A recent change in how the IRS issues refunds could create unexpected delays for taxpayers expecting a refund in 2026.

As part of a broader federal transition away from paper checks, the IRS stopped issuing most paper refund checks effective September 30, 2025. Going forward, taxpayers are expected to receive refunds electronically through direct deposit or another approved payment method.

For taxpayers whose 2025 returns were filed without direct deposit information, the IRS has begun issuing Notice CP53E. This notice is sent when the IRS is unable to electronically deliver a refund because banking information was not included on the return. This notice will only be sent once.

Taxpayers receiving Notice CP53E generally have 30 days to provide bank account information through their IRS online account. If no action is taken within that timeframe, the IRS will issue a paper check six-weeks from the date of the notice. As a result, refunds that might otherwise be received within a few weeks could be delayed for more than two months.

For clients expecting a refund, please make sure your bank direct deposit information is up to date, and watch for IRS correspondence and respond quickly if a CP53E notice arrives.

The IRS has indicated that filing procedures are not changing, and taxpayers can continue filing returns as they have in the past. However, direct deposit information will now be more important than ever in avoiding refund delays.

For more information about Notice CP53E, visit Understanding Your CP53E Notice.

The IRS granted additional time to those affected by the California wildfires to file individual and business tax returns and make payments. The new deadline for payments and filing various federal individual and business tax returns will be October 15, 2025.  

The Franchise Tax Board followed the IRS announcement granting the same postponement to October 15, 2025, for 2024 California tax returns and any tax payments due during the window from January 7, 2025, through October 15, 2025.

This tax relief will apply to deadlines falling in this period between January 7 through October 15 including:

The affected areas that qualify for tax relief include those living or having a business in Los Angeles County (DR-4856-CA). For updates on locations included in the tax relief, please consult the IRS website.

Affected taxpayers with a casualty loss in a federally declared disaster area may have the option to claim the disaster-related losses on their federal income tax return for either the year the event occurred or the prior year, allowing the refund payment to be made sooner.

If you have any questions, please consult your tax services provider for details about your situation.

The IRS has postponed tax deadlines for one additional month to November 16, 2023. The deadline adjustment was made for 55 of the 58 counties in California affected by the Storms earlier in the year. The only counties not included are Lassen, Modoc, and Shasta. The extra time has been granted automatically, so no additional forms are required.

For the full list of returns and payments that qualify for the postponement, please read the IRS announcement – For California storm victims, IRS postpones tax-filing and tax-payment deadline to Nov. 16 | Internal Revenue Service. The Franchise Tax Board has not announced a postponement but under their tax relief for disasters information on their website, “California generally follows the IRS extended deadlines to file and pay taxes.”

If you have questions, consult your tax preparation services provider for details about your situation.

The IRS recently granted additional time to those affected by recent storms in California to file individual and business tax returns and make payments. This postponement allows storm victims until May 15, 2023 to file their tax returns and make tax payments, helping them stay on top of their tax compliance obligations despite the hardships they have faced due to the storms.

The affected areas that qualify for the tax relief include Alameda, Colusa, Contra Costa, El Dorado, Fresno, Glenn, Humboldt, Kings, Lake, Los Angeles, Madera, Marin, Mariposa, Mendocino, Merced, Mono, Monterey, Napa, Orange, Placer, Riverside, Sacramento, San Benito, San Bernardino, San Diego, San Francisco, San Joaquin, San Luis Obispo, San Mateo, Santa Barbara, Santa Clara, Santa Cruz, Solano, Sonoma, Stanislaus, Sutter, Tehama, Tulare, Ventura, Yolo, and Yuba counties. The current list of locations included in this Tax relief can be found here https://www.irs.gov/newsroom/tax-relief-in-disaster-situations on the IRS.gov site. Any tax filing or payment deadline since January 8, 2023, has been postponed until May 15, 2023.

The Franchise Tax Board just announced that California returns, and payment due dates will also be extended to May 15. The IRS is automatically applying tax relief based on your address of record. Please notify your tax advisor if you receive a penalty notice from the IRS for late filing or payment for a due date falling within the postponement period (January 8, 2023 – May 15, 2023).

If you have questions, consult your tax preparation services provider for details about your situation.

Here are some of the key tax-related deadlines affecting businesses and other employers during the first quarter of 2021. Keep in mind that this list isn’t all-inclusive, so there may be additional deadlines that apply to you. Contact us to ensure you’re meeting all applicable deadlines and to learn more about the filing requirements.

(The usual deadline of January 31 is a Sunday)

(The usual deadline of February 28 is a Sunday)

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