Tax Tip #297

As tax returns are processed, taxpayers may either receive refunds or be responsible for any balances due. The IRS has recently issued a number of CP53E notices that may cause confusion for taxpayers. These notices reference “missing direct deposit information,” even in cases where a tax return reflects a balance due rather than a refund.

This is an IRS system-generated message tied to missing banking information, not the taxpayer’s actual outcome. 

Some notes: 

• The CP53E notice is legitimate, not a scam, despite the notice having a QR code.
• The IRS is eliminating refund checks and might be a reason this notice was inadvertently sent to many taxpayers in error.
• If Goldstein & Loggia is preparing your tax return and you have not provided your bank account & routing number, it is in your best interest to do so. This will help reduce delays in refunds going forward. 
• Action is not needed.
  

Proactive taxpayers can log in to their IRS online accounts and enter their direct deposit or withdrawal information. Note that taxpayers have 30 days to update or add bank account information upon receiving a notice.

Here is an example of the notice: