In efforts to reduce costs, improve efficiency and minimize paper check fraud, the Treasury and the current administration have issued an executive order mandating that all payments including tax refunds must be made electronically beginning September 30, 2025. 

Key changes ahead for taxpayers

Beginning September 30, 2025:

• Paper checks are out- Tax refunds will arrive only through electronic methods and the IRS will no longer accept paper checks for tax payments.
• Every U.S. Treasury transaction, from IRS refunds to Social Security must be made electronically.

Are there any exceptions to the new rules?

At the discretion of the Treasury Secretary, certain payments could be waived from the electronic payment requirement. Some exceptions include:

• Individuals without access to banking or electronic payment systems
• Emergency situations (including disaster relief) where electronic payments are not practical/possible
• Certain national security or law enforcement related activities

You can request a waiver from the electronic filing requirement by contacting the IRS directly.

What should taxpayers do to prepare for this change?

At the discretion of the Treasury Secretary, certain payments could be waived from the electronic payment requirement. Some exceptions include:

• Individuals without access to banking or electronic payment systems
• Emergency situations (including disaster relief) where electronic payments are not practical/possible
• Certain national security or law enforcement related activities

You can request a waiver from the electronic filing requirement by contacting the IRS directly.

What should taxpayers do to prepare for this change?

Ahead of the September 30, 2025 implementation date, U.S. taxpayers should:

• Update your IRS account (or create one if you do not have an account) with accurate banking details. You can register here: https://www.irs.gov/payments
• Set up direct deposit for refunds through your tax software or tax preparer
• Use approved electronic payments (IRS Direct Pay, EFTPS or the IRS2GO app)
• Stop mailing paper checks after September 30th (unless you qualify for an exemption)

FAQs: New E-Filing Mandate

1. How will this impact my tax refunds? Refunds will only be issued electronically through methods like direct deposit, prepaid cards, or digital wallets. Paper refund checks will be discontinued.
2. Can I still pay my taxes by mailing a check? No. After September 30, 2025, paper checks will no longer be accepted for tax payments. Taxpayers must use an IRS-approved electronic payment method.
3. Are there any exceptions to this rule? Yes, exceptions may be granted for individuals without access to banking services, certain emergency or disaster situations, and specific national security or law enforcement needs. All exceptions require Treasury approval.
4. Does this only impact U.S. taxpayers? No. Foreign taxpayers paying U.S. income tax are also affected. They must use a U.S. bank account or a global account that supports ACH transfers, or IRS-approved international wire transfers like EFTPS with international access or SWIFT.