Paper Checks to Be Discontinued for Federal Tax Refunds and Payments

In compliance with an executive order from the President, the IRS will no longer issue tax refunds by paper check after Sept. 30, 2025.

Clients are advised to provide Boyum Barenscheer with current direct deposit information for receipt of refunds.  The firm will request this in the 2025 Organizer to be provided in January 2026.  If your 2024 return was extended and is not yet filed, ensure your CPA has your correct direct deposit information now.

The executive order further directs the IRS to discontinue accepting paper checks for federal tax payments as soon as practicable.

Clients are advised to use Direct Pay Direct Pay with bank account | Internal Revenue Service to pay federal balances due and federal estimated payments.  IRS Direct Pay is free and secure.  The IRS Direct Pay help page Direct Pay help | Internal Revenue Service provides a “How do I…” guide for users.

The executive order allows for limited exceptions when paper checks still may be necessary.  Guidance on how to apply for exceptions is expected.

We also encourage our clients to set up online accounts with the IRS.  The agency has improved their online account capabilities.  The online account can be set up here https://www.irs.gov/your-account  You can use your account to check your refund status, request or retrieve your identity protection PIN, receive IRS notices, respond to some IRS notices, view your estimated tax payments, get transcripts, and, if necessary, we can use it to get a power of attorney in place to help resolve any IRS issues.

The discontinuation of paper checks for federal tax refunds and payments will lead to higher security and more efficiency for you.  Please contact your Boyum Barenscheer CPA with any questions.