The bank account that I used for my prior year's income tax refund has been closed. I received information from turbo tax asking me to verify my new bank account. I provided them with the information and my 2nd stimulus was sent to the new account.
I received an email stating my 2021 stimulus will be sent to the new bank account provided for my second stimulus. The stimulus was sent to the closed account. Will the IRS receive updated information from Turbotax or will they mail out a check this time?
If a stimulus payment goes to the wrong account, the bank witll send it back to the IRS and the IRS will send a paper check to your address on file.
To change your bank information for stimulus checks, go the the Get My Payment site and check what account is there. You can change it if needed for any future stimulus payments.
We have seen instances where the IRS sends checks, direct deposits, and even debit cards unexpectedly. The best advice that we can offer is to update your information with them directly. Here is information:
Regarding the address,
A taxpayer's “last known address” is defined in Treas. Reg. § 301.6212-2(a) as the address on the taxpayer's most recently filed and properly processed return, unless the Service has been given clear and concise notification of a different address. It is possible after filing a tax return to notify the IRS of the change by mailing Form 8822. Here is an IRS link with more information.
The bank account is updated in the same way. It will use the last known bank account but you can change it after you file. This may be important because there is a possibility that there could be a third stimulus on the way in 2021 although we do not have information about it at the current time. Here is information about how to tell the IRS about your direct deposit if you wish to change it.