# Remittance Advice Remark Codes (RARCs): Reading the Detail Behind a NEMT Denial

Canonical URL: https://nemtguide.com/glossary/remittance-remark-codes/ · Updated 2026-09-30

Remittance advice remark codes (RARCs) are national codes on a remittance that add detail to a claim adjustment reason code, such as which field was missing or what to do next. On a NEMT claim they often name the exact problem: M22 for miles, N53 for the pickup address, M62 for the authorization. X12 posts the full list free, last updated July 1, 2026.

- Read a remark code with the group code and reason code on the same line. Together they say who carries the amount, why, and what failed.
- Remark codes that begin with "Alert:" are information only. Every other remark code explains a specific adjustment.
- Reason codes 16, 96, 226, 252, and A1 must come with a remark code that is not an alert, so the remark code is the real answer.
- Some remark codes tell you how to resubmit: N142 wants a new claim, N380 a corrected claim, and N938 says to wait.
- X12 posts the list free. It changes on or around March 1, July 1, and November 1, and was last updated July 1, 2026.

## What a remark code tells you

A remittance explains what a payer did with each trip you billed. The reason code on a line says why an amount was not paid. The remark code adds the detail: the field that was wrong, the document that was missing, or the step to take next.

X12, the standards body that publishes the list, says remark codes "provide additional explanation for an adjustment already described by a Claim Adjustment Reason Code (CARC) or convey information about remittance processing." CMS maintains the codes, and any health plan may use them. The Medicaid program counts as a health plan under HIPAA ([45 CFR 160.103](https://www.ecfr.gov/current/title-45/section-160.103)).

There are two kinds, and you treat them differently.

| Kind | How to spot it | What it does |
|---|---|---|
| Supplemental | Most codes. No prefix. | Explains an adjustment a reason code already gave |
| Informational | The text starts with "Alert:" | Shares processing news. It is never tied to one adjustment, and it can appear with no reason code at all. |

The letter at the front tells you the code's age, not its meaning. M codes began as Medicare service-level messages and MA codes as claim-level messages. In an April 30, 2001 memo, the agency now called CMS made the wording generic, let any code appear at the claim or line level, and started every new code with N. As of the July 1, 2026 list, the newest is N940.

For the reason codes these remarks explain, see [claim adjustment reason codes](https://nemtguide.com/glossary/claim-adjustment-reason-codes/).

## Where remark codes show up on a remittance

In the electronic [835 ERA](https://nemtguide.com/glossary/835-era/), remark codes for one service line sit in the LQ segment. Remark codes for the whole claim sit in the MOA segment on non-inpatient claims. CMS's remittance chapter says the standard allows up to 5 remark codes at the claim level and up to 99 on a line, though a payer's system may send fewer.

On paper or PDF, each state picks its own layout. Indiana's remittance module (version 7.0, March 13, 2025) prints them in a field marked REMARKS, right after the reason codes:

| Line label | What it covers |
|---|---|
| 000 | Remark codes for the whole claim |
| 001, 002, and on | Remark codes for the first, second, and later service lines |
| Remark Code Descriptions | The meaning of every remark code on that remittance |

Indiana lists up to 20 remarks for the claim and 20 for each line. A suspended claim shows at most two, and Indiana says those are the reason the claim is being reviewed, not a denial.

**Example.** You bill a round trip in a wheelchair van as two lines, the base rate and the mileage. The remittance pays the base line. The mileage line pays nothing and carries CO 16 with remark M22. CO means you carry the amount. Reason code 16 means the claim lacked information or had a billing error. M22 names the gap: the number of miles traveled was missing, incomplete, or invalid. Nothing is wrong with the ride or the base rate. Correct the miles on the line and send the fix your payer allows. See [corrected NEMT claims](https://nemtguide.com/guides/corrected-nemt-claims/).

## Remark codes NEMT claims get

The wording in the middle column is X12's, from the July 1, 2026 list. The last column says what to check on a trip claim.

### The trip on the claim

| Code | X12 wording | What to check |
|---|---|---|
| M22 | Missing/incomplete/invalid number of miles traveled. | Loaded miles on the mileage line, matching your trip record |
| N53 | Missing/incomplete/invalid point of pick-up address. | The full pickup address, in the field your payer uses |
| N756 | Missing/incomplete/invalid point of drop-off address. | The full drop-off address |
| M53 | Missing/incomplete/invalid days or units of service. | Trips on the base line and miles on the mileage line |
| M77 | Missing/incomplete/invalid/inappropriate place of service. | The code your payer wants. See [place of service codes for NEMT](https://nemtguide.com/glossary/place-of-service-code/). |
| N519 | Invalid combination of HCPCS modifiers. | [Origin and destination modifiers](https://nemtguide.com/glossary/origin-destination-modifiers/) and any service modifier |
| N56 | Procedure code billed is not correct/valid for the services billed or the date of service billed. | The code for the vehicle and service level that actually ran |

