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IR-2014-37: IRS Reminds Taxpayers about Direct Deposit and Split Refunds

WASHINGTON — For 57 million Americans, the refund check is no longer in the mail; it’s already in the bank.

So far this year, the Internal Revenue Service has issued direct-deposit refunds valued at more than $170 billion, as a growing number of taxpayers are choosing the speed and convenience of direct deposit, rather than receiving a paper check. So far this year, almost 85 percent of all refunds have been directly deposited into taxpayers’ bank accounts.

Taxpayers can have their refunds directly deposited when they e-file or by including their account information on their paper tax return..

Banks, mutual funds, brokerage firms and credit unions are all eligible to receive direct deposits. Before making this choice, however, taxpayers should make sure the financial institution accepts direct deposits for the type of account chosen.

Taxpayers also have the option and flexibility of splitting refund deposits among two or three different accounts or financial institutions. For instance, a refund could be split between a savings account, a checking account or an Individual Retirement Arrangement (IRA). Taxpayers can split their refunds when they e-file or by filing Form 8888, Direct Deposit of Refund to More Than One Account.

A taxpayer’s refund should only be deposited directly into accounts that are in the taxpayer’s own name; the taxpayer’s spouse’s name or both if it’s a joint account.

Those who choose direct deposit get their refunds at least a week sooner, and direct deposit eliminates the chance of a lost, stolen or undeliverable refund.

[The filing season statistics table follows.]

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2014 FILING SEASON STATISTICS

Cumulative statistics comparing 3/22/13 and 3/21/14

Individual Income Tax Returns:

2013

2014

% Change

Total Receipts

82,413,000

82,852,000

0.5

Total Processed

77,102,000

81,149,000

5.2

E-filing Receipts:

TOTAL

74,420,000

75,610,000

1.6

Tax Professionals

44,524,000

43,953,000

-1.3

Self-prepared

29,896,000

31,657,000

5.9

Web Usage:

Visits to IRS.gov

234,237,695

209,074,699

-10.7

Total Refunds:

Number

66,429,000

67,383,000

1.4

Amount

$187.788

Billion

$193.543

Billion

3.1

Average refund

$2,827

$2,872

1.6

Direct Deposit Refunds:

Number

56,985,000

57,101,000

0.2

Amount

$170.127

Billion

$170.187

Billion

0.04

Average refund

$2,985

$2,980

-0.2

IRS Tax Tip 2014-42: Get Connected to the IRS with Social Media

The tax deadline’s almost here. If you haven’t yet filed, you may think you need to rush to find what you need to file your tax return. However, a quick and easy method to get help is to use IRS social media. It’s a convenient way to get the tax information and tools you need to help you file your federal tax return.

Consider using these IRS social media tools to help you navigate the tax deadline.

  • IRS2Go.  IRS’s free mobile app gives you your refund status, tax news updates, IRS YouTube videos and lets you request your tax records. IRS2Go is available for the iPhone, iTouch or Android mobile devices.
  • YouTube.  IRS offers dozens of video tax tips on a variety of topics in English, Spanish and American Sign Language.
  • Twitter.  Tweets from @IRSnews provide tax-related announcements and daily tax tips. Tweets from @IRStaxpros offer news and guidance for tax professionals. Tweets from @IRSenEspanol have news and information in Spanish, The Taxpayer Advocate Service sends tweets from @YourVoiceAtIRS. @RecruitmentIRS provides updates for job seekers.
  • Podcasts.  IRS has short audio recordings that offer one tax-related topic per podcast. They are available through the Multimedia Center on the IRS website. Podcast transcripts are also available.
  • Tumblr.  Follow the IRS on Tumblr and never miss a post! IRS Tumblr is a microblogging platform where users can access IRS tax tips, videos and podcasts. The IRS uses Tumblr to share information about important programs. Access Tumblr from your browser, Smartphone, tablet or desktop.
  • Facebook.  IRS has four Facebook pages that provide news and information for taxpayers and tax return preparers. You can check the IRS pages to get updates on job openings or for tax assistance from the Taxpayer Advocate Service.

Protecting your privacy is a top priority at the IRS. The IRS uses social media tools to share public information, not to answer personal tax or account questions. You should never post your Social Security number or any other confidential information on social media sites.

Get connected and stay connected to the IRS with social media.