Paper Refund Checks May Take Longer This Year

The IRS is using a new process that temporarily pauses the refund and asks taxpayers to confirm or update their bank details.

If you are expecting a tax refund and normally receive it by direct deposit, you may want to watch your mail carefully this year.

The IRS has sent approximately 830,000 CP53E notices to taxpayers whose refunds could not be deposited because the agency does not have valid banking information on file. Instead of automatically mailing a paper check, the IRS is using a new process that temporarily pauses the refund and asks taxpayers to confirm or update their bank details.

This change means some refunds may take longer to arrive if action is not taken quickly.

Why the IRS is sending CP53E notices

When the IRS cannot complete a direct deposit, it needs to verify where the refund should be sent. In the past, the agency often issued a paper check automatically. Under the updated process, the IRS first gives taxpayers an opportunity to correct their banking information.

To do this, the IRS mails a CP53E notice explaining that the refund is being held until updated bank details are provided.

The goal of this step is to reduce errors and give taxpayers another chance to receive their refund electronically rather than waiting for a paper check.

What taxpayers are asked to do

If you receive a CP53E notice, the IRS is asking you to log in to your IRS Online Account and provide or update your banking information.

You generally have about 30 days from the date of the notice to respond. During that time, you can enter the correct routing number and account number so the refund can still be issued through direct deposit.

Updating the information quickly can help prevent unnecessary delays.

What happens if no action is taken

If the IRS does not receive updated banking information within the response window, the agency will eventually release the refund as a paper check.

However, that process typically requires additional processing time. Once the IRS switches to a paper check, the refund may take several more weeks to arrive.

In some cases, the total delay could reach up to 12 weeks before the check is issued and delivered.

How to avoid refund delays

If you receive a CP53E notice, it is important to respond promptly.

Recommended steps include:

• Carefully review the notice

• Log in to your IRS Online Account

• Enter or correct your bank routing and account numbers

• Submit the information within the 30-day response window

Taking action quickly increases the chances that your refund will still be issued by direct deposit instead of a paper check.

Final note

Many taxpayers expect refunds to arrive within a few weeks of filing. When direct deposit fails and the IRS must verify banking information, the timeline can become significantly longer.

Monitoring your mail and responding promptly to IRS notices can help minimize delays.

Paper Refund Checks May Take Longer This Year