diff --git a/src/core/index.ts b/src/core/index.ts
index 2621a96..f1ab8b4 100644
--- a/src/core/index.ts
+++ b/src/core/index.ts
@@ -14,6 +14,7 @@ export type {
     DataSourceFetchContext,
     ActualParams,
     ActualData,
+    ActualResponse,
 } from './types/DataSource';
 export type {DataManager} from './types/DataManger';
 export type {DataLoaderStatus} from './types/DataLoaderStatus';
diff --git a/src/core/types/DataSource.ts b/src/core/types/DataSource.ts
index 574fd21..a9ff78a 100644
--- a/src/core/types/DataSource.ts
+++ b/src/core/types/DataSource.ts
@@ -13,6 +13,7 @@ export interface DataSource<
     TResponse,
     TData,
     TError,
+    TErrorResponse,
     TOptions,
     TState,
     TFetchContext,
@@ -27,7 +28,13 @@ export interface DataSource<
     tags?: (params: ActualParams<TParams, TRequest>) => DataSourceTag[];
 
     transformParams?: (params: TParams) => TRequest;
-    transformResponse?: (response: TResponse) => TData;
+
+    /**
+     * When set, the `fetch` errors will be transformed into data without changing the state to error.
+     * @returns NonNullable
+     */
+    transformError?: (error: TError) => TErrorResponse;
+    transformResponse?: (response: ActualResponse<TResponse, TErrorResponse>) => TData;
 
     [errorHintSymbol]?: TError;
 
@@ -36,7 +43,7 @@ export interface DataSource<
 }
 
 // eslint-disable-next-line @typescript-eslint/no-explicit-any
-export type AnyDataSource = DataSource<any, any, any, any, any, any, any, any, any>;
+export type AnyDataSource = DataSource<any, any, any, any, any, any, any, any, any, any>;
 
 export type DataSourceContext<TDataSource> =
     TDataSource extends DataSource<
@@ -46,6 +53,7 @@ export type DataSourceContext<TDataSource> =
         infer _TResponse,
         infer _TData,
         infer _TError,
+        infer _TErrorResponse,
         infer _TOptions,
         infer _TState,
         infer _TFetchContext
@@ -61,6 +69,7 @@ export type DataSourceParams<TDataSource> =
         infer _TResponse,
         infer _TData,
         infer _TError,
+        infer _TErrorResponse,
         infer _TOptions,
         infer _TState,
         infer _TFetchContext
@@ -76,6 +85,7 @@ export type DataSourceRequest<TDataSource> =
         infer _TResponse,
         infer _TData,
         infer _TError,
+        infer _TErrorResponse,
         infer _TOptions,
         infer _TState,
         infer _TFetchContext
@@ -91,11 +101,12 @@ export type DataSourceResponse<TDataSource> =
         infer TResponse,
         infer _TData,
         infer _TError,
+        infer TErrorResponse,
         infer _TOptions,
         infer _TState,
         infer _TFetchContext
     >
-        ? TResponse
+        ? ActualResponse<TResponse, TErrorResponse>
         : never;
 
 export type DataSourceData<TDataSource> =
@@ -106,11 +117,12 @@ export type DataSourceData<TDataSource> =
         infer TResponse,
         infer TData,
         infer _TError,
+        infer TErrorResponse,
         infer _TOptions,
         infer _TState,
         infer _TFetchContext
     >
-        ? ActualData<TData, TResponse>
+        ? ActualData<TResponse, TErrorResponse, TData>
         : never;
 
 export type DataSourceError<TDataSource> =
@@ -121,6 +133,7 @@ export type DataSourceError<TDataSource> =
         infer _TResponse,
         infer _TData,
         infer TError,
+        infer _TErrorResponse,
         infer _TOptions,
         infer _TState,
         infer _TFetchContext
@@ -128,6 +141,22 @@ export type DataSourceError<TDataSource> =
         ? TError
         : never;
 
