IRS Refunds Will Be Direct Deposit Only Starting September 30, 2025

We want to make you aware of an important change from the IRS that may affect how you receive your tax refund.

Effective September 30, 2025, the IRS will no longer issue paper checks for tax refunds. This change is part of Executive Order 14247, which mandates that all federal payments and collections be processed electronically. This includes IRS refunds, tax payments, and other disbursements.

What This Means for You

• Refunds will only be issued via direct deposit, prepaid debit cards, mobile payment app, or other approved electronic methods.
• Paper checks will be discontinued, except in limited cases such as:
  • Individuals without access to banking services
  • Emergency or hardship situations
• Tax payments should be made electronically if possible, although we believe the IRS will continue to accept payments via check for the time being. 

Action Required

To ensure timely receipt of your refund:

• Provide your bank account information when filing your tax return.
• Update your IRS online account with current banking details if needed: https://www.irs.gov/payments

Why This Change is Happening

The move to electronic payments is designed to:

• Reduce fraud and theft associated with paper checks
• Speed up refund delivery
• Lower processing costs for the federal government

Need Help?

Our team is here to assist you with updating your payment preferences and ensuring a smooth transition.  Please contact your Yeo & Yeo tax professional for assistance.