Many of our clients have recently been receiving letters from the IRS and FTB regarding their trax returns. We understand how concerning these letters can be, especially with scams being more and more common. However, there are a few legitimate notices being released from these entities right now, and in an effort to help address any concerns about these letters, we have broken a couple of them down below.
IRS Notice of Direct Deposit Information (CP53E)
The IRS is currently sending out notices advising taxpayers that the IRS does not have direct deposit information for the taxpayer on file.1 Taxpayers will typically receive this letter because they either did not have a refund on their return when the return was filed, or because the taxpayer refused to provide banking information to their tax preparation professional or the IRS.
Part of the reason for this notice is due to the IRS phasing out paper payment methods. This change was announced last year, as part of Executive Order 14247 that requires all federal agencies to use electronic methods for payments and disbursements as a way to help reduce fraud, save on costs, and prevent payment delays.2 As of January 1st, 2026, the IRS is requesting that all overpayments of taxes be refunded using direct deposit.
What to do if you receive this notice:
The notice states that that the taxpayer need to go online and set up an account with the IRS to provide their banking information. If no banking information is provided, a check will be issued but the refund will take longer to be sent to the taxpayer.
- Go to www.irs.gov.
- Click on “Create Account” or if you already have an account, you can click “Sign In”.
3. Check your “Notifications” in your account home.
4. Select the “Add Bank Account” notification. (Note that this option will only be present if you have received a CP53E Notice.)
5. Follow the prompts to add your account details.
For more information about this notice, including frequently asked questions, please visit:
For more information about the notices that the IRS will send you and information about the latest IRS scams, please visit:
FTB Tax Return Filed – Confirmation Required (FTB 3904)
The California Franchise Tax Board is also sending out notices requesting taxpayers to confirm their identity by calling 916-845-7088.3 Taxpayers typically receive this notice because their return was selected for review as a security measure to protect against identity theft. FTB will likely want to confirm that you filed a specific tax return to verify your identity.
What to do if you receive this notice:
Taxpayers should follow the directions stated in the letter and call the FTB to verify their identity. If the FTB does not hear back from taxpayers within 30 days, they may not be able to process your return or issue a refund in a timely manner. Taxpayers can also log on to the Franchise Tax Board website to check their account.
To check your FTB account, please visit their website and select “MyFTB” in the top right corner:
If you have received a letter from the FTB, you can make sure it is not a scam and verify its contents by visiting their list of published notices at:
When in Doubt, Give Us a Call
If you receive a notice regarding your tax returns and you need assistance, please feel free to give our office a call at (951) 296-1698. We understand that the security of your personal information is important, and we are happy to help you confirm the legitimacy of your notice and help you understand the next steps to take.
- Internal Revenue Service. (2026, May 11). Understanding your CP53E notice. https://www.irs.gov/individuals/understanding-your-cp53e-notice ↩︎
- Executive Order No. 14247 (2025, Mar 25). Modernizing Payments to and From America’s Bank Accounts. https://www.whitehouse.gov/presidential-actions/2025/03/modernizing-payments-to-and-from-americas-bank-account/ ↩︎
- https://www.ftb.ca.gov/help/letters/index.html?WT.ac=Home_Task_Notices ↩︎
