Millions of Dollars in Tax Refund Checks Are Getting Stolen

But these refunds delivered by mail have become a popular target for check fraud, according to a Treasury Department report last year. Those who elect to receive a paper check aren’t able to switch to direct deposit for that tax year in the event of lost or stolen refunds.  A technology fix is under way that would allow people to switch their preference on the IRS site, but the update is a few years away, said IRS Commissioner Danny Werfel.  “We strongly urge direct deposit,” said Werfel. “It’s the fastest and safest way for us to get taxpayers their refunds.”

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