Other financial discussions


@Zayden09 wrote:

I guess I just wanted to know if there is any chance they are sending it to our cards at this point if we had fees taken out.


Since you selected to have the TurboTax account fees paid from the federal tax refund, the IRS sent your tax refund to the third party processor, Santa Barbara Tax Products Group.  The processor has a temporary account sent up to receive your tax refund.  The processor deducts the TurobTax account fees and their service charge, then direct deposits the remainder of your tax refund into the debit card account you chose.  Once the tax refund is deposited, the processor deletes the temporary account.

So now the IRS does not have the correct direct deposit account for your stimulus payment.  If they try to deposit the payment to the temporary account it will be rejected since the account no longer exists.  The IRS will then mail the stimulus as a check to the address on your federal tax return.

 

A similar example is when the federal tax return is filed for a tax refund with Direct Deposit to a bank account , not a debit card and not having fees paid from the refund, but the account number for the direct deposit is incorrect.  The federal tax refund is rejected by the bank and the IRS then sends the federal tax refund as a check to the address on the tax return.  For the stimulus payment, the IRS would also send the payment as a check to the address on the tax return.

This is exactly what happened when I filed my granddaughter's tax return.  She received her federal refund as a check.  And her stimulus payment is being sent as a check with a mailing date of April 24, 2020