### Authorization, coverage, and the right payer

| Code | X12 wording | What to check |
|---|---|---|
| M62 | Missing/incomplete/invalid treatment authorization code. | The trip or [prior authorization](https://nemtguide.com/glossary/prior-authorization/) number, in the right field |
| N54 | Claim information is inconsistent with pre-certified/authorized services. | Date, code, level of service, and leg against what was approved |
| N157 | Transportation to/from this destination is not covered. | Whether the destination is a covered service in your program |
| N904 | The transportation vendor is responsible for this claim. | Send the trip to the broker that manages the member's rides |
| N52 | Patient not enrolled in the billing provider's managed care plan on the date of service. | The member's plan on the date of the ride |
| N30 | Patient ineligible for this service. | The member's coverage on that date. See [eligibility verification](https://nemtguide.com/glossary/eligibility-verification/). |

### Your enrollment and ID numbers

| Code | X12 wording | What to check |
|---|---|---|
| N767 | The Medicaid state requires provider to be enrolled in the member's Medicaid state program prior to any claim benefits being processed. | Your enrollment in the member's state, including on out-of-state rides |
| N255 | Missing/incomplete/invalid billing provider taxonomy. | The [taxonomy code](https://nemtguide.com/glossary/taxonomy-code/) on your enrollment |
| N257 | Missing/incomplete/invalid billing provider/supplier primary identifier. | Your NPI or Medicaid ID in the billing provider field |
| N290 | Missing/incomplete/invalid rendering provider primary identifier. | The rendering ID, if your payer wants one. See [billing vs rendering provider](https://nemtguide.com/glossary/billing-vs-rendering-provider/). |
| N198 | Rendering provider must be affiliated with the pay-to provider. | The link between the rendering and billing records on file |
| N852 | The pay-to and rendering provider tax identification numbers (TINs) do not match | The tax IDs on your enrollment records |
| N382 | Missing/incomplete/invalid patient identifier. | The member ID, copied exactly |

### Documents

| Code | X12 wording | What to check |
|---|---|---|
| N706 | Missing documentation. | The trip log or other record the payer asked for |
| N705 | Incomplete/invalid documentation. | Signatures, times, and odometer readings on the log |
| N206 | The supporting documentation does not match the information sent on the claim. | Dates, times, miles, and addresses on the log against the claim |

Good [trip documentation](https://nemtguide.com/guides/nemt-trip-documentation/) prevents most of the last group.

## Remark codes that tell you what to do next

Some remark codes are instructions. Read them before you resend anything, because the wrong kind of resubmission can be denied again.

| Code | X12 wording | What to do |
|---|---|---|
| MA130 | Your claim contains incomplete and/or invalid information, and no appeal rights are afforded because the claim is unprocessable. Please submit a new claim with the complete/correct information. | Fix the claim and send it as a new claim. An appeal will not help. |
| N142 | The original claim was denied. Resubmit a new claim, not a replacement claim. | Send a new claim, not a replacement |
| N380 | The original claim has been processed, submit a corrected claim. | Send a corrected claim that points to the original |
| N779 | Replacement/Void claims cannot be submitted until the original claim has finalized. Please resubmit once payment or denial is received. | Wait until the original pays or denies |
| N798 | Submit a void request for the original claim and resubmit a new claim. | Void the original, then send a new claim |
| N938 | Alert: Do not resubmit. This claim will be automatically reprocessed. | Wait for the reprocessed result |
| N704 | Alert: You may not appeal this decision but can resubmit this claim/service with corrected information if warranted. | Correct and resubmit if your claim was wrong |
| N921 | The time limit for filing a reconsideration or appeal has expired. | The appeal window is closed. See [timely filing limits](https://nemtguide.com/glossary/timely-filing-limit/). |
| N920 | Payment to the provider has been placed on hold as a result of active contract (re)negotiation. | Call provider relations about your contract |

N920 and N921 started March 1, 2026, and N938 started July 1, 2026, so older billing setups may not recognize them. For which fix fits which denial, see [NEMT claim denials](https://nemtguide.com/guides/nemt-claim-denials/) and [how to appeal a denied claim](https://nemtguide.com/guides/appeal-denied-nemt-claim/).

## The pairings a federal rule sets

Since January 1, 2014, health plans that send the 835 must follow the Phase III CORE 360 rule on the uniform use of reason and remark codes ([45 CFR 162.1603](https://www.ecfr.gov/current/title-45/section-162.1603)). CAQH CORE, which writes the rule, sorts adjustments into four business scenarios:

1. Additional information required: missing, invalid, or incomplete documentation.
2. Additional information required: missing, invalid, or incomplete data from the submitted claim.
3. Billed service not covered by the health plan.
4. Benefit for billed service not separately payable.

For each scenario, CAQH CORE publishes the maximum set of group, reason, and remark code combinations a plan may use, and it takes feedback on that set at least three times a year. A plan may add its own scenarios only if they do not conflict with these four.

Some reason codes never stand alone. On the November 1, 2025 reason code list, 16, 96, 226, 252, and A1 are among the codes that must come with at least one remark code that is not an alert. A1, a plain "Claim/Service denied," is only for cases where no more specific reason code fits.

States show how the pairs work in practice:

- **Ohio.** A memo to Medicaid managed care plans dated March 31, 2026 says plans may pay only providers enrolled and active in the state's provider enrollment system. If a provider still has not enrolled after the plan offers the enrollment options, the plan may deny the claim once 180 days have passed since it first reached out. The memo tells plans to show that denial as reason code 226 with remark N767.
- **Indiana.** Its weekly remittance advice adds four-digit state EOB codes, which never travel in the 835. Its module pairs EOB 0203 with reason code 16 and remark N382 for a missing member ID, EOB 4033 with reason code 4 and remark N519 for a modifier problem, and EOB 0201 with reason code 206 and remark N257 for a missing billing ID.

## Where the official list lives

X12 keeps the list free at [x12.org/codes/remittance-advice-remark-codes](https://x12.org/codes/remittance-advice-remark-codes). You can search by code or filter by status: current, to be deactivated, or deactivated. Each entry shows its start date, any last modified date, any stop date, and notes.

CMS says the remark and reason code lists are both updated on or around March 1, July 1, and November 1. The July 1, 2026 update added N923 through N940.

Codes also retire. N164, N165, and N166 stopped January 31, 2004, and X12's notes point to N157, N158, and N159 instead. N29, a general "missing documentation" code, stopped March 1, 2016 after more exact codes replaced it. If a stopped code appears on a current remittance, ask the payer what it means before you act.

## How to work a remark code, step by step

1. **Find the right line.** Remarks on line 000 or in the MOA segment cover the whole claim. The others belong to one service line.
2. **Read the group and reason codes first.** They say who carries the amount and why. Then read every remark on that line.
3. **Set alerts aside.** Codes that start with "Alert:" are notes about processing, not the problem to fix.
4. **Match the remark to the fix.** Use the tables above, then check the trip record, the authorization, or your enrollment file.
5. **Follow any instruction code.** MA130, N142, N380, N779, N798, and N938 each tell you what kind of resubmission to send, or to wait.
6. **Watch the deadline.** A fix still has to reach the payer inside its filing limit.
7. **Log each denial by code.** A [claim denial log](https://nemtguide.com/templates/claim-denial-log/) shows when the same remark keeps coming back, which points to a setup problem rather than a one-time slip.

## Frequently asked questions

### What is the difference between a remark code and a reason code?

A claim adjustment reason code (CARC) says why a line was paid differently than it was billed, such as CARC 16 for missing information or a billing error. A remittance advice remark code (RARC) adds the detail, such as M22 for a missing number of miles or N53 for a missing pickup address. Reason codes are numbers, or a letter and a number such as A1. Remark codes start with M, MA, or N.

### What does an Alert remark code mean?

It is information, not the reason for a cut. X12 says remark codes that begin with "Alert:" convey information about remittance processing and are never tied to a specific adjustment, and CMS says they can appear without a group code or reason code. N938, added July 1, 2026, reads "Alert: Do not resubmit. This claim will be automatically reprocessed." Read alerts, then act on the other codes.

### What does M22 mean on a NEMT remittance?

M22 reads "Missing/incomplete/invalid number of miles traveled." It can come with reason code 16, which means the claim lacked information or had a billing error. Check that the mileage line shows the loaded miles in the units your payer bills, and that they match your trip record. Then send the fix the way your payer allows, which is often a corrected claim.

### What does remark code N904 mean?

N904 reads "The transportation vendor is responsible for this claim." X12 added it July 1, 2024. It tells you the payer that received your claim is not the one that pays for this member's rides, because a transportation vendor handles them. Find the broker that manages the member's rides and bill it under its own rules and deadlines.

### Do NEMT brokers use remark codes?

It depends on the payer. Medicaid programs and health plans that send the 835 must follow a federal operating rule, in effect since January 1, 2014, on how reason and remark codes are paired. A broker that pays you under its own agreement may send its own payment statement with its own reason list. Ask each broker for its code key when you sign on.

### Where can I look up a remark code for free?

On the X12 website, at x12.org/codes/remittance-advice-remark-codes. You can filter by code and by status (current, to be deactivated, or deactivated), and each entry shows its start date plus any last modified or stop date. As of September 2026, the list was last updated July 1, 2026. Keep your state Medicaid program's own code key too, because some states print extra codes on paper remittances.

## Official resources

- [X12: Remittance Advice Remark Codes (the full list)](https://x12.org/codes/remittance-advice-remark-codes)
- [X12: Claim Adjustment Reason Codes (the full list)](https://x12.org/codes/claim-adjustment-reason-codes)
- [CMS: Medicare Claims Processing Manual, Chapter 22, Remittance Advice](https://www.cms.gov/Regulations-and-Guidance/Guidance/Manuals/downloads/clm104c22.pdf)
- [Indiana Medicaid: Financial Transactions and Remittance Advice module](https://www.in.gov/medicaid/providers/files/modules/financial-transactions-and-remittance-advice.pdf)