+export type DataSourceErrorResponse<TDataSource> =
+    TDataSource extends DataSource<
+        infer _TContenxt,
+        infer _TParams,
+        infer _TRequest,
+        infer _TResponse,
+        infer _TData,
+        infer _TError,
+        infer TErrorResponse,
+        infer _TOptions,
+        infer _TState,
+        infer _TFetchContext
+    >
+        ? TErrorResponse
+        : never;
+
 export type DataSourceOptions<TDataSource> =
     TDataSource extends DataSource<
         infer _TContenxt,
@@ -136,6 +165,7 @@ export type DataSourceOptions<TDataSource> =
         infer _TResponse,
         infer _TData,
         infer _TError,
+        infer _TErrorResponse,
         infer TOptions,
         infer _TState,
         infer _TFetchContext
@@ -151,6 +181,7 @@ export type DataSourceState<TDataSource> =
         infer _TResponse,
         infer _TData,
         infer _TError,
+        infer _TErrorResponse,
         infer _TOptions,
         infer TState,
         infer _TFetchContext
@@ -166,6 +197,7 @@ export type DataSourceFetchContext<TDataSource> =
         infer _TResponse,
         infer _TData,
         infer _TError,
+        infer _TErrorResponse,
         infer _TOptions,
         infer _TState,
         infer TFetchContext
@@ -177,4 +209,10 @@ export type ActualParams<TParams, TRequest> =
     | (unknown extends TParams ? TRequest : TParams)
     | typeof idle;
 
-export type ActualData<TData, TResponse> = unknown extends TData ? TResponse : TData;
+export type ActualResponse<TResponse, TErrorResponse> = unknown extends TErrorResponse
+    ? TResponse
+    : TResponse | TErrorResponse;
+
+export type ActualData<TResponse, TErrorResponse, TData> = unknown extends TData
+    ? ActualResponse<TResponse, TErrorResponse>
+    : TData;
diff --git a/src/core/utils/skipContext.ts b/src/core/utils/skipContext.ts
index d96cfbd..ffeab76 100644
--- a/src/core/utils/skipContext.ts
+++ b/src/core/utils/skipContext.ts
@@ -1,5 +1,27 @@
 import type {AnyFunction} from '../types/utils';
 
+/**
+ * @param fetch fetch function
+ * @returns fetch function with the ignored query data source context and the query function context.
+ *
+ * @description
+ * The function is intended to be used with the `fetch` parameter of the query data source config.
+ * It is used to ignore the query data context and the query function context parameters.
+ *
+ * NOTE
+ * When passed directly to the `fetch` parameter, typescript fails to infer the types of the `DataSource` fields.
+ * It is better to define a constant first.
+ * @example
+ * function someFetchFunction(request: TRequest) {...}
+ *
+ * const fetchData = skipContext(someFetchFunction);
+ *
+ * const dataSource = makePlainQueryDataSource({
+ *   ...
+ *   fetch: fetchData,
+ *   ...
+ * })
+ */
 export const skipContext = <TFunc extends AnyFunction>(fetch: TFunc) => {
     return (_0: unknown, _1: unknown, ...args: Parameters<TFunc>): ReturnType<TFunc> => {
         return fetch(...args);
diff --git a/src/react-query/impl/infinite/factory.ts b/src/react-query/impl/infinite/factory.ts
index 7a2cec9..55c6514 100644
--- a/src/react-query/impl/infinite/factory.ts
+++ b/src/react-query/impl/infinite/factory.ts
@@ -1,8 +1,18 @@
 import type {InfiniteQueryDataSource} from './types';
 
-export const makeInfiniteQueryDataSource = <TParams, TRequest, TResponse, TData, TError>(
-    config: Omit<InfiniteQueryDataSource<TParams, TRequest, TResponse, TData, TError>, 'type'>,
-): InfiniteQueryDataSource<TParams, TRequest, TResponse, TData, TError> => ({
+export const makeInfiniteQueryDataSource = <
+    TParams,
+    TRequest,
+    TResponse,
+    TData,
+    TError,
+    TErrorResponse,
+>(
+    config: Omit<
+        InfiniteQueryDataSource<TParams, TRequest, TResponse, TData, TError, TErrorResponse>,
+        'type'
+    >,
+): InfiniteQueryDataSource<TParams, TRequest, TResponse, TData, TError, TErrorResponse> => ({
     ...config,
     type: 'infinite',
 });
diff --git a/src/react-query/impl/infinite/types.ts b/src/react-query/impl/infinite/types.ts
index 9a0642c..2774a2c 100644
--- a/src/react-query/impl/infinite/types.ts
+++ b/src/react-query/impl/infinite/types.ts
@@ -8,7 +8,13 @@ import type {
 } from '@tanstack/react-query';
 import type {Overwrite} from 'utility-types';
 
-import type {ActualData, DataLoaderStatus, DataSource, DataSourceKey} from '../../../core';
+import type {
+    ActualData,
+    ActualResponse,
+    DataLoaderStatus,
+    DataSource,
+    DataSourceKey,
+} from '../../../core';
 import type {QueryDataSourceContext} from '../../types/base';
 import type {QueryDataAdditionalOptions} from '../../types/options';
 
