The End of Paper Tax Refund Checks Is Coming — What You Need to Know

If you’ve ever waited anxiously by the mailbox for a refund check, good news: those days are numbered. On September 30, 2025, the IRS (in coordination with the U.S. Treasury) will begin phasing out paper tax refund checks for individual taxpayers.

Why the change?

• Security risks: Paper checks are more than 16 times likelier to be lost, stolen, altered, or delayed compared to electronic payments.

• Faster payments: When you file electronically, choose direct deposit, and everything is in order, refunds typically arrive in less than 21 days. By contrast, paper refunds can take 6 weeks or more.

• Cost efficiency: The IRS can issue digital payments more efficiently and with lower overhead than dealing with checks.

What changes for taxpayers

• Filing stays the same: You’ll still use the same tax forms and procedures you always have.

• Most refunds go digital: The IRS will favor direct deposit or other secure electronic methods.

• Support for the unbanked: If you don’t have a bank account, alternative options like prepaid debit cards or digital wallets may be available.

• Time to prepare: Now’s a good moment to make sure you have current, accurate bank account details, or consider opening a low- or no-cost account.

How common is direct deposit now?

During the 2025 tax season, the IRS issued over 93.5 million refunds to individual filers — and about 93% of those (nearly 87 million) were via direct deposit. Only roughly 7% were still sent by check.

What’s next?

Further guidance and specifics will be released before the 2026 filing season, covering how to handle exceptions and alternative payment methods. Meanwhile, taxpayers should keep using current filing methods and stay tuned to IRS updates. IRS