In 2025, the federal government announced a shift in how Americans receive tax refunds and federal benefit payments. As tax filing deadlines approach, the IRS’s transition to electronic-only tax refund delivery will become evident for taxpayers who traditionally received their refunds by paper check. Preparing now is essential to avoid delays in receiving your electronic refund.

Get Your Tax Refund Through Direct Deposit

According to federal officials, Treasury checks are 16 times more likely to be lost, stolen, altered, or returned as undeliverable compared to electronic payments. Electronic transfers not only reduce these risks but also speed up the delivery of your refund compared to a paper check.

The IRS encourages all taxpayers to use direct deposit, the safest and fastest way to receive your refund. To receive your refund electronically, provide valid bank routing and account numbers when filing your return this tax season.

How the Change Will Affect You

Direct Deposit is Essential

For the upcoming tax filing season, taxpayers will need a U.S.-based bank or credit union account to receive their refunds electronically. Other methods, such as debit cards, may be available, but traditional paper checks will not be offered in most cases.

Incorrect bank account and/or routing information on your tax return will result in a delayed refund. For refunds unable to be deposited into a bank account, the IRS will issue a debit card and will mail to the address on the tax return.

Few Exceptions Exist

A small number of taxpayers may still be eligible to receive paper checks, including:

• International taxpayers
• Minors
• Individuals with certain religious exceptions
• Some decedent or estate‑related refunds

For nearly everyone else, electronic delivery will be the standard going forward.

Taxpayers Without Bank Accounts: Act Now

One of the biggest obstacles in this transition is the number of Americans who do not have a checking or savings account. Waiting too into tax season to take action may delay your refund significantly. If you do not have a bank account, begin exploring your options now. The IRS suggests the following options to consider:

• A government-issued debit card or supported bank card.
• Low-fee or no-fee bank accounts through FDIC‑backed programs, visit: FDIC.gov/GetBanked for resources.
• Credit union accounts with minimal barriers, visit: MyCreditUnion.gov for resources.

Additional waivers or conditions may exist. Check the IRS website or with your tax professional for the latest information.

Contact TRP Sumner