@@ -29,55 +35,64 @@ export type InfiniteQueryObserverExtendedOptions<
     >
 >;
 
-export type InfiniteQueryDataSource<TParams, TRequest, TResponse, TData, TError> = DataSource<
-    QueryDataSourceContext,
-    TParams,
-    TRequest,
-    TResponse,
-    TData,
-    TError,
-    InfiniteQueryObserverExtendedOptions<
-        TResponse,
-        TError,
-        InfiniteData<ActualData<TData, TResponse>, Partial<TRequest>>,
-        TResponse,
-        DataSourceKey,
-        Partial<TRequest>
-    >,
-    ResultWrapper<
-        InfiniteQueryObserverResult<
-            InfiniteData<ActualData<TData, TResponse>, Partial<TRequest>>,
-            TError
-        >,
+export type InfiniteQueryDataSource<TParams, TRequest, TResponse, TData, TError, TErrorResponse> =
+    DataSource<
+        QueryDataSourceContext,
+        TParams,
         TRequest,
         TResponse,
         TData,
-        TError
-    >,
-    QueryFunctionContext<DataSourceKey, Partial<TRequest>>
-> & {
-    type: 'infinite';
-    next: (lastPage: TResponse, allPages: TResponse[]) => Partial<TRequest> | null | undefined;
-    prev?: (firstPage: TResponse, allPages: TResponse[]) => Partial<TRequest> | null | undefined;
-};
+        TError,
+        TErrorResponse,
+        InfiniteQueryObserverExtendedOptions<
+            ActualResponse<TResponse, TErrorResponse>,
+            TError,
+            InfiniteData<ActualData<TResponse, TErrorResponse, TData>, Partial<TRequest>>,
+            ActualResponse<TResponse, TErrorResponse>,
+            DataSourceKey,
+            Partial<TRequest>
+        >,
+        ResultWrapper<
+            InfiniteQueryObserverResult<
+                InfiniteData<ActualData<TResponse, TErrorResponse, TData>, Partial<TRequest>>,
+                TError
+            >,
+            TRequest,
+            TResponse,
+            TData,
+            TError,
+            TErrorResponse
+        >,
+        QueryFunctionContext<DataSourceKey, Partial<TRequest>>
+    > & {
+        type: 'infinite';
+        next: (
+            lastPage: ActualResponse<TResponse, TErrorResponse>,
+            allPages: ActualResponse<TResponse, TErrorResponse>[],
+        ) => Partial<TRequest> | null | undefined;
+        prev?: (
+            firstPage: ActualResponse<TResponse, TErrorResponse>,
+            allPages: ActualResponse<TResponse, TErrorResponse>[],
+        ) => Partial<TRequest> | null | undefined;
+    };
 
 // eslint-disable-next-line @typescript-eslint/no-explicit-any
-export type AnyInfiniteQueryDataSource = InfiniteQueryDataSource<any, any, any, any, any>;
+export type AnyInfiniteQueryDataSource = InfiniteQueryDataSource<any, any, any, any, any, any>;
 
 // It is used instead of `Partial<DataSourceRequest<TDataSource>>` because TS can't calculate type
 // eslint-disable-next-line @typescript-eslint/no-explicit-any
 export type AnyPageParam = Partial<any>;
 
-type ResultWrapper<TResult, TRequest, TResponse, TData, TError> =
+type ResultWrapper<TResult, TRequest, TResponse, TData, TError, TErrorResponse> =
     TResult extends InfiniteQueryObserverResult<
-        InfiniteData<ActualData<TData, TResponse>, Partial<TRequest>>,
+        InfiniteData<ActualData<TResponse, TErrorResponse, TData>, Partial<TRequest>>,
         TError
     >
         ? Overwrite<
               TResult,
               {
                   status: DataLoaderStatus;
-                  data: Array<FlatArray<Array<ActualData<TData, TResponse>>, 1>>;
+                  data: Array<FlatArray<Array<ActualData<TResponse, TErrorResponse, TData>>, 1>>;
               }
           > & {
               originalStatus: TResult['status'];
diff --git a/src/react-query/impl/infinite/utils.ts b/src/react-query/impl/infinite/utils.ts
index f0b0163..93d08d8 100644
--- a/src/react-query/impl/infinite/utils.ts
+++ b/src/react-query/impl/infinite/utils.ts
@@ -11,6 +11,7 @@ import type {
     DataSourceParams,
     DataSourceResponse,
 } from '../../../core';
+import {formatNullableValue, parseNullableValue} from '../utils';
 
 import type {
     AnyInfiniteQueryDataSource,
@@ -33,23 +34,35 @@ export const composeOptions = <TDataSource extends AnyInfiniteQueryDataSource>(
     DataSourceKey,
     AnyPageParam
 > => {
-    const {transformParams, transformResponse, next, prev} = dataSource;
+    const {transformParams, transformError, transformResponse, next, prev} = dataSource;
 
