutes. Overall, it’s one of the best ways to manage your essential tax documents throughout the year, keeping everything organized and available in case you need it. Find out why so many depend on this software for tax prep: Try FreshBooks for free!

FAQs About Tax Transcripts

Still curious about tax transcripts, what they show, and how to get them? Expand your knowledge with these frequently asked questions.

What’s the difference between a tax return and a transcript?

A tax return shows all the information you provided in a tax year and all the other forms and details you attached. On the other hand, a transcript omits some information and instead shows a summary of the tax return. Specific details depend on the type of transcript you request.

Is a tax transcript proof of income?

A transcript is sometimes used as proof of income when applying for a loan for a home mortgage or when qualifying for federal government programs, such as Medicaid.

How long after filing taxes can I get a transcript?

According to the IRS, you’ll have to wait 2 to 3 weeks to request a tax return transcript if you filed electronically and there was a refund or no balance due. If you file by mail or have an outstanding balance, it can take 3 to 8 weeks before you can request a transcript.

What happens if you don’t have a tax transcript?

You might need a tax transcript to secure a mortgage from a lender, qualify for some government programs, or verify your identity with certain entities. Fortunately, it’s very easy to get a transcript online.

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