An Executive Order signed on March 25, 2025, is set to phase out paper check disbursements and receipts at the Federal level as soon as practicable.
Here are the highlights:
- The IRS will no longer issue paper checks for most federal payments, effective September 30, 2025. This includes tax refund checks, Social Security Payments, Veteran’s Benefits, etc.
- The IRS will no longer accept mailed checks for tax estimated payments, extensions payments, or other tax balances due as soon as practicable.
- There are limited exceptions for hardships or cases involving national security. These exceptions will be granted at the discretion of the Treasury Department.
Steps to take now:
- Setup a direct deposit option.
- Select a secure electronic payment method such as IRS Direct Pay or EFTPS.
- Be aware of scams, use only official IRS and Treasury websites and resources when providing payment information.
- Monitor your electronic payments.
- Contact us at Hawkins Ash CPAs if you need help with EFTPS setup or have questions regarding online payment options.
- You may need EFTPS setup to make Form 1041 tax payments for a trust or estate income tax return.
Even though this is a federal order, consider using secure, electronic means for state payments as well.
MN: Make a Payment | Minnesota Department of Revenue
WI: DOR Make a Payment
We suggest making payments electronically as they are more secure than a paper check and you receive a confirmation of payment once made. More information can also be found at the additional resources we’ve created for Minnesota and Wisconsin.
The September 30, 2025, effective date is the current deadline in place, but it may get pushed back. However, this is a good opportunity to consider electronic payment options as the IRS continues to evolve and will eventually take away paper payment options.
If you have any questions or concerns, please don’t hesitate to reach out to your Hawkins Ash tax professional.