-    const queryFn = (
+    const queryFn = async (
         fetchContext: QueryFunctionContext<DataSourceKey, AnyPageParam>,
-    ): DataSourceResponse<TDataSource> | Promise<DataSourceResponse<TDataSource>> => {
+    ): Promise<DataSourceResponse<TDataSource>> => {
         const request = transformParams ? transformParams(params) : params;
         const paginatedRequest = {...request, ...fetchContext.pageParam};
 
-        return dataSource.fetch(context, fetchContext, paginatedRequest);
+        try {
+            const fetchResult = await dataSource.fetch(context, fetchContext, paginatedRequest);
+
+            return formatNullableValue(fetchResult);
+        } catch (error) {
+            if (!transformError) throw error;
+
+            return formatNullableValue(transformError(error));
+        }
+    };
+
+    const innerTransform = (response: any): any => {
+        const actualResponse = parseNullableValue(response);
+
+        return transformResponse ? transformResponse(actualResponse) : actualResponse;
     };
 
     return {
         queryKey: composeFullKey(dataSource, params),
         queryFn: params === idle ? skipToken : queryFn,
-        select: transformResponse
-            ? (data) => ({...data, pages: data.pages.map(transformResponse)})
-            : undefined,
+        select: (data) => ({...data, pages: data.pages.map(innerTransform)}),
         initialPageParam: EMPTY_OBJECT,
         getNextPageParam: next,
         getPreviousPageParam: prev,
diff --git a/src/react-query/impl/plain/factory.ts b/src/react-query/impl/plain/factory.ts
index 44254a6..15547d8 100644
--- a/src/react-query/impl/plain/factory.ts
+++ b/src/react-query/impl/plain/factory.ts
@@ -1,8 +1,18 @@
 import type {PlainQueryDataSource} from './types';
 
-export const makePlainQueryDataSource = <TParams, TRequest, TResponse, TData, TError>(
-    config: Omit<PlainQueryDataSource<TParams, TRequest, TResponse, TData, TError>, 'type'>,
-): PlainQueryDataSource<TParams, TRequest, TResponse, TData, TError> => ({
+export const makePlainQueryDataSource = <
+    TParams,
+    TRequest,
+    TResponse,
+    TData,
+    TError,
+    TErrorResponse,
+>(
+    config: Omit<
+        PlainQueryDataSource<TParams, TRequest, TResponse, TData, TError, TErrorResponse>,
+        'type'
+    >,
+): PlainQueryDataSource<TParams, TRequest, TResponse, TData, TError, TErrorResponse> => ({
     ...config,
     type: 'plain',
 });
diff --git a/src/react-query/impl/plain/types.ts b/src/react-query/impl/plain/types.ts
index 3c9b8a8..98fee34 100644
--- a/src/react-query/impl/plain/types.ts
+++ b/src/react-query/impl/plain/types.ts
@@ -7,7 +7,13 @@ import type {
 } from '@tanstack/react-query';
 import type {Overwrite} from 'utility-types';
 
-import type {ActualData, DataLoaderStatus, DataSource, DataSourceKey} from '../../../core';
+import type {
+    ActualData,
+    ActualResponse,
+    DataLoaderStatus,
+    DataSource,
+    DataSourceKey,
+} from '../../../core';
 import type {QueryDataSourceContext} from '../../types/base';
 import type {QueryDataAdditionalOptions} from '../../types/options';
 
@@ -23,35 +29,38 @@ export type QueryObserverExtendedOptions<
     QueryDataAdditionalOptions<TQueryFnData, TError, TQueryData, TQueryKey>
 >;
 
