However the query returns the taxonomy id which is fine, but I’d like it to return the actual taxonomy name with in the WordPress form administration entries area.
Could someone point me to the documentation on how to do this or a code snippet or something similar on the forums would be great, I am not looking for any additional plugins to do this work.
It sounds like this is working for you with the taxonomy ID in the form, but when you view the entries in the dashboard, you would like to see the actual taxonomy name rather than the taxonomy ID. Is that correct? Or are you looking for something different.
If you mean the notification email, no, that filter if for the entry list, not for notifications. You can use the gform_merge_tag_filter to modify the values before that information is sent in the email: