What is Notice CP53E about?
A recent Executive Order 14247 created changes in the direct deposit options you now have available for federal payments both to and from the IRS and other federal agencies. The purposes of this Order include defending against financial fraud, increasing efficiency, and decreasing costs. The new changes will allow individual taxpayers to provide the IRS with new or updated direct deposit account (or confirm bank account information you had previously used for direct deposit or direct debit with the IRS) to receive their tax refund via direct deposit.
You could receive a CP53E Notice when:
- Your tax return shows a refund, but the bank information is invalid, missing, or rejected, or has not been confirmed by you since the Executive Order mandate
- A return with a balance due is corrected by the IRS and now results in a refund, such as
- Estimated tax payments you made but did not report on your filed tax return;
- Adjustments were made by the IRS to penalty and/or interest calculations due to filing due date changes from disaster declarations or similar situations;
- Math errors such as addition or subtractions
What you need to do:
When you receive the CP53E notice, you have 30 days to update or add a new bank account for direct deposit, or select an exception condition to allow a paper check.
If you opted-in to receive refund status notifications in your online account, when you receive the notification, you may immediately update your direct deposit information.
How to update your direct deposit information
- Sign in or create an online account.
- Check your Notifications in your Account Home.
- Select the Add bank account notification. This option will only be present when a CP53E notice has been issued to you.
- Follow the prompts to add your account details. Guidance is provided if you don’t have a bank account.
- Allow around 2-5 business days for your refund status to update in your online account.
If you encounter any systemic issues that prevent you from updating your bank account information, read the message carefully and try again later.
For updates on your refund status, visit Where’s My Refund.
Note: When your refund is issued, it may be subject to offset if you have other outstanding liabilities. Find out why your refund may be reduced, how the IRS may contact you, and what to do by visiting Reduced Refund here.
Frequently Asked Questions
Why do I need to provide a bank account for a direct deposit?
Executive Order 14247, mandates the transition to electronic payments for all Federal disbursements, including tax refunds, except under certain limited circumstances. Refer to this page for more information on this mandate.
What if I cannot access or create an online account?
You may access IRS.help.id.me for assistance in creating or accessing your online account.
How will I know if my bank account was updated successfully?
You will receive a confirmation message indicating your bank account update was successful. If there are any issues with your changes, you will receive an error message. Read all messages carefully and follow any instructions given promptly.
Can I use a bank account that doesn’t belong to me, like a family member or a friend?
No, the IRS requires you to use a direct deposit account under your own name or a joint account you share. If they are unable to validate your bank account information, they will issue a paper refund check.
Can I update my bank account if I call in to the toll-free line?
No, you can only update your bank account by accessing your online account. IRS employees cannot update bank account information. You must access your online account within 30 days from the date of the CP53E notice to receive your refund via direct deposit; otherwise, a check will be issued.
What if I added or updated my bank account information, but made a mistake – can I correct it?
No, you will only have one opportunity to add or update your bank account using your online account. If your direct deposit is not accepted by the bank and is rejected, the IRS will issue a paper check.
What if I don’t have a direct deposit account – how will I get my refund?
Visit IRS.gov/ModernPayments to learn about other direct deposit options, such as pre-paid debit cards and mobile payment applications. There are limited exception conditions to request a paper check using your online account.
What if I don’t respond to the CP53E I received?
If you don’t respond to the notice, the IRS will issue a paper check after 6 weeks. For updates on your refund status, visit Where’s My Refund.
How do I know the link or QR code is safe?
If you use the link or QR code, look for:
- A lock icon or “https://” at the beginning of the URL indicates it is a secure site
- Ensure “.gov” is in the URL
To learn to recognize tax scams and fraud, read more here.
From “Understanding Your CP53E Notice,” last updated by the IRS on May 11, 2026.