-export type PlainQueryDataSource<TParams, TRequest, TResponse, TData, TError> = DataSource<
-    QueryDataSourceContext,
-    TParams,
-    TRequest,
-    TResponse,
-    TData,
-    TError,
-    QueryObserverExtendedOptions<
-        TResponse,
-        TError,
-        ActualData<TData, TResponse>,
-        TResponse,
-        DataSourceKey
-    >,
-    ResultWrapper<
-        QueryObserverResult<ActualData<TData, TResponse>, TError>,
+export type PlainQueryDataSource<TParams, TRequest, TResponse, TData, TError, TErrorResponse> =
+    DataSource<
+        QueryDataSourceContext,
+        TParams,
+        TRequest,
         TResponse,
         TData,
-        TError
-    >,
-    QueryFunctionContext<DataSourceKey>
-> & {
-    type: 'plain';
-};
+        TError,
+        TErrorResponse,
+        QueryObserverExtendedOptions<
+            ActualResponse<TResponse, TErrorResponse>,
+            TError,
+            ActualData<TResponse, TErrorResponse, TData>,
+            ActualResponse<TResponse, TErrorResponse>,
+            DataSourceKey
+        >,
+        ResultWrapper<
+            QueryObserverResult<ActualData<TResponse, TErrorResponse, TData>, TError>,
+            TResponse,
+            TData,
+            TError,
+            TErrorResponse
+        >,
+        QueryFunctionContext<DataSourceKey>
+    > & {
+        type: 'plain';
+    };
 
 // eslint-disable-next-line @typescript-eslint/no-explicit-any
-export type AnyPlainQueryDataSource = PlainQueryDataSource<any, any, any, any, any>;
+export type AnyPlainQueryDataSource = PlainQueryDataSource<any, any, any, any, any, any>;
 
-type ResultWrapper<TResult, TResponse, TData, TError> =
-    TResult extends QueryObserverResult<ActualData<TData, TResponse>, TError>
+type ResultWrapper<TResult, TResponse, TData, TError, TErrorResponse> =
+    TResult extends QueryObserverResult<ActualData<TResponse, TErrorResponse, TData>, TError>
         ? Overwrite<TResult, {status: DataLoaderStatus}> & {originalStatus: TResult['status']}
         : never;
diff --git a/src/react-query/impl/plain/utils.ts b/src/react-query/impl/plain/utils.ts
index a5c3b4e..7ece537 100644
--- a/src/react-query/impl/plain/utils.ts
+++ b/src/react-query/impl/plain/utils.ts
@@ -10,6 +10,7 @@ import type {
     DataSourceParams,
     DataSourceResponse,
 } from '../../../core';
+import {formatNullableValue, parseNullableValue} from '../utils';
 
 import type {AnyPlainQueryDataSource, QueryObserverExtendedOptions} from './types';
 
@@ -25,22 +26,36 @@ export const composeOptions = <TDataSource extends AnyPlainQueryDataSource>(
     DataSourceResponse<TDataSource>,
     DataSourceKey
 > => {
-    const {transformParams} = dataSource;
+    const {transformParams, transformError, transformResponse} = dataSource;
 
-    const queryFn = (
+    const queryFn = async (
         fetchContext: QueryFunctionContext<DataSourceKey>,
-    ): DataSourceResponse<TDataSource> | Promise<DataSourceResponse<TDataSource>> => {
-        return dataSource.fetch(
-            context,
-            fetchContext,
-            transformParams ? transformParams(params) : params,
-        );
+    ): Promise<DataSourceResponse<TDataSource>> => {
+        try {
+            const fetchResult = await dataSource.fetch(
+                context,
+                fetchContext,
+                transformParams ? transformParams(params) : params,
+            );
+
+            return formatNullableValue(fetchResult);
+        } catch (error) {
+            if (!transformError) throw error;
+
+            return formatNullableValue(transformError(error));
+        }
+    };
+
+    const innerTransform = (response: any): any => {
+        const actualResponse = parseNullableValue(response);
+
+        return transformResponse ? transformResponse(actualResponse) : actualResponse;
     };
 
     return {
         queryKey: composeFullKey(dataSource, params),
         queryFn: params === idle ? skipToken : queryFn,
-        select: dataSource.transformResponse,
+        select: innerTransform,
         ...dataSource.options,
         ...options,
     };
diff --git a/src/react-query/impl/utils.ts b/src/react-query/impl/utils.ts
new file mode 100644
index 0000000..290acdb
--- /dev/null
+++ b/src/react-query/impl/utils.ts
@@ -0,0 +1,16 @@
+const undefinedSymbol = Symbol('undefined');
+const nullSymbol = Symbol('null');
+
+export function parseNullableValue(value: any): any {
+    if (value === undefinedSymbol) return undefined;
+    if (value === nullSymbol) return null;
+
+    return value;
+}
+
+export function formatNullableValue(value: any): any {
+    if (value === undefined) return undefinedSymbol;
+    if (value === null) return nullSymbol;
+
+    return value;
+}