Required Electronic IRS Payments: What Changes Are Occurring—and How to Prepare

Understanding the IRS’s Move Towards Electronic Payments

The IRS is transitioning to electronic tax payments to enhance the efficiency with which taxpayers manage their finances. Starting on September 30, 2025, the issuance of paper refund checks for individuals will be gradually discontinued. Although traditional payment methods such as EFTPS, IRS Direct Pay, or paper checks remain available for the time being, adopting electronic payment methods sooner will facilitate faster, more secure, and easier tracking of your payments. Familiarizing yourself with online tax payment processes now can save time and avert possible delays when paper checks are no longer an option. Additionally, establishing IRS direct deposit for refunds ensures that you receive your funds promptly and securely. Official information can be accessed in the IRS news release and Executive Order 14247.

What’s Changing—and When

1. Digital-First Approach for Refunds (September 30, 2025)
The majority of paper refund checks will be substituted with direct deposit or alternative secure electronic payment options. A limited number of exceptions will persist, and the IRS will issue guidance for the 2025 tax returns prior to the 2026 filing season.

2. Incoming Payments Transition Following
The Executive Order released on March 25, 2025 mandates that federal agencies, including the IRS, shift all payments and collections to electronic methods wherever legally permissible. Although existing payment options will remain accessible for the time being, it is prudent to begin preparations now for a completely digital system.

How to Pay the IRS Electronically

Here is a brief overview of your primary choices:

1. EFTPS (Electronic Federal Tax Payment System): This option is perfect for businesses, trusts, estates, and frequent taxpayers. It allows you to easily schedule and track your payments, but keep in mind that enrollment can take a few days, so it’s best to set it up in advance.
2. IRS Direct Pay: This method is fast, free, and ideal for individuals. You can pay directly from your checking or savings account without needing to create an account or log in.
3. Electronic Funds Withdrawal (EFW): This option lets you authorize a direct debit from your bank account when e-filing your tax return or filing an extension.
4. Other Options: The IRS also allows taxpayers to pay taxes online using select credit or debit cards and certain digital wallets through approved processors. While processing fees may apply, this gives you another convenient IRS electronic tax payment option.

Paper Checks Are Still an Option… For Now

While paper checks remain valid, they won’t be around forever. Planning now to switch to electronic methods will save you headaches later. You can see all available options on the IRS payment page.

Access Challenges & Exceptions

Not everyone has a bank account, but options like prepaid cards or digital wallets exist. The FDIC’s GetBanked program can help find affordable solutions.

Steps to Take: Get Ready Today

1. Businesses, estates, trusts, and frequent filers: enroll in EFTPS early.
2. Individuals should use IRS Direct Pay for one-time tax payments.
3. Provide direct deposit details on your return to receive refunds faster.
4. Update your banking info now to avoid delays during tax season.
5. Follow IRS guidance for upcoming required electronic payment changes.

Stay safe—IRS will never email or text for payment info. Report scams to phishing@irs.gov.