Drake Tax - Refund Disbursement: Paper Check
Article #: 18888
Last Updated: December 09, 2025
Executive Order 14247 mandates the transition to electronic payments and phases out disbursements by paper-check. In accordance with this order, the IRS began phasing out paper-checks on September 30, 2025. See the news alert IR-2025-94 for details.
The IRS provides several options for taxpayers at IRS.gov/modernpayments.
In a 1040 return, EF Message 1117 is produced when no bank information has been entered on screen DD, and when a bank product screen has not been completed.
If banking information is not available, and the taxpayer has requested a paper check, mark the box Paper Check on the DD screen. This will produce a DD Statement in View/Print mode so that you can document that the taxpayer acknowledges the effect of the selection.
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When a taxpayer does not provide direct deposit information, the refund is delayed for at least six (6) weeks.
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The IRS will also send a notice to the taxpayer that informs them of this delay and provides alternative ways that they can choose to receive their refund in the future.
In the other return types, a NOTE will generate informing the taxpayer that they will experience delays if they do not provide direct deposit information for an expected refund.
Tip If you do not wish to use the DD Statement, you can change the number of copies printed to zero by going to Setup > Pricing > Number 508.
This change does not currently have any impact on returns filed through Drake Tax 2024 or prior. Direct deposit and disbursement via paper-check remain available.