IRS Paper Check Deadline Is Coming – Are You Ready FAQs and More [VIDEO]

Starting September 30, 2025, the IRS will stop issuing paper check refunds and will no longer accept paper checks for tax payments. If you have questions about how this impacts you or your clients, you’re not alone. 

Here are answers to the most frequently asked questions as we prepare for this major change. 

I already use direct deposit. Do I need to do anything? 

Nope!
If you’ve already set up direct deposit and your bank information is still current, you don’t need to take any further action. Your refunds will continue to be deposited directly into your account. 

I’ve always received my refund by paper check. What should I do now? 

You’ll need to provide your bank account and routing number when you file your next return to receive your refund electronically. 

If you file your taxes electronically, there’s a section for entering direct deposit information. If you work with a tax preparer, let them know you want to switch to direct deposit and have your bank info ready. 

What are the benefits of using direct deposit? 

• Faster refunds. Often processed in 21 days or less.
• Safer delivery. No risk of checks being lost, stolen, or delayed in the mail.
• More secure. Direct deposit reduces the risk of fraud and identity theft.
• Environmentally friendly. Less paper waste. 

What questions do tax preparers still have about the transition? 

Tax professionals are awaiting clarification from the IRS and Treasury on: 

• How exceptions will be handled for unbanked individuals.
• Whether any special filing codes will be used for clients who can’t access digital payments.
• How to manage clients with outdated or invalid bank info.
• Whether temporary banking services (like prepaid debit cards) will qualify 

Updates are expected in the coming months.

What if a check was issued in error in the past – will I still be protected? 

In the past, if you received a paper check in error and didn’t cash it, you could usually return it without penalty or interest. 

With the move to electronic payments, it’s not yet clear whether similar forgiveness will apply to direct deposit errors. It’s especially important now to keep your bank info updated and check IRS notices promptly. 

The IRS says they sent my refund, but I didn’t receive it. What should I do? 

You can request a payment trace by submitting Form 3911, “Taxpayer Statement Regarding Refund.” You can find the form at irs.gov/forms and submit it according to the instructions provided. 

If the refund was sent to the wrong account or never arrived, the IRS will investigate and reissue the payment if appropriate. 

I received an IRS refund, but it’s not mine. What should I do? 

Don’t spend it.
Receiving a refund that doesn’t belong to you could be a sign of: 

• An IRS error
• Identity theft
• A return filed using your information by mistake 

Return the funds and contact the IRS immediately. Instructions for returning erroneous refunds by direct deposit or check are available on the IRS “Refund” page. 

Key Points to Remember 

• Start the transition now. Don’t wait until the September 30 deadline.
• Double-check your bank info every time you file.
• Use trusted platforms like IRS Direct Pay or EFTPS for any tax payments. 

Reach out to a tax professional if you’re unsure how to proceed. 

More Resources 

• IRS to Stop Accepting Paper Checks: Here’s How to Prepare