Faster Refunds through Direct Deposit
Reviewed and adapted with special permission from the IRS by: Brenda Procter, M.S., State Specialist & Instructor Personal Financial Planning, University of Missouri Extension
Want a faster refund? According to the IRS, more and more taxpayers are choosing direct deposit as the way to get their federal tax refunds. The payment is more secure — there is no check to get lost. (Each year thousands of refund checks are returned by the US Post Office to the IRS as undeliverable mail.) And, it’s more convenient — no special trip to the bank to deposit a check. To request direct deposit, follow the instructions for “Refund” on your tax return.
The IRS says that more than 59 million people had their tax refunds deposited directly into their bank accounts in 2005. Choosing direct deposit is the best way to guard against having a tax refund misplaced or stolen.
A word of caution — some financial institutions do not allow a joint refund to be deposited into an individual account. Check with your bank or other financial institution to make sure your direct deposit will be accepted. Also, make sure you have the correct nine digit routing number and your correct account number when selecting direct deposit.
For more information about direct deposit of your tax refund, check the instructions for your tax form. This and other helpful tips are available in IRS Publication 17, Your Federal Income Tax (PDF 2,085K). Download a copy or call toll free 1-800-TAX-FORM (1-800-829-3676) to order your free copy.
Source: IRS Tax Tip 2005-20
Last update: Tuesday, May 05, 2009