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March 23, 2026 | Posted in:

What Do Postmarks, Pennies, and Paper Checks Have to Do with Your Taxes? [VIDEO]

When it comes to tax season, most people focus on tax law changes. But sometimes, it’s the non-tax updates that can still impact how you file, pay, or receive money.

Here are three recent federal changes worth paying attention to:

1. USPS Postmarks: Timing Matters More Than Ever

If you’re mailing anything to the IRS, the postmark date has always been critical. It determines whether your documents are considered filed on time.

Now, that process is changing.

Postmarks will reflect the date your mail is first processed by an automated system, not necessarily the day you drop it off. With ongoing mail delays and processing changes, this creates more risk if you wait until the last minute.

What this means for you:

  • Mailing close to a deadline could result in a later postmark than expected
  • Your return or payment could be considered late, even if you mailed it on time

Opt for certified mail or, even better, file electronically whenever possible.

2. The Phaseout of the Penny

The penny isn’t disappearing overnight, but it is gradually being phased out of everyday use.

As this happens, cash transactions may begin rounding to the nearest five cents.

What this means for you:

  • Your taxable income won’t change
  • However, businesses that handle a high volume of cash transactions may notice small rounding differences in their books

While the impact is minor, it’s something business owners should be aware of when reconciling cash receipts.

3. The End of Paper Checks for Federal Payments

Starting September 30, 2025, the federal government will stop issuing paper checks for most payments.

This includes tax refunds.

The IRS, and the federal government as a whole, is continuing its shift toward electronic payments and direct deposit.

What this means for you:

  • Paper refund checks will largely be eliminated
  • Direct deposit will become the standard method for receiving refunds

Direct deposit is not only faster, but also more secure than waiting for a check in the mail.

The Bottom Line

These aren’t tax law changes, but they do affect how you interact with the tax system.

From mailing deadlines to payment methods and even small bookkeeping nuances, these updates can influence your overall tax experience.

When in doubt, it’s always best to check with your CPA before you file, send, or finalize anything.

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