As long as you haven't filed yet (or you e-filed but got rejected), you can simply step through the File section again to update your bank information. Once your return has been accepted (or mailed), it's too late to change your bank account in TurboTax for direct deposit.
If your return has not been filed or you e-filed but got rejected:
- Once you sign into your return, Click the File section, click Revisit in the Step 2 section.
- On the How would you like to get your federal refund? screen, In my Bank should be selected. Click Continue.
You will be able to update your account number on the next screen, Let's get your bank account info.
If you want to change or edit the banking information that is shown,
- Make sure that the box stating "I want my refund deposited into this account" is unchecked.
- Scroll down to the bottom of the page and select Continue.
- You will be taken to a new screen titled, "Let's get your bank account info".
- This will allow you to enter the new or updated banking information that is to be used for your 2016 direct deposit.
If you return has already been accepted , the IRS provides the following remedies:
- If the return hasn't already posted to their system, you can ask the IRS to stop the direct deposit. You may call them toll-free at 800-829-1040, M - F, 7 a.m. - 7 p.m.
- Generally, if the financial institution recovers the funds and returns them to the IRS, the IRS will send a paper refund check to your last known address on file with the IRS.
- If you have contacted the financial institution and two weeks have passed with no results, you will need to file Form 3911, Taxpayer Statement Regarding Refund, to initiate a trace. This allows the IRS to contact the bank on your behalf to attempt recovery of your refund. Banks are allowed up to 90 days from the date of the initial trace input to respond to our request for information.
- If funds aren't available or the bank refuses to return the funds, the IRS cannot compel the bank to do so. The case may then become a civil matter between you and the financial institution and/or the owner of the account into which the funds were deposited.