As the 2026 US tax season gets underway, the Internal Revenue Service (IRS) has issued an alert urging taxpayers to provide accurate bank account information on their returns to avoid potential delays in receiving their refunds.
The IRS Taxpayer Advocate Service has warned that missing or incorrect direct deposit details could result in a refund being temporarily held until corrected.
What can happen if you provide incorrect bank information?
Under the IRS’ system, if a taxpayer fails to include valid bank account and routing numbers, the agency will place a freeze on the refund until the taxpayer provides the necessary information.
In such cases, the IRS will send a CP53E notice, which would instruct the taxpayer to update their banking information through their IRS online account within 30 days.
If the taxpayer misses this deadline, the IRS will eventually mail a paper cheque, but only after a delay of roughly six weeks.
Direct deposits are preferred
Direct deposit remains the fastest and most reliable way for taxpayers to receive their refunds, often within about three weeks after the IRS accepts an electronically filed return.
The IRS continues to emphasise electronic payments over paper cheques because they are more efficient and less prone to loss or theft.
Many government payments, including tax refunds and Social Security benefits, are shifting to electronic methods under policies aimed at modernising federal disbursements, according to taxpolicycenter.org
This tax season also marks a significant reduction in the use of paper refund checks, following new IRS guidance and changes to federal payment procedures.
Taxpayers who don’t provide bank details or whose direct deposits are rejected by their financial institution may still receive their refunds, but only after additional steps are taken, such as updating account information or requesting an exception.
To avoid refund delays, the IRS recommends that taxpayers triple‑check their direct deposit information when they file, ensure all personal and dependent data is accurate, and use electronic filing with direct deposit whenever possible.
Taxpayers without bank accounts can request a paper cheque through their IRS online account, but should be aware of the longer processing times involved, according to irs.gov