IRS Tax Tip 2020-26, February 27, 2020
With the filing season just around the corner, taxpayers should be aware of the benefits of using direct deposit for refunds. It's easy, secure and the fastest way to get a tax refund.
Here are 10 quick facts about direct deposit.
- It's the best and fastest way for taxpayers to get their tax refund.
- It's free.
- It's secure.
- Taxpayers can deposit their refund into not only one, but also two or three accounts.
- Combining direct deposit with IRS e-file is the fastest way for taxpayers to receive their refund.
- When using direct deposit, there's no risk of having a paper check stolen or lost.
- The IRS uses the same system to deposit tax refunds that Social Security and Veterans Affairs use to deposit benefits into millions of accounts.
- It's easy. Just follow the instructions in the tax software or on the tax form.
- Taxpayers can use direct deposit even if they are filing by paper.
- Direct deposit saves taxpayers money. It costs the IRS more than $1 for every paper refund check issued, but only a dime for each direct deposit made.