I.2, IRS to Phase Out Paper Tax Refund Checks Starting September 30 (IR-2025-94)September 25, 2025

The IRS has announced that it will begin phasing out paper tax refund checks for individual taxpayers starting September 30, 2025, as directed by Executive Order 14247. The IRS has highlighted that paper refund checks are over 16 times more likely to be lost, stolen, or delayed compared to direct deposits. In contrast, taxpayers who file electronically and opt for direct deposit often receive their refunds in less than 21 days, while mailed checks can take six weeks or longer.

Although filing processes will remain unchanged, refunds will primarily be delivered through direct deposit or other secure digital methods. For individuals without access to a bank account, the IRS will provide alternatives such as prepaid debit cards, digital wallets, or limited exceptions. Taxpayers are encouraged to prepare early by updating their banking details or considering low-cost account options available through resources like FDIC: GetBanked and MyCreditUnion.gov. Additional guidance on the transition will be shared before the 2026 tax filing season begins.

Source: IR-2025-94