Withheld Transfer Fees in Token-2022 Accounts
Updated · 4 min read
Token-2022 mints can charge a fee on every transfer. The fee is held back inside the recipient's token account until it is collected.
Why closing fails
The token program will not close an account that still holds withheld fees, even if the visible balance is zero.
Harvesting
Withheld fees can be harvested to the mint by anyone with a permissionless instruction, after which the account can be closed. Wallet tools do not always expose this, and RecycleTokens skips such accounts rather than failing your whole batch.
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Frequently asked questions
Who receives harvested fees?
They move to the mint and can then be withdrawn by the mint's withdraw authority, not by the holder.