When you file your taxes, getting your tax refund days earlier than planned is a pleasant surprise. Is it possible, however, if you don’t have access to a bank account? Yes, you can set up an account to have your return money paid to you using a cash transfer app like Venmo, Cash App, or PayPal.
Since the backlog of tax returns has extended into 2022, the IRS is urging taxpayers to file electronically and set up direct deposit to receive their refund faster. (The IRS estimates that eight out of ten taxpayers currently do so.) This is especially true if you have additional funds available, such as your final child tax credit payment.
To obtain your return faster, set up direct transfer with Venmo, Cash App, or Paypal. For more information, check out these seven tactics to avoid an IRS tax audit.
How Can I Use Venmo and Other Payment Applications to Collect My Tax Return Faster?
Cash transfer applications, unlike most banks, may make your deposits available to you as soon as they are received. Because you won’t have to wait for your bank to complete the deposit, which could take up to a week, you’ll get your return up to two days sooner.
How Can You Get Your Venmo Refund?
It takes less than 5 minutes to set up a Venmo account. This is how you do it.
1. Create an account or sign in to the Venmo app on your mobile phone.
2. Go to the bottom right corner of the screen and select the profile symbol.
3. Select Direct Deposit from the drop-down menu.
4. To view your Venmo account data, select “Show account number.”
5. Include your Venmo routing and account number in your tax return. Your refund will be transferred to your Venmo account once your taxes have been processed by the IRS.
How to Get a Refund Using the Cash App?
Here’s how to get started with Cash App’s direct deposit feature.
1. Create an account or login in to the Cash App app on your smartphone.
2. On the bottom left side of your screen, tap the Banking tab. It’s the one with the building shape.
3. Select Direct Deposit from the drop-down menu. It will mention that you can obtain your money in two days.
4. After that, you must create a free Cash Card. Follow the onscreen instructions after tapping Get Free Cash Card.
5. Return to the Direct Deposit tab and copy your routing and account numbers once you’ve completed. Use these when you’re preparing your taxes.
Paypal Is a Great Way to Get Your Tax Return.
PayPal, like Venmo (owned by PayPal) and Cash App, allows you to get your money back two days faster. Here’s how to do it.
1. Sign in or create an account with PayPal on your mobile device.
2. From the top menu, pick Set up Direct Deposit from the drop-down menu.
3. Select Get Started from the drop-down menu. You must first read the terms and conditions before selecting Continue.
4. Select Submit after you’ve double-checked your information with PayPal.
5. After that, you must provide a photo ID, as well as your Social Security or ITIN document.
6. You’ll be able to see your routing and account information in your PayPal wallet after that’s done.