IRS Code 826: Overpayment Transferred (to Another IRS Tax Period)
IRS code 826 means the IRS moved all or part of your overpayment (refund) to another tax period on your IRS account, usually to pay a federal tax balance you owe for a different year. It is an IRS offset, not a Treasury offset for non-tax debt.
What code 826 actually means
Document 6209 defines transaction code 826 as a computer-generated transfer of overpayment credit to another tax module within your own IRS account. The period that receives the money shows a matching credit (code 706).
This is how the IRS applies a refund to prior federal taxes owed. IRS Topic 203 lists previous taxes owed as one reason a refund can be reduced, and the IRS mails a notice (such as CP49) explaining how the refund was applied. Any remaining amount may still be refunded as an 846.
An 826 is different from an 898. An 826 stays inside the IRS and pays IRS tax debt; an 898 sends money through the Treasury Offset Program to another agency for debts such as child support or state tax.
What to do next
- 1Read the notice you receive (often a CP49). It shows which tax period received the money and any balance still due.
- 2Check the transcript for the other tax year: a matching 706 credit should appear there.
- 3If you think you don't owe that balance, follow the dispute instructions in the notice. If the debt was only your spouse's, you may be able to request injured spouse relief using Form 8379.
- 4If you still owe after the transfer, review payment options such as a payment plan. A tax professional can help you sort out multi-year balances; we offer a free consultation.
Codes it often appears with
Code 706
The matching credit on the tax period that received the money.
Refund of any amount left after the transfer.
Different offset: money sent to a non-IRS agency through TOP.
Letters that often go with it
- CP49 — Refund Applied to Other Taxes Owed
- CP14 — Balance Due — First Notice
- CP501 / CP503 — Balance Due Reminders
Common questions
What does code 826 mean on my IRS transcript?+
It means the IRS transferred your overpayment to another tax period on your account, usually to pay federal taxes you owe for a different year.
What is the difference between code 826 and code 898?+
826 applies your refund to IRS tax debt within your own account. 898 is a Treasury Offset Program offset that sends the money to another agency for non-IRS debts like child support or state taxes.
Where did my refund go?+
To another tax period on your IRS account. That year's transcript will show a matching 706 credit, and the IRS should mail a notice (often CP49) explaining it.
Can I get the money back if my spouse owed the tax?+
If you filed jointly and the debt belonged only to your spouse, you may qualify for injured spouse relief using Form 8379.
Checked against IRS primary sources — see how we source these guides. Transcripts show what has posted, not every action in progress; notices mailed to you and your IRS online account are the controlling